Karnataka cement factory furnaces to feed on Maggi noodles

Stock being destroyed as per govt orders as Australia stops import

GN Bureau | June 16, 2015


#maggi   #noodles   #Karnataka   #cement  

The Karnataka government is going to feed Maggi noodles to cement factory.

As per the June 12 directive of the centre, Karnataka’s department of food safety will destroy hundreds of tonnes of Maggi noodles at the Wadi cement factory furnaces in Kalaburagi district in north Karnataka.

The transportation cost will be borne by Nestle India. The Centre had issued a directive on June 12 to destroy Maggi stocks.

The state government officials are claiming that this method will not cause pollution.  The burning of stock collected from the Karnataka will take place in next five days.

Karnataka has also sent Maggi noodle samples to the Food Safety and Standards Authority of India, Kolkata after the sample tests and retest conducted at some private labs in Bengaluru did show any excess lead content in the noodles.

Meanwhile, Nestle's Indian unit said it would take a hit of more than Rs 320 crore from the continuing withdrawal and destruction of its Maggi instant noodles.

Nestle India said the estimated sales value of the stock in the market was worth around Rs 210 crore. It also has Maggi noodles and related products in its factories and distribution centres worth Rs 110 crore.

"There will be additional costs to take into account, for example bringing stock from the market, transporting stock to destruction points," Nestle said in a statement. Nestle withdrew all varieties of Maggi noodles on June 5.

The company said it would deal with the associated costs at the time of reporting results. Nestle India reported its March quarter results on May 15.

As a further blow to the company, Australia has temporarily suspended import of Maggi noodles from India. The Department of Agriculture of the Australian government has issued a "holding order" against Maggi as precautionary measures on June 11.

"The purpose of this notice is to advise that the department has applied a holding order to Maggi brand noodles (Maggi noodles) from India. This is a precautionary measure in response to reports of levels of lead that are potentially non-compliant with the permissible levels in the Australia New Zealand Food Standards Code (the Code)," Australian department of agriculture said in the notice.

This would apply to all Maggi noodles imported to Australia from India, it said.

Comments

 

Other News

Oil minister meets Odisha CM over IOCL impasse

 In order to resolve a tax-dispute between Indian Oil Corporation Limited (IOCL) and government of Odisha, a meeting was held between minister of state (I/C) for petroleum & natural gas Dharmendra Pradhan and Odisha chief minister Naveen Patnaik in New Delhi. During the meeting, Pradhan

Product differentiation is key to beat competition: SAIL chief

 Steel Authority of India Ltd. (SAIL) chairman, PK Singh, during his recent visit to SAIL’s Rourkela Steel Plant (RSP), laid emphasis on product differentiation and said the enterprise has to match the best in quality, variety and standards. “In the present circumstances, only th

BHEL secures orders from Chile and Estonia

 Bharat Heavy Electricals Limited (BHEL) has added another feather to its cap by securing export orders from Chile and Estonia. This has helped BHEL to expand and consolidate its footprint in the international market. With maiden orders for transformer bushing from Niquel Electric Ltd, Chile

The different electoral systems across the world

India uses a mix of two systems in elections. The first-past-the-post system is used in the elections to the Lok Sabha as well as the state assemblies, while proportional representation is used during Rajya Sabha and presidential polls.   Now, an all-party Parliamentary panel

Big pharma, IP wars and profit over people

Martin Shkreli, a former hedge fund manager who is infamous for overnight spiking up the price of a lifesaving drug by 5,000 percent, was convicted on three counts of fraud in an American federal court on August 4. Shkreli is now staring at an incarceration period of up to 25 years. The order cheered up

CAG spots irregularities in ‘Zero Tax Companies’

The Comptroller and Auditor General (CAG) has noticed irregularities in the way the income tax department (ITD) carried out the assessment of Zero Tax Companies.   Several companies that were having large profit from business and distributing substantial portion of the income



Video

Merger completed for AIADMK, EPS-OPS shakes hand

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter