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Smoke & Mirrors: How Pan Masala Brand Have Championed Surrogate Advertising

  • Writer: Kiratraj Sadana
    Kiratraj Sadana
  • Jul 25
  • 3 min read

Updated: Aug 26

The 007 Moment That Lit Up the Debate

When Pierce Brosnan twirled a tin of Pan Bahar “breath-freshener” on Indian TV in 2016, the spot looked suave but felt off-brand. Within days Delhi’s Health Department threatened fines and jail unless he explained why his image promoted a carcinogenic chewable; the actor swiftly apologized, claiming he’d been told it was a harmless mouth freshener. Result? A global headline, a local PR nightmare, and a fresh spotlight on India’s surrogate advertising loopholes.


Why the Law Keeps Saying “No”

Pan masala containing tobacco or areca nut runs into a brick wall of statutes when it comes to advertising:

  • COTPA 2003 – bans direct and indirect tobacco promotion.

  • Cable TV Act 1995 – blocks ads for any product “prohibited by law.”

  • FSSAI rules & state food-safety orders – mandate cancer warnings.

  • ASCI Code – kills ads where the “surrogate” isn’t a bona-fide, stand-alone product.


Yet theatres, OTT streams, award shows and cricket matches overflow with Vimal Elaichi, Rajnigandha Pearls and Kamla Pasand Saffron. How? Brand extensions that are legal to sell and look suspiciously like their banned cousins.


The Four Favourite Surrogates

Tactic

Typical Example

Why It Works

Mouth fresheners

Vimal Elaichi, Rajnigandha Silver Pearls

Same fonts, colours, jingles and the result is instant recall.

Lifestyle & event sponsorships

Awards, fashion weeks, cricket tours

Logo splashed everywhere, but no can of pan masala in sight.

Music labels & OTT tie-ins

Branded music videos, reality-show titles

Digital ads slip through lighter scrutiny.

Off-beat SKUs

Saffron, bottled water, even apparel

Just enough retail presence to claim legitimacy.

Even the “clean” line of business is massive but it’s just pocket change next to pan masala:


ree

Segment

Latest Market Size

Pan Masala (2024)

₹ 46,682 crore

Mouth-Fresheners (2021)

₹ 9,775 crore

In other words, for every rupee earned by “elaichi pearls,” roughly ₹5 pour in from pan-masala proper.


What Counts as a Legal Surrogate Ad?

Regulators insist that any brand extension must:

  1. Be a genuine, widely sold product with audited sales.

  2. Use distinct packaging, tag-lines & visuals from the banned SKU.

  3. Avoid alcohol- or tobacco-style cues (paan leaves, red stains, spittoons).

  4. File sales data & affidavits on request with ASCI or the Ministry of I&B.

Miss a box and you’re primed for takedown—or a courtroom summons.


Enforcement: Still Playing Catch-Up

  • Reactive, not preventive: Actions begin only once an ad goes viral.

  • Patchwork state rules: A spot banned in Delhi might run unhindered on a neighbouring regional channel.

  • Influencer grey zone: Paid reels often skip #ad tags and health warning. The issue related to this grey area is now facing scrutiny before various Courts.

  • Research spotlight: Studies found 41% of ads shown during the ICC World Cup 2023 were smokeless-tobacco surrogates.


Field-Tested Compliance Checklist

So what can your brand do to make sure you are saved when the regulators call?


  1. Archive every invoice for the sale of the surrogate product.

  2. Separate media budgets for the surrogate and the restricted SKU.

  3. Pre-vet creatives with ASCI; an advisory is cheaper than a writ.

  4. Audit celebrity contracts, Brosnan’s apology became Exhibit A.

  5. Monitor e-commerce listings: state bans now extend to digital storefronts.


Conclusion: The End of Easy Loopholes?

Pan-masala marketers turned loophole-hunting into a big-budget art form, glossy enough for Bollywood, lucrative enough for stadium rights, and compelling enough to rope in an ex-Bond. But numbers don’t lie, the “legal” elaichi line might sparkle, yet it’s dwarfed by the ₹46-thousand-crore pan-masala juggernaut.


If you are part of an FMCG, remember that surrogate success lasts only until the next headline or health-policy swing. In the long game of brand value, proactive compliance beats clever evasion every single time.

surrogate advertising


This is the third article in our series exploring the advertising laws in India. You can read our article covering the Infant Nutrition industry and the Alcohol Industry here and here.

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