United Spirits rises after FSSAI revokes order on Baramati unit product

United Spirits rose 1.05% to Rs 1,540 after the Food Safety and Standards Authority of India (FSSAI) revoked its 29 June 2026 order concerning the sale of a product manufactured at the company's Baramati unit.

FSSAI issued the revocation order on 17 August 2026, which was received by United Spirits on 18 August. The company said the revocation has no material operational or financial impact.

The original order prohibited the sale of McDowell's No. 1 Rum manufactured at the Baramati unit. FSSAI had taken the action following laboratory findings concerning the use of external artificial or nature-identical flavours in the product.

FSSAI had clarified that its action did not constitute a general prohibition on flavouring substances in alcoholic beverages. The regulator's concern was specifically the addition of flavours identical to those associated with the standardised alcoholic beverage, such as rum flavour in rum or whisky flavour in whisky, which it said could mislead consumers about the true nature of the product.

United Spirits had challenged the 29 June order before the Bombay High Court through a writ petition filed on 1 August 2026. The company had said the declarations on the product labels complied with the applicable regulatory framework and were consistent with long-standing industry practice.

Following the revocation, FSSAI's 29 June order, which was the subject matter of the company's writ petition, stands revoked.

United is one of the leading beverage alcohol companies in India.

On a consolidated basis, United Spirits' net profit rose 11.03% to Rs 463 crore while net sales declined 10.36% to Rs 2708 crore in Q1 June 2026 over Q1 June 2025.

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