Pepsi seeks to take 'Sting' out of FSSAI order, drops energy label

New Delhi: PepsiCo India has dropped the word 'energy' from new cans and bottles of Sting ahead of the food safety regulator's 90-day deadline after it ceased recognising 'energy drinks' as a category, even as rivals seek more time to comply.

A PepsiCo spokesperson said it is "ensuring full compliance with all applicable regulations," in an email response. Other players in the category including Red Bull, Reliance Consumer Products, Monster and Hell, have separately written to the government to delay the mandatory deadline, starting July 1, industry executives familiar with the matter said.

"While all new Sting cans and bottles are currently being manufactured without the word energy and stocks will hit shelves soon, all advertising for Sting, including those related to its Formula One sponsorship deal, is in the process of being reworked," one of the executives said. PepsiCo signed a five-year global sponsorship with Formula 1 last year under which Sting was promoted as the sport's official energy drink, with rights such as television-visible trackside advertising, fan zones activation and marketing.

"Sting now ranks No 1 or No 2 in share across key markets where it has been launched, including India. Sting Energy is tapping into sound to tie-in it with the roar of an F1 engine," the company had said at the time of announcing the deal.

Cans of Sting have since then carried the label "official energy drink of Formula One".

The energy drinks category is estimated at over ₹13,000-crore, and brands spend a combined ₹2,000-crore on marketing annually.

While Red Bull has dominated the category since long, Sting, which was launched in 2017 in 250-ml cans at ₹50 each, later democratised pricing in the category, selling in PET bottles at ₹20, which helped it gain share. Now the Food Safety & Standards Authority of India (FSSAI) has mandated that it does not recognise energy drinks as a category, alleging that claims such as "revitalises body and mind" are misleading to consumers.

ET had reported in its July 30 edition that distributors across the country are declining to pick up existing stocks of energy drinks from companies, as a result of which shortages of dozens of these brands have started to show at retail counters.

Indian Beverage Association (IBA), which counts Coca-Cola, PepsiCo and Reliance as key members, has written to FSSAI CEO Rajit Punhani, urging for consultation before enforcement, besides meeting key officials on behalf of companies. "We have written separately too, to FSSAI, on the losses we would incur on account of cans and PET bottles of cans already printed, and requested for a deadline extension. We are awaiting a response," an executive at an energy drinks player told ET.

IBA secretary general Gunveena Chadha, has, in the letter to the regulator, noted that "the standards were published after years of deliberation and stakeholder consultations."

PepsiCo India Holdings reported 8% rise in consolidated revenue to ₹9,798 crore for CY 2025, with net profit up 4.5% to ₹905 crore. Brokerage Emkay Securities had written in a note on PepsiCo's bottling partner Varun Beverages that "new launches such as Sting Classic are seeing strong traction, with better than expected demand, though aluminium-can shortage remains a constraint."