Unilever, PepsiCo, Danone Selling Substandard, Unhealthy Food In India - Research Report


Mohul Ghosh

Mohul Ghosh

Nov 10, 2024


A recent report by the Access to Nutrition Initiative (ATNI), a global public non-profit foundation, highlights a troubling disparity in the healthiness of products sold by major food corporations across different economic regions. Global giants such as PepsiCo, Unilever, and Danone are alleged to sell less nutritious products in lower-income countries like India, while offering healthier options in wealthier nations.

Unilever, PepsiCo, Danone Selling Substandard, Unhealthy Food In India - Research Report

Health Ratings Disparities: A Cause for Concern
According to ATNI’s report, companies like PepsiCo, known for Lay’s chips and Tropicana juice, and Unilever, the brand behind Kwality Walls ice cream and Knorr soups, provide products with lower health star ratings in countries such as India, Pakistan, and Ghana. The health star rating system, developed in Australia and New Zealand, ranks products out of five, with scores above 3.5 considered healthier. ATNI’s findings indicate an average rating of 1.8 in low-income countries versus 2.3 in high-income regions, pointing to a significant nutritional gap.

Corporate Focus on High-Income Markets
The report suggests that corporate health initiatives primarily target high-income regions. For instance, PepsiCo has a target for healthier snack options in the European Union but has not set similar goals for low-income countries. This selective commitment to nutritional improvements has raised questions about the responsibility of these corporations towards consumers in developing regions, where diet-related health issues are also prevalent.

Economic Pressure and Nutritional Quality
As health consciousness and weight loss trends reshape the food market in wealthy nations, many companies face pressure to explore healthier product lines. Consequently, there is a growing reliance on low-income markets to drive revenue. While this shift offers business growth opportunities, it often comes at the expense of nutritional quality in these regions, as companies prioritize cost-effective ingredients over health standards.

Government Efforts to Improve Transparency
In India, the Food Safety and Standards Authority of India (FSSAI) has been advocating for clearer labeling on packaged foods, including information on sugars, salt, and saturated fats. Such measures aim to empower consumers with the knowledge they need to make informed choices and prompt companies to reconsider their product formulations in these regions.

Conclusion
The ATNI report emphasizes the need for consistent health standards globally. As multinational food corporations expand into emerging markets, a commitment to universal health standards could help build consumer trust and address diet-related health issues in developing countries.

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Mohul Ghosh
Mohul Ghosh
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