PepsiCo has warned that its popular Sting beverage could run out of stock across India within two months if restrictions on using the “energy drink” label continue. The warning came during a Delhi High Court hearing on October 15, 2026, as the company challenged directions issued by the Food Safety and Standards Authority of India (FSSAI), which has ordered manufacturers of certain caffeinated drinks to stop using the disputed label.

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The dispute does not mean that Sting has been permanently banned in India. The immediate issue is whether PepsiCo can manufacture new products carrying the “energy drink” description. The company has been allowed to sell certain existing stocks under an interim court order, but it remains restricted from manufacturing new products with that label while the dispute continues.

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The case highlights a growing regulatory conflict in India’s beverage market: food-safety authorities want product labels to comply with their interpretation of food regulations, while beverage companies argue that the restrictions threaten their supply chains, investments and ability to compete. The next hearing is scheduled for October 30, 2026, and the court has yet to deliver a final ruling on the merits of the dispute.

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Key takeaways

  • Possible stockout: PepsiCo warned the Delhi High Court that Sting and its other affected drinks could run out of stock within two months if restrictions continue.
  • Labelling dispute: FSSAI has directed manufacturers to stop using the term “energy drink” on certain caffeinated beverages.
  • Existing stock can be sold: PepsiCo has received permission to sell stock already manufactured with the disputed label, subject to the applicable court order.
  • New production remains restricted: PepsiCo cannot currently resume manufacturing products carrying the “energy drink” description under the existing interim arrangement.
  • Business impact: PepsiCo says changing labels and packaging is a complicated process that could disrupt its distribution network.
  • Competitors have different legal positions: Red Bull has received separate judicial relief, creating an uneven regulatory position among beverage brands.
  • Next hearing: The Delhi High Court is scheduled to hear the matter again on October 30, 2026.
  • No permanent Sting ban: The immediate dispute concerns product labelling and manufacturing, not a final order prohibiting the Sting brand from being sold in India. Reuters+2

Why PepsiCo says Sting could disappear from shelves

Sting has become a prominent product in India’s affordable caffeinated-beverage market. PepsiCo launched the drink in 2017, and its low-priced packaging has helped it reach consumers across urban and rural markets. Reuters, citing Euromonitor, reported that Sting’s ₹20 plastic bottles have been particularly popular among younger consumers and in rural areas.

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The brand’s scale makes any interruption to production commercially significant. Beverage companies typically need to coordinate packaging procurement, manufacturing, bottling, distribution and retailer inventory. A change to a product label can therefore affect more than the wording printed on a bottle.

During the October 15 hearing, PepsiCo’s lawyer, Sandeep Sethi, warned that supplies could dry up if the company remained unable to manufacture new stock under the existing label. Reuters reported his statement that there would be no goods in the market after a couple of months if the situation continued.

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The warning is a projection by PepsiCo’s legal team, not confirmation that Sting will disappear on a fixed date. Actual availability will depend on how much existing inventory remains, how quickly it moves through the distribution network, whether the legal position changes and whether PepsiCo can adapt its products to comply with the regulator’s directions.

The company’s immediate concern is that it cannot simply continue producing new bottles with the disputed wording while the restriction remains in place. Existing inventory may provide a temporary buffer, but it cannot sustain supply indefinitely if sales continue and replacement production is not permitted.

What is the FSSAI labelling dispute about?

The Food Safety and Standards Authority of India is the country’s food-safety regulator. It sets and enforces rules intended to ensure that food products meet applicable standards and that labels do not mislead consumers.

The current dispute concerns the use of the term “energy drink” on certain high-caffeine beverages. In June 2026, FSSAI directed manufacturers to stop using that description on affected products, citing concerns about product classification, labelling and the claims consumers may infer from the term. The regulator’s position is that caffeine’s stimulant effect should not be confused with nutritional energy or an established therapeutic benefit.

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Caffeine can temporarily increase alertness and reduce the perception of tiredness. However, that effect is different from providing the body with nutritional energy in the form of calories or demonstrating that a product improves health or physical performance.

The regulator has argued that prominent “energy drink” wording may create a misleading impression, particularly if consumers interpret it as suggesting broader nutritional or performance benefits. It has also pointed to the importance of making cautionary information visible to consumers, including warnings for children, pregnant or lactating women, and people sensitive to caffeine.

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The issue is therefore not simply whether a drink contains caffeine. It concerns how a caffeinated product is categorised and described, and whether its packaging complies with the regulator’s interpretation of the applicable rules.

For manufacturers, this creates a practical challenge: changing a label can require revisions to packaging, production materials, inventory planning and distribution. For regulators, the challenge is ensuring that labels communicate a product’s characteristics accurately without creating misleading impressions.

What has the Delhi High Court decided so far?

The legal dispute has developed through several interim proceedings, and the distinction between temporary permissions and a final judgment is important.

