Prompt exercise of discretion in cases of perishable goods and the allowance of provisional clearance/assessment in cases of classification disputes to prevent congestion at ports and warehouses.

JUDGMENT

(Prayer: Writ Petition filed under Article 226 of the Constitution of India, to issue a Writ of Mandamus, directing the respondents herein to Assess and Release the goods viz., 54,000 Mts., viz., 675 Bags of Betel Nut Product known as (Unflavoured Supari) of Indonesia Origin imported from The Republic of Indonesia vide Bill of Entry No.7667115, dated 27.02.2022, totally valued at USD 81,000.00 for 54,000 Mts.)

Common Order:

1. The respondents in all cases are the Customs authorities. The Directorate of Revenue Intelligence has filed Miscellaneous Petitions in WMP.Nos.13829, 13832 & 13836 of 2022 seeking to implead themselves as necessary parties. However, after some discussion and in the nature of the order proposed to be passed, I feel that the presence of the DRI in this matter at this juncture is unnecessary. Hence, the petitions for impleadment are not entertained.

2. This batch of writ petitions has been filed by importers, according to them, of unflavoured Supari (Betal Nut Product) ('goods in question'), from various countries. The consignments had all been imported on 27.02.2022. In one batch of writ petitions, that is in WP.Nos.11942, 11260, 11277, 11414, 11662, 13314 of 2022 and WP.No.8604 of 2022, the petitioners have been served with seizure memoranda issued by the 4th respondent intimating the petitioners that the consignments have been seized.

3. In WP.Nos.12473, 12474 & 12477 of 2022, the petitioners would deny receipt of seizure memoranda, but are before the Court insofar as their consignments have also, admittedly, been seized.

4. Some of the petitioners have filed applications for provisional release of the consignments under Section 110A of the Customs Act, 1962 (in short 'Act') on the following dates:

5. The prayers of the petitioners are either for quash of the seizure memoranda issued by the 4th respondent and release of the perishable imported consignment of unflavoured supari (Betel Nut Product) or for a mandamus directing the respondents herein to assess and release the goods in question.

6. The Customs Tariff classifies ‘Areca nuts’ under 0802/Chapter-8 Entry 0802 80 as follows:

The stand of the revenue is that all the consignments imported would fall within the above classification.

7. Per contra, the stand of the petitioners is that their consignments fall under Chapter-21 under the entry 2106 being ‘Food preparations not elsewhere specified or included' reading as follows:

8. In terms of Notification No.20/2015-2020 dated 25.07.2018, the Director General of Foreign Trade has held that all products falling under Chapter-8 are freely importable subject to the condition that the import value is Rs.251/- and above per kilogram CIF. Admittedly, the commodities in all consignments in the present cases, are valued at less than Rs.251/- per kg. Thus, and assuming that the commodities in question were held to fall under the sweep of Chapter 8, they would be categorised as ‘prohibited goods’ as per Notification No.20/2015-202