2001 (8) TMI 349 - SC - Customs

Imported in-shell almonds not considered seeds under Import Control Policy criteria. Compliance key for benefits.

The Supreme Court upheld the Division Bench's decision that in-shell almonds imported by the appellants did not qualify as seeds under the Import Control ... Whether the in-shell almonds imported by the appellants were seeds/ bulbs/mother plant germ plasm? Held that:- In the present case what was imported by the appellants was not seeds for germination or plantation and would not fall under the relevant entry of seeds/bulbs/mother plant germs plasm. This being so, the present appeal fails and is dismissed. Issues:- Determination of whether in-shell almonds imported were seeds/bulbs/mother plant germ plasm.Analysis:The main issue in this case revolved around whether the in-shell almonds imported by the appellants qualified as seeds/bulbs/mother plant germ plasm as per the relevant entry in Appendix 17 of the Import Control Policy. The appellants utilized a replenishment license based on their exports, but the customs authorities refused clearance, imposing fines and penalties. The Division Bench observed that the imported goods did not meet the criteria of seeds related to fruits, vegetables, and flowers for germination or plantation as specified in the policy. The court emphasized that the term 'seeds' in the policy was not generic but specific to items with a direct nexus to the exported products. Despite arguments that almonds could be considered seeds generically, the court held that the purpose of import must align with the restrictions outlined in the policy, which was not the case for the appellants. Consequently, the court upheld the Division Bench's decision that the imported almonds were not eligible under the seed category, leading to the dismissal of the appeal.In conclusion, the Supreme Court concurred with the Division Bench's finding that the in-shell almonds imported by the appellants did not qualify as seeds for germination or plantation under the relevant entry in the Import Control Policy. As the imported goods did not meet the specific criteria outlined in the policy, the court dismissed the appeal. This case underscores the importance of adhering to the precise terms and conditions of import policies and the necessity for imported goods to align with the designated categories to receive clearance and benefits under relevant licenses.