In the summer of 2015, the FMCG market of India was shocked on the release of a statement regarding Nestle India’s instant noodles, Maggi. The Food Safety and Standards Authority of India (FSSAI) reported the mixing of monosodium glutamate (MSG) and a high content of lead in Maggi. According to rules set by FSSAI, MSG should not be added to food for infants below 12 years of age, but is allowed in the seasoning used for the noodles. Although Maggi claims that its product didn’t contain any MSG, the lab reports done by FSSAI have reported the addition of MSG in the instant noodles. Taking the above in account the Food Safety and Standards Authority of India ordered Maggi to be banned and for all the products to be called back by the company.

Around four months on Maggi has been able to bounce back after three lab reports have cleared Maggi samples lately. Nestle India’s shares rose 7% after the company announced clear results of Maggi samples. Even though the market betters it would be really tough for the company to change its fortunes. It may still take some time for Maggi sales to resume in the retail market. The company’s revenue has been impacted drastically, with the revenues dropping by 20% and a first time quarterly loss of Rs. 64 Crore majorly because of the recall of Maggi noodles in India and a weak performance in China. The company also reduced its full year organic revenue growth forecast from 5% to 4.5%.

The problems for Nestle India’s Maggi might have been solved but the future of the company seems to be uncertain as the public is becoming more cautious about what they buy.