Kannur: Patanjali Foods Ltd. has come under regulatory scrutiny after food safety authorities in Kerala’s Kannur district prohibited the sale of a specific batch of its sorghum flour due to pesticide residue levels exceeding permissible limits.
The company disclosed the development through a regulatory filing, stating that it received an email communication from the Office of the Designated Officer (Food Safety), Civil Station, Kannur, on June 20. The order pertains to a single batch of sorghum flour and is restricted to the Kannur district.
Patanjali Foods has said it intends to challenge the order before the appropriate appellate authority.
Food safety authorities detect excess pesticide residue
According to the company’s disclosure, the prohibition order was issued after food safety officials detected chlorpyriphos pesticide residues above the maximum permissible limit in the affected batch of sorghum flour.
Chlorpyriphos is a pesticide commonly used in agriculture, and food safety regulations prescribe strict limits on residue levels in food products to ensure consumer safety.
The authorities reportedly identified the elevated residue levels during testing, prompting the restriction on the sale of the specific batch within the district.
Restriction limited to one batch and one district
Patanjali Foods clarified that the action is confined to a particular batch of sorghum flour and applies only within Kannur district.
The company emphasised that the prohibition does not extend to other batches of the product or to sales in other regions.
“The prohibition order of sale of Sorghum Flour of a Batch is limited to Kannur District only,” the company stated in its filing.
This clarification is significant as it indicates that the regulatory action is targeted rather than a broader market-wide restriction.
Company says overall impact is limited
Patanjali Foods stated that the order is not expected to have any material impact on its overall operations or financial performance.
The company noted that any financial effect would be limited to the value of the affected batch of sorghum flour.
“There is no material impact on financial or operational activities, except to the extent of value of the Sorghum Flour of the particular batch,” the filing said.
The company, however, did not disclose the quantity of the batch involved or provide an estimate of the potential financial loss arising from the restriction.
Appeal to be filed against the order
Patanjali Foods has announced its intention to challenge the prohibition order through the prescribed legal process.
The company stated that it would file an appeal against the decision issued by the Designated Officer.
By pursuing an appeal, the company will have an opportunity to present its case before the relevant appellate authority and seek a review of the findings and regulatory action.
Further developments will depend on the outcome of the appeal process and any subsequent review conducted by food safety authorities.
Disclosure made under SEBI regulations
The company informed investors about the matter through a disclosure made under Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations.
These regulations require listed companies to promptly disclose material regulatory, legal and statutory developments that may have relevance for shareholders and market participants.
The filing was aimed at ensuring transparency regarding the regulatory action and its potential implications.
Food safety remains a key regulatory focus
Food safety authorities across India regularly conduct inspections and testing of food products to ensure compliance with prescribed standards.
Detection of pesticide residues beyond permissible levels can result in restrictions, recalls or other regulatory measures depending on the severity and extent of the violation.
Such actions are intended to protect public health and maintain confidence in food safety standards.
Manufacturers are expected to ensure that products meet regulatory requirements before reaching consumers.
Conclusion
The sale of a specific batch of Patanjali Foods’ sorghum flour has been prohibited in Kerala’s Kannur district after food safety officials detected chlorpyriphos residue levels above prescribed limits. While the company maintains that the impact is limited and intends to challenge the order, the case underscores the importance of strict compliance with food safety regulations and quality control standards.