Published 17:27 IST, April 19th 2024

Nestle’s Sugary Controversy, but what FMCG Behemoth did wrong? All you need to know

According to Public Eye, the food giant controls 20 per cent of the baby food market, valued at nearly $70 billion.

Reported by: Business Desk
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Nestle India | Image: Nestle India
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Nestle Sugary Affair: Nestlé, big food giant, is under spotlight again, but this time it's about something pretty important – sugar in baby foods. A recent investigation by Public Eye and IBFAN found that Nestlé's infant cereals and powdered milk products for young kids in lower-income countries contain ded sugar. 

According to Public Eye,  food giant controls 20 per cent of baby food market, valued at nearly $70 billion. With more than $2.5 billion in world sales in 2022, Cerelac and Nido are some of Nestlé’s best-selling baby-food brands in low- and middle-income countries. 

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And we're not talking a little bit – we're talking nearly 4 grams per serving on average for Cerelac cereals and almost two grams for Nido powdered milk. That's a lot, especially for little ones!

On flip side, in places like Switzerland and Europe, Nestlé sells similar products without any ded sugar. So why double standard? 

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Well, that's question many paediatricians and child nutrition experts are asking. y're worried about long-term health effects of all that sugar, like risk of obesity and or chronic illnesses down ro.

World Health Organization (WHO) has been sounding alarm on this for a while now. y say exposing babies and young kids to sugar early on can set m up for a lifelong preference for sweet stuff, which isn't great for ir health.

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But here's twist – even though Nestlé publicly recommends avoiding ded sugar in baby foods, y're still selling se sugary products in countries where regulations are more relaxed. And to make matters worse, y're using sneaky marketing tactics, like getting doctors and social media influencers on board, to convince parents that ir products are best choice.

Now, people are saying enough is enough. A petition has been launched calling on Nestlé to stop ding sugar to products for babies and young children under three years old, no matter where y're sold. It's all about putting health of our littlest eaters first.

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But this is not first time, that Nestle has been in spotlight for wrong reasons

Maggie Saga

Back in 2015, Nestle’s Maggi was hit by a major setback. Food Safety and Standards Authority of India (FSSAI) slammed a ban on Maggi due to concerns about le content and mislabeling. This left Nestle India reeling, with Maggi's sales plummeting and company facing losses of over Rs 500 crore. company’s market share nosedived from 80 per cent to zero in a matter of months.

Nestle India's Maggi noodles, ir cash cow, went through a tough time back in 2015. popular snack faced a nationwide ban for a whopping six months over allegations of containing monosodium glutamate (MSG) and le beyond permitted levels. This led to a massive recall of 38,000 tonnes of Maggi noodles from millions of retail shelves between June 5 and September 1, 2015.

During those challenging months, Nestle h to jump through hoops. y not only h to destroy tons of Maggi noodles but also engaged in a battle with regulators and government authorities to prove that Maggi was indeed safe for consumption. It was a hectic time for company as y worked tirelessly to restore faith in ir beloved brand.

But n, enter Suresh Narayanan, who took charge as Chairman and Managing Director of Nestle India in same year. With his leership, things took a turn. Despite ban, Narayanan didn't lose hope. Inste, he rolled up his sleeves and got to work.

He kicked off a heartfelt campaign to win back trust of Maggi lovers. You might remember those s like 'We miss you Maggi' and 'Midnight Cooking was back.' y weren't just s; y were messages straight from heart, assuring consumers that Maggi was safe and rey to come back to ir kitchens.

And guess what? It worked like a charm! Maggi quickly regained its foothold in market, recapturing a whopping 60 per cent of its share within just a year of its relaunch. Narayanan's leership wasn't just about crisis management; it was about innovation too.

Under his guidance, Nestle India introduced exciting new flavours and products, making Maggi even more irresistible. Plus, y leveraged data to fine-tune ir strategies, ensuring y reached right people at right time.

But wait, re's more! Narayanan didn't stop re. He also focused on improving Nestle India's supply chain and creating a workplace culture where employees felt valued and supported. It wasn't just about profits for him; it was about people too.

However, just when things seemed to be back on track, Nestle faced a new challenge – concerns over sugar content in its baby products. This sparked a whole new debate about importance of making informed choices, especially when it comes to our little ones' health.

 

17:27 IST, April 19th 2024