2014 (8) TMI 1039 - HC - Customs

Detention of Import of assorted chocolates - FSSAI has found these chocolates to be non-compliant with the Food Safety Standards Act, 2006 - Held that -This court by an order dated 04.07.2014 directed FSSAI to forthwith test the petitioner s consignment in accordance with the FICS System. Apparently, the only objection with respect to the eight types of chocolates is with regard to the vegetable oil in the fillings and the same, as discussed earlier, is not sustainable. Accordingly, it is directed that the said goods be cleared subject to the petitioner complying with the other requirements. It is noted that goods in question have been lying in a warehouse since 03.01.2014. The goods being perishable are required to be cleared with utmost expedience. Respondent no.2 is also directed to ensure that clearance of goods is not impeded on account of any further clearances from FSSAI in respect of the eight types of chocolates that FSSAI had found to be non-compliant only in respect of Regulation 2.7.4 of the Food and Additives Regulations. With respect to the eight types of chocolates where the labelling was found to be defective, the petitioner shall cure the same within the customs warehouse by affixing a non-detachable label giving all particulars as are necessary under the Labelling Regulations. The respondent no.2 shall also ensure that sufficient access to the goods is provided to the petitioner in order to enable the petitioner to affix the necessary labels on those goods which have been found to be non-compliant of the Labelling Regulations. FSSAI shall ensure that the goods in question are cleared once the necessary labels have been affixed as directed. - Decided partly in favor of appellant.

Issues Involved:
1. Compliance with the Food Safety and Standards (Packaging and Labelling) Regulations, 2011.
2. Compliance with the Food Safety and Standards (Food Products Standards and Food Additives) Regulations, 2011.

Detailed Analysis:

Issue 1: Compliance with the Labelling Regulations

The petitioner imported 20 different types of Guylian chocolates, out of which FSSAI cleared only four types. FSSAI refused to grant a no-objection certificate (NOC) for the remaining 16 types, citing non-compliance with the Labelling Regulations for eight types and non-compliance with the Food and Additives Regulations for the other eight types.

The petitioner argued that the Labelling Regulations were not applicable to wholesale packages and that the defect of not providing a 'Date of Manufacture' on the label was curable by affixing non-detachable stickers. The petitioner cited an instruction issued by FSSAI on 15.12.2011, allowing the rectification of labelling defects in the customs warehouse by affixing stickers.

The court referred to Section 23 of the FSS Act, which mandates that packaged food products must be marked and labelled as specified by regulations. The mandatory labelling requirements under Regulation 2.2.2 of the Labelling Regulations include providing the 'Date of Manufacture' on the label. The court noted that the purpose of labelling is to ensure that relevant information is available for the benefit of consumers. Therefore, a non-detachable sticker providing all necessary information would sufficiently meet this objective.

The court directed that the petitioner could cure the labelling defects within the customs warehouse by affixing non-detachable labels. FSSAI was instructed to ensure that the goods were cleared once the necessary labels had been affixed.

Issue 2: Compliance with the Food and Additives Regulations

FSSAI rejected eight types of chocolates for non-compliance with Regulation 2.7.4 of the Food and Additives Regulations, which prohibits the use of vegetable fats other than cocoa butter in chocolates. FSSAI argued that the chocolates exceeded the prescribed limit for vegetable fats.

The petitioner contended that while vegetable fats were not allowed in the shell of the chocolate, there was no prohibition on using vegetable fats in the fillings. The court referred to Regulation 2.7.4, which defines 'Filled Chocolates' as products with an external coating of chocolate and a distinct centre. The court noted that the specification regarding vegetable fat applies only to the chocolate shell and not to the filling.

The court found that FSSAI's decision to reject the chocolates based on the vegetable fat content in the fillings was not sustainable. The court directed FSSAI to clear the goods subject to the petitioner complying with other requirements. The court also noted that the goods had been lying in a warehouse since 03.01.2014 and needed to be cleared with utmost expedience.

Conclusion:

The writ petition was allowed with directions for the petitioner to cure the labelling defects within the customs warehouse and for FSSAI to clear the goods once the necessary labels had been affixed. The court also directed the clearance of goods found non-compliant only in respect of Regulation 2.7.4 of the Food and Additives Regulations, subject to the petitioner complying with other requirements. The parties were left to bear their own costs.

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