FSSAI starts penal action against Amazon, Swiggy Instamart, BigBasket, Flipkart and Zepto

India’s food regulator has initiated action against major e-commerce and quick-commerce platforms over the sale of misbranded, misleading or prohibited food products, including items linked to Happilo and Milky Mist.

— Source publishedWed, 23 Sept, 2026, 20:51 IST·First seen Wed, 23 Sept, 2026, 21:01 IST·Source The Hindu BusinessLine

What happened

FSSAI initiated penal action against Amazon, Swiggy Instamart, BigBasket, Flipkart India and Zepto for selling misbranded, misleading or prohibited food

Key facts

  • FSS Act, 2006

Why this matters

Acquisition and partnership diligence in Indian food e-commerce should prioritize regulatory history, supplier controls and the ability to monitor misbranded or prohibited products at scale.

What to watch

  • FSSAI notices specifying alleged violations, deadlines, penalties or named SKUs.
  • Mandatory recalls, product seizures, suspension of licenses or orders to remove listings.
  • Whether Happilo, Milky Mist or other implicated brands issue recalls, corrective-labeling plans or legal challenges.
  • Changes in platform seller terms, food-category onboarding standards or compliance fees.
  • Evidence that enforcement extends to dark-store storage, expiry management, cold-chain handling or private-label products.
  • Consumer complaints, social-media escalation and order-volume impacts in affected grocery categories.
  • New FSSAI guidance defining e-commerce marketplace responsibility for food safety and labeling.
  • Conduct immediate audits of food SKU labels, FSSAI licenses, claims, expiry information and prohibited-product listings.
  • Delist or pause products with incomplete documentation, especially health, nutrition, dairy, infant-food and imported-food claims.
  • Require sellers and brands to submit refreshed compliance certificates, indemnities and product-batch traceability data.
  • Increase quality-control checks at dark stores and fulfillment centers to ensure delivered products match online descriptions.
  • Prepare consumer communication and refund protocols for recalls, delistings and affected orders.
  • Shift promotional visibility toward verified national brands and platform-controlled inventory until audit risk falls.