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FSSAI looking for ways to regulate online food business

While the regulator has already held a meeting with all major ecommerce firms, it is looking for more clarity on the matter

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<a href="http://www.shutterstock.com/pic-115243726.html" target="_blank">Image</a> via Shutterstock

Arnab Dutta New Delhi
Recent modifications in the Food Safety and Standards Act have opened the market for over 2,200 products that were awaiting approvals since 2014. While some 2,500 products were awaiting pre-market approval from the Food Safety and Standards Authority of India (FSSAI) for the past two years, the recent regulatory changes have done away with the requirement for such approval by about 90 per cent of the product categories, said Pawan Kumar Agarwal, chief executive officer, FSSAI. This means that these items can be launched in the market without any regulatory hassle.

New guidelines on proprietary foods and change in the approval norms — from product-based to ingredient-based — have liberalised the sector. Earlier, it used to take nearly a year to obtain an approval from the FSSAI before launching any food product. Agarwal said, “Only 10 per cent (of pending applications) will now require pre-market approvals. We are carefully looking at the new set of product approval guidelines that shall be hassle-free for manufacturers.”

The FSS Act, which came into being in 2006, has been amended a number of times since Agarwal took charge last December. The FSSAI has prepared a list of permissible ingredients and additives that include some 11,000 items. Now, manufacturers are not required to obtain approvals separately from the regulator as long as their products, including proprietary food items, are prepared using FSSAI approved ingredients. However, it is working on a new set of guidelines for food items and ingredients that are imported into the country.

Regulating e-commerce

To regulate the e-commerce companies that offer food items, the FSSAI is working on a separate set of guidelines. While the regulator has already held a meeting with all major e-commerce firms, it is looking for more clarity on the matter. “Since they are warehousing, transporting and distributing food products, there has to be a different set of regulations. We have already looked for precedence in other countries but we did not get a very clear framework under which these companies can be regulated. Both the companies and us have to have clear understanding about what they are doing and what we expect from them,” he said.

While most of the major ecommerce companies obtained licenses from the FSSAI, Agarwal said, unless there are specific regulations in place, mere registration may not be enough to ensure safety of food products. Currently, at least 20 ecommerce firms are operating in the countries which focus on selling food items, including Big Basket and Grofers. Ecommerce giants like Amazon, Flipkart and Snapdeal offer food items on their platforms too.

Changing focus

Since Maggi controversy erupted in May 2015, FSSAI has identified food manufacturers as “very important stakeholders” in the entire ecosystem. And it is trying to engage all stakeholders such as consumer organisations, manufacturers and state authorities to streamline the regulatory framework, Agarwal said.

“At least, one lab in each state will be modernised with advanced equipment. Improving government labs and creating a more credible and advanced private lab system in the country is a thrust area now,” he adds. Currently, 72 government-owned labs are spread across India. Last year, when random testing and sampling was being conducted in the country, it was found that many of these labs did not have the equipment and/or manpower to identify toxic and hazardous items in food.

However, according to Agarwal, going forwards food regulation will be based on engaging with the food manufacturers. While FSSAI will continue random sampling of food products from the market, focus will be on rectifying faults at the manufacturing units. “There will be more factory visits by our officials who will guide and advice the manufacturers, whenever required,” he said.
 

ON MISLEADING ADS
"Since the Advertising Standards Council of India has a mechanism in place to scrutinise ads, we are leveraging that. If prima facie they find anything objectionable, they will refer it to us and we will take appropriate steps"

ON E-FOOD
“Since e-commerce firms are warehousing, transporting and distributing food products, there has to be a different set of regulations. We have already looked for precedence in other countries but we did not get a very clear framework under which these companies can be regulated”
Pawan Kumar Agarwal, CEO, FSSAI

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First Published: Aug 20 2016 | 11:03 PM IST

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