Coca-Cola's Indian executives were not prepared to discuss the potential impact of opposition to its activities but released a lengthy statement to GlobalPost.
It said its Varanasi bottling plant had been in operation for 15 years within all regulations and laws and described the authorities' decision to close down the factory by withdrawing consent for operation as "an unprecedented move," which Coke will challenge at a tribunal on June 20.
"As part of the withdrawal of the consent, we were not allowed or even asked to present any facts or explain our position — in essence, being denied due course," the company said, adding that it was "a responsible and law abiding corporate citizen that has always complied with all regulatory norms both in letter and spirit."
The company said that Indian government officials from the Central Ground Water Board did not believe declining water levels in Varanasi were due to the Coca-Cola plant.
-- By James Tapper of Global Post, a CNBC partner