Dabur on ethylene oxide in masala products: ‘Not used in domestic markets’
Dabur's masala portfolio which consists of the Badshah brand has not been banned anywhere, the company said.
Dabur India said that the company's products in its masala portfolio are not sprayed with ethylene oxide in the domestic market. Its use in international markets is within prescribed limits, the company informed following the recent ban faced by MDH and Everest spices in Singapore and Hong Kong as authorities in the countries found elevated levels of the "cancer-causing pesticide" ethylene oxide in some spice mixes. The US Food and Drug Administration (FDA) and Australian food safety authority also put the spice firms under the scanner.
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What Dabur India said on its masala portfolio?
Dabur's masala portfolio which consists of the Badshah brand has not been banned anywhere, the company said in a post-earnings conference call. Company's batches for export markets are seen by the Indian Spice Board in order to check if they meet the required standards, the company said.
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“We are within the prescribed limits. So we think we are on the safer side,” Mohit Malhotra, CEO Dabur, said in a post earnings conference call.
The company also said that it has established a micro lab to ensure sterilisation of their export batches. In place of ethylene oxide, the company chooses steam sterilisation for export batches, Dabur said.
Does Dabur benefit from the MDH, Everest spice controversy?
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No, Dabur said that the company sees limited upside due to the issue and it does not open up any opportunity for their spice portfolio.
Dabur CEO asserted, “I hope the issue is behind the entire industry and the whole market should grow."