“Your existing stock will be sold,” the Delhi High Court told PepsiCo and Monster Beverages, allowing them to sell stock already labelled as energy drink while barring fresh manufacture under that descriptor until the next hearing.
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New Delhi: Staying coercive action against them in their challenge to directions of the Food Safety and Standards Authority of India (FSSAI), the Delhi High Court on Tuesday allowed PepsiCo and Monster Beverages to keep selling their existing stocks of beverages labelled as “Energy Drink”, but did not permit them to manufacture more products carrying that descriptor [PepsiCo and Monster Beverages v. Food Safety and Standards Authority of India].
The interim direction was passed by Justice Amit Mahajan on the petitions, which are listed next on November 5, 2026.
Protection for stock, not for future production
While staying coercive action, the Court made clear that the protection covers stock already in existence and not future production. Justice Mahajan observed:
“Your existing stock will be sold.”
ALSO READ: Delhi High Court Quashes FSSAI Order On Red Bull’s ‘Energy Drink’ Label, Cites No Hearing
FSSAI’s industry meeting, PepsiCo’s licence
Suransh Chaudhary, appearing for FSSAI, told the Court that an industry meeting was held in mid-July, after the authority’s first order, and that the sector agreed there to discontinue the label. He said this arrangement had not been brought to the Court’s notice in the related matters concerning Campa and Red Bull.
For PepsiCo, Senior Advocate Sandeep Sethi argued that the company’s manufacturing licence permits the product, and that any concession on the label was made under protest. These are the parties’ contentions and the Court has expressed no view on their merits.
Campa Energy Drink
The High Court also stayed, on the same day, the FSSAI order against Reliance Consumer Products Limited, which makes Campa Energy Drink. Justice Mahajan suggested that FSSAI file applications in the Campa and Red Bull matters if it seeks corrective action in light of the industry understanding it has now disclosed.
What the companies are challenging
PepsiCo markets Sting Energy and Adrenaline Rush, and Monster sells its drinks under the Monster Energy brand. Both have challenged FSSAI orders that required them to remove the “energy drink” label and that permitted seizure of existing stock. The challenge is pending, and the interim order does not decide it.
Why the order matters
The order is interim and balances the regulator’s stand on the descriptor against the companies’ existing inventory. It leaves open whether FSSAI can compel removal of the “energy drink” label, and whether the industry understanding binds the companies, questions that will be examined at later hearings.
Case Title: PepsiCo and Monster Beverages v. Food Safety and Standards Authority of India
Bench: Justice Amit Mahajan, Delhi High Court
Date of Order: October 6, 2026
Next Hearing: November 5, 2026
Appearances: Senior Advocate Sandeep Sethi for PepsiCo; Suransh Chaudhary for FSSAI