Mr. Saurabh Kapoor, Adv v. UNION OF INDIA ORS

Through: Mr. Sanjib Kumar Mohanty, SPC along with Mr. Amit Acharya, GP and Mr. Subesh Kumar Sahu, Mr. Aditya Acharya, Advs. for R-1 Ms. Anushree Narain, SSC with Mr. Ankit Kumar, Adv. for R-2 to 7. CORAM: JUSTICE PRATHIBA M. SINGH JUSTICE RAJNEESH KUMAR GUPTA % O R D E R 28.03.2025

1. This hearing has been done through hybrid mode. CM APPL. 16594/2025 (For Compliance)

2. This is an application filed by the Petitioner seeking permission to place on record additional documents annexed as Annexures P28 to P31 in the main writ petition being W.P.(C) 2767/2025.

3. For the reasons stated in the application, the documents annexed as Annexures P28 to P31 to the writ petition are taken on record.

4. The application is disposed of. W.P.(C) 2767/2025

5. The present petition had been filed by the Petitioner under Article 226/227 of the Constitution of India, inter alia, seeking release of the goods i.e., fresh garlic which has been imported by the Petitioner from Afghanistan without any condition of furnishing of a bank guarantee. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/04/2025 at 12:23:08

6. The case of the Petitioner was that it had imported one consignment of fresh garlic from its foreign supplier in Afghanistan via Dubai. According to the Petitioner, Afghanistan falls under the South Asian Free Trade Area (SAFTA) region and therefore such products are importable without payment of any duty.

7. The writ petition was disposed of vide order dated 11th March, 2025 vide which the Court had granted an opportunity to the Petitioner to clarify, before the Respondent/Department, the source of the Goods imported. The matter, accordingly, was listed for compliance.

8. Today, a compliance report dated 18th March, 2025 has been placed on record by the Customs Department. A perusal of it reveals that Respondent/Department has examined the matter in detail and refused to accept the Petitioner’s claim for preferential Duty under SAFTA. The relevant paragraphs are extracted below: “10. Since, the Importer has so far failed to provide requisite the garlic mentioned in the said documents to prove that certificates of Origin have in-fact been transported from Afghanistan to Dubai and the same has been exported to India from Dubai, UAE. The Importer vide email dated 18.03.2025 has submitted that the concerned Goods were shipped from Afghanistan to India via Dubai and that the Foreign Exporter has informed that services of Shipping Agents were obtained who made arrangements for shifting and transportation of Goods into India. This submission of the Importer is not in conformity with the provisions of the said rules of origin. As per the export declaration filed before the Dubai Customs, the exporter of Garlic is M/s Wardat Al Madina Food Stuff Trading LLC contrary to the name of exporter mentioned in the said COOs as the said M/s Khalid Zobair Limited, Afghanistan. Further, declaration dated 20.12.2024, filed before Dubai Customs is not a Transit document as claimed by the Importer. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/04/2025 at 12:23:08

11. As per the Agreement on South Asian Free Trade Area (SAFTA), notified vide Notification No. 75/2006-Customs (NT) dated 30.06.2006. the import duty exemption is available on the goods which are wholly produced and obtained in a member country of SAFTA. In this case, as per the said Certificates of Origin, bearing Sr.No. 38896 and 38897 both dated 08.10.2024, the consignment of garlic was to be routed by road from Afghanistan via Islam Quala Border to Sea Bandar Abbas to Mundra Port for further delivery at ICD Ludhiana. However, as per the Bill of Lading No. MNJ/JEA/Mun-4522/24, dated 23.12.24, the said goods have been loaded from Jabel Ali port, Dubai and reached at ICD Sonepat. There is change in the route of transportation of the garlic from what was mentioned in the Certificates of Origin and there is also change in destination port of the goods from ICD Ludhiana to ICD Sonepat, contrary to what was mentioned in the said COO Certificates. Further, the Transit Certificates bearing no. 16268 and 16269 both dated 08.10.2024, as submitted by the Importer, also do not show that the said good were transported from Afghanistan to Dubai. It is nowhere mentioned in the said certificates that the concerned garlic was transported from Afghanistan to Dubai, UAE ie Non- member country of SAFTA. I

12. Therefore, the Importer could not provide any document to show that how the said goods were transported from Afghanistan to Dubai, UAE (Non-member country of SAFTA. Since, the importer has claimed exemption from import duty on the concerned garlic, they are required to comply with the provisions of Article-17 & 18 read with Rule-12 of Rules of Determination of Origin of Goods under the Agreement on South Asian Free Trade Area (SAFTA), notified vide Notification No. 75/2006-Customs (NT) dated 30.06.2006. Therefore, the claim of preferential rate of duty by the Importer appears liable to disallowed.”

9. Learned Counsel for the Petitioner appears and wishes to make further This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/04/2025 at 12:23:08 submissions on the ground that the Respondent/Department even in the order dated 18th March, 2025 have not considered the Petitioners submissions.

10. In view of the Special Benches listed today, it will not be possible to hear the matter.

11. Accordingly, list on 9th April, 2025 request of ld. Counsel for the Petitioner. PRATHIBA M. SINGH, J RAJNEESH KUMAR GUPTA, J MARCH 28, 2025 kk/Ar. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/04/2025 at 12:23:08