The Directive: No More 'Energy' Drinks
The FSSAI has ordered manufacturers to stop using the term 'energy drink' on their products. The regulator's reasoning is straightforward: there is no official standard or category for 'energy drinks' in Indian food law. As a result, companies have been
given a 90-day deadline, which started in July 2026, to remove the term from all packaging and marketing materials. Instead, these products are to be labelled as 'caffeinated beverages'. This isn't a ban on the drinks themselves, but a significant shift in how they are allowed to be presented to consumers. The rule also prohibits claims like 'vitalises body and mind' or 'boosts energy levels', which the FSSAI deems misleading and therapeutic in nature, something not permissible for food products.
Behind the Rule: Caffeine and Consumer Safety
This move is rooted in growing global and local concerns about the health impact of high-caffeine beverages, especially on young people. Under FSSAI regulations, any non-alcoholic beverage with more than 145 mg of caffeine per litre must be labelled as a 'caffeinated beverage', with a maximum permissible limit of 320 mg per litre. Many popular drinks on the market contain high levels of caffeine, sugar, and other stimulants like taurine and ginseng. Health experts have warned that excessive consumption can lead to a range of health issues, including anxiety, heart palpitations, high blood pressure, and sleep disturbances. The FSSAI already mandates that these beverages carry a warning stating they are not recommended for children, pregnant or lactating women, and individuals sensitive to caffeine.
Decoding the Word 'Energy'
A key part of the FSSAI's action is to tackle the misleading use of the word 'energy'. Nutrition experts point out that these drinks do not provide energy in the same way food does, which supplies calories for the body to burn as fuel. Instead, they use a central nervous system stimulant—caffeine—to block the neurotransmitters that promote sleep, creating a temporary feeling of alertness and masking fatigue. The 'rush' often comes from a combination of caffeine and large amounts of sugar. This distinction is critical. By calling them 'energy drinks', manufacturers create a perception of a healthful, performance-enhancing product, which the regulator argues is not scientifically accurate and can encourage overconsumption.
What It Means for Brands and the Market
The directive affects major players in India's rapidly growing beverage market, including Red Bull, PepsiCo (Sting), and Monster Energy. India's market for these drinks is expanding at over 12% annually, faster than in the US and China. Companies have argued that the re-labelling process is costly and that the short 90-day deadline is insufficient, asking for up to a year to clear existing stock and update packaging. However, the FSSAI has refused to extend the deadline, stating that companies were already in breach of regulations by using the term 'energy drink' without an established standard. Failure to comply could lead to penalties, including seizure of products and fines.
A More Informed Consumer
For consumers, this change brings much-needed clarity. The shift from 'energy drink' to 'caffeinated beverage' is more than just semantics; it's a move toward transparency. It encourages shoppers to look beyond marketing slogans and focus on the ingredients list. The mandated labels, including the precise caffeine content and health warnings, empower individuals to make more informed choices about their consumption. Health experts advise consumers to be mindful of their total daily caffeine intake from all sources and to recognise that these beverages are not a substitute for proper rest and nutrition. The new labelling will make it clearer that these are stimulant-based drinks, not health supplements.
