Maggi imports from India temporarily suspended Down Under

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Nestle's Maggi row, lead contain, negative effect to heatlh.
Nestle’s Maggi row, lead contain, negative effect to heatlh.

Australia, on 15 June, has temporarily suspended import of Maggi noodles from India, as it has come under heavy scrutiny.

On 11 June, the Department of Agriculture, Australian government, had issued a “holding order” against Maggi, as precautionary measure.

“The objective is to advise, the department has applied a holding order to Maggi noodles from India. This is a precautionary step in response to reports of levels of lead that are potentially non-compliant with permissible levels in Australia New Zealand Food Standards Code (the Code),” Australian Department of Agriculture said, in the notice.

Meanwhile, Nestle India said stocks of Maggi noodles worth Rs 210 crore were being withdrawn from the market and destroyed, while another Rs 110 crore worth of finished and related material stocks remained in its factories and distribution centres.

“These are only estimates; it is impossible to calculate the final figure, while the stocks are being recalled,” the company said.

“There will be extra costs to take into account, for example bringing back stock from the market, transporting it to destruction points and destruction costs. The final figure will be confirmed later,” it said.

“The above, and other unforeseen costs related with the withdrawal, will be dealt in line with the applicable accounting standards in time with the fiscal standards.”

The food safety regulator had ordered Nestle to take back Maggi noodles after some samples were found to contain higher-than-permissible levels of lead—a finding that was dismissed by the company, saying its own independent tests suggested otherwise.

Challenging the order, Nestle since has moved the Bombay High Court. The court has issued a notice to the Food Safety and Standards Authority of India (FSSAI), the regulator, along with other respondents, and posted the matter for hearing, on June 30.

 

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