Deceptive marketing: CCP recovers Rs30m from leading FMCG

ISLAMABAD: The Competition Commission of Pakistan (CCP) has recovered Rs30 million from a leading multinational fast-moving consumer goods (FMCG) company following a Competition Appellate Tribunal (CAT) ruling upholding the Commission’s finding of deceptive marketing in relation to one of its consumer products.

The recovery follows the Tribunal’s decision on an appeal against CCP’s order dated February 9, 2021, in which the Commission had found the company guilty of disseminating misleading information to consumers regarding the nature and characteristics of the product, in violation of Section 10 (2) (b) of the Competition Act, 2010.

According to the Tribunal’s judgment, the company had marketed the product in a manner that created the impression that it possessed medicinal properties despite its status as a non-medicated consumer product currently registered in the food category.

The Tribunal directed the company to pay a penalty of Rs30 million and comply with the corrective measures prescribed by the Commission within the stipulated timeframe.

The case originated from a complaint alleging that the company’s advertising and marketing campaigns misled consumers regarding the product’s regulatory status and characteristics.

The Tribunal also noted that the company had introduced significant changes to its packaging and consumer disclosures following CCP’s proceedings. These changes included the prominent display of a “Non-Medicated” disclaimer in both English and Urdu on product packaging and blister packs to improve consumer awareness and transparency.

As part of CCP’s directions, the company has also been required to publicly notify consumers through advertisements in widely circulated English and Urdu newspapers regarding the change in the product’s status from a medicated/drug category to a food category until full compliance is achieved.

The recovery underscores CCP’s ongoing efforts to protect consumers from deceptive marketing practices and ensure that businesses provide accurate, clear, and truthful information about their products and services.

Copyright Business Recorder, 2026