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FSSAI penalties for selling unsafe or mislabelled food: a plain-English FAQ

By Freedom251 Team · · 8 min read

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Short answer: In India, the maximum penalty depends on what went wrong and who was responsible. Misbranded food can attract a penalty of up to ₹3 lakh under section 52 of the Food Safety and Standards Act, 2006. A misleading label or advertisement is listed separately under section 53, with a penalty of up to ₹10 lakh. Food that is not of the nature, substance or quality demanded can attract up to ₹5 lakh under section 50, although the FSSAI manual notes a ₹25,000 maximum for a petty food business operator in a section 50 case. Unsafe food that causes injury or death can also lead to imprisonment.

The penalty depends on the offence, not just the word “mislabelled”

The Food Safety and Standards Act, 2006 is India’s central food-safety law. It covers the manufacture, storage, distribution, sale and import of food. FSSAI’s penalty tables distinguish between food that is misbranded, food that is misleadingly advertised or labelled, food that is sub-standard, and food that is unsafe or causes harm.

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The figures below are statutory maximums or stated limits. They are not automatic bills issued in every case. The final outcome depends on the applicable section, the person’s role, the evidence, the seriousness of the conduct and whether the matter proceeds through adjudication or prosecution.

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FSSAI penalties at a glance

Offence classification Section Maximum or stated penalty Who may be liable Imprisonment available?
Food not of the nature, substance or quality demanded 50 Up to ₹5 lakh. The FSSAI manual notes that a petty food business operator cannot receive more than ₹25,000 under this section. Relevant food business operator, including a seller where the facts support it Not under the monetary-only grouping described in the FSSAI enforcement manual
Sub-standard food 51 Up to ₹5 lakh Manufacturer, seller, distributor, storage operator or importer No under the manual’s monetary-only grouping
Misbranded food 52 Up to ₹3 lakh Manufacturer, seller, distributor, storage operator or importer No under the manual’s monetary-only grouping
Misleading advertisement or label 53 Up to ₹10 lakh Person who publishes or participates in publishing the advertisement or label No under the manual’s monetary-only grouping
Extraneous matter in food 54 Up to ₹1 lakh Person covered by the facts and applicable provision No under the manual’s monetary-only grouping
Failure to follow a Food Safety Officer’s direction 55 Up to ₹2 lakh Person who failed to comply with the direction No under the manual’s monetary-only grouping
Unhygienic or unsanitary processing or manufacture 56 Up to ₹1 lakh Person responsible for the processing or manufacture No under the manual’s monetary-only grouping
Possessing an adulterant that is not injurious to health 57 Up to ₹2 lakh Person possessing the adulterant No under the manual’s monetary-only grouping
Possessing an adulterant injurious to health 57 Up to ₹10 lakh Person possessing the adulterant No under the manual’s monetary-only grouping

The FSSAI enforcement manual groups sections 50–58, 61 and 63 as monetary-only provisions. That classification does not mean a serious incident is harmless: if the facts meet the unsafe-food provisions, a prosecution involving imprisonment may be considered under a different section.

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Misbranded food and a misleading label are not the same legal description

Section 52: misbranded food

Section 52 is the listed offence for misbranded food. FSSAI’s penalty table identifies a manufacturer, seller, distributor, storage operator or importer as potentially liable and sets the penalty at up to ₹3 lakh.

In practical terms, this category concerns the product’s branding or presentation not meeting the legal requirements for how food must be represented. Whether a particular package is misbranded is a fact-specific legal assessment; a minor printing error, an omitted mandatory declaration and a deliberately deceptive presentation should not be assumed to receive identical treatment.

Section 53: misleading advertisement or label

Section 53 separately addresses a misleading advertisement or label. Its stated maximum penalty is up to ₹10 lakh, and the listed liable person is the person who publishes or participates in publishing the material. That wording matters for marketing agencies, brand owners, distributors and others involved in putting a claim before consumers, not only the factory that made the food.

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A label-related incident may raise questions under both sections 52 and 53, but the sections should not be treated as an automatic combined tariff. Investigators and the deciding authority must determine which provisions fit the facts, who performed each act and whether the evidence supports one or more allegations.

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Sub-standard, unsafe and adulterated food: how the categories differ

Food not of the demanded quality: section 50

Section 50 covers food that is not of the nature, substance or quality demanded by the purchaser. The stated penalty is up to ₹5 lakh. The FSSAI manual records a special ceiling of ₹25,000 for a petty food business operator under section 50. That is a limit for that category and section, not a general cap on every penalty faced by a small business.

Sub-standard food: section 51

Section 51 carries a penalty of up to ₹5 lakh for the listed manufacturer, seller, distributor, storage operator or importer. “Sub-standard” is a legal classification that should not be casually substituted for “unsafe.” A product can fail a quality or compositional requirement without the available evidence proving that it is injurious to health.

Unsafe food and adulterants

Unsafe food is treated more seriously because harm to consumers changes the legal exposure. Possessing an adulterant attracts up to ₹2 lakh when the adulterant is not injurious to health and up to ₹10 lakh when it is injurious, under section 57. Other facts may support an unsafe-food prosecution under section 59, where imprisonment is available and the consequence escalates with the injury caused.

