India's Concern Over Nestle Baby Food Sugar Study Leads to Drop in Nestle India's Share Prices

The Indian government has taken notice of this issue and is reportedly investigating the addition of sugar to baby food products.

An investigation by Swiss organization Public Eye and the International Baby Food Action Network (IBFAN) has uncovered a concerning revelation about Nestle's baby-food brands in India. Unlike their counterparts in developed nations like the UK, Germany, and Switzerland, Nestle's baby-food products in India contain high levels of added sugar, a fact that has raised alarms over potential health guideline violations.

The Indian government has taken notice of this issue and is reportedly investigating the addition of sugar to baby food products.

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In response to the findings, Nestle India Ltd experienced a dip in its share price on Thursday. At the Bombay Stock Exchange (BSE), Nestle India's shares opened at Rs 2,539 and closed at Rs.2,462.75, reflecting investor concerns following the study.

The investigation revealed that all Cerelac baby products in India contain an average of nearly 3 grams of sugar per serving, whereas the same products are sold with no added sugar in Germany and the UK. In contrast, countries like Ethiopia and Thailand see nearly 6 grams of sugar in similar products.

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According to the report, Nestle's practice of adding sugar to infant milk and cereal products in several countries violates international guidelines aimed at curbing obesity and chronic diseases. Notably, these violations were found predominantly in Asian, African, and Latin American countries.

In response to the scrutiny, a spokesperson from Nestle India Ltd stated that the company has reduced the total amount of added sugars in its infant cereals portfolio by 30% over the past five years. They emphasized the company's commitment to nutritional quality and ongoing efforts to reformulate products for further sugar reduction.

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Recent coverage by The Guardian highlighted Nestle's inclusion of sugar and honey in infant milk and cereal products sold in "poorer countries," citing data from Public Eye and IBFAN. Public Eye's examination of 115 products across Nestle's main markets in Africa, Asia, and Latin America, particularly focusing on Cerelac and Nodi brands, reinforced concerns about added sugar content.

In India, all Cerelac baby cereal products analyzed by Public Eye were found to contain added sugar, averaging nearly 3 grams per serving.

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The discrepancy between sugar content in Nestle products across different regions has drawn criticism, with WHO expert Nigel Rollins condemning it as a double standard that lacks justification.


Read also | Nestle logs PAT of Rs 908 crore, to split shares

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Read also | Discrepancies in Nestle's Baby Food: Sugar Addition Variances Between India and Europe

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