FSSAI Proposes Nationwide Ban on Using ‘Paneer’ Label for Non-Dairy Analogues

The Food Safety and Standards Authority of India (FSSAI) has initiated a move to prohibit the use of the term paneer for products that do not contain milk-derived ingredients. The proposed amendment to the Food Safety and Standards (Prohibition and Restrictions on Sales) Regulations, 2026, aims to curb consumer deception by ensuring that product nomenclature accurately reflects its composition.

The draft notification, published in the Gazette of India on September 23, 2026, introduces a specific restriction on paneer made from non-dairy constituents. Under the proposed rules, food business operators currently licensed or registered under the Analogue in Dairy Context category would be required to remove the term paneer from all product names, labels, and marketing materials. The regulator stated that this measure is necessary to prevent consumers from being misled regarding the nature and ingredients of the products they purchase.

The Food Safety and Standards Authority of India proposed amendments to stop non-dairy items from being marketed under the name paneer. Official dairy standards mandate that paneer be made solely from milk and milk solids alongside specific permitted additives, explicitly prohibiting vegetable oils, fats, and proteins.

An analogue in the dairy context is defined as an item where non-milk ingredients partially or entirely substitute for dairy constituents, yielding a product that functionally or organoleptically resembles a dairy offering. Under existing food standards, items that are not derived from milk must not be misrepresented as dairy goods.

This national proposal follows a series of regulatory actions taken by individual states to address the proliferation of dairy analogues. Karnataka, for instance, implemented a one-year ban in August 2026 on the manufacture, storage, and sale of non-dairy products marketed as paneer. Similar enforcement measures have been observed in Gujarat and Maharashtra, where authorities have sought to clarify labelling standards. The FSSAI West Region had previously issued directives to centrally licensed manufacturers and food service establishments, warning against the practice of serving or selling cheese analogues under the guise of traditional paneer.

The move aligns with a broader enforcement drive by the FSSAI against food business operators and e-commerce platforms regarding misleading claims and labelling violations. In a recent operation, the Delhi government's Food Safety Department seized over 4,100 kg of adulterated khoya, chhena, and analogue paneer. Laboratory analysis of samples collected from the Mori Gate Khoya Mandi revealed that a significant portion of the seized products were substandard or unsafe for human consumption.

The FSSAI has invited public objections and suggestions regarding the draft amendment. The regulator will consider these inputs after a 60-day window from the date the notification was made available to the public. Following this period, the authority will determine the final implementation of the nationwide regulatory framework.