The share price of Nestle India reversed gains, and cracked up to 4.1 per cent in late noon deals on Friday to a low of ₹1,333 following reports that the Food Authority in India initiated legal action against the company citing non-compliance on certain issues. Earlier in the day, the stock rallied to an intra-day high of ₹1,389, and was up over 1 per cent. At 2:24 PM, the stock quoted with a loss of 1.2 per cent at ₹1,355 on trades of around 65,000 shares on the BSE as against the two-week average volume of around 53,000 shares. Meanwhile, the BSE Sensex was up 0.4 per cent or 307 points at 74,621. At current levels, Nestle India stock traded at its lowest point since late April 2026. IOn the process, the stock also dipped below its long-term 200-day moving average (200-DMA) for the first-time since April 09, 2026. From its record high of ₹1,553, Nestle India stock has shed 14.2 per cent. However, despite the fall the stock continues to hold a near 6 per cent gain for the calendar year 2026. In comparison, the Sensex declined 12.5 per cent on a year-till-date basis. 

Why did Nestle India stock fall today?

 According to reports, the Food Safety and Standards Authority of India (FSSAI) has taken legal action against Nestlé India over non-compliances involving its infant nutrition products NAN Excella Pro Stage 1 and Lactogen Pro 1. FSSAI listed promotional claims made for the products and a laboratory finding related to biotin content among the issues. The regulator said has filed three separate adjudication cases in connection with the non-compliances. READ MORE Earlier between June-November 2015, Nestle India and FSSAI were involved in a legal battle over Maggi noodles labelling. Amid the battle, Maggie faced a major nationwide ban over lead safety claims. Nestle pulled out nine variants of stopped production, before re-introducing them following a favourable Court verdict.