The ‘100%’ Label Clash: Why FSSAI Is Challenging ITC’s Aashirvaad Atta Claims

ITC has raised several objections. First, the company argued that the improvement notice was issued before it could respond to the show cause notice, which had given it 30 days

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Summary
Summary of this article
  • The Delhi High Court has restrained FSSAI from cancelling ITC's licence over its "100% Atta" and "0% Maida" claims until the next hearing on September 9.

  • ITC has challenged FSSAI's May 2025 advisory, arguing that the regulator cannot enforce a binding prohibition through a mere advisory without following the proper legislative procedure.

  • The case will now decide whether FSSAI's advisory can be used as the basis for enforcement action and whether the Delhi High Court has territorial jurisdiction to hear the matter.

The Delhi High Court has stepped in to stop the food regulator from cancelling ITC’s licence over its use of “100% Atta” and “0% Maida” claims on its popular Aashirvaad MP Chakki Atta. The dispute now hinges on whether FSSAI can enforce its advisory as a binding rule.

On August 10, 2026, the Food Safety and Standards Authority of India (FSSAI) issued a show cause notice to ITC Limited. The regulator alleged that the company had violated a May 2025 advisory that asked food businesses to stop using the term “100%” on product labels, packaging, and promotional material, according to court records, as per Bar and Bench. The notice highlighted that claims such as “100% Atta & 100% Madhya Pradesh Wheat” on the label and “Made from 100% M.P Wheat only” in an advertisement were misleading and impermissible under existing regulations.

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Just three days later, the Central Licensing Authority in Kolkata issued an improvement notice. This notice directed ITC to remove the claims “100% Atta”, “100% Madhya Pradesh Wheat”, and “0% Maida” from all labels and advertisements and gave the company only 15 days to comply, as per the court order.

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Why is ITC Challenging FSSAI?

ITC has raised several objections. First, the company argued that the improvement notice was issued before it could respond to the show cause notice, which had given it 30 days. This, ITC says, violates the principles of natural justice, according to its petition before the Delhi High Court.

More fundamentally, ITC is challenging the validity of the May 2025 advisory itself, multiple media reports have stated. The company contends that FSSAI cannot introduce a binding prohibition through a mere advisory. It argues that such a rule must follow the proper procedure prescribed for framing regulations, which includes prior publication, central government approval, and scrutiny by Parliament. ITC has also stressed that FSSAI has not alleged that the product actually contains maida (refined flour) or any ingredient other than whole wheat atta, as per the company's submissions before the court.

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Can FSSAI Act Based on an Advisory?

This is the core legal question. FSSAI’s May 2025 advisory stated that the term “100%” is not defined under the Food Safety and Standards Act or its regulations, according to the advisory document. The regulator believes that its use creates a misleading impression of absolute purity or superiority, potentially influencing consumer perception unfairly. While the advisory itself is not legally binding, the regulator can initiate enforcement action if it believes a claim violates existing regulations, such as those prohibiting misleading advertisements. ITC’s challenge hinges on whether the advisory has been enforced as a de facto regulation, bypassing the required legal process.

On August 24, 2026, the Delhi High Court granted interim protection to ITC. Justice Swarana Kanta Sharma restrained FSSAI from taking any decision to cancel ITC’s food business licence until the next hearing, according to the court's order. The court passed this order after noting that the deadline for ITC to comply with the improvement notice was set to expire on August 28. The matter will be heard next on September 9, 2026.

However, the court clarified that it has yet to decide if it has the territorial jurisdiction to hear ITC’s challenge. FSSAI argued the petition is not maintainable in Delhi because the improvement notice was issued by its regional authority in Kolkata, as per court proceedings. ITC countered that since the dispute concerns a central licence and the FSSAI’s CEO is based in Delhi, part of the cause of action arose within the court's jurisdiction. The court has asked both parties to file brief notes on this jurisdictional question.

What Does “100% Atta” Mean to a Consumer?

For the average shopper, “100% Atta” suggests the product is made entirely from whole wheat flour. The issue has become a regulatory flashpoint because, in some other cases, companies have used similar claims even when the product contained a mix of ingredients, according to media reports on earlier enforcement actions. While ITC asserts its product is indeed 100% atta, FSSAI’s concern is that the absolute term itself is undefined and therefore prone to be misleading.

The immediate future of ITC’s product labelling and licence remains uncertain. The company has secured a temporary reprieve, but the case will now proceed on two main tracks; whether the Delhi High Court has the jurisdiction to hear the case, and whether FSSAI’s advisory and the subsequent enforcement action, are legally valid. The court has listed the matter for a hearing on September 9, 2026.

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