Shares in Nestle, the company that makes Maggi noodles, dropped nearly 10 per cent in morning trade on Wednesday.

The selloff in Nestle comes amid a raging controversy about its most popular product Maggi, which has come under a country-wide scrutiny for high content of lead and mono-sodium glutamate or MSG, a taste enhancer.

According to analysts, Maggi noodles contribute over 20 per cent to Nestle’s revenues and a ban on the product could cause a huge dent to Nestle’s bottom line.

Kerala has ordered a pullout of Maggi noodles from government-run outlets, while the Delhi government has said samples that it tested were found “unsafe”. Delhi government’s findings come days after Uttar Pradesh Food and Drugs Administration (FDA) raised red flags about Maggi noodles.

Haryana, Gujarat, West Bengal, Karnataka and Goa are some other states that are conducting tests on Maggi, according to media reports. While¬†Delhi has said Maggi samples tested are ‘unsafe’, Kerala has ordered pullout from government shops.

Meanwhile, Nestle India said it has got samples of Maggi noodles tested in an external laboratory as well as in-house and that the product was found “safe to eat”.

Team Khurki
Team Khurki
KHURKI is a character who's sarcastic by birth and has sarcasm running in its veins in place of blood. Its bitter-sour tongue gives it the edge!


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