Food Manifest 
Key Update
Food safety officials have seized around 18,000 boxes of liquor bottles from a Diageo-owned unit in Bengaluru over alleged violations involving mandatory recycled-plastic markings on PET bottles. Officials took the action during an inspection of the United Spirits factory last week. They found that PET bottles did not carry the required symbol indicating that the recycled plastic was suitable for food use.
$1.6 Million Worth of Products Seized
Government documents put the value of the seized products at around $1.6 million. Officials mainly seized smaller 180-ml plastic bottles from more than six brands, including DSP Black Deluxe Whisky, Smirnoff Zesty Lime Triple Distilled Flavoured Vodka and VAT 69 blended Scotch whisky. Diageo uses glass bottles for most of its larger products.
According to a government memo, officials learned during the inspection that United Spirits was using recycled plastic bottles. However, they could not find the required markings on the bottles. The findings prompted authorities to raise concerns over food safety, misleading declarations and misbranding, particularly in relation to the safety of the finished alcoholic beverages.
United Spirits Says Bottles Met Safety Requirements
Following the seizure, Diageo India confirmed that authorities had quarantined some of its bottles pending further directions. United Spirits said it had sourced the bottles from a recycler approved by the Food Safety and Standards Authority of India (FSSAI) and that the suppliers had conducted the mandatory tests. The company maintained that its products were safe for consumption and said it was engaging with the FSSAI for further directions. The action comes as the food regulator increases scrutiny of liquor companies over labelling, flavouring and other compliance issues.
FSSAI Questions Whisky Maturation Claim
The latest action adds to regulatory concerns involving Diageo products. On August 8, Reuters reported that the FSSAI had questioned a claim on one of the company’s top-selling whiskies that it was “matured in American oak casks.” A government notice dated July 20 said the product listed grain neutral spirit as its second ingredient after demineralised water, with a major portion consisting of non-matured spirit. The regulator said the claim that the entire alcohol content was matured in wood casks could mislead consumers. United Spirits said it remained committed to quality standards and was engaging with the FSSAI over the labelling concerns.
Diageo Faces Further Action Over Flavouring and “Scotch” Labelling
The FSSAI has also taken action against some Diageo products over alleged use of artificial flavouring. Authorities have prohibited the sale of Royal Challenge Whisky in Madhya Pradesh and Antiquity Blue Whisky, among other products, in certain states. Similar action has also affected some whisky and rum brands made by Indian company Inbrew. The regulator has separately questioned Diageo’s use of the term “Scotch” on the Royal Challenge label, saying the description did not clearly communicate what type of Scotch was used.
India Remains a Key Market for Diageo
The regulatory scrutiny comes as Diageo continues to maintain a significant presence in India’s spirits market. The world’s largest spirits maker owns brands including Johnnie Walker, Baileys, Captain Morgan and Smirnoff. India remains one of its key markets, with the company recording around $3 billion in revenue in the country for the year ended March 2026.
