2014 (6) TMI 751 - HC - Customs

Confication of goods - fermented and dried Coco Beans - Assessee contends that Food Safety and Standards Authority of India (FSSAI), on inspection, found that coco beans were contaminated with fungal growth. As per the prescribed standards, the materials should be free from fungus - Held that - respondent states the measures that are to be taken while importing food products. It is inter alia stated that import of all edible/ food products including tea, domestic sale and manufacture of which are governed by Food Safety and Standards Act, 2006 and Rules thereunder, shall also be subject to the conditions laid down in the aforesaid Act and Rules framed thereunder and the import of all these products will have to comply with the quality and packaging requirements as laid down in the Act. As it is indicated that Cocoa Beans comes under food product , coming within the schedule to the said Act, unless it is cleared by the FSSAI Department, it may not be possible for the petitioner to take release of the goods - there is no reason to permit release of the aforesaid goods to the petitioner - Decided against assessee.

Summary

Issues:
1. Release of goods detained due to fungal contamination.
2. Compliance with Food Safety and Standards Act, 2006 for imported food products.

Analysis:
1. The petitioner sought the release of goods imported under Ext.P6 Bill of Entry, including 132 bags of fermented and dried Coco Beans found contaminated with fungal growth by the Food Safety and Standards Authority of India (FSSAI) as per Ext.P7 report. The petitioner argued that after fumigation, the fungal growth would be eliminated, justifying the release of goods. However, the 1st respondent indicated that import of food products, including cocoa beans, falls under the Food Safety and Standards Act, 2006, requiring clearance by FSSAI before release. The court noted the necessity of compliance with quality and packaging requirements under the Act, leading to the dismissal of the petition for release of goods.

2. The 1st respondent highlighted the mandatory requirement of FSSAI clearance for imported food products, emphasizing the need for permission from FSSAI for Customs clearance. Despite the petitioner presenting Ext.P9, a certificate from the Director of Plant Protection, Quarantine & Storage Department, Government of India, indicating the consignment as 'passed', the court deemed this insufficient without FSSAI approval. The judgment dismissed the petition for release but granted the petitioner liberty to seek re-export permission from the respondent authority following prescribed procedures.

In conclusion, the judgment denied the release of goods due to fungal contamination, emphasizing the necessity of FSSAI clearance under the Food Safety and Standards Act, 2006 for imported food products. The petitioner was granted the opportunity to explore re-export options following the prescribed procedures.