An official regulatory investigation has revealed that duty-free shops at Mumbai International Airport, operated by billionaire Gautam Adani’s business group, breached Indian law by selling unapproved nicotine pouches. Following a series of complaints submitted by the anti-nicotine advocacy group Mothers Against Vaping, India’s drug department conducted a sweep of the airport’s departure zone. Under India’s Drugs and Cosmetics Act, nicotine pouches are legally classified as drugs, making a valid registration certificate and an official import license mandatory for any retail sale, neither of which the airport outlets possessed.
In response to the drug department’s findings, Mumbai Travel Retail—a joint venture between Adani’s group and Dubai-based Flemingo—was formally ordered to halt sales and seek immediate regulatory approvals. Adani’s legal team has filed a high court petition denying any wrongdoing, arguing that international departure zones operate “beyond the customs frontiers of India” and should be exempt from domestic pharmaceutical regulations. However, legal experts challenge this jurisdictional defense, noting that local criminal and safety laws still firmly apply within duty-free perimeters, and selling unapproved drugs without a license carries a minimum prison sentence of three years in India.
The unfolding legal battle is being watched closely, as it will establish a critical precedent for how India regulates retail sales within its international airport hubs. A government victory could permanently block the sale of nicotine pouches, which a recent health ministry study flagged as a major, unregulated public health hazard heavily consumed by young people. For now, the Mumbai High Court has ordered a temporary pause on any coercive regulatory actions regarding the store’s existing stock, scheduling a formal, high-stakes hearing for July 14 to determine the regulatory boundaries of airport retail.
