Commodity prices climb on customs hurdle

Huge Quantities Of Edible Oils, Pulses & Sugar Lying Idle For Lab Clearance At Kolkata Port

A DELAY in clearing samples of edible oils, pulses, sugar and perishable goods has led to consignments being held up at the customs department in Kolkata Port Trust. This is adding to supply woes and driving up prices of essential commodities. Sugar and pulses have already surged between 30% and 50% due to supply-side problems and the customs clearance delay could mean further pressure on prices.
    Close to 17,300 tonnes of sugar and 1.2 lakh tonnes of pulses are lying uncleared, said a Kolkata Port Trust official on condition of anonymity. Though part of the pulses consignment has been cleared, the exact quantity could not be ascertained.
    A Kolkata-based edible oil processor, said that close to 80,000 tonnes of edible oil, 60,000 tonnes of pulses like tur, urad and yellow peas and 40,000 tonnes of sugar and apples are lying uncleared at the port. A delay in receiving the mandatory lab test report from the state's Central Food Laboratory (CFL) is leading to the shipment being stuck with the customs department, say importers and officials at the port.
    Samples of these commodities have to be sent to the CFL, which issues a test report. The lab, which was earlier under the ministry of health, has now been shifted to Food Safety and Standards Authority of India (FSSAI), resulting in unrest among staff.
    The delay in clearing the samples is on account of administrative problems and 'issues' with local staff, FSSAI chief executive VN Gaur said . He added FSSAI has taken certain measures, including authorising two additional testing laboratories and appointing a new officer at CFL.
    "Almost 50% samples have been cleared and the remaining will be cleared by end of this week," Mr Gaur said. The additional agencies appointed by FSSAI include the state's Public Analyst Lab and Export Inspection Agency but importers and port officials feel these labs are not well equipped for testing.
    FSSAI is also in process of authorising three additional laboratories for testing, Mr Gaur said. "I don't think there should be any problem in future," he added.