One month after the ban of Maggi, instant noodles sales in India have crashed by over 90 per cent to just about Rs 30 crore from Rs 350 crore a month earlier, according to industry estimates.
In the last one month the instant noodles category has suffered a massive drop in sales to about Rs 30 crore a month. Before the Maggi ban this category was around Rs 4,200 crore annually, which is about Rs 350 crore per month. There is a fear psychosis among consumers.
– Senior Official, Associated Chambers of Commerce of India
Food processing industry players are worried that this could have an impact on their overall investment plans, while companies are now facing ‘increased harassment from safety inspectors’, according to a senior official of industry body Assocham.
Currently, investments proposed in food-related projects is about Rs 90,000 crore which can have a multiplier effect, the official said.
Around 1,500 workers of Nestle India involved in manufacturing of Maggi have been impacted by the stoppage of production.