Palm oil found at Hyderabad dairy units manufacturing ‘analogue’ paneer

Food safety authorities in Hyderabad have seized large quantities of palm oil and emulsifiers from dairy units suspected of manufacturing 'analogue' paneer. Three establishments have had their licenses suspended due to health concerns and unhygienic conditions.
Why it matters
This highlights growing concerns over food adulteration and the use of unauthorized synthetic ingredients in dairy products, impacting public health and consumer trust.
Is the paneer on your plate made from milk or vegetable fat? This question is in the spotlight after Telangana food safety authorities found palm oil and glycerol monostearate at dairy units allegedly manufacturing ‘analogue’ paneer during inspections in Hyderabad on Saturday (September 5, 2026).
The Telangana Standards Authority for Food and Essential Drugs (TG SAFE) inspected 14 dairy units in Hyderabad and adjoining areas as part of a special enforcement drive targeting establishments involved in the manufacture and sale of paneer and other dairy products.
Officials found loose palm oil and glycerol monostearate (GMS) at some units preparing analogue paneer. GMS is a food emulsifier that can be used to bind ingredients such as vegetable fats, skimmed milk powder and water to produce a texture resembling dairy paneer. Its use in the manufacture of unauthorised or misleading analogue products has raised concerns among food safety officials.
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