Settlement with Exporting Firm

The Gujarat High Court on Friday ordered the release of the vessel SW South Wind I. After a settlement was reached between the vessel’s sub-charterer and MEIR Commodities India Limited. Justice Aniruddha P. Mayee issued the order following the sub-charterer's agreement to pay MEIR Commodities a settlement amount of $250,984. As part of the settlement, MEIR Commodities committed to withdrawing its case once payment is received. Which will enable the Deendayal (Kandla) port authorities to release the vessel.

Pending Arrest Orders and Shipping Irregularities

Despite the settlement with MEIR Commodities, two additional arrest orders are pending against SW South Wind I. Because of claims from Farmart Services Private Ltd and Farm Fresh International. MEIR Commodities initially approached the Gujarat High Court after approximately 460 tonnes of its parboiled rice consignments were detained. The Department of Revenue Intelligence (DRI) held the vessel, suspecting it carried white rice mislabeled as organic for export.

Broader Investigation into Organic Rice Exports

The DRI's detention of SW South Wind I followed a media report highlighting irregularities in the export of organic rice. Alleging that some exporters were falsely marketing white rice as organic. Customs detained another vessel, MV Della, under similar suspicions besides SW South Wind I, but released it on October 19. The scrutiny of organic rice exports intensified after shipment volumes in the first four months of this fiscal year surpassed the total exports recorded in 2023-24, raising questions about labeling and export practices within the industry.

Conclusion

The release of SW South Wind I reflects a resolution between involved parties, allowing MEIR Commodities to move forward with its operations. However, the case sheds light on ongoing concerns regarding export practices in the organic rice industry, with authorities continuing to investigate claims of mislabeled shipments. As the demand for transparency grows, these developments may prompt closer monitoring and stricter enforcement to safeguard standards in rice exports.





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