NBG International Pvt Ltd v. The Union of India
Primacy of FSSAI Certification over Customs Department Findings in the Import of Food Items for Human Consumption.
Court: Bombay High Court
Citation: 2026:BHC-AS:13544-DB
Decision Date: 06-03-2026
List of Laws
Constitution of India, Article 226; Customs Act, 1962 (Sections 18, 49, 110, and 110A); Food Safety and Standards Act, 2006 (FSSA Act); Food Safety and Standards (Import) Regulations, 2017; Food Safety and Standards (Food Product Standard & Food Additives) Regulations, 2011
- Facts: The Petitioner, NBG International Private Limited, imported roasted areca nuts in January 2026. The goods were examined by the Food Safety and Standards Authority of India (FSSAI), which issued No Objection Certificates (NOCs) confirming the goods were fit for human consumption and met the required standards under FSSAI Regulations. Despite these NOCs and an initial "out of charge" order for one consignment, the Customs Department (Respondents) put the consignments on hold, conducted fresh examinations, and sent samples to the Central Revenue Control Laboratory (CRCL). Based on CRCL reports alleging the nuts were not roasted and contained moisture/damage, the Respondents issued a seizure memo and an order for provisional release subject to a bank guarantee of Rs. 10 lakhs and a "No Use Bond" stating the goods were unfit for human consumption.
- Procedural Posture: The Petitioner filed a Writ Petition under Article 226 of the Constitution of India before the Bombay High Court challenging the seizure memo dated February 7, 2026, and the conditional provisional release order dated February 20, 2026.
- Issue: Whether the Customs Department has the authority to ignore FSSAI's certification of food safety and re-classify or detain imported food items based on its own contrary findings or CRCL reports?
- Holding: No. The Court held that once the FSSAI, a specialized statutory body, certifies imported food as fit for human consumption, the Customs Department cannot adopt a contrary position to detain the goods or impose arbitrary conditions for their release.
- Reasoning: The Court reasoned that FSSAI is the specialized statutory authority recognized under the Food Safety and Standards Act, 2006, to certify food imports. The Court found no plausible explanation from the Respondents for why re-testing was sought after FSSAI had already issued an NOC. Following the precedent in "Make Index Impex Vs. Union of India", the Court emphasized that Customs cannot "question the wisdom" of FSSAI on matters of food safety. Furthermore, upon physical examination of samples in court, the Bench observed a clear distinction between raw and roasted areca nuts, siding with the Petitioner's classification. The Court concluded that the detention was unjustified and directed the release of goods upon payment of duty and a supervised cleaning process to remove minor damaged parts.
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