One of Coca-Cola India’s bottling plants in Uttar Pradesh has been ordered to close for various violations, including the extraction of groundwater, a move that’s reminiscent of the row a decade ago that led to the shutting of a unit in Kerala and resulted in the global beverage maker’s image a beating.
The company-owned plant in Mehdiganj near Varanasi has been shut during peak season-temperatures have been soaring across northern India-by Uttar Pradesh Pollution Control Board (UPPCB) as it found the company to be “violating a number of conditions“ of its licence. The impact be greater on the company’s image than its business as the unit is one of Coca-Cola’s smaller facilities, said two industry executives.
Coca-Cola’s plant in Plachimada, Kerala, was shut in 2004 over allegations that the operation led to the depletion of groundwater. The company legislation holding it liable for $47 million in damages stemming from this. The company hadn’t obtained clearance for the extraction of from the Central Ground Water Authority (CGWA), according to a June 6 order of the Uttar Pradesh pollution board.
