Corporate Law Group

India is one of the major food producers in the world and Indian food processing market is one of the largest in terms of production, consumption, export and import. The demand for packaged food products have been rising at a good pace on account of the growing urbanization and the consequential changes in food habits. The potential of 250 million strong middle class also contributes enough for the growth of the sector. It is estimated that food-processing market in India will attract a phenomenal investment of over US$32.1 million by 2010.

The Food and Nutrition sector in India is currently governed by a multiplicity of laws under different Ministries. Automatic approval (including foreign technology agreements within specified norms) is permitted for FDI up to 100% equity of Indian companies for all food and beverages except for alcoholic beverages and items reserved for Small Scale Sector. Foreign equity upto 24% is permitted for items reserved for Small Scale Sector. Prevention of Food Adulteration Act, 1954 is the basic sectoral law. The Food Safety and Standards Act, 2006 provides for a single regulatory body for food sector and an integrated food law. However, this Act is not yet made operative.

CLG’s regulatory practice includes food and nutrition. The CLG Food and Nutrition practice Team includes lawyers and technical professionals having considerable experience in the said sectors. A significant part of the firm’s food and nutrition law practice is in respect of regulatory requirements and compliance. CLG has assisted its clients in obtaining necessary regulatory licenses and statutory approvals.