India is preparing to limit the sale of foods and beverages high in fat, sugar, and salt within a 50-meter radius around schools nationwide, aiming to reduce unhealthy food consumption and tackle the rising obesity problem, especially among children. Meanwhile, shopkeepers and business operators are concerned that the measure may affect their income.
India is set to introduce new regulations restricting the sale of foods high in fat, sugar, and salt—known as HFSS foods—within 50 meters of schools. This latest government measure aims to reduce junk food consumption amid a growing obesity problem in the country, particularly among children.
The measure will cover family-run shops, restaurants, and food stalls near approximately 1.5 million schools across India. Affected foods may include carbonated drinks, salted potato chips, as well as high-fat fried samosas, pizzas, and hamburgers.
This policy may increase pressure on major multinational food and beverage companies such as PepsiCo, Coca-Cola, Mondelez, and Nestle, who face proposals to place red warning labels on products high in fat, salt, and sugar, making nutritional risks clearer to consumers.
Shop owners near schools in India have begun expressing concern. Approximately 12 operators in Phulpur city in the eastern part of the country said their incomes could drop by one-third or more if the measure is enforced.
At one store, 15-year-old student Priyanchu Pale bought two packets of PepsiCo's Uncle Chipps snacks to carry in his backpack on the way to school, saying he prefers eating these snacks during breaks over the rice and lentil curry his mother prepares.
Rachit Punhani, CEO of the Food Safety and Standards Authority of India (FSSAI), the agency promoting this measure, stated that the Safe School Food program aims to help children avoid unhealthy eating habits from a young age.
Punhani explained that it is necessary to encourage children to avoid these foods and develop proper eating behaviors. He added that the measure is unlikely to severely impact businesses because shops can still sell non-HFSS foods. Additionally, the regulation aims to push manufacturers to reformulate products to include healthier ingredients.
The regulation was first proposed in 2020 but currently lacks a definite implementation timeline. In August, FSSAI set criteria for fat, salt, and sugar levels that classify foods as restricted for sale both inside and around schools, and invited public comments until 6 October.
However, some business operators question the feasibility of enforcement, as many shops near schools serve the general public, making it difficult to verify whether buyers are students.
State-level data reviewed by Reuters showed that so far officials have found violations at 133 shops located within 50 meters of schools, ordering 51 of these shops to cease operations.
The Confederation of Indian Trade and Food Industry expressed concern that compliance may be difficult because many schools are near busy markets serving the general public. Their draft response to the measure, reviewed by Reuters, stated that the rule could cause "loss of business and livelihood income," and suggested the restriction be limited only to inside school premises.
PepsiCo, owner of the Lay's brand, told Reuters that the company has a global policy on which product types are allowed for sale in schools. Nestle, maker of Maggi instant noodles, said it complies with global policies permitting only nutritionally approved products for sale in primary and secondary schools. Coca-Cola and Mondelez, owner of Cadbury, did not comment on the measure.
Rahul Kanna, a food regulatory expert at RAKLaw in India, said clients—especially candy and snack manufacturers—are increasingly concerned as children represent a key consumer group.
Researchers from the University of North Carolina noted that globally, five countries have proposed or implemented restrictions on junk food sales near schools, while 48 countries have policies limiting junk food sales inside schools.
Chile serves as an example: in 2016, the Chilean government enacted laws requiring warning labels on food products and banned selling or advertising junk food inside schools. A study published this year in The Lancet found that 18 months after the law took effect, the likelihood of being overweight dropped by 2.85% among girls and 2.4% among boys. The law also encouraged manufacturers to reformulate many products to reduce regulated nutrients.
Guillermo Paraje, professor at Adolfo Ibáñez Business School in Chile, said that if the law were ineffective and consumers did not change behavior, manufacturers would have no reason to oppose it. He added that producers understand the law will push them to reformulate products as much as possible.
. . .Reuters