Jyoti Limited , a prominent industrial equipment manufacturer, has received a Show Cause Notice from the Office of the Assistant Commissioner of Customs, Jawaharlal Nehru Customs House, Nhava Sheva. The notice, dated September 24, 2025, and received on October 14, 2025, alleges violations of Project Import Regulations, 1986 under sections 124 and 18 of the Customs Act, 1962.

Key Details of the Show Cause Notice

Allegations and Demands

The customs department alleges that Jyoti Limited violated the Project Import Regulations, 1986. Consequently, they are demanding differential custom duty on goods worth Rs. 34.58 crores that were imported in 2012 for the Upper Bhadra lift irrigation scheme. The demand also includes applicable interest and penalties.

Company's Response and Project Status

Jyoti Limited has stated that it plans to file a reply against the notice. The company believes it has a strong case on merits and does not anticipate any material impact on its financial, operational, or other activities.

The project in question has been extended multiple times, with the current extension running until March 31, 2026.

Potential Implications

While Jyoti Limited expresses confidence in its position, the outcome of this case could have significant implications:

1. Financial Impact: If the customs department's claims are upheld, Jyoti Limited may face substantial financial liabilities, including the differential duty, interest, and penalties.
2. Operational Considerations: The case might affect the company's future participation in similar projects or its approach to project import regulations.
3. Regulatory Scrutiny: This case could potentially lead to increased regulatory oversight of Jyoti Limited's import practices.

Stakeholders will be closely monitoring how Jyoti Limited addresses this regulatory challenge and its potential impact on the company's operations and financial health.

Jyoti Limited , a prominent player in the pump manufacturing sector, has announced a significant new order that bolsters its position in the irrigation infrastructure market. The company has secured a contract worth Rs. 10.91 crores from Nand Infrastructure & Projects, Bhavnagar for the NWR Tharad - Dhanera Lift Irrigation project.

Order Details

Contract Specifics

The contract includes several key provisions:

• Payment Terms: As per the purchase order
• Inclusive Components: Packing, forwarding, freight, and insurance
• Guarantee: 18 months from the date of dispatch or 12 months from commissioning, whichever is earlier

This is a domestic order, and there is no promoter group interest in the awarding entity, ensuring transparency in the contract allocation process.

Significance of the Order

This order demonstrates Jyoti Limited's continued relevance in the irrigation infrastructure sector. The supply of VT (Vertical Turbine) pumps with HT (High Tension) motors for a lift irrigation project underscores the company's technical capabilities in providing specialized equipment for large-scale water management projects.

The order's value of Rs. 10.91 crores represents a substantial contract for Jyoti Limited, potentially contributing to its revenue stream over the next two quarters, given the 6-7 month delivery period.

Market Implications

Such orders can be viewed positively by investors as they indicate:

1. The company's ability to secure new business in a competitive market
2. Potential for improved financial performance in upcoming quarters
3. Validation of the company's product quality and reliability in critical infrastructure projects

As the irrigation sector continues to be a focus area for development, especially in agrarian economies, companies like Jyoti Limited that cater to this sector may find opportunities for growth and expansion.