RAGHU SEEDS AND FARMS AND OTHERS ETC. versus THE UNION OF INDIA AND ORS. ETC.

Citation: [1993] SUPP. 3 S.C.R. 480 · Decided: 28-10-1993 · Supreme Court of India · Bench: KULDIP SINGH, YOGESHWAR DAYAL
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Judgment (excerpt)

_ A 
RAGHU SEEDS AND FARMS AND OTHERS ETC. 
v. 
THE UNION OF INDIA AND ORS. ETC. 
OCTOBER 28, 1993 
B 
[KULDIP SINGH AND YOGESHWAR DAYAL, JJ.] 
Essential Commodities Act, 1955: Sections 2 and 3--Notification dated 
24.2.1983 declaring certain seeds to be essential commoditie~Seeds (Con-
C trol) Order-Issue of-Whether intra vires the powers are valid. · 
Seeds (Control) Order, 1983-Power of Central Government to issue 
the Seeds (Control) order- Whether covered under Entry 33 of List III of the. 
Seventh Schedule to the Constitution. 
D 
Constitution of India, 1950: Seventh Schedule-l...ist Ill Entry 33-
Power of Central Government to issue Notification declaring certain seeds to 
be essential commodities-Consequently issuing the Seeds (Control) Order, 
1983-Validity of. 
In exercise of the powers conferred by sub-clause (xi) of clause (a) 
E of section 2 of the Essential Commodities Act, 1955 the Central Govern~ 
ment, by its order notified on 24.2.1993, declared certain seeds to be 
essential commodities for the purposes of the Act. The seeds included 
seeds of food crops and seeds of fruits and vegetables. Consequently, the 
Central Government issued the Seeds (Control) Order, 1983 in exercise of 
F 
the powers conferred by Section 3 of the Essential Commodities Act, 1955. 
The order contemplated that persons carrying on the business of selling, 
exporting or importing seeds should obtain a licence. 
In these Transferred Cases, the validity of the notified order dated 
G 24th February, 1983 and the Seeds (Control) Order, 1983 are challenged 
mainly on the ground that the seeds and seeds of fruits and vegetables 
were not the class of commodities which could be declared by the Central 
Government as essential commodities for the purposes of the Act, and that 
the said commodities were not the commodities in respect of whi~ the 
Parliament had powers to make law by virtue of Entry 33 of Lisi m of 
H Seventh Schedule to the Constitution of India. 
480 
RAGHU SEEDS v. U.0.1. 
481 
Dismissing the cases, this Court 
HELD : 1.1. It is well established that the language of the various 
entries should be given the widest scope of which their meaning is fairly 
capable. [ 485-A] 
A 
1.2. Clause (b) of Entry 33 of List III of the Seventh Schedule to the B 
Constitution of India mentions 'foodstuffs' as a class of commodity which 
includes edible oilseeds and oils. This entry 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 also deals 
with production, it is obvious that the seeds are a vital commodity having C 
direct connection with the production of the foodstuffs to which it relat.;s. 
Therefore, seeds of foodstuffs is an item which has 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 of foodstuffs. 
Surely seeds of food-crops and seeds of fruits and vegetables relate to 
foodstuffs. Thus, there is no doubt that the notified order dated 24th D 
February, 1983 was intra vires the powers conferred by sub- clause (xi) of 
clause (a) of Section 2 of the Essential Commodities Act, 1955. 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. 
(484-F-G; 485-B] E 
Calcutta Gas Company (Proprietary) Ltd. v. West Bengal and others, 
AIR (1962) S.C. 1044 and Harakchand Ratanchand Banthia and other etc. 
v. Union of India and others, (1970] 1 S.C.R. 479, referred to. 
CIVIL ORIGINAL JURISDICTION : Transferred case No. 4 of 
~ 
F 
(Under Article 139-Al of the Constitution of India.) 
WITH 
Transferred Case Nos. 5 of 1986 & 48 of 1986 
G 
WITH 
Writ Petition {C) Nos. 15337-38 of 1984. 
H.N. Salve and C. Mohan Rao for M/s Swarup John & Co. for the H 
482 
SUPREME COURT REPORTS (1993) SUPP. 3 S,C.R, 
A petitioner. 
B 
A.S. Nambiar, B.C. Barua, S.N. Terdal and C.V.S. Rao for the 
Responde.nts. 
The Judgment of the Court was delivered by 
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 un
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