Sweet Justice: Ferrero Wins Battle Against Counterfeit Nutella in India

Certain sweets are popular only among a specific group of consumers, whereas others have transcended boundaries to achieve iconic brand status. Ferrero exemplifies the latter, with its name enjoying substantial recognition across international markets, an important consideration in assessing its enforceability as a trademark. The decision in Ferrero Spa & Ors. v. M.B. Enterprises stands as a critical moment in Indian trademark jurisprudence, particularly concerning the protection of internationally reputed marks. The Delhi High Court's declaration of "Nutella" as a well-known trademark under Indian law reinforced the legal safeguards available to global brands facing counterfeit operations. This case also addresses the pressing need to protect consumers from deceptive practices involving edible goods, while emphasizing the importance of trade dress and packaging in trademark enforcement.

Facts of the Case

Ferrero SpA, a global confectionery company, along with its Indian subsidiary, initiated legal proceedings against M.B. Enterprises after counterfeit "Nutella" products were discovered during an inspection conducted by the Maharashtra Food and Drug Administration in 2021. The investigation revealed the large-scale production of imitation products, including approximately 9,50,000 jars and around 4,00,000 packaging components that closely resembled the genuine Nutella goods. The counterfeit goods mirrored Ferrero’s registered trademarks and packaging design elements, creating a high risk of consumer confusion.

Despite being served legal notice, the defendants did not appear before the Court, prompting the case to proceed ex parte. Ferrero sought a permanent injunction, damages, and recognition of “Nutella” as a well-known mark under Indian law.

Court’s Analysis

The Delhi High Court reviewed the matter and found strong merit in Ferrero’s claims. The Court examined Ferrero’s long-standing use of the Nutella mark, both internationally and in India, and its significant reputation built through years of consistent branding and enforcement of rights. In addition to the wordmark, the Court acknowledged the distinctiveness of the Nutella product’s packaging such as its label design, container shape, and overall appearance, qualifying it as a protectable trade dress.

The Court observed that the Defendants had replicated the appearance of Nutella jars to such an extent that ordinary consumers would likely be misled. This level of imitation, particularly involving food products, posed risks not only to Ferrero’s commercial interests but also to public health and safety, especially since Nutella is widely consumed by children and families.

Relying on Section 2(zg) read with Section 11(6) of the Trade Marks Act, 1999, the Court accepted Ferrero’s request to declare "Nutella" a well-known mark. It found sufficient evidence of global recognition, Indian market presence since around 2009, prior international registrations, and brand recall to justify this status.

Given the Defendants’ absence and the overwhelming evidence of infringement, the Court found that a summary judgment was appropriate to avoid delay and ensure justice.

Decision

The Delhi High Court granted a permanent injunction restraining M.B. Enterprises from producing, marketing, or dealing in any goods that bear the Nutella mark or any similar identifiers. The Court also ordered the destruction of all counterfeit stock, packaging materials, and related items in the defendants' possession.

Additionally, the Court awarded ₹30 lakh in damages to Ferrero for loss of goodwill and brand dilution, along with ₹2 lakh as special costs payable to the Delhi High Court Bar Association Welfare Fund. Most significantly, the Court formally recognized “Nutella” as a well-known trademark, ensuring that it enjoys enhanced protection under Indian trademark law moving forward.

Conclusion

This case underscores the judiciary’s evolving approach to trademark protection, particularly in the context of globally reputed brands. The recognition of Nutella as a well-known mark not only affirms its distinctive identity in the market but also provides a strong deterrent against future instances of counterfeiting. The Court’s decision to grant summary relief in the absence of the Defendant reflects an efficient and pragmatic method of dealing with clear-cut cases of trademark violation. Furthermore, the emphasis on consumer safety in relation to counterfeit food products highlights the intersection between intellectual property enforcement and public interest.

This ruling sets a valuable precedent for other multinational companies operating in India, affirming the judiciary’s commitment to protecting cross-border goodwill and brand equity in line with global IP standards.

References:

●       Ferrero Spa & Ors. v. M.B. Enterprises, CS (COMM) 593/2021, Delhi High Court, Judgment dated July 29, 2025.

●       Trade Marks Act, 1999 (India), Sections 2(zg), 11(6).

●       Law reports and news coverage from Bar & Bench, LiveLaw, and Economic Times