Wednesday, 20 November 2013

Rs 1,000 cr processed foods stuck, but importers confident of solution

Wednesday, November 20, 2013 08:00 IST 
Ashwani Maindola, New Delhi

Even as Rs 1,000 crore worth of imported processed foods remain stuck at various ports and airports in the country following the Food Safety and Standards Authority of India's (FSSAI) recent diktat on strict compliance with labeling regulations, food importers are optimistic that the issue may be resolved soon, as the authority seems to be taking steps in that direction – the first being a notification clarifying on some aspects. 

According to the Forum of Indian Food Importers (FIFI), the notification clarified a number of doubts about food import. “Earlier, there was a lack of clarity as far as regulations were concerned. Secondly, we need some time before we could implement those fully,” explained FIFI's Rakesh Banga.

Meanwhile, some food importers observed that for the last couple of months, the authority – under fire for its lackadaisical approach in implementing these regulations (particularly with respect to food imports to India) – implemented the regulations strictly.

During this period, FSSAI started insisting on proper label indicating the product type, price and nutritional value of the imported processed foods instead of stickers. However, Banga stated that it was the food importers' responsibility to get acquainted with the law and plan to avoid any glitch with respect to compliance.

Interestingly, earlier, the repeated amendments in the regulations, in the wake of fears that the country had become a dumping ground for expired foods, had left the importers confused. With the authority insisting on labels instead of stickers, consignments of foods that were already imported and lying at ports and airports suffered delay (despite the fact that there was clarity.)

The result was several items, including chocolates and cookies, were absent from the market this festive season. According to market analysts, about 50 per cent of India's packaged food imports take place during the festive season.

Meanwhile, the pending issues as far as food imports are concerned include 100 per cent sampling of containers coming into the country, slower product approvals, and over 11,000 applications awaiting the FSSAI nod.

However, Amit Lohani, convenor, FIFI, was optimistic that the organisation had made a representation before the authority and the issues were being resolved

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