Jun 26, 2014

LIQUOR CONSIGNMENTS BEING HELD UP AT AIRPORTS

NEW DELHI: Failure of European wine and Scotch makers to comply with India's new food labeling requirements has resulted in liquor consignments being held up at some airports — a fallout of the latest spat between New Delhi and the European Union, the 27-nation trading bloc.
The Food Safety and Standards Authority of India (FSSAI) recently notified new norms that require bottlers to disclose ingredients used in a drink. Several European winemakers and the Scotch manufacturers have, however, refused to comply with the guidelines arguing that the alcoholic beverages are made only from one ingredient. In any case, these requirements are not there in European markets, said a source familiar with the discussions.
Indian authorities have countered it, saying that preservatives and caramel may have been used in the liquors and need to be disclosed. "Besides, these are India's legal requirements that need to be complied with if anyone wants to sell in the market," said an official.
A EU delegation is flying down to India for a meeting of the Joint Commission on standards to resolve the impasse.
The stand-off has resulted in some of the consignments being held up at airports, although customs authorities said that the quantities are not very large. "The demand comes down during the summer months resulting in lower imports. States also introduce new excise policies at the start of the financial year, which slows down the flow of consignments into India," a customs official said.

The dispute over food labeling standards is the latest spat between India and the EU, which banned the import of Alphonso mangoes and four other vegetables — eggplant, the taro plant, bitter gourd and snake gourd - from India, citing the presence of pests such as fruit flies in them. The Centre has taken up the issue and a European delegation is expected to visit India in September to review the situation. But the "temporary ban" has meant that mango farmers are losing out on a season of exports.
Even boxes used as packing material are under lens and there have been reports of paan leaves facing restrictions in the EU.

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