FMCG distributors' group urges restricting branded spice stocking

In Mumbai, the All India Consumer Products Distributors Federation (AICPDF), representing distributors nationwide, has issued a cautionary advisory to distributors of spices. This advisory stems from reports indicating that India's top food regulator is scrutinizing spice brands for quality, particularly concerning levels of ethylene oxide, a chemical of concern.

The AICPDF urges distributors to exercise prudence and refrain from heavy stocking of branded spices due to the potential for these products to fall under scrutiny by the Food Safety and Standards Authority of India (FSSAI). The presence of ethylene oxide beyond permissible levels in Indian spices exported to certain overseas markets has prompted regulatory action. Countries like Hong Kong and Singapore have already taken measures, such as bans and recalls, on specific brands.

Despite these actions, companies like MDH, a prominent spice maker, have denied the allegations, asserting their commitment to not using ethylene oxide at any stage of their spice production. Dhairyashil Patil, the national president of AICPDF, emphasizes that this advisory applies to allspice brands, including local manufacturers, highlighting the potential widespread impact of regulatory measures on the spice market. Given the significant market size of the spice industry in India, which includes both branded and unbranded segments, heavy stocking of potentially affected products could lead to financial losses for distributors and retailers alike. Therefore, the AICPDF advises caution and recommends limiting stocking until clearance is obtained from the relevant authorities.