June 2026: FSSAI issues its direction

FSSAI directed manufacturers of affected caffeinated beverages to stop using the “energy drink” description on their products. The regulator’s action raised questions about how the products were classified and marketed under India’s food regulations.

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October 6: PepsiCo receives limited interim relief

In an order dated October 6, Justice Amit Mahajan of the Delhi High Court allowed PepsiCo and its bottlers or contractors to sell stock already manufactured with the “energy drink” label. However, the order explicitly did not permit further manufacturing of products using that description. The order was made while the company challenged the regulator’s directions, including the process through which they had been issued.

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This distinction allowed existing inventory to continue moving through the market while restricting the production of replacement stock under the disputed label.

October 12–15: The production restriction remains a problem

On October 12, a Delhi High Court division bench sent the matter back to a single judge for clarification after PepsiCo sought further relief. NewsBytes reported that the division bench questioned the reasoning behind the restriction on further production.

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By October 15, PepsiCo was again warning that supplies could run out within two months. Reuters reported that the court did not allow the company to resume manufacturing drinks carrying the disputed label, leaving the immediate supply problem unresolved.

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The next hearing is scheduled for October 30, 2026. Until then, the dispute remains unresolved on its merits. The existing permission to sell certain stock should not be interpreted as permission to manufacture new stock with the same label.

Why PepsiCo says relabelling is not a simple fix

At first glance, removing two words from a bottle may sound straightforward. In a large beverage business, however, packaging is part of a coordinated manufacturing and distribution system.

PepsiCo told the court that packaging materials had already been purchased and printed. Its lawyer argued that restarting the process would be cumbersome and could disrupt the company’s distribution system.

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A packaging change can involve several stages:

  • Revising label artwork and checking regulatory compliance.
  • Ordering new bottles, cans, labels or printed packaging materials.
  • Coordinating manufacturing schedules and bottling operations.
  • Managing existing inventory that carries the disputed description.
  • Updating distribution plans and ensuring retailers receive compliant stock.

These steps can take time, particularly when a product is sold at high volumes through a large retail network. Packaging suppliers may also need to adjust their own production schedules.

The restriction is particularly consequential when the company is allowed to sell existing stock but cannot manufacture new products using the same label. As the existing inventory is sold, the company must either find a legally permitted way to resume production or face the risk of reduced availability.

PepsiCo’s warning reflects this operational challenge. It does not establish that relabelling is impossible, nor does it mean the company cannot eventually resume production under a compliant label. The timing and commercial consequences depend on the regulatory and legal outcome.

Why Sting could be affected more visibly than other products

Sting is a major part of PepsiCo’s caffeinated-beverage business in India, alongside Adrenaline Rush. The company’s products are therefore directly exposed to the labelling dispute described in the court proceedings.

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Sting’s affordable price point is an important element of its market position. A disruption to supply could affect retailers that depend on regular deliveries and consumers who buy the drink frequently. Smaller shops may feel a stock shortage sooner than larger retailers with more inventory, although the timing would vary by location and distributor.

The impact would also extend to PepsiCo’s bottling and distribution partners. These businesses coordinate packaging, production and delivery schedules. If new production is delayed, planned manufacturing runs may need to be revised and distribution volumes could change.

The potential commercial consequences are not limited to lost sales. Retailers may shift shelf space toward available alternatives, and consumers may try other products if Sting becomes difficult to find. Whether those changes persist after the dispute is resolved will depend on the duration of any disruption and how effectively PepsiCo restores supply.

There is no confirmed nationwide stockout date. PepsiCo’s two-month warning is conditional on the restrictions continuing, and the company may still have options to change its packaging or respond to future court directions.

Why Red Bull has a different legal position

The dispute has also created different regulatory positions for competing brands. Reuters reported that Red Bull secured judicial relief from FSSAI’s direction, allowing it to continue selling its products under circumstances that differ from those affecting PepsiCo, Monster and Reliance Consumer.

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The legal differences arise from separate proceedings and the circumstances in which the regulator issued directions to individual companies. In Red Bull’s case, the Delhi High Court set aside the notice after finding that the company should have been given an opportunity to respond before the regulator took the action. Other companies have challenged the directions on procedural and substantive grounds.

These interim legal outcomes do not necessarily establish that one company’s products are safer or that the underlying regulatory questions have been settled for the entire industry. They show that courts can reach different interim conclusions based on the record and procedural issues in each case.

For the beverage market, the immediate effect is an uneven competitive environment. If one brand can continue manufacturing and selling while another is restricted to existing stock, availability may shift even when consumers are choosing between products in the same broad category.

The longer-term position will depend on the final legal outcomes and how FSSAI implements its rules across manufacturers.

What does the dispute mean for India’s energy drink market?

India’s energy drink market has attracted beverage companies because it offers opportunities to reach consumers seeking convenient caffeinated drinks. Reuters reported that the market was growing at an estimated annual rate of 12.6%, with retail sales projected to reach $1.6 billion by 2028, citing market research from Euromonitor.

