It seems that the controversy about Coke and Pepsi is not going to die down easily in India. Every day, we can see new claim and counter claim from the two sides. I have been writing about this issue almost everyday and what I understand is that this crisis is going to continue for some weeks. Already, Coke and Pepsi have seen a negative impact in the sale of their products. Today, I like to point out the arguments put forward by the cola companies and their supporters. Here are some reasons why Coke and Pepsi should not be banned in India:
1. From first, Coke and Pepsi have maintained in India that their products are safe. They have given huge ads in Indian newspapers about this matter.
2. The Central Science Laboratory (CSL) under UK government has supported the claim of Coca-Cola:
"The Central Science Laboratory (CSL), an executive agency of the Government, reported that Coca-Cola’s products on the sub-continent met the stringent bottled water purity standards set by the European Union.
At a press conference in Delhi, Professor John Gilbert and Dr Stewart Reynolds, from the CSL, said that samples of Coca-Cola, Thums Up, Sprite, Fanta and Limca had been tested and were found to contain less than 0.1 parts per billion of any pesticide."
3. Bollywood's top actor, Shahrukh Khan (SRK) argued that it was wrong to ban Pepsi. He said, "The final call will have to be taken by the central agencies.”
4. US government has warned India not to ban Coke and Pepsi as it may create a negative impact on foreign investment in India.
5. Industry leaders of India are against any kind of ban as they are worried that it might damage US investment to India in future.
6. Sebastian Morris, Professor of IIM, Ahmedabad, has perhaps come up with the strongest argument in his writing:
"What is the reality? Except in water laden and agriculturally defunct Kerala and the north-east perhaps, there is not an iota of ground and stored water that does not have micro traces of pesticides. Much of water, milk, vegetables and fish would contain pesticides, heavy metals and carcinogens that are higher than even reasonable standards. While Coke and Pepsi do meet good standards, they do not meet those in India."
I am also against banning Coke and Pepsi products as I believe that it will really have a disastrous impact on foreign investment in India. However, I wish that Indian government must become stricter about implanting safety standards. On the other hand, I do not support this idea that since ground water is contaminated in India, it is natural that Coke and Pepsi products contain pesticide.
What do you think about it?
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I'm not sure what the back story is, but you are right that banning US companies will create a swift and negative backlash.
As soon as these companies worry that the environment is turning hostile, they cut tail and run.
On the other hand, Coke and Pepsi are both bad products for health with or without the problems mentioned, so I think someone in India should stand up for health rights.
Posted by: Darren McLaughlin | August 16, 2006 6:08 AM | Permalink to Comment