Dabur’s Ethylene Oxide Free Masala Products Remain Unaffected by Recent Bans
Dabur India, a leading FMCG company, reassured consumers that its masala products, particularly under the Badshah brand, remain free from ethylene oxide, especially in the domestic market. This affirmation comes amidst concerns raised by recent bans on Indian spice blends, notably MDH and Everest, in Singapore and Hong Kong due to heightened levels of ethylene oxide, a chemical linked to cancer. Despite scrutiny from international authorities like the US Food and Drug Administration (FDA) and Australian food safety regulators, Dabur stands firm in its commitment to quality and safety.
Compliance with International Standards
While Dabur’s masala products comply with stringent international regulations governing ethylene oxide levels for exports, the company ensures that its domestic offerings meet the standards set by the Food Safety and Standards Authority of India (FSSAI). Unlike in some international markets where ethylene oxide is used within permissible limits to deter microbial growth, Dabur employs alternative methods like steam sterilization for its export batches.
Quality Assurance Measures
Dabur’s dedication to quality extends beyond regulatory compliance. The company has implemented rigorous quality assurance measures, including the establishment of a micro lab, to guarantee the sterilization of its export batches. By prioritizing steam sterilization over ethylene oxide treatment, Dabur demonstrates its commitment to consumer safety and satisfaction.
Market Outlook and Growth Prospects
Despite the recent challenges posed by regulatory changes, particularly in the European Union, Dabur remains optimistic about the growth potential of its masala portfolio. The acquisition of Badshah Masala, coupled with strategic pricing adjustments and volume expansion efforts, has contributed to significant growth in both domestic and international markets. While acknowledging the impact of market deflation, Dabur sees opportunities for further portfolio growth and margin improvement in the foreseeable future.
Financial Performance
Dabur India’s robust financial performance underscores its resilience amidst industry challenges. The company reported a consolidated net profit of Rs 341.22 crore for the March quarter, marking a notable increase from the previous financial year. With total revenue reaching Rs 2,814.64 crore in Q4FY24, Dabur continues to strengthen its position as a market leader in the FMCG sector.
In conclusion, Dabur India’s unwavering commitment to quality, safety, and regulatory compliance reaffirms its status as a trusted provider of masala products. As the company navigates evolving market dynamics and regulatory landscapes, it remains poised for sustained growth and success in the competitive FMCG industry.