Raghu Seeds and Farms and Others Etc. v. the Union of India and Ors. Etc.
YOGESHWAR DAYAL, J. By Transferred Case Nos. 4, 5 and 48 of
1986 and Writ Petition (Civil) Nos. 15337-15338 of 1984 the petitioners
herein have challenged the constitutional validity of the Seeds (Control)
Order, 1983 purported to have been issued in exercise of the powers
conferred by Section 3 of the Essential Commodities Act, 1955 (hereinafter
C referred to as 'the Act') as being unconstitutional, ultra vires and void, The
petitioners have also challenged the declaration of seeds of food-crops &nd
seeds of fruits and vegetables as the essential commodities by the Govern
ment of India, Ministry of Civil Supplies contained in the order dated 24th
0
February, 1983 also issued under the Act. ·
Section 2 of the Act is the definitions section and inter alia clause (a)
thereof defines "essential commodity". The relevant part of clause (a) reads
as follows:
"(a) "essential commodity" means any of the following classes of
commodities -
(i) cattle fodder, including oilcakes and other concentrates;
(ii) coal, including coke and other derivatives;
(iii) component parts and accessories of automobiles;
(iv) cotton and woolen textiles;
(iva) drugs,
G Explanation - In this sub-clause "drug" has the meaning assigned
to it in clause (b) of Section 3 of the Drugs and Cosmetics Act,
1940 (23 of 1940);
(v) foodstuffs, including edible oilseeds and oils ;
H (vi)
-
(vii)
(viii)
(ix)
(x)
RAGtHJ SEEDSv. U.Q.I. [DAYAL,J.] 483
(xi) any other class of corpmoclity which the Central Government
may, by notified order, declare to be an essential commodity for
the purposes of this Act, being a commodity with respect to which
Parliament has power to '1lake laws by virtue of Entry 33 in List
ID ln the Seventh Schedqle to the Constitution;" C
, By the impugned notified order dated 34th February, 1983 the
Central Government in exercise of the powers conferred by sub- clause (xi)
of clause (a) of Section 2 of the Act decl!ifed the following seeds used of
sowing or planting (including i;eedfuigs and tubers, bulbs rhinzomes, roots, D
cuttings and all types of graftii and other vegetatively propagated material
of foods crops or cattle fodder) to be essential commodities for the
purpose of the said Act, namely -
"(i) Seeds of food-crops and seeds of fruits and vegetables;
(ii) Seeds of cattle fodder and
(iii) jute seeds. •
After issuing the said notified order declaring inter alia the seed of
food-crops and seeds of fruits and vegetables as essential commodities the F
Central Ooveroment issued the impugned Seeds (Control) Order, 1983
purported to be in exercise of the. powers conferred by Section 3 of the
Act. It inter alia contemplates that th~ persons carrying on business of
selling, exporting or importing seeds to obtain licence. ·It also inter alia
provides for grant and/or refusal of the licence; renewal of the licence and G
various ancilliary provisions for suspension, cancellation of licence and
submissions of various returns including provision of punishment for viola-
tion of the Seeds (Control) Order, 1983.
The basic question involved iJl these matters is the validity of the
11otified order dated 24th February, 1983 whereby inter alia seeds of H
484 SUPRErvi:E COURT REPORTS (1993) SUPP. 3 S.C.R.
A · food-crops and seeds of fruits and vegetables have been declared as
essential commodities for the purposes of the Act. The validity of the
notified order inter alia is challenged on the ground that the seeds of
food-crops and seeds of fruits and vegetables are not class of commodities
which could be declared by the Central Government as essential com-
B modities for the purposes of the Act. The argument is that it is so because
such a commodity is not a commodity in respect of which the Parliament
has powers to make law by virtue of Entry 33 of List III of the Vllth
Schedule to the Constitution of India. Entry 33 of List III of the Vllth
Schedule to the Constitution of India reads as follows :
C "33. Trade an commerce in, and the production, supply and dis
tribution of, -
(a)
(b) Foodstuffs, .including edible oilseeds and oils;
(c)
(d)
(e)
It is clear that the aforesaid Entry 33 deals with not merely trade and
commerce in, but also in the production, supply and distribution of, various
products and articles mentioned in clauses (a) to (e) thereof. Clause (b)
of Entry 33 n;:tentions 'foodstuffs' as a class of commodity wlµch includes
edible oilseeds and oils. The main thing to be noticed in that the Entry
F deals with not merely trade and commerce in foodstuffs but also in relation
thereof in production, supply and distribution as well. Once it is clear that
Entry 33 deals with production,· it is obvious that the seeds are a vital
commodity having direct connection with the production of the foodstuffs
to which it relates. Therefore, seeds of foodstuffs is an item which has
G direct bearing with the production of the foodstuffs and consequently it is
competent for the Parliament as well as States to make laws in relation to
seeds o( foodstuffs. Surely seeds of food-crops and seeds of fruits and
vegetables relate to foodstuffs.
The various entires in three lists are fields of legislation. See Calcutta
H Gas Company (Proprietary) Ltd. v. State of West Bengal and others, AIR
RAGHUSEEDSv. U.0.1. (DAYAL,J.) 485
(1962) S.C. 1044 and Harakchand Ratanchand Banthia and others etc. v. A
Union of India and others, [1970] 1 S.C.R. 479 at 489.
Again it is well established that the language of the various entries
sh~uld be given the widest scope of which their meaning is fairly capable.
Therefore there is no doubt that the notified order dated 24th B
February 1983 was intra vires the powers conferred by sub· clause (xi) of
clause (a) of Section 2 of the Act. Once the said notified order becomes
valid, the Seeds (Control) Order, 1983 is within the power of the Central
Government under Section 3 of the Act
These petitions, therefore, fail and are dismissed with costs. C
G.N. Petitions dismissed.