Delay In Releasing Ludhiana-Bound Kiwi Order Costs Customs Rs 50 Lakh

Punjab and Haryana High Court ordered Rs 50 lakh compensation and customs duty refund to an importer for the loss it incurred due to customs delays and improper handling of the perishable kiwi import.

The kiwi consignment was imported from Chile via Dubai by Prenda Creations.

Source : Canva

The Punjab and Haryana High Court has directed the Customs department to pay Rs 50 lakh as compensation to an importer who suffered heavy loss due to delays in getting his order. The department has also been directed to refund customs duty with 6% interest.

The importer, Prenda Creations, said he suffered the loss after 89,420 kilograms of kiwi fruit imported from Chile via Dubai rotted due to delays spanning over three months in 2023.

Prenda Creations, which imports food items across ports in Mumbai, Mundra, New Delhi and Ludhiana, among others, brought in four refrigerated containers of kiwi.

The consignment, valued at approximately Rs 66 lakh was to be shipped to Ludhiana. But due to some error, it was sent to Mundra. After several hurdles and delays, the consignment faced another roadblock when it finally reached Ludiana. Customs officials raised suspicions about its origin, alleging it came from Iran instead of Chile. This objection was raised despite an export declaration certificate from Dubai Customs proving otherwise.

The high court, in its order, held the Customs authorities at Mundra and Ludhiana, along with the shipping firm M/s Transliner Maritime Pvt Ltd, accountable for their "lackadaisical approach" and "insensitivity" towards perishable goods.

In a 37-page verdict, the court also sounded a clarion call for systemic reforms to ensure the timely handling of perishable imports.