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2015 (7) TMI 1097

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..... , the submission of the respondents that the conditions need to be certified as the other ingredients viz. cheddar cheese, butter, milk protein concentrate have been imported from other countries by the manufacturer in Egypt in addition to skimmed milk powder from India, finds favour with this Court. It is a contention of the respondents that the concerned department has asked the petitioner to submit the test reports and animal rennet certification conducted by the Egyptian authority so that the department can examine and take a considerate view, but the petitioner has failed to oblige. Since it has been confirmed now that the Egyptian authorities will not issue the health certificate as per the Indian requirement for this particular consignment, this court is of the view that the testing of the samples has to be conducted in India. There is no justifiable reason so as to understand why any deficiency on the part of the Indian importer/petitioner cannot be made up by the petitioner itself in India. The object of this entire process is to satisfy the respondents/concerned authority that no animal rennet has been used in the process of creation of the subject goods. In order to i .....

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..... s imposed certain restrictions on import of inter alia milk and milk products. Pursuant to the notification, import of milk and milk products is allowed only against a sanitary import permit issued by the DADF and after following the applicable procedure. A similar condition has also been provided in the Notification No. 18(RE-2013)/2009-14 dated June 11, 2013 issued by the Directorate General of Foreign Trade. The Livestock Import Notification also specifies the procedure pursuant to which the sanitary import permit would be issued by DADF. 3. The petitioner in due compliance with the applicable laws applied for a certificate to the DADF for import of the subject goods and filed an application describing the product sought to be imported and mentioned that the livestock product would be produced in Egypt. In response, DADF, Ministry of Agriculture issued Permit Letter No. 0697/2014/DADF dated 26.05.2014 (hereinafter referred to as Import Permit ) and allowed the petitioner to import the subject goods from Egypt into India. The Import Permit required that the consignment should be accompanied by an official sanitary certificate issued by the authorized officer from the country .....

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..... this regard were also produced, however, the concerned officer still refused to issue the NOC. The petitioner even wrote a letter dated 28.11.2014 with the offices of respondent No.2, 3 and 4 reiterating the fact that all details that were required in the prescribed format were present in the sanitary certificate issued by the veterinary authority in Egypt. After repeated meetings/discussions and follow ups with respondent No.4 on numerous occasions, the representative of the petitioner was informed that the DADF had sought assistance of the Indian Embassy in Egypt to seek the sanitary certificate in the requisite form from the authorized veterinarian in Egypt. On 07.01.2015, the representative of the petitioner was informed that the counselor of the Indian Embassy, Cairo responded to the email sent by the office of respondent No.4. In reply, the counselor has clearly stated that the General Organization for Veterinary Services has confirmed that the samples of the subject goods from the exporter were tested and found to be fit and no issues were found in the samples that were tested. At present, duty paid subject goods are lying in a bonded warehouse as the same cannot be cleared .....

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..... ilk powder of Indian origin) are free from diseases and the ingredients were cleared for consumption in Egypt only after analysis at the port of arrival. It was confirmed that the milk powder from India had been examined and found fit for preparation of the cheese. The sanitary certificate was also accompanied by a health certificate issued with respect to the factory where the subject goods were produced. Therefore, it is evident that the subject goods met the requirements set out in the Import Permit read with the sanitary certificate. Since the subject goods were produced with powdered milk, therefore the aforesaid certifications could not be given verbatim by the authorized Veterinarian as the sanitary certifications in the prescribed format only make reference to liquid milk. The correspondence between the DADF and the Counselor of the Indian Embassy in Cairo, Egypt also shows that the Egyptian government has reiterated that the subject goods are fit for use. 7. It was also contended by the learned counsel for the petitioner that under the applicable regulation, the petitioner was not required to disclose anywhere the source of raw materials that were used in the preparatio .....

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..... s every possibility of using animal rennet in the coagulation process of cheese. The animal rennet clause has not been certified which is a violation of FSSAI regulation also. The Department of animal husbandry dairying and fisheries (for short ‗the department ) took the matter with Indian Embassy in Cairo with the request to approach the Egyptian veterinary authority to verify India s health certificate so that the consignment can be released. The Indian embassy in Cairo has forwarded a letter of Dr. Sayed Gad EL-Mowla, Head of Egyptian Veterinary Quarantine (for short GOVS ) addressed to Counselor, Indian Embassy, Cairo. The Egyptian authority shall not issue the health certificate as per Indian requirement for this particular consignment. However, the department asked the firm to submit the test report and animal rennet certification so that the department can further examine and take a view. The petitioner never asked the Egyptian authorities to issue the health certificate as per India s requirement. 10. It was further contended by the learned counsel for the respondents that in the notification S.O. 2666 (E) dated 17.10.2014, which has superseded notification S.O. 6 .....

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..... ede the Livestock Importation Act. FSSAI is mandated for the import clearance from the domestic standard requirement after the products entered in India. Prior to the shipment from the foreign port, the consignment has to be certified by the exporting country meeting the sanitary requirements prescribed in the SIP stating that the product confirms to India s requirement. The petitioner is in violation of Section 25(1) (ii) 25 (1) (iii) of the FSSAI Act which states, No person shall import to India any article of food for the import of which a licence is required under any Act or Rules or Regulations, except in accordance with the conditions of the licence. 12. Learned counsel for the respondent further contended that the goods imported by the petitioner are not accompanied by the prescribed health certificate of the official veterinarian of Egypt as required in SIP issued under Section 3A of the Livestock Importation Act, 1898. Hence, the quarantine officer, Mumbai has not issued No Objection which is one of the requirements for customs clearance of the goods in addition to the NOC from FSSAI. The sanitary conditions in the sanitary certificate have been evolved after .....

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..... h the conditions of the licence; and (iii) any article of food in contravention of any other provision of this Act or of any rule or regulation made thereunder or any other Act. (2) The Central Government Shall, while prohibiting, restricting or otherwise regulating import of articles of food under the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992), follow the standards laid down by the Food Authority under the provisions of this Act and the rules and regulations made thereunder. 17. Further, Section 3A of the LiveStock Importation Act, 1898 says: 3A. Power to regulate importation of live-stock products .- The Central Government may, by notification in the Official Gazette, regulate, restrict or prohibit in such manner and to such extent as it may think fit, the import into the territories to which the Act extends, of any live-stock product, which may be liable to affect human or animal health. 18. Therefore, cheese is a livestock product. As per notification S.O. 655(E) dated 07.07.2001, the import of milk and milk products is to be allowed only against a sanitary import permit. The petitioner as per the requirement of this notifi .....

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..... ms, Excise And Service Tax Appellate Tribunal South Zonal Bench at Chennai in ‗Customs (Imports) v. Kalra Exim Pvt. Ltd. , 2013 (200) ECR 113 (Tri.-Chennai) is that: Goods in question shall be liable for confiscation if it does not meet labeling requirement laid down by provision of statutes. However, even though the labeling of the subject goods has been so completed as per the necessary requirements, the green symbol indicative of the product being vegetarian has been affixed on the product by the concerned Egyptian authorities and has not been labeled in India. The petitioner has not been able to convince this Court so as to whether the said certification meets the Indian vegetarian requirements and standards. Therefore, the submission of the respondents that the conditions need to be certified as the other ingredients viz. cheddar cheese, butter, milk protein concentrate have been imported from other countries by the manufacturer in Egypt in addition to skimmed milk powder from India, finds favour with this Court. 21. It has been further contended by the learned counsel for the respondents that after exchange of communications between the officials of the tw .....

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