CCPA Fines Storia Foods, English Oven Rs.1 Lakh Each for Misleading ‘100%’ Claims
New Delhi, June 21(TNT): The Central Consumer Protection Authority (CCPA) has imposed penalties of ₹1 lakh each on Storia Foods and Beverages Pvt. Ltd. and Mrs. Bectors Food Specialities Ltd. (English Oven) for misleading advertisements and unfair trade practices arising from the use of the expression “100%” in relation to their food products.
The action was taken by the authority headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra under the Consumer Protection Act, 2019, and the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022.
The CCPA also directed both companies to immediately discontinue the disputed claims from their product packaging, websites and digital platforms.
The authority reiterated that the term “100%” is a precise and absolute numerical expression and cannot be used loosely or merely as a marketing slogan. Any such claim, it said, must accurately reflect the actual composition of the product.
Action Against Storia Foods
The CCPA took suo motu cognisance of claims made for several Storia products, including “100% Tender Coconut Water” and a range of “100% Juice” beverages.
According to the authority, Storia’s “100% Tender Coconut Water” was marketed as “100% Natural Tender Coconut Water”, whereas the ingredient declaration showed that the product contained water and coconut water concentrate, which was reconstituted before packaging.
The authority observed that an ordinary consumer would interpret the claim to mean that the product consisted entirely of natural tender coconut water. It further noted that the term “reconstituted” appeared only in fine print within the ingredient panel and was not prominently disclosed.
The CCPA also found the accompanying claim of “100% Natural” untenable because the product contained preservative INS 202.
Similarly, the authority found that several juice products marketed as “100% Juice” contained varying proportions of water, fruit juice concentrates and other ingredients, making the claim misleading.
The authority held that the company had violated provisions relating to consumers’ right to accurate information, misleading advertisements and unfair trade practices under the Consumer Protection Act.
Action Against English Oven
The CCPA also examined advertisements issued by Mrs. Bectors Food Specialities Ltd. for its English Oven bread products through newspapers, social media platforms, websites and product packaging.
The advertisements carried claims such as “100% Atta Bread”, “100% Whole Wheat Bread”, “Taste of 100% Nourishment” and “100% Goodness”.
During the proceedings, the company admitted that its bread products contained only 87 per cent whole wheat flour.
The authority ruled that a product containing 87 per cent whole wheat flour could not legitimately be advertised as “100% Atta Bread” or “100% Whole Wheat Bread”.
The CCPA further observed that the simultaneous use of the claims “100% Whole Wheat Bread” and “Zero Maida” created a misleading impression that the bread was composed entirely of whole wheat flour and contained no other ingredients.
Rejecting the company’s defence that “100% Atta” merely indicated wheat flour as the sole grain source, the authority held that advertisements must be evaluated from the perspective of an ordinary consumer and not on the basis of technical explanations offered later by advertisers.
CCPA Warns Against Misleading Absolute Claims
The authority reiterated that all claims relating to composition, quality, nutrition and health benefits must be truthful, verifiable and non-deceptive.
It emphasised that exaggerated or absolute claims cannot be permitted if they compromise consumers’ right to accurate information and informed choice.
The CCPA said it would continue to take enforcement action against companies found misleading consumers regarding the nature, quality or composition of their products.
TNT TS
