World

Before global scrutiny, Indian spice maker MDH faced many US rejections

Around 20%, or 13 of MDH's 65 shipments to the United States were rejected

REUTERS May 13, 2024

A view of the logo of MDH, an Indian spice manufacturing company, on a shop in the old quarters of Delhi, India, May 3, 2024. PHOTO: REUTERS

HYDERABAD:

Popular Indian spice brand MDH, under scrutiny for alleged contamination in some products, has since 2021 seen an average 14.5% of its US shipments rejected due to the presence of bacteria, a Reuters analysis of US regulatory data found.

Hong Kong suspended sales last month of three spice blends made by MDH and one by another Indian company, Everest, for apparently containing high levels of a cancer-causing pesticide. Ethylene oxide is unfit for human consumption and a cancer risk with long exposure.

The companies have said their products are safe and MDH added it does not use ethylene oxide at any stage of storing, processing, or packing of spices. Authorities in the United States, Australia and India are looking into the matter. Both brands are popular in India and are exported around the world.

India is the world's biggest spice producer and is also the largest consumer and exporter of spices. Zion Market Research estimates India's domestic market was worth $10.44 billion in 2022, and the Spices Board said India exported products worth $4 billion during 2022-23.

Before the latest scrutiny, products from MDH, a family-run Indian company more than 100 years old, were rejected for sale in the United States due to the presence of salmonella, a bacteria that can lead to gastrointestinal illness.

Around 20%, or 13 of MDH's 65 shipments to the United States were rejected after it failed checks for salmonella between October 2023 - when the current fiscal year started - and May 3, according to the latest available data compiled by Reuters from the US Food and Drug Administration (FDA).

The FDA did not state what quantity was contained in each shipment but the 13 shipments rejected included mixed spices and seasonings, as well as fenugreek, according to the data.

In fiscal 2022-23, about 15% of 119 MDH shipments were rejected mostly for salmonella contamination, while the rejections stood at 8.19% during 2021-22, the data showed.

Everest has had fewer rejections in the United States with just one of 450 shipments in the ongoing 2023-24 year having been rejected so far for salmonella.