Nestle India shares surged over 3 per cent intraday on Thursday, bolstered by UK’s food regulator Food Standards Agency (FSA) giving a clean chit to Nestle for Maggi manufactured in India. FSA stated that levels of lead in the product are well within the EU permissible levels.
“The FSA can confirm that results from testing samples of Maggi Noodles in the UK have all found that levels of lead in the product is well within EU permissible levels and would not be a concern to consumers,” FSA said in statement on Wednesday.
It further said: “Following an incident in India, where a sample of Maggi Noodles was reported to contain high levels of lead, the Food Standards Agency made the decision to test a selection of Maggi Noodles as a precaution. In India, this incident has resulted in a large scale withdrawal of the product.”
“The FSA has now tested this flavour and others from the Maggi noodles range, as a precaution. As well as tests carried out by local authorities, the FSA has also asked Nestle to provide it with test results from its own samples. All showed levels of lead to be well within EU permissible levels,” it said.
At 3:30 pm, Nestle shares surged 109.60 points or 1.78 per cent in BSE and 83.55 points or 1.36 per cent in NSE
The total number of samples taken from Nestle, local authorities and port authorities were around 900 in total, FSA added.
There are also reports that Nestle India is preparing a blueprint for a possible relaunch of the Maggi instant noodles brand.
Maggi noodles were banned in India by food safety regulator FSSAI over presence of lead beyond permissible limits and taste enhancer monosodium glutamate.
Nestle India had recalled the instant noodles from the Indian market and destroyed Maggi worth Rs 320 crore.