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When unsafe food causes injury or death

FSSAI’s enforcement summary describes section 59 as a harm-based offence. The figures below are the limits stated in that summary:

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Result attributed to the unsafe food Imprisonment stated in the FSSAI summary Fine stated in the FSSAI summary
No injury Up to six months Up to ₹1 lakh
Non-grievous injury Up to one year Up to ₹3 lakh
Grievous injury Up to six years Up to ₹5 lakh
Death Imprisonment of not less than seven years Fine of not less than ₹10 lakh

The death provision is expressed as a minimum term and minimum fine in the FSSAI-hosted summary, unlike the “up to” wording used for several lesser outcomes. A business should not assume that paying an administrative penalty resolves a case involving serious injury or death; prosecution and criminal-court proceedings may be involved.

Who can be held responsible?

Responsibility follows the conduct and the statutory role. The penalty tables expressly list manufacturers, sellers, distributors, storage operators and importers for several product offences. Section 53 focuses on the person who publishes or participates in publishing a misleading advertisement or label.

  • Manufacturer: may face action for the product made, its composition, packaging and records.
  • Seller: can be exposed even when another business manufactured the food, depending on what the seller knew, represented or failed to check.
  • Distributor or storage operator: may be investigated where handling, storage conditions, traceability or release into the market are relevant.
  • Importer: is included in the listed categories for sections 51 and 52 and may need to establish the product’s compliance before bringing it into the market.
  • Publisher or advertising participant: can be relevant to section 53 when a misleading claim or label is published.

The presence of several businesses in the supply chain does not by itself prove that each receives the same penalty. The authority still has to connect each person to the alleged contravention and apply the provision that fits that person’s conduct.

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Is the maximum fine automatic?

No. “Up to,” “not exceeding” and similar wording identify the legal ceiling. They do not promise that every case receives the maximum. The deciding route, the evidence, the role of the person, the seriousness of the non-compliance and the harm caused all affect the result.

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Administrative contraventions may proceed through adjudication, while offences that permit imprisonment can proceed through prosecution. A notice, inspection finding or laboratory result is not the same thing as a final determination. Businesses should read the cited section and the procedural directions in the notice rather than relying on a headline amount.

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What a food business should do after a label or safety allegation

  1. Secure the notice and identify the exact section. Record the date, issuing authority, product name, batch or lot number, location and response deadline.
  2. Stop avoidable distribution. Quarantine the identified stock, preserve samples and prevent relabelling or disposal that could compromise traceability.
  3. Preserve records. Keep purchase invoices, manufacturing and storage logs, test reports, artwork approvals, advertising briefs, supplier communications and customer-complaint records.
  4. Map responsibility. Separate what the manufacturer, importer, seller, warehouse and advertising participant each did. This helps avoid an inaccurate admission or an unsupported denial.
  5. Check the product and claim against the current rule. Use the current Act, applicable regulations, notifications and amendments, not an old template or an unofficial summary.
  6. Respond through the stated process. Meet the deadline in the notice and obtain qualified food-law advice where the allegation involves unsafe food, injury, a potentially criminal offence or a large recall.
  7. Correct the system, not only the package. Update label approval, supplier verification, batch release, storage controls, complaint handling and advertising review so the same failure is less likely to recur.

Common mistakes that increase exposure

  • Treating “misbranded” and “misleading” as interchangeable: section 52 and section 53 are separate entries with different maximum penalties and potentially different responsible parties.
  • Quoting the largest number without its qualifier: a ₹10 lakh maximum under section 53 is not the amount every label case receives.
  • Assuming a small business always has a ₹25,000 cap: the FSSAI manual’s ₹25,000 ceiling is specifically noted for a petty food business operator under section 50, not for every FSSAI offence.
  • Ignoring advertising participants: a business that did not manufacture the food may still be relevant to a misleading-publication allegation.
  • Destroying evidence: discarding stock, changing artwork files or losing batch records can make the factual dispute harder to resolve.
  • Using an outdated compendium: summaries can help navigation, but the controlling notification, amendment or original legal text must be checked when provisions conflict.

Which source controls when guidance conflicts?

FSSAI says its regulations compendia are provided for ready reference and are not themselves legal documents. If a compendium conflicts with or overlaps an original notification or amendment, the original notification or amendment prevails. For a live case, verify the current Food Safety and Standards Act, the applicable regulations and the contact details of the relevant state food-safety enforcement authority.

That distinction is especially important for labels and advertisements because mandatory declarations, permitted claims and formats can change through amendments. A package that matched an older checklist may still need correction under the rule currently in force.

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Frequently Asked Questions

Can one incident lead to both a misbranding and a misleading-label allegation?

It can raise more than one legal issue, but penalties do not automatically stack. The authority must assess the facts, the conduct of each person and the provisions that apply.

Does selling the product rather than making it avoid liability?

Not necessarily. Sellers are expressly listed for sections 51 and 52, and responsibility depends on the role, evidence and conduct connected with the product.

What should a business do if the notice does not state a clear section?

Ask the issuing authority for clarification promptly, preserve the product and records, and obtain qualified advice before making factual admissions. The statutory maximum cannot be assessed reliably without the alleged provision.

Do FSSAI’s online compendia replace the Act or an amendment?

No. FSSAI describes compendia as ready-reference material rather than legal documents; the original notification or amendment controls if there is a conflict.

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