Food safety regulator says Royal Challenge Whisky label may mislead consumers because a major portion of the spirit is not matured in wooden casks; Diageo says it is engaging with FSSAI on labeling concerns.
New Delhi: India’s food safety regulator has flagged Diageo India’s labeling claim that Royal Challenge Whisky is “matured in American oak casks,” saying the statement could mislead consumers because a substantial portion of the spirit used in the product is not matured in wooden casks.
The Food Safety and Standards Authority of India (FSSAI) issued a notice to Diageo India on July 20, 2026, according to a confidential government document reviewed by Reuters. The notice adds to regulatory concerns surrounding the labeling and production of alcoholic beverages in India.
FSSAI Questions Whisky Maturation Claim
According to the notice, the label of Royal Challenge Whisky states that it is “matured in American oak casks.”
However, FSSAI said the product contains grain neutral spirit as its second ingredient after demineralized water and that a major portion of the spirit is not matured.
The regulator argued that describing the product as matured in American oak casks could therefore mislead consumers.
FSSAI also indicated that when an age-related claim is made for a blend, the claim should correspond to the youngest spirit used in the mixture, rather than the oldest component.
‘Scotch’ Labeling Also Questioned
The regulator also raised concerns about the product’s reference to “Scotch.”
FSSAI reportedly said that simply mentioning Scotch does not adequately communicate its characteristics and asked the company to specify what type of Scotch is used in the product.
Royal Challenge’s front label describes the whisky as a blend of Indian grain spirit and imported Scotch, while the back label lists demineralized water, grain neutral spirit and Scotch, along with permitted coloring and added nature-identical whisky flavoring substances.
Broader Regulatory Scrutiny
The labeling issue comes amid a wider regulatory crackdown on alcoholic beverages in India.
FSSAI recently prohibited the sale of certain whisky and rum products made by Diageo and Inbrew in some states over concerns regarding the use of artificial flavoring rather than appropriate maturation and ingredients.
The affected products include Antiquity Blue Whisky and Royal Challenge Whisky made in Madhya Pradesh, along with Bagpiper Deluxe Whisky and Old Cask Deluxe XXX Rum produced by Inbrew in the state.
The alcohol industry has maintained that its products comply with applicable regulations.
Diageo Engaging With Regulator
Diageo India, the commonly used name for United Spirits, said it remains committed to maintaining high quality standards and is actively engaging with FSSAI to address questions concerning product labeling.
United Spirits also informed stock exchanges that it does not anticipate any financial impact from the recent ban but is closely monitoring the situation.
Royal Challenge a Major Diageo Brand
Royal Challenge is among Diageo’s leading whisky brands in India. The company says more than 4.5 million nine-liter cases of the brand are sold annually in the country.
The latest regulatory action highlights the increasing scrutiny being placed on alcohol labeling, maturation claims, ingredients and flavoring practices as Indian authorities seek to strengthen compliance and consumer transparency.