CCP fines Mizan Beverages Rs 150 million for copying PepsiCo’s Sting

Accused of imitating Sting’s overall design, color combination, bottle shape and branding

A fine of Rs150 million was imposed on Friday on Mizan Beverages (Pvt) Ltd for copying the packaging and trade dress of PepsiCo’s energy drink ‘Sting’ by the Competition Commission of Pakistan (CCP).

According to the Commission, Mizan’s ‘Storm’ energy drink imitated the general design, color combination, bottle shape and branding of Sting, thereby creating a clear risk of consumer confusion. The Commission termed this as stray copying, in violation of Section 10 of the Pakistan Competition Act, 2010.

Section 10 of the Pakistan Competition Act, 2010 prohibits companies from engaging in “deceptive marketing practices”.

The Act defines deceptive practices to include: disseminating “false or misleading information that may harm the commercial interests of others”; the dissemination of false or misleading information to consumers; “false or misleading comparison of products being advertised”; or “fraudulent use of another’s brand, company name, labeling or packaging of a product.”

Read: PCC imposes penalties of Rs2.36 billion in 2025

The case had been ongoing since 2018. PepsiCo Inc. had filed a lawsuit claiming that Mizan Beverages designed “Storm” to closely resemble Sting and illegitimately benefit from PepsiCo’s brand reputation. Instead of addressing the merits, Mizan challenged the Commission’s authority in court, obtaining interim injunctions that repeatedly delayed the investigation for several years.

Last year, the Lahore High Court rejected Mizan Beverages’ petition, upholding the PCC’s authority to conduct the investigation. The court noted that Mizan had used legal injunctions to block the Commission’s proceedings and ordered CCP to complete its investigation and issue a decision.

The Competition Commission’s detailed decision stated that Storm’s red color scheme, slanted white letters and bottle shape closely resembled Sting. These brand elements could mislead ordinary consumers. The Commission stressed that having a trademark for “Storm” does not exempt a company from competition law if it misleads consumers.

PCC President Dr Kabir Sidhu said that copying of brands and use of misleading packaging or marketing will not be tolerated, regardless of the size of the company, and strict action will be taken.

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