Hyderabad Restaurants May Be Required to Disclose Use of Analogue Paneer

HYDERABAD — Food regulatory authorities are considering new rules that would require restaurants in Hyderabad and other metro cities to explicitly disclose the use of analogue paneer on their menus. The proposed measure, reported on June 12, 2026, follows a recent directive in Maharashtra aimed at improving transparency and helping consumers make informed choices.

Under the current Food Safety and Standards Authority of India (FSSAI) regulations, the production and sale of analogue paneer is legal, non-toxic, and standardized, provided that the necessary nutritional information is displayed on the product's label. However, traditional dairy-based paneer is significantly different from its analogue counterpart.

Because analogue paneer costs 50 percent to 60 percent less to produce than milk-based paneer, eateries have a strong economic incentive to substitute the two ingredients. This practice often leaves customers consuming a less nutritious substitute under the impression that they are eating traditional dairy paneer.

Consumer health advocate Rohit Himatsingka, who posts under the handle foodpharmer2 on X, recently expressed support for a nationwide rollout of the disclosure rule. He stated that real paneer is made from milk, whereas analogue paneer is often made using vegetable oil and starch, resulting in much lower protein content.

Himatsingka also shared that in a previous lab test he conducted on 10 paneer samples—ranging from branded and dairy products to restaurant and street food—all of the restaurant and street vendor samples failed and were identified as analogue paneer.

Currently, food establishments in Maharashtra face penalties if they fail to declare the use of analogue paneer on their menus. While implementing a similar mandate nationwide poses logistical and manpower challenges, regulators believe introducing the rule in urban centers like Hyderabad will help boost consumer confidence in local eateries.