The local government of the Indian capital, New Delhi, banned Nestlé’s main product in India - Maggi Noodles, citing excessive lead content per authorities’ lab evaluations. Nestlé disputes the authorities evaluations, noting that internal and third party evaluations demonstrate the product to be safe.
There is significant confusion in the media and amongst Nestlé’s customers, and Maggi sales begin to plummet. Other local governments and India's national food safety regulator also contemplate bans. Nestlé must decide how to respond - choices include suing the regulators and removing the product, which might affect up to 25% of Nestlé’s India sales.
Publication Date: 02/04/2016
This is just an excerpt. This case is about Finance
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