The Heart of the Proposal
The FSSAI has issued a draft amendment to the Food Safety and Standards (Prohibition and Restrictions on Sales) Regulations, 2011. The core idea is simple: to restrict the use of the term "paneer" exclusively to products made from milk and its constituents.
This means that products made from non-milk ingredients, such as vegetable oils, starches, or plant proteins, could no longer be manufactured, marketed, or sold using the paneer label. These alternative products are often referred to as 'analogue' paneer because they are designed to imitate the texture and appearance of the real thing. The draft rule explicitly states that items made from constituents not derived from milk would be prohibited from using the name.
Why Is FSSAI Drawing This Line?
The primary motivation behind this move is consumer protection. The FSSAI aims to prevent shoppers from being misled about the nature and composition of the food they buy. Currently, a consumer might purchase a product labelled 'paneer' assuming it is a traditional dairy item, when it could be an analogue product with a different nutritional profile. By reserving the name, the regulator wants to ensure that when a package says paneer, it contains paneer made from milk, enhancing transparency and allowing for informed choices. This follows increased regulatory scrutiny over food labelling and composition in general.
The Impact on Analogue and Plant-Based Products
If the proposal is finalised, it will have a significant impact on manufacturers of non-dairy alternatives. Companies with products already licensed under the 'Analogue in Dairy Context' category will have to discontinue using the word "paneer" in their product names, packaging, and all marketing materials. This affects not just packaged goods but also the food service industry. Hotels, restaurants, and caterers that use paneer analogues would need to clearly disclose this information on their menus and display boards, preventing them from passing off a substitute as the real thing. For the growing plant-based food industry, this means finding new nomenclature for their products that mimic paneer.
Support from Dairy, Concern from Alternatives
The move is a welcome one for the dairy industry, which has long been concerned about cheaper, non-dairy alternatives using the 'paneer' name and impacting genuine dairy producers. Several states, including Maharashtra, Gujarat, and Punjab, have already taken action against the sale of analogue paneer being passed off as dairy. The FSSAI's proposal would create a uniform, nationwide standard. On the other side, producers of analogue products argue that these items serve a purpose, offering cheaper alternatives and options for those who avoid dairy for health or ethical reasons. For them, the challenge will be rebranding and re-educating consumers without the powerful and familiar 'paneer' descriptor.
What Happens Next?
This is not yet a final rule. The FSSAI has opened the draft regulation for public consultation for a period of 60 days from its notification date. During this window, stakeholders including manufacturers, industry bodies, consumer groups, and the general public can submit their objections and suggestions. The FSSAI will review all feedback before making a final decision on the amendment. Only after this process is complete will the final regulation be notified and enforced. Until then, the debate over who gets to call their product 'paneer' continues.
















