Hyderabad cloud kitchen EatClub loses license over food safety violations

The Telangana food safety department suspended the central kitchen license of EatClub Brands Private Limited, the cloud-kitchen company behind Box8 and Mojo Pizza, on August 1, 2026, citing violations of the Food Safety and Standards Act, 2006.

The kitchen in question sits in Ghatkesar, Medchal Malkajgiri district, on the eastern outskirts of Hyderabad. It functions as the production hub that supplies food to multiple EatClub-operated brands across the city. The suspension follows a physical inspection by Telangana's Commissioner of Food Safety office, which posted details of the action on its official X account (@cfs_telangana).

What the inspection found

Inspectors recorded a long list of violations. Cockroaches, houseflies and rodents were present on the premises. Raw meat, eggs, and vegetarian products were stored together without proper segregation. Workers handled food with bare hands. Temperature-controlled transportation of finished food was inadequate.

Synthetic food colours were found on-site. Their presence alone is not automatically illegal under FSSAI regulations, since certain synthetic colours are permitted in specific food categories, but their storage at a central kitchen without clear documentation of intended use raises questions about traceability and compliance.

The detail that drew the most attention: sugar on the premises was labelled "Pharmaceutical Grade." Food-grade and pharmaceutical-grade ingredients are produced under different regulatory frameworks. Using pharmaceutical-grade sugar in food preparation is unusual and suggests either a procurement irregularity or a documentation failure. FSSAI's food safety regulations require that all ingredients used in food production carry food-grade certification and proper labelling. The department has not yet publicly clarified whether the pharmaceutical-grade sugar was actually used in food or merely stored there.

Inspectors also flagged discrepancies in the kitchen's licensing categories, meaning the activities being carried out may not have matched what the license permitted. Food safety records were not adequately maintained.

Food articles found in violation were seized at the time of inspection. Further action under the Food Safety and Standards Act, 2006 has been initiated, though the department has not specified whether criminal proceedings or financial penalties are being pursued.

Why this matters for consumers ordering online

Cloud kitchens operate without a walk-in dining space, so consumers have no way to observe kitchen conditions before ordering. EatClub Brands runs Box8 and Mojo Pizza as delivery-only or hybrid brands with a significant order volume across Hyderabad, Bengaluru, Mumbai and other cities. The Ghatkesar facility is a central production kitchen, meaning its output reaches multiple delivery zones simultaneously. A single hygiene failure at this level affects far more consumers than a violation at a single restaurant.

The violations recorded here are not minor paperwork issues. Rodent infestation and bare-hand food handling are among the most serious categories under FSSAI's inspection framework. The Food Safety and Standards (Licensing and Registration of Food Businesses) Regulations, 2011 require food business operators to implement a documented food safety management system, maintain temperature logs, and ensure pest control records are current. The inspection suggests these systems either did not exist or were not being followed.

For anyone who has ordered from Box8 or Mojo Pizza in Hyderabad recently, the practical risk is difficult to quantify without knowing how long these conditions existed before the inspection. FSSAI has not released a timeline.

What buyers and home cooks should do

If you order regularly from cloud kitchen brands, the most direct check available is the FSSAI license number, which should appear on the app listing or packaging. You can verify the license status at the FSSAI FoSCoS portal. A suspended license will show as inactive. If a brand's license is suspended and it continues to take orders, that is itself a violation.

When food arrives, check that packaging carries a visible FSSAI license number, the name and address of the food business operator, and a manufacturing or packing date. Absence of any of these is a labelling violation you can report to the Telangana food safety department or through the FSSAI consumer grievance portal.

For those who cook at home and buy packaged ingredients: the pharmaceutical-grade sugar finding is a reminder to check that packaged goods carry "Food Grade" or FSSAI-compliant labelling. Pharmaceutical-grade and food-grade are not interchangeable designations, and ingredients without food-grade certification should not be used in food preparation.

EatClub Brands has not issued a public statement as of the time of writing. The company has not confirmed whether the Ghatkesar kitchen has been shut down voluntarily or whether it is contesting the suspension. Clean Label Guide will update this article if the company responds.

The Telangana food safety department's action is part of a broader inspection drive the state has been running across food businesses in the Hyderabad metropolitan region. Whether similar inspections are planned for other cloud kitchen central kitchens in the district is not yet confirmed.