A month into Maggi fiasco, instant noodles sales crash 90% in India

July 6, 2015

New Delhi, Jul 6: One month after the ban of Maggi, instant noodles sales in India have crashed by over 90 per cent to just about Rs 30 crore from Rs 350 crore a month earlier, according to industry estimates.

maggi crash

With the key category facing an uncertain future, food processing industry players are worried that this could have an impact on their overall investment plans, while companies are now facing 'increased harassment from safety inspectors', according to a senior official of industry body Assocham.

"In the last one month the instant noodles category has suffered a massive drop in sales to about Rs 30 crore a month. Before the Maggi ban this category was around Rs 4,200 crore annually, which is about Rs 350 crore per month. There is a fear psychosis among consumers," the official said.

Last month central food safety regulator FSSAI had banned Nestle's Maggi saying it was "unsafe and hazardous" for consumption after finding excessive levels of lead and violation of labelling regulations on taste enhancer monosodium glutamate (MSG). Nestle India had recalled Maggi from the markets.

With FSSAI cracking the whip, HUL withdrew its Knorr Chinese noodles and Indo Nissin Top Ramen noodles which were pending for approval with the food safety regulator.

In the aftermath of Maggi controversy, there has been "increased focus" on packaged food companies, the official said, adding "there is a lot of harassment going at lower level. The industry is very scared of being subjected to more harassment".

Seeking government intervention, the Assocham official said: "There is no standard protocol for testing in different states and manufacturers are not given enough time to take remedial measures."

At least on the issue of MSG, the government should clarify that it was misbranding and not a safety issue.

On the impact of the controversy on the food processing industry, the official said: "If there is a feeling that all food companies are rogue and consumers stay away from packaged food, who is going to invest?"

Currently, investments proposed in food-related projects is about Rs 90,000 crore which can have a multiplier effect, the official said, adding even employment could also be affected to an extent if the uncertainty over noodles category remained.

Around 1,500 workers of Nestle India involved in manufacturing of Maggi have been impacted by the stoppage of production.

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News Network
May 11,2024

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Karnataka: BJP leader and advocate G Devaraje Gowda was arrested in connection with a sex abuse video allegedly belonging to Hassan JD(S) MP Prajwal Revanna.

According to police, Devaraje Gowda was arrested at Gulihal tollgate by the Hiriyur police in this district on Friday night for leaking the video in a pen drive.

He was arrested on a tip-off received by the Hassan police, which wanted his presence for the case.

Several explicit videos involving Prajwal started making the rounds ahead of the first phase of Lok Sabha elections in Karnataka, which took place on April 26.

The MP, a grandson of former prime minister H D Deve Gowda, is absconding and a 'blue corner' notice has been issued against him by Interpol.

Three FIRs, including charges of rape, molestation, intimidation, blackmailing and threatening, have been registered against Prajwal.

Devaraje Gowda is accused of leaking these videos, which he has categorically rejected.

He contested in the 2023 Assembly elections against JD(S) MLA from Holenarasipura H D Revanna.

H D Revanna, father of Prajwal, is at present in jail on charges of kidnapping a woman, a mother of three.

Ahead of polls, Devaraje Gowda had warned BJP’s central leadership against backing Prajwal Revanna and brought his sex scandal to light.

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News Network
May 3,2024

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Mangaluru: The passenger vessel service between Lakshadweep and Mangaluru has recommenced operations with the arrival of Parali, a high-speed craft, at the Old Mangaluru Port on Thursday, May 2 

With 160 passengers on board, along with a pilot, a ship engineer, an assistant, and eight labourers, the arrival of the vessel brings hopes of reinstating this vital transportation link.

The passengers were welcomed by Congress brass. The vessels that used to arrive before the Covid-19 pandemic took 13 hours to reach Mangaluru from Lakshadweep. However, the introduction of the high-speed craft, Parali, has reduced the travel time to approximately seven hours, said Abubakar Ashraf Bengre.

Bengre is part of a team that has been instrumental in liaising with the authorities of both Lakshadweep and Karnataka to facilitate the revival of this service. He told reporters that the service would bring better economic activity to Mangaluru. 

Over recent months, discussions have been held with Hamdullah Sayeed, president, Lakshadweep Congress Committee, as well as Karnataka Speaker UT Khader and district minister Dinesh Gundu Rao, to garner support for the reintroduction of the service.

The passengers who arrived mostly sought medical treatment, went shopping or met relatives here. They said that they traveled for Rs 450. Former MLA J R Lobo said that they will urge the government to ensure regular vessel services continue.

The passenger service was discontinued due to a lack of demand, it is learnt. In the year 2018-19, 4,955 passengers embarked and 7,422 disembarked from the Old Mangaluru Port. Subsequently, the figures declined to 3,779 (embarked) and 2,294 (disembarked) in 2019-20. The numbers further plummeted to 561 (embarked) and 19 (disembarked) in 2020-21, leading to the suspension of the service.

At present, the administration of the Union Territory of Lakshadweep has released a schedule for high-speed craft movement from April 29 to May 5.

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News Network
May 6,2024

Mangaluru, May 6: A five-year-old girl from Arendur village of Siddapura taluk of Uttara Kannada district died of Kyasanur Forest Disease (monkey fever) recently.

As her health deteriorated, she was admitted to the KMC Hospital in Mangaluru, where she failed to respond to the treatment and died on Friday night.

It is learned that the KFD is slowly spreading to the newer areas of coastal and malnad areas of Karnataka

According to officials, KFD spreads due to bites of ticks that generally survive on monkeys. This tick bites humans which causes the infection. Humans also contract the disease by coming in contact with cattle bitten by ticks.

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