The Constitution of India
Restrictions on trade, commerce and intercourse among States
- Jurisdiction
- India
- Provision
- 304
- Source language
- eng+tel
- Recorded status
- in force
More details
- Recorded status
- in force
Provision text
Official sourceanything in article 301 or article 303, the Legislature of a State may by law—
(a) impose on goods imported from other States 1[or the Union territories] any tax to
which similar goods manufactured or produced in that State are subject, so, however, as not
to discriminate between goods so imported and goods so manufactured or produced; and
(b) impose such reasonable restrictions on the freedom of trade, commerce or
intercourse with or within that State as may be required in the public interest:
Provided that no Bill or amendment for the purposes of clause (b) shall be introduced
or moved in the Legislature of a State without the previous sanction of the President.
1. Inserted by the Constitution (Seventh Amendment) Act, 1956, s.29 and Schedule (w.e.f.1.11.1956).
182 THE CONSTITUTION OF INDIA
(Part XIII. - Trade, Commerce and Intercourse within the Territory of India)
1
[305. Saving of existing laws and laws providing for State monopolies:- Nothing in
articles 301 and 303 shall affect the provisions of any existing law except in so far as the
President may by order otherwise direct; and nothing in article 301 shall affect the operation
of any law made before the commencement of the Constitution (Fourth Amendment) Act,
1955, in so far as it relates to, or prevent Parliament or the Legislature of a State from
making any law relating to, any such matter as is referred to in sub-clause (ii) of clause (6) of
article 19.]
306. [Power of certain States in Part B of the First Schedule to impose restrictions on
trade and commerce.].-Omitted by the Constitution (Seventh Amendment) Act, 1956, s.29
and Sch. (w.e.f 1-1-1956).
Source record
Source and verification
The Constitution of India · legislative.gov.in · Retrieved 17 August 2026.
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