Is coconut oil edible or hair oil? Supreme Court answers, settles a 20-year-old debate
By Shweta Kumari | First Published Dec 19, 2024, 12:43 PM ISTThe Supreme Court on Wednesday put an end to a 20-year-old debate that had divided opinions on the classification of pure coconut oil—should it be considered edible oil or categorized as hair oil under cosmetics?
The Supreme Court on Wednesday put an end to a 20-year-old debate that had divided opinions on the classification of pure coconut oil—should it be considered edible oil or categorized as hair oil under cosmetics?
The matter had previously led to a split verdict from a bench comprising the then Chief Justice of India and Justice R. Banumathi. Former CJI Ranjan Gogoi, who retired in November 2019, believed that coconut oil, even in small packaging, should be classified as edible oil. Justice Banumathi, however, held a contrasting view, opining that coconut oil in compact containers was best suited for classification as hair oil.
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The three-judge bench, led by Chief Justice of India Sanjiv Khanna and Justices Sanjay Kumar and R. Mahadevan, acknowledged the dual purpose of coconut oil across different regions of India. Their verdict hinged on the branding and intended use of the oil. For coconut oil to qualify as edible, it must meet food safety standards, while oil marketed as hair oil would need to comply with the Drugs and Cosmetics Act.
Justice Kumar dismissed the revenue department's argument that all pure coconut oil should invariably be classified as hair oil. He stated, "We are of the opinion that pure coconut oil sold in small quantities as 'edible oil' would be classifiable as edible oil."
The revenue department contended that the appeals involved a staggering Rs 160 crore in excise duties, penalties, redemption fines, and interest. However, the Supreme Court rejected the notion that smaller packaging automatically suggested a cosmetic purpose.
"The fact that such edible coconut oil was sold in smaller containers would not, by itself, be indicative of it being packaging of a kind fit for use as 'hair oil'," the bench observed.
The judgment elaborated further, "One may choose to buy one's cooking oil in small quantities, be it for economic or health reasons or due to inclination to use fresh oil in food preparation, and the smaller size of the packaging of such oil cannot be taken to mean that it is to be used as 'hair oil' without any pointer to that effect, be it by way of a label or literature or by any other indication that it is to be used as 'hair oil'."
Highlighting the overlap in packaging sizes for both edible oils and hair oils, the bench concluded, "Small-sized containers are common to both 'edible oils' and 'hair oils'. Therefore, there must be something more to distinguish between them for classification of such oil, other than size of the packaging."
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