India hopes new guidelines will curb greenwashing by businesses

Move to rein in false claims aims to boost consumer trust, ensure sustainability

- Debarshi Dasgupta

Advertising campaigns with green claims, such as those touting "eco-friendly" detergents, "plastic-free natural" chewing gum, "100 per cent biodegradable" plastic and "energy-efficient" buildings, are common in India.

But often, these are just ploys to mislead environmentally conscious consumers in India, with no truth to their claims, and the government has now taken notice.

The Central Consumer Protection Authority (CCPA) issued new guidelines recently for the prevention and regulation of "greenwashing," requiring Indian manufacturers, service providers and traders to substantiate their environmental claims with credible evidence.

"Greenwashing" refers to tactics companies use to make false eco-friendly claims or exaggerate the environmental benefits of their products and services to increase sales while downplaying or concealing their harmful attributes.

Until now, such pitches have flourished without much scrutiny, but the new guidelines released on Oct 16 aim to put an end to the practice.

Under the guidelines, evidence proving environmental claims must be based on independent studies or certification by credible third-party agencies, and has to be disclosed to consumers in the advertisement itself or through a QR code or online link.

The guidelines also prohibit the use of vague descriptions such as "green," "natural," "minimal impact," and "cruelty-free," unless accompanied by "adequate, accurate and accessible qualifiers."

The government has said these guidelines are aimed at encouraging truthful environmental claims, thus enhancing consumer trust and ensuring sustainable business practices.

Violations will be dealt with under India's Consumer Protection Act, which prescribes a penalty of up to one million rupees (S$15,700) for misleading advertisements. Subsequent violations can attract a penalty of up to five million rupees.