RATHI KHANDSARI UDYOG ETC. versus STATE OF U.P. AND ORS. ETC.

RATHI KHANDSARI UDYOG ETC. versus STATE OF U.P. AND ORS. ETC.

The legislature has expressly included 'Khandsari' within the scope of 'agricultural produce' under section 2(a) of the U.P. Krishi Utpadan Mandi Adhiniyam, 1964, and this definition is wide enough to cover all varieties of Khandsari, including those produced by factories. The Act’s objective is not limited to protecting producers, but broader market regulation. The court upheld the validity of section 2(a), holding it is not discriminatory or violative of Article 14, and confirmed the liability of petitioners to obtain licences and pay market and licence fees.

Parties
Petitioner: Rathi Khandsari Udyog Etc.; Respondent: State of U.P. and Ors. Etc.
Jurisdiction
India
Judgment Date
22 February 1985
Procedural Posture
Writ Petition / Final Judgment
Outcome
Petitions dismissed
Legal Topics
Validity of Statutes, Market Regulation, Licensing, Discrimination Under Article 14, Agricultural Produce Definition

Case Brief

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Parties

Rathi Khandsari Udyog Etc.

Petitioner

State of U.P. and Ors. Etc.

Respondent

Procedural Posture

Writ Petition / Final Judgment

  1. 1 Whether 'Khandsari Sugar' manufactured by factories is covered under 'agricultural produce' as per the U.P. Krishi Utpadan Mandi Adhiniyam, 1964
  2. 2 Whether petitioners are liable to obtain licences and pay market and licence fees under the Act for production of 'Khandsari Sugar'
  3. 3 Whether section 2(a) of the Act (definition of agricultural produce) is discriminatory and violative of Article 14 of the Constitution

Ratio Decidendi

The legislature has expressly included 'Khandsari' within the scope of 'agricultural produce' under section 2(a) of the U.P. Krishi Utpadan Mandi Adhiniyam, 1964, and this definition is wide enough to cover all varieties of Khandsari, including those produced by factories. The Act’s objective is not limited to protecting producers, but broader market regulation. The court upheld the validity of section 2(a), holding it is not discriminatory or violative of Article 14, and confirmed the liability of petitioners to obtain licences and pay market and licence fees.

Court Disposition

Petitions dismissed

Orders

  • Rule issued in each of the petitions will stand discharged
  • Interim orders will stand vacated