Cold Storage Sells Farmer's 48,000 Kg Carrots Without Consent, Faces Rs 31.5 Lakh Penalty

A Madhya Pradesh consumer commission has directed a cold storage facility to pay Rs 31.54 lakh to a farmer after finding that it sold over 48,000 kg of his carrots without permission, causing significant financial loss

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Consumer Commission Finds Cold Storage Guilty of Deficiency in Service

The Madhya Pradesh State Consumer Disputes Redressal Commission held a cold storage operator responsible for failing to safeguard a farmer's produce. The commission observed that the facility did not maintain the vegetables in suitable storage conditions and later sold a large quantity of carrots without obtaining the farmer's consent.

The bench, comprising Justice (Retd.) Sunita Yadav and Member Monika Malik, noted that cold storage facilities exist to protect agricultural produce from spoilage. By failing to preserve the crop and acting without authorization, the operator was found guilty of deficiency in service under consumer protection laws.

Farmer Claimed Huge Financial Loss After Produce Was Sold

The farmer had stored 1,033 bags of carrots weighing around 77,250 kg and 450 bags of beetroots weighing about 42,379 kg. Months later, he was informed that the vegetables had spoiled and had allegedly been discarded. However, he later discovered that a significant portion of the produce had actually been sold.

According to records, the farmer received only 387 bags of carrots, while the remaining 646 bags, equivalent to approximately 48,450 kg, were sold by the cold storage facility. The commission also noted that the operator had admitted to selling the produce in response to a legal notice. Claiming financial hardship and mental distress, the farmer sought compensation of over Rs 90 lakh.

Cold Storage Ordered to Pay Rs 31.54 Lakh

The storage facility argued that the vegetables were already affected by heat and that the farmer had been advised to sell them quickly. It also claimed the remaining stock was sold with the farmer's instructions and questioned whether he qualified as a consumer.

The commission rejected these arguments, stating there was no evidence that the produce was already spoiled when it was accepted for storage or that the farmer had authorised its sale. It directed the cold storage operator to pay Rs 29.07 lakh for the value of the carrots, Rs 2.32 lakh towards storage charges already collected, and Rs 15,000 as compensation and litigation costs. The total amount of Rs 31.54 lakh must be paid within two months.

The ruling reinforces that service providers, including cold storage operators, are accountable for protecting customers' property and cannot dispose of or sell stored goods without clear consent. The decision also highlights the legal remedies available to farmers and consumers when service providers fail to meet their responsibilities.