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Those figures help explain why a labelling dispute involving a leading brand has attracted attention. The category is commercially important, and the ability to manufacture and distribute products consistently can influence how brands compete.

The dispute also raises a wider question about how food regulators should classify products whose marketing language has become familiar to consumers. Beverage companies may regard “energy drink” as a widely recognised category description. The regulator, however, must determine whether that description is consistent with the relevant standards and whether it could mislead consumers.

The outcome could affect how manufacturers describe similar products, redesign packaging and communicate the effects of caffeine. Other companies selling caffeinated beverages will have an interest in understanding the final legal position, even if their own products are not subject to identical interim orders.

For consumers, the central issue is clarity. Product labels should make it possible to understand what a beverage contains, what its caffeine-related warnings mean and what benefits the manufacturer can legitimately claim. The legal dispute is about how those requirements should be applied in this particular case.

Could Sting return under a different label?

Yes, that is a possible route, but it should not be treated as a confirmed plan or a guaranteed solution. The current restriction concerns manufacturing products carrying the disputed “energy drink” description. It does not amount to a permanent prohibition on the Sting brand itself.

PepsiCo could potentially explore revised packaging and product descriptions that comply with the applicable rules, subject to regulatory requirements and any further court directions. That would require the company to determine what terminology is permitted and make the necessary operational changes.

The company would also need to manage the transition between existing stock and any newly labelled products. Packaging already printed with the disputed description cannot simply be assumed to qualify for use in future production.

The court proceedings could change the immediate position as well. If the company obtains further relief, the production restrictions may be modified. If the restrictions remain in place, PepsiCo may need to rely on compliant packaging and other permitted routes to restore supply.

Until the company or the court provides further information, it is more accurate to describe Sting as facing a potential supply disruption than to say the drink is being permanently withdrawn from India.

What happens next?

The next key date is October 30, 2026, when the Delhi High Court is scheduled to hear the dispute again. The proceedings may clarify the restrictions on production and the parties’ arguments about FSSAI’s directions.

The outcome will matter for PepsiCo’s manufacturing plans, its distributors and retailers carrying Sting and other affected products. A change in the interim legal position could affect how quickly the company restores normal supply, while continued restrictions could increase pressure to revise packaging and production arrangements.

Consumers should watch for official announcements from PepsiCo and developments in the court case rather than assuming that all Sting products will disappear on a specific date. Existing inventory may remain available for some time, and availability can vary across regions and retailers.

The broader regulatory question will remain important even after the immediate supply issue is resolved: how should caffeinated beverages be labelled so that commercial descriptions comply with food-safety rules and consumers receive clear information?

The Bigger Picture

PepsiCo’s warning shows how a regulatory dispute over product wording can become a major operational challenge for a consumer brand. Sting’s supply depends on a network of packaging suppliers, bottlers, distributors and retailers, and restrictions on new manufacturing can eventually affect availability if existing inventory runs out. The warning of a possible stockout within two months is PepsiCo’s assessment of that risk, not a confirmed date on which the brand will disappear.

The case also highlights the balance between consumer protection and predictable regulation. FSSAI says its approach is intended to prevent potentially misleading labelling of caffeinated beverages, while PepsiCo argues that the restriction creates serious business and distribution problems. The next court hearing may clarify the immediate production position, but the final outcome will determine how the dispute affects product labelling and competition across the market.

Looking Ahead

PepsiCo’s immediate priority is to resolve the manufacturing restriction and maintain product availability. The company could face continued pressure to change its packaging if the restriction remains, while further court relief could alter the timeline. The October 30 hearing is the next important milestone, and the final outcome should not be assumed in advance. For now, consumers may continue to find existing Sting stock, but availability could become more uneven if replacement production remains restricted.

For India’s beverage industry, the case could influence how companies label and market caffeinated drinks in the future. Manufacturers will need to consider regulatory compliance alongside packaging costs, supply-chain planning and consumer communication. The dispute is not a final ban on Sting; it is an unresolved legal challenge over how the product may be described and manufactured while the court proceedings continue.

FAQs

Is Sting banned in India?

No permanent nationwide ban on the Sting brand has been established by the reported court proceedings. The current dispute concerns the use of the “energy drink” label and restrictions on manufacturing new products with that description.

Why could Sting run out of stock within two months?

PepsiCo warned the Delhi High Court that continued restrictions on new manufacturing could exhaust existing stock within two months. The actual timing will depend on inventory levels, sales, packaging changes and any further court orders.

Can PepsiCo still sell existing Sting stock?

An October 6 Delhi High Court order allowed PepsiCo and its bottlers or contractors to sell stock already manufactured with the disputed label, while prohibiting further manufacturing using that description. The permission is subject to the applicable court order.

When will the court hear the case again?

The next hearing is scheduled for October 30, 2026. The court has not yet delivered a final ruling on the merits of the labelling dispute.

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