US officials said today they had mounted a sting operation against two major firms illegally importing honey from China and selling it on the American market, avoiding USD 180 million in anti-dumping duties.
US Immigration and Customs Enforcement (ICE) described the bust as "one of the largest criminal anti-dumping cases in history."
The offence involved Chinese honey either being mis-declared as another commodity or trans-shipped through other countries such as India, Russia and Thailand to avoid trade duties.
Five people have been arrested and charged and the two firms, Honey Holding of Texas and Groeb Farms of Michigan, agreed to pay fines of USD 1 million and USD 2 million respectively.
"This successful sting operation is sure to be a buzz kill for would-be honey smugglers," US Senator Charles Schumer said in a statement.
"For too long, foreign smuggling of this product has created a sticky situation for domestic honey producers. We need a zero-tolerance policy when it comes to honey laundering."
ICE deputy director Daniel Ragsdale, who announced the results of what he dubbed "Project Honeygate", deployed a less successful metaphor, warning cryptically: "Honey is just the tip of the iceberg."
Dozens of other commodities imported into the United States under false descriptions or origins, authorities said, costing the US taxpayer billions of dollars in lost import duties.
Ragsdale was quick to insist there was "no health and safety risk" despite some of the 4,900 barrels of seized honey being adulterated with antibiotics not approved by the US Food and Drug Administration.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
