The FSSAI's New Mandate
India's food regulator, FSSAI, has directed beverage companies to remove the term 'energy drink' from the labels of all high-caffeine products. In July 2026, major brands including Red Bull, PepsiCo (for its Sting drink), Monster Energy, and Reliance's
Campa Energy were privately given a 90-day deadline to comply with this new directive. Instead of 'energy drink', these products must now be labelled as 'Caffeinated Beverage'. The move is part of a broader crackdown on what the FSSAI considers misleading label claims. The regulator argues that there are no specific standards for a product category called 'energy drinks' in India, and using the term is a breach of regulations. Despite requests from beverage associations for a one-year extension to manage existing stock, the FSSAI has refused to budge on the deadline.
Why the Word 'Energy' is a Problem
The core of the issue lies in the word 'energy' itself, which FSSAI deems misleading. The regulator has also objected to promotional claims like “vitalises body and mind” or “boosts energy levels”. FSSAI’s stance is that caffeine doesn't create biological energy; it's a stimulant that blocks receptors in the brain to reduce the feeling of tiredness. The perceived 'energy' often comes from high amounts of sugar in these drinks, not just the caffeine. For instance, a typical 250 ml can contains about 75 mg of caffeine but also around 27 grams of added sugar. By forcing a change to 'Caffeinated Beverage', the regulator aims to provide consumers with a more transparent and accurate description of the product, shifting focus to its primary stimulant ingredient rather than a vague and potentially misleading functional claim.
The Health Concerns Fuelling the Change
The regulatory shift is rooted in growing global and domestic health concerns surrounding high-caffeine drinks, especially their consumption by young people. Health experts have long warned about the risks associated with excessive intake of these beverages. High doses of caffeine can overstimulate the nervous system, leading to anxiety, jitters, insomnia, and an irregular heartbeat. Furthermore, the high sugar content contributes to the risk of obesity and type 2 diabetes. By reclassifying these drinks, FSSAI is indirectly highlighting these risks and discouraging the idea that they are a healthy source of energy. The regulations already mandate that these drinks carry a warning stating they are 'Not recommended for children, pregnant and lactating women, persons sensitive to caffeine'. The new labelling rule reinforces this cautionary approach.
What This Means for Brands and Consumers
For beverage companies, this directive forces a significant and costly overhaul of packaging and marketing strategies across the country. The term 'energy drink' has immense marketing power, and its removal may impact brand positioning in a market that was growing at over 12% annually. Companies that fail to comply by the September 29, 2026 deadline face penalties, including fines of up to two lakh rupees and potential seizure of products. For consumers, the change brings much-needed clarity. The new 'Caffeinated Beverage' label, combined with existing requirements to declare caffeine content and daily consumption limits, empowers buyers to make more informed decisions. It serves as a clear reminder that these are not sports drinks for hydration or casual soft drinks, but products that should be consumed with caution due to their high stimulant content.
