A news item has appeared in the Business Recorder of January 26, 2005 stating that PSQCA has banned the production of Nestlé's bottled water brand "Nestlé Pure Life" for not having maintained a valid PSQCA licence. The report does not reflect the situation correctly. The fact is that Nestlé Pure Life was the first to register with PSQCA after a notification was issued in September 2001 and obtain the required licence. In 2002 Nestlé Pure Life submitted its application for renewal of licence, which is still pending.
It was kept pending by PSQCA because in the meanwhile an issue arose over the criterion of determining the Marking Fee (licence renewal fee) levied by PSQCA about which Nestlé had some reservations and it made a representation to PSQCA for addressing them.
Strangely enough, instead of resolving the issue or even rejecting its licence renewal application, PSQCA has unfairly and unilaterally resorted recently to a sudden issuance of the aforesaid notice to Nestlé to cease its water business. Nestlé has already responded to this notice and reserves its right to proceed legally in this regard.
This is clearly an attempt to intimidate a company into submission that has challenged an unfair levy of charges by a government agency.
It is ironic that while PSQCA chose to serve this notice to Nestlé, a company that was the first to register and later submit its renewal application, PSQCA has miserably failed to check the sale of spurious and counterfeit bottled water brands in the market and is helpless in bringing an overwhelming number of bottled water or beverage brands under its registration regime, which happens to be its foremost responsibility.
Nestlé has always complied with the standards laid down by PSQCA and other international agencies with regard to bottled water, has not violated any requirement of the law and has never refused to register with PSQCA. It is only asking PSQCA to rationalise the registration criterion and make it fair and transparent.
(The writer is Head of Corporate & Legal Affairs, Nestle)