Islamabad, April 2, 2026 – The Competition Commission of Pakistan (CCP) has successfully enforced penalties against Unilever Pakistan and FrieslandCampina Engro Pakistan for deceptive marketing practices, recovering Rs35 million for misleading consumers by advertising frozen desserts as “ice cream.”
The case was initiated following a complaint by Pakistan Fruit Juice Company (Private) Limited, the makers of Hico ice cream. The company alleged that both Unilever and FrieslandCampina Engro were falsely portraying their frozen dessert products as ice cream through aggressive advertising campaigns on television and social media platforms.
After conducting a detailed inquiry under the Competition Act, 2010, the CCP concluded that the companies had disseminated false and misleading information, violating Section 10 of the law, which prohibits deceptive marketing practices.
Initially, the Commission imposed penalties of Rs75 million each on the two companies. Additionally, Unilever Pakistan faced an extra Rs20 million fine for making misleading comparative claims, including portraying its frozen dessert products as healthier than traditional dairy-based ice cream.
In its ruling, the CCP relied on standards set by the Pakistan Standards and Quality Control Authority (PSQCA) and the Punjab Pure Food Regulations 2018. These guidelines clearly distinguish between ice cream and frozen desserts. Ice cream must be made from milk and dairy ingredients, whereas frozen desserts can include vegetable oils and fall under a separate category.
The Commission directed both companies to immediately stop marketing frozen desserts as ice cream, remove all misleading advertisements, and clearly disclose product ingredients and classifications to consumers. They were also instructed to submit compliance reports within the stipulated timeframe.
The CCP’s decision was later upheld by the Competition Appellate Tribunal (CAT), which affirmed that the companies’ actions constituted deceptive marketing under Pakistani law.
The recovery of Rs35 million in penalties marks a significant step in enforcing consumer protection laws in Pakistan. The CCP emphasized that the move reflects its commitment to ensuring transparency in advertising and maintaining fair competition in the market.
Industry experts believe the decision could set a strong precedent, compelling food manufacturers to adhere strictly to labeling standards and avoid misleading claims. The ruling also underscores the importance of regulatory oversight in protecting consumer rights and fostering trust in Pakistan’s food industry.
