FSSAI Proposes Restrictions On ‘Paneer’ Label For Substitute Non-Milk Analogue Products; Here’s What Will Change

The word ‘paneer’ could soon be reserved more clearly for milk-based products, with the Food Safety and Standards Authority of India (FSSAI) proposing new restrictions on the use of the term for dairy analogue products made without milk-derived ingredients.

The proposal forms part of the draft Food Safety and Standards (Prohibition and Restrictions on Sales) Amendment Regulations, 2026, published in the Gazette of India on September 23. FSSAI has said the proposed change is intended to prevent consumers from being misled about the nature and composition of products sold as paneer.

Under the draft amendment, FSSAI proposes adding a provision specifically covering “paneer made of constituents not derived from milk.” If the amendment is finalised in its current form, products that fall under the existing ‘Analogue in Dairy Context’ category would have to stop using the word “paneer” in their product names, labels and marketing material.

The proposal is aimed at creating a clearer distinction between conventional paneer, which is made from milk, and products that are designed to resemble dairy products but use non-milk constituents.

What is considered paneer?

Under existing food standards, paneer or chhana is a milk-based product obtained from cow or buffalo milk, or a combination of the two, through precipitation using permitted acidulants. Milk solids can also be used in its preparation.

The latest proposal therefore focuses on preventing products made with non-milk ingredients from being presented simply as paneer.

According to the draft, the objective is to prevent consumer confusion regarding the nature and composition of food products. The regulator has previously issued directions concerning dairy analogues as well. In April 2026, FSSAI's West Region said that selling a cheese analogue as “paneer” constituted a violation and directed food businesses to use accurate product descriptions.

The issue is particularly relevant to restaurants and food-service businesses where dairy analogues may be used in dishes traditionally associated with paneer.