2024 (1) TMI 476 - HC - Customs

Seeking provisional release of consignment of apples - import price below the minimum price of apples for import at Rs. 50/- per kg. - applicability of N/N. 5/2023 - HELD THAT - In the present case, the Bills of Entry seeks to clear the imports of apples which are imported by the petitioner at a price which is at Rs. 50/- per kg. Thus clearly the price per kilogram being Rs. 50/-, which is not below the price fixed by Notification No. 5 of 2023, it would be correct for the petitioner to contend that the respondents cannot detain the petitioner s consignment on the basis of the minimum price as fixed by the said notification - thus, there is no reason as to why the petitioner ought not to be permitted to clear the goods. It is directed that the imports of the petitioner, which are the subject matter of Bill of Entry No. 8876300 dated 22/11/2023 and Bill of Entry No. 8940516 dated 25/11/2023 be not detained on the ground that these goods are prohibited goods under Notification No. 5/2023, and, on such count, be released on the petitioner furnishing a bond - petition disposed off.

Summary

Issues involved:
The issues involved in the judgment include the clearance of imported apples subject to Notification No. 5/2023, the detention and release of goods by customs, the applicability of minimum price regulations, and the entitlement of the petitioner to seek provisional release based on previous court orders.

Clearance of Imported Apples:
The petitioner sought the release of goods covered by specific Bill of Entry numbers for home consumption, contending that the customs department was not clearing the consignment due to Notification No. 5/2023. The petitioner argued that the notification was inapplicable as the import price was at Rs. 50 per kg, which was not below the minimum price set by the notification. Previous court orders in similar cases supported the provisional release of such imports.

Entitlement to Provisional Release:
The court considered previous cases where similar challenges were addressed, noting that the petitioner's import price was in compliance with the minimum price set by Notification No. 5/2023. The court observed that the revenue's argument regarding a recent confiscation order did not affect the petitioner's entitlement to seek provisional release based on the import price being at Rs. 50 per kg.

Legal Precedents and Consistent Views:
The court highlighted that both the Kerala High Court and the Madras High Court had consistently permitted the clearance of apples subject to Notification No. 5/2023 being stayed. The court emphasized that no contrary judgments were presented, and the stay order by the Kerala High Court applied nationwide. Considering the perishable nature of the imports, the court allowed the petition for provisional release based on the import price being compliant with the notification.

Judgment and Disposition:
The court directed the release of the petitioner's imports of apples covered by specific Bill of Entry numbers, subject to furnishing a bond and appropriate assessment within a specified period. The court clarified that apart from the issues addressed, no other matters were examined, and the petition was disposed of without costs.