12 inspection teams check 14 dairy units; palm oil, emulsifier and suspected analogue-paneer ingredients seized
HYDERABAD — Telangana Standards Authority for Food and Essential Drugs (TG SAFE) has seized dairy and food products worth ₹7.19 lakh after detecting suspected adulteration and serious hygiene violations at several dairy manufacturing and retail establishments in Hyderabad and adjoining areas.

The action was carried out on September 4 as part of a special food-safety enforcement drive targeting units involved in the manufacture and sale of paneer and other dairy products.
A total of 12 inspection teams, comprising Food Safety Officers, police personnel and members of the Hyderabad Food Adulteration Surveillance Team (H-FAST), inspected 14 dairy manufacturing and retail units.
Officials collected 21 samples on suspicion of adulteration and seized food articles valued at ₹7,19,340.
Palm oil and Glycerol Monostearate found in paneer-making units
One of the major findings was the use of loose palm oil and Glycerol Monostearate (GMS) in units preparing paneer as an analogue product.
Also Read: Zomato Bans Analogue Paneer on Platform, Asks Restaurants to Switch to Dairy Products
The inspections also uncovered significant hygiene and sanitation deficiencies, including cockroach and house-fly infestation, blocked drains, foul odours, damp and mould-affected surfaces and poor personal hygiene among food handlers.
Officials also found that some establishments did not maintain adequate milk procurement records, making it difficult to establish the source and traceability of the milk used in production.
The enforcement teams seized:
- Around 1 tonne of palm oil
- 476 kg of Glycerol Monostearate
- 1,760 packs of Mavee’s Classic Premium Cooking Cream
- 150 kg of skimmed milk powder
Three dairy establishments ordered to stop operations
TG SAFE has ordered the suspension of FSSAI licences of three establishments and directed them to immediately stop operations in the interest of public health.
The establishments are:
- Laxmi Foods, Gaganpahad
- Dhana Lakshmi Dairy Products, Mailardevpally, Rajendranagar
- Natraj Milk & Milk Food Products, Peesari Enclave, Thurkapally, Alwal
Laxmi Foods
Inspectors reported highly unhygienic conditions at Laxmi Foods, including cockroach infestation and improper storage practices.
The unit was also found with approximately 600 litres of loose palm oil and unauthorised use of Glycerol Monostearate.
Dhana Lakshmi Dairy Products
At Dhana Lakshmi Dairy Products, officials found blocked drains, foul smell, house flies and inadequate personal hygiene among food handlers.
The unit also had approximately 195 litres of loose palm oil and unauthorised use of Glycerol Monostearate.
Natraj Milk & Milk Food Products
The inspection at Natraj Milk & Milk Food Products revealed rusty asbestos sheets, damp and moss-covered areas and mouldy surfaces.
Officials also detected the unauthorised use of Glycerol Monostearate.
More enforcement action pending
TG SAFE will issue improvement notices to Sri Mahalaxmi Kendra at Khanapur and Anitha Dairy at Hayathnagar.
Show-cause notices will also be served on Geetha Dairy at Nadergul and Narmul (Mother Dairy).
Further regulatory action will depend on the establishments’ compliance with the directions and the findings of subsequent reinspections.
Analogue paneer comes under greater scrutiny
The enforcement drive highlights growing regulatory attention on the production and sale of analogue dairy products, particularly products that may be marketed or represented in ways that could mislead consumers about their composition.
Analogue dairy products are formulated using ingredients that replace some or all of the milk components normally associated with a conventional dairy product. Ingredients such as vegetable fats, starches, plant proteins and emulsifiers may be used depending on the product.
From a food-safety and consumer-protection perspective, the key issues include correct product formulation, lawful labelling, ingredient declaration, hygiene and preventing consumers from being misled about the nature of the product.
Traceability emerges as another concern
The absence of adequate milk procurement records at some inspected units is significant for the dairy supply chain.
Proper procurement documentation helps food businesses establish the source of raw milk and other ingredients, maintain traceability and support effective investigation when food-safety issues arise.
For dairy manufacturers, traceability therefore extends beyond the processing floor—it begins with documented sourcing and continues through processing, storage and distribution.
The bigger picture
The Hyderabad inspections underline that food safety in the dairy sector depends on more than testing the finished product.
Raw-material traceability, permitted ingredients, correct labelling, hygienic processing environments, pest control, sanitation and trained food handlers all form part of the dairy safety chain.
With paneer and other dairy products facing increasing scrutiny, enforcement actions such as this could push manufacturers and food-service suppliers toward stronger compliance, better documentation and more transparent product formulation.
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