FSSAI Challenges Dr. Reddy’s, Nestle Over Celevida Claims

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AuthorAnanya Iyer|Published at:
FSSAI Challenges Dr. Reddy’s, Nestle Over Celevida Claims

The food regulator, FSSAI, has issued notices to Dr. Reddy’s Laboratories and Nestle Health Science regarding marketing claims for their nutritional supplement, Celevida GLP+. The regulator flagged concerns over associations with weight-loss therapies and misleading quality descriptions. This enforcement comes amid heightened scrutiny of the nutrition sector, following earlier legal actions regarding infant nutrition products, which investors should monitor for potential impacts on brand reputation and marketing compliance.

The Food Safety and Standards Authority of India (FSSAI) has issued show-cause notices to Dr. Reddy’s Laboratories and Nestle Health Science concerning the marketing of their nutritional supplement, Celevida GLP+. The regulator is questioning whether advertisements for the product, which was launched in May 2026, make misleading promises about its medical benefits. The notices were also directed at several e-commerce platforms, including Flipkart, Amazon, and Netmeds, through which the product is sold.

Focus on Marketing Claims

The regulator has flagged specific claims that allegedly connect the supplement to GLP-1 and GIP weight-loss therapies. The FSSAI noted that using such terminology may lead consumers to believe the product has therapeutic medical effects, which the regulator asserts remain unverified. Additionally, the FSSAI has challenged marketing descriptions regarding the product's European origin and purity, stating that geographical origin does not necessarily equate to superior protein quality. The regulator has mandated that the companies explain why legal action should not be pursued under the Food Safety and Standards Act of 2006.

Broader Regulatory Environment

This development occurs during a period of increased regulatory oversight for the food and nutrition industry. In September 2026, the FSSAI initiated three legal cases against Nestle India regarding its infant nutrition portfolio, specifically products like NAN Excella Pro Stage 1 and Lactogen Pro 1. In that instance, the regulator raised concerns regarding biotin levels in these items. Nestle India has maintained that its infant nutrition products are fully compliant and that the labels had previously received approval from the regulator’s expert committee.

Beyond the pharmaceutical-led supplement and infant nutrition markets, the regulator has expanded its enforcement across the wider retail landscape. In a separate measure, the FSSAI suspended the license of Shreyas Retail following reports regarding the sale of expired goods. The regulator has also initiated formal prosecution against Nex International after issues were identified regarding safety standards for raisins sold through its network.

Investor Perspective

For investors, these events indicate a trend of stricter enforcement within the health and nutrition sector. The primary monitorable is how companies adjust their marketing and labeling practices to meet the FSSAI’s current standards. Any requirement to modify product branding or marketing materials could lead to increased compliance costs or shifts in product positioning for the health supplement segment. The outcome of the ongoing proceedings will clarify the compliance strategy for premium nutritional products, a category that remains a key growth area for major health and consumer companies.

Disclaimer: This article is published for informational purposes only. This is not a buy sell recommendation.