Delhi HC grants permanent injunction to Ferrero; declares 'Nutella' a well-known trademark

New Delhi [India], July 29 (ANI): The Delhi High Court has permanently barred MB Enterprises from producing and selling counterfeit Nutella products. Not only did the Court issue a permanent injunction against the infringing party, but it also formally recognised Nutella as a well-known trademark under Indian trademark law.

The case, Ferrero SpA & Ors vs M.B. Enterprises (CS(COMM) 593/2021), was presided over by Justice Saurabh Banerjee. On July 28, 2025, the Court found M.B. Enterprises guilty of manufacturing and distributing fake Nutella hazelnut cocoa spreads that mimicked Ferrero label, trade dress, and packaging without authorization. These actions amounted to trademark infringement and passing off.

Ferrero initiated legal proceedings following a notification from the Food & Drug Administration (FDA), Maharashtra, about a raid at M.B. Enterprises facility in Thane. The FDA confiscated over 9.5 lakh units of counterfeit Nutella and around 4 lakh packaging items including labels, jars, and caps.

The products were reportedly produced in unhygienic conditions, raising serious concerns for public health. The Court emphasized the defendant deliberate intent to exploit the goodwill and reputation of the Nutella brand.

In evaluating Ferrero brand legacy, the Court considered that Nutella was first launched in 1964 and has been available in India since at least 2009. It noted Ferrero long-standing trademark registrations, dating as far back as 1975, and highlighted the brand substantial investment in advertising--Rs 3 crore in 2020-21, Rs 7 crore in 2021-22, and Rs 16 crore in 2022-23. Nutella annual sales in India for the same periods were Rs 233 crore, Rs 145 crore, and Rs 106 crore respectively. The judge concluded that Nutella has achieved strong distinctiveness due to its taste, packaging, and presence in more than 170 countries.

The Court awarded Ferrero Rs 30 lakh in damages and imposed an additional Rs 2 lakh as costs payable to the Delhi High Court Bar Association Welfare Fund. M.B. Enterprises and its associates were permanently restrained from using the Nutella mark or any deceptively similar variant. Furthermore, Nutella was officially declared a well-known trademark under Section 2(zg) of the Trade Marks Act, 1999, providing Ferrero stronger protection in future disputes.

Representing the plaintiffs, Ferrero SpA and its affiliates, were Advocates Pravin Anand, Vaishali R. Mittal, and Shivang Sharma.

Justice Banerjee underscored the seriousness of counterfeit edible goods, particularly those consumed by children. The judgment compared the situation to pharmaceutical trademark violations, stressing the need for stringent judicial oversight in food-related trademark cases. (ANI)

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