Swiggy gets updated food safety licence after resolving concerns raised on Toing platform

Swiggy Ltd said it has received a modified licence from the Food Safety and Standards Authority of India (FSSAI) after addressing observations that had led to a prohibition order issued earlier this week concerning its food ordering and delivery platform, Toing.

In an exchange filing on Friday, July 10, the company said it had received a prohibition order dated July 6 from the FSSAI’s Designated Officer in Karnataka, seeking an explanation regarding the Toing platform and the company’s FSSAI licence particulars.

Swiggy clarified that the matter related to the updation of licence particulars and did not involve any food safety concerns.

Also read: How one defence stock created a ₹1.2 lakh crore fortune for a Nagpur family

The company said it has since addressed the observations forming the basis of the order and received a modified FSSAI licence on July 9.

According to the filing, the issue pertained to certain observations regarding the updation of licence particulars for the Toing platform, which have now been resolved through the modified licence.

Swiggy also said the development has no major financial or operational impact on the company and that no monetary penalty has been imposed under the order to date.

The company added that the disclosure was made after it completed the process of determining the appropriate course of action following receipt of the FSSAI order.

Shares of the company closed nearly 3% lower at ₹272.99 ahead of the announcement on Friday. The stock has declined about 30% so far this year.