Decline in Oral Rehydration Solution Sales in India Amid Stricter Labeling Regulations
ORS sales melt in March after govt's stricter labelling norms
The Economic Times
Image: The Economic Times
Sales of oral rehydration solutions (ORS) in India have dropped significantly due to the government's ban on labeling sugary drinks as ORS. The Food Safety and Standards Authority of India (FSSAI) mandated that only products meeting WHO standards can use the ORS label, leading to a 26% decline in market value in March compared to the previous year.
- 01ORS sales in India fell by 26% in March 2023 compared to March 2022.
- 02The FSSAI banned the labeling of sugary drinks as ORS, impacting market dynamics.
- 03The market value for ORS was ₹85 crore in March 2023, down from ₹115 crore in March 2022.
- 04Electral, the leading ORS brand, experienced a 7% decline in sales.
- 05Public health concerns raised by activists contributed to regulatory changes.
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The market for oral rehydration solutions (ORS) in India has seen a 26% decline in sales value in March 2023 compared to the same month last year, primarily due to a ban by the Food Safety and Standards Authority of India (FSSAI) on labeling sugary drinks as ORS. This regulation mandates that only products meeting the World Health Organization (WHO) standards can be marketed under the ORS label. Sales figures for ORS stood at ₹85 crore in March 2023, down from ₹115 crore in March 2022. The leading brand, Electral from FDC, also reported a 7% decline in sales. Experts attribute part of this decline to the high sales base from the previous year, but the FSSAI's intervention has fundamentally altered the marketing landscape for these products. Activist Sivaranjani Santosh played a crucial role in highlighting the health risks associated with misbranded sugary drinks, leading to the withdrawal of several products from the market. The medical community is now advising parents against using commercial ORS formulations, further impacting the market.
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The decline in ORS sales may lead to reduced availability of effective rehydration solutions during the summer months, potentially affecting public health, especially among children.
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