Fermenta Biotech wins FSSAI nod for VegD3 food use (2026)

What Fermenta Biotech announced

Fermenta Biotech Ltd. said it has received approval from the Food Safety and Standards Authority of India (FSSAI) for its plant-based Vitamin D3 (Cholecalciferol) product, VITADEE Green®. The company said the product is developed and manufactured entirely in India, and the clearance enables commercialisation in the domestic nutrition market. Fermenta disclosed the regulatory update to BSE Limited on July 3, 2026, under SEBI listing regulations.

The approval allows the company to market its proprietary plant-derived Vitamin D3 ingredient for use across food fortification and health supplements in India. Fermenta positioned the development as aligned with the Make in India theme, citing reduced import dependency for critical nutritional ingredients.

Why the FSSAI approval matters for the product

Vitamin D3 used in nutrition has historically been associated with animal-origin sources such as lanolin (sheep wool), which limits adoption in strict vegan products. Fermenta’s newly approved variant is described as 100% derived from lichen, a plant-like organism. This makes the ingredient suitable for vegan and vegetarian formulations, based on the company’s disclosure.

The FSSAI nod also expands the regulatory classification for plant-derived D3 as a permitted ingredient under Indian food standards, enabling use in packaged foods, fortified products, and supplement formats that require regulatory acceptance.

Where the ingredient will be used

Fermenta stated that the approval permits use in both the food sector and the health supplement segment. The company is primarily a B2B supplier, so the ingredient is expected to reach consumers through finished products rather than direct retail sales of bulk Vitamin D3.

The company indicated that consumers may start seeing “VegD3” mentioned on the labels of fortified products such as juices, milks, and vitamin supplements sold through retail channels.

Competitive positioning in plant-based Vitamin D3

Fermenta said the FSSAI clearance gives it an advantage as one of the few domestic entities with a validated 100% plant-sourced D3 supply chain. The company also highlighted that it is already a global leader in synthetic and lanolin-based Vitamin D3, and that the plant-based portfolio adds a differentiated offering.

A note in the provided material stated that the premium vegan ingredient segment typically commands 15-20% higher margins than standard D3, reflecting specialty positioning. The same note described the approval as “regulatory derisking” for market participation in India.

Stock market snapshot provided in the update

The provided data point showed Fermenta Biotech at ₹343.00, down ₹9.00 or 2.56% on the day, with 1-year returns of 7.73%. The price move was presented alongside the regulatory update and broader company developments.

Financial performance snapshot: 9MFY26

Separately, the provided material referenced Fermenta Biotech’s 9MFY26 performance and segment trends. Consolidated revenue was reported at ₹421.2 crore, up 25% year-on-year, while consolidated net profit was reported at ₹51.7 crore, up 20% year-on-year. The company also reported a one-time exceptional expense of ₹2.19 crore linked to new Indian Labour Codes.

Within the nutrition portfolio, Vitamin D3 for human nutrition revenue was reported at ₹230.8 crore, up 51% year-on-year, and Vitamin D3 for animal nutrition revenue was ₹85.5 crore, up 46% year-on-year. Green Chemistry Solutions/Enzymes revenue was reported at ₹9.0 crore, up 64% year-on-year.

Capacity expansion at Dahej: ₹110 crore capex plan

The provided material also stated that Fermenta’s Board approved a capital investment of ₹110 crore for capacity expansion at its Dahej, Gujarat facility. The expansion is to be phased across FY26 and FY27 and funded through internal accruals and debt, as described.

The plan includes commercial-scale manufacturing for plant-based Vitamin D3 and expansion of Vitamin D3 derivatives and green chemistry enzymes. The same material specified plant-based Vitamin D3 capacity rising to about 1 tonne per annum, Vitamin D3 derivatives expansion to 50 kg per annum, and enzyme fermentation capacity addition of about 75 KL.

Key facts table

Operating and segment numbers mentioned

Market impact and what investors will track

The immediate impact of the FSSAI approval is that Fermenta can now sell its plant-based Vitamin D3 ingredient into the Indian food and supplement value chain, a step that was not possible without domestic regulatory clearance. The approval is also positioned as supporting local manufacturing and reduced import dependence for nutritional ingredients.

From a business perspective, the plant-based Vitamin D3 line adds a new differentiated product category alongside Fermenta’s established Vitamin D3 offerings. The provided material also noted expectations of mid-term revenue accretion as domestic supply contracts for vegan supplements are renegotiated, and suggested the addressable market could expand by nearly 30% in a more health-conscious environment.

Conclusion

Fermenta Biotech’s FSSAI approval for VITADEE Green® provides a clear regulatory path to commercialise 100% plant-based Vitamin D3 in India for food fortification and health supplements. The development fits into the company’s broader Dahej expansion plan, where it has already disclosed a ₹110 crore capex programme covering plant-based Vitamin D3, Vitamin D3 derivatives, and green chemistry enzymes. Next, investors are likely to track adoption in B2B supply contracts and the pace of capacity ramp-up under the FY26-FY27 expansion timeline.