DIAGEO India is facing fresh regulatory scrutiny after food safety authorities seized around 18,000 boxes of liquor bottles from a United Spirits facility in Bengaluru over alleged non-compliance with mandatory markings for recycled PET packaging.
According to government documents reviewed by Reuters, the action involved approximately $1.6 million worth of liquor and plastic packaging material. The affected products included DSP Black Deluxe Whisky, Smirnoff Zesty Lime Triple Distilled Flavoured Vodka and VAT 69 Blended Scotch Whisky, among other brands.
Missing Recycled PET Markings
The inspection reportedly found that certain smaller plastic bottles, including 180 ml packs, were made using recycled polyethylene terephthalate (PET) but did not display the mandatory marking indicating that the recycled material was suitable for food contact.
The issue has raised concerns related to food safety, misbranding and misleading labelling. However, the regulatory action is focused on packaging compliance and markings rather than a finding that the liquor itself is unsafe for consumption.
DIAGEO Says Products Are Safe
United Spirits, DIAGEO’s Indian subsidiary, confirmed that regulatory action had been taken. The company said the bottles were sourced from an FSSAI-approved recycler and that mandatory tests had been conducted by suppliers.
DIAGEO India has maintained that its products are safe for consumption and said some affected bottles have been quarantined by authorities pending further directions. The company is also engaging with FSSAI regarding the matter.
Wider FSSAI Scrutiny of DIAGEO
The Bengaluru packaging action comes amid broader regulatory scrutiny of DIAGEO’s Indian operations.
Earlier this month, FSSAI took action against certain United Spirits products over the use of artificial or nature-identical flavouring substances in whisky and rum. The affected products included Antiquity Blue Whisky, Royal Challenge Whisky and McDowell’s No. 1 Rum manufactured at specified facilities.
FSSAI has since moved toward requiring changes to certain products, while DIAGEO has disputed aspects of the regulator’s interpretation and engaged with authorities over the issue.
Royal Challenge Labelling Also Under Review
Separately, FSSAI issued a notice concerning the “matured in American oak casks” claim on Royal Challenge Whisky.
The regulator questioned whether the claim could mislead consumers because a significant portion of the spirit was reportedly not matured. FSSAI also raised concerns regarding the product’s reference to Scotch without sufficient specification. DIAGEO has said it remains committed to applicable quality and labelling standards.
What the Action Means for the Spirits Industry
The latest developments highlight the growing importance of end-to-end regulatory compliance in India’s alcoholic beverage sector.
The scrutiny now extends beyond the beverage itself to packaging materials, recycled-PET markings, flavouring practices and consumer-facing labelling claims.
For manufacturers, the action underscores the need for stronger compliance across packaging suppliers, production facilities, product formulation and labelling to avoid regulatory action.
The allegations and regulatory concerns described above are subject to ongoing regulatory proceedings and should not be interpreted as final findings that the affected products are unsafe for consumption.
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