The Madhya Pradesh State Consumer Disputes Redressal Commission has ordered a cold storage facility to pay a farmer ₹31.54 lakh (approximately $37,800 USD) after finding that it sold over 48,000 kg of his carrots without consent and pocketed the profits. The landmark ruling underscores the responsibility of cold storage operators to protect agricultural produce entrusted to their care.
Commission Finds 'Deficiency in Service'
The bench, comprising retired President Justice Sunita Yadav and Member Monika Malik, found the cold storage facility liable for a significant deficiency in service. The farmer had stored a total of 1,033 bags of carrots (approximately 77,250 kg) and 450 bags of beetroots (approximately 42,379 kg) at the facility. While 387 bags of carrots were returned to the farmer, the remaining 646 bags—totaling 48,450 kg—were sold by the cold storage without the farmer's knowledge or permission.
The commission emphasized that farmers utilize cold storage to prevent spoilage from heat or adverse weather conditions. By failing to keep the produce safe at a suitable temperature or, more critically, by selling it without authorization, the facility directly caused financial loss to the complainant, constituting a clear case of deficiency in service.
Farmer's Claim and Evidence
The farmer initially discovered the alleged sale after inquiring about his stored produce, being told it had rotted and was discarded. He later learned the vegetables had been sold for profit. The farmer subsequently sent a legal notice to the cold storage on November 5, 2018, before filing a consumer complaint seeking a payout of ₹90.19 lakh, which included the cost of the crops and additional compensation.
Cold Storage Defense Rejected
The cold storage facility, represented by Advocate Shivangi Trivedi, argued that the farmer had been warned that the produce was already affected by heat and required immediate sale to prevent further spoilage. The defense also claimed the farmer had ignored this advice, sold a portion of his stock, and failed to collect the remaining vegetables, which were then purportedly sold on his instructions. Additionally, the defense suggested the farmer was repeatedly washing and re-storing produce and might have been involved in crop sales rather than solely farming.
However, the commission rejected these arguments, citing a lack of evidence. The facility could not provide any proof that the vegetables were already spoilt upon deposit or that the sale had the farmer's consent. Furthermore, no evidence was presented to support the claim that the complainant was not a legitimate farmer.
Monetary Award and Compensation
The commission ultimately ordered the cold storage to pay:
- ₹29.07 lakh for the cost of 48,450 kg of carrots.
- ₹2.32 lakh representing rent/fare charged from the complainant for keeping 1,033 bags of carrots in storage.
- ₹15,000 as compensation and costs.
This brings the total award to ₹31.54 lakh. The cold storage facility has been directed to make the full payment within two months from the date of the order.