The Delhi High Court declined to grant PepsiCo immediate relief over restrictions on using the energy drink label for products such as Sting. It sent the case back to a single judge, who must explain the restriction within a week, without the appeals court expressing a view on the merits.
The Delhi High Court on Monday refused to give PepsiCo immediate relief in its dispute over the use of the term ‘energy drink’ on new stocks of Sting.
A division bench of the court sent the matter back to a single judge and asked him to explain within a week why PepsiCo should not be allowed to manufacture more products carrying the label.
"Let the aforesaid exercise be completed by the learned single judge within the period of one week from today," acting chief justice of the Delhi High Court, Justice Nitin Wasudeo Sambre, said.
The bench noted that the earlier order did not specify the reasons for restricting further production of the product.
"We deem it appropriate to dispose of the present appeal with further clarification that we haven't appreciated the merits of the matter," he said.
The ruling means PepsiCo will have to wait for a fresh decision before receiving any relief regarding the manufacture of new stock carrying the ‘energy drink’ descriptor.
Queries sent to PepsiCo did not receive a response.
On 6 October, Justice Amit Mahajan at the Delhi High Court had allowed PepsiCo to sell existing stocks bearing the ‘energy drink’ descriptor but barred the manufacture of new stocks with the label, following directions issued by the Food Safety and Standards Authority of India (FSSAI) restricting the use of the term on certain caffeinated beverages.
The Delhi High Court had passed similar interim orders in favour of other players too. On 29 September, the Delhi HC set aside the notice served to Red Bull over ‘energy drink’ labelling, holding that the company should have been given an opportunity to respond before the regulator passed the order. The court also noted that orders against Reliance Consumer's Campa energy drink were passed without issuing a show-cause notice to the company.
In a post on social media platforms on 1 July, FSSAI said it has “issued notices to several beverage brands claiming to be ‘energy drinks’ for misbranding and misleading claims.”
The regulator named brands, including Red Bull Energy Drink, PepsiCo India's Adrenaline Rush Energy Drink, Sting Energy Drink, Monster Energy, Hell-Energy Drink, and Reliance's Campa Energy Drink–Gold Boost, for using the descriptor ‘energy drink’ on physical packaging and across various e-commerce platforms.
PepsiCo is a major player in the beverages market in India. It sells brands like Sting and Adrenaline Rush, which are commonly classified as ‘energy drinks’.
FSSAI said its food category system is not intended for product naming or labelling. It also said claims such as ‘stimulates mind’, ‘energises body’, ‘enhances focus’, ‘boosts energy levels’ and ‘aids in general weakness’ were not permissible unless legally supported.
In earlier filings, PepsiCo had said that the food regulator's order would have ‘grave commercial consequences’ and hurt ‘substantial investments’, since it had 492 million bottles and 26 million cans with those labels in circulation on 31 July.
India’s energy drinks market is expanding rapidly. Euromonitor estimates retail sales are growing 12.6% annually, faster than in the US and China. The market is expected to be worth $1.6 billion by 2028.
About the Authors
Neethi Lisa Rojan
Neethi Lisa Rojan is a senior correspondent focusing on the consumer goods and retail sector working from Mumbai for Mint since 2026. She has been a journalist for a little over two years with Moneycontrol and The Morning Context. She has covered the consumer and healthcare sectors in earlier roles. She was a double gold medallist during her bachelor’s from Mahatma Gandhi University Kerala and post-graduation from Pondicherry University. With a background in commerce and journalism, she brings a sharp analytical lens to stories on India’s fast-evolving consumer goods and retail sector.<br><br>With an academic background in business administration and a keen eye for financial statement analysis, she bridges the gap between corporate data and compelling narrative journalism. Her reporting is characterized by a focus on how evolving consumer behaviours and regulatory changes impact India's largest mass-market brands. She is a keen learner with diplomas in international business, human rights and journalism. She specialized in business journalism at the Asian College of Journalism, Chennai. When she is not looking into shopping carts, you can find her explaining the latest conspiracy theory.
Krishna Yadav
Krishna Yadav is a Senior Correspondent at Mint, based in New Delhi, and part of the corporate bureau. He joined the newsroom as a trainee in 2023 and quickly grew into his current role. He writes on legal and regulatory developments in corporate India, with a focus on insolvency, taxation, company law, and policy. His reporting includes tracking and breaking key legal stories from the Supreme Court, Delhi High Court, NCLT, and NCLAT.<br><br>With a background in law, Krishna is known for simplifying complex legal developments into clear, accessible stories for readers. His work focuses on trends in corporate law and policy that affect businesses. This ranges from explaining tax disputes—like whether coconut hair oil is edible—to writing on why celebrities are seeking personal rights protection. He closely tracks India’s insolvency system, covering issues such as creditor losses, gaps in the process, and challenges in how the framework works in practice.<br><br>Krishna also tracks developments within law firms—covering hiring trends, how firms help companies navigate global challenges, and how the legal industry is adapting to artificial intelligence. Beyond legal reporting, he has written long-form pieces, including on-ground coverage of the 2024 general elections, capturing the scale and logistics of polling across India.<br><br>Outside work, he enjoys travelling, exploring new places, and reading about geopolitics and history.