Shares of Nestle India jumped 10 percent intraday on Wednesday as the company has got a shoot in the arm for its popular noodles brand Maggi. FSSAI-approved laboratory of Central Food Technological Research Institute (CFTRI) has found Maggi noodles to be in compliance with the country's food safety standards.
CFTRI had tested five samples sent by Goa Food and Drug Administration (FDA) when Maggi was banned in June in the wake of findings in Uttar Pradesh and other states that the instant noodles brand had lead levels beyond permissible limits.
"CFTRI finding shows that samples are in compliance with the food safety standards as per the Food Safety and Standards Rules, 2011," Goa FDA director Salim A Veljee said.
Goa FDA had sent the Maggi noodles samples to Mysore-based CFTRI for retesting of the safety of instant noodles after FSSAI (Food Safety and Standards Authority of India) expressed apprehensions on state FDA's initial report, which had found lead within permissible limits.
In June this year, Nestle had to take Maggi off the shelves, after few states decided to ban the noodles. FSSAI had also banned Maggi instant noodles terming them "unsafe and hazardous" for human consumption.
FSSAI had also said that Nestle violated labelling regulations on taste enhancer 'MSG' and ordered company to submit compliance report on its orders.
Meanwhile, Nestle India's new chief Suresh Narayanan had said that bringing the instant noodles brand back to the market is his top priority as he sought to strike a conciliatory note with authorities.
At 09:52 hrs Nestle India was at Rs 6,806.35, up Rs 453.00, or 7.13 percent on the BSE. (With inputs from PTI)
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