Hindustan Unilever (HUL), one of the leading FMCG firms, witnessed a rise in share price on Thursday after the company had submitted an application with FSSAI for product approval for the Knorr Chinese range of instant noodles in February 2015 and the same is pending approval. In conformance with the FSSAI advisory to State FDAs dated June 8, 2015 with regard to product approvals, HUL has decided to stop production and sale of its Chinese range of instant noodles till such time as its application is approved by FSSAI. HUL is initiating a withdrawal of its Chinese instant noodles from the market.
The discontinuance of manufacturing and sale of Chinese instant noodlesis not on account of any safety or quality concerns. The Chinese instant noodle range uses ingredients which are permitted under the FSS Regulation, 2011/Codex andsafety of these ingredients is well established. Details of the same have been shared with FSSAI as part of the product approval application. HUL continues to engage with FSSAI to secure the approval of this range so as to make these products available at the earliest for its consumers.
Shares of Hindustan Unilever are trading at Rs 828.20, up Rs 7.9, or 0.96% at the Bombay Stock Exchange (BSE) on Thursday at 11:29 a.m.
Total volume of shares traded on the bourses today was lower by 74.87% to 475,550 compared with 22-day average volume of 1,892,386.