The Telangana Cotton Seeds (Regulation of Supply, Distribution, Sale and Fixation of Sale Price) Act, 2007.

THE TELANGANA COTTON SEEDS (REGULATION OF SUPPLY, 
DISTRIBUTION, SALE AND FIXATION OF SALE PRICE) ACT, 2007. 
(ACT NO. 29 OF 2007) 
ARRANGEMENT OF SECTIONS 
Sections 
1. Short title and commencement. 
2. Definitions. 
3. Appointment of Controller. 
4. Powers of Controller. 
5. Functions of Controller. 
6. State Seed Testing Laboratory. 
7. Compensation to farmer. 
8. Seed Inspector. 
9. Seed Analyst. 
10. Report of Seed Analyst. 
11. Direction to price fixing. 
12. Penalties. 
13. Offences by companies. 
14. Cognizance of Offences. 
15. Protection of action taken in good faith. 
16. Appeal. 
17. Forfeiture of property. 
18. Power to give directions. 
19. Exemption. 
20. Power to make rules. 
21. Guidelines for interpretation of Act. 
2  [Act No. 29 of 2007] 
22. Repeal of Ordinance. 
 Explanatory Statement. 
 
THE TELANGANA COTTON SEEDS (REGULATION OF 
SUPPLY, DISTRIBUTION, SALE AND FIXATION OF SALE 
PRICE) ACT, 2007.1 
 
ACT No.29 OF 2007. 
 
1. (1) This Act may be called the 2Telangana Cotton 
Seeds (Regulation of Supply, Distribution, Sale and Fixation 
of Sale Price) Act, 2007. 
 
 (2) It shall be deemed to have come into force on and 
from the 28th June, 2007. 
 
2. In this Act, unless the context otherwise requires,- 
 
 (1) “Agronomic Performance ” means distinguishable 
agronomic qualitative and quantitative characteristics of any 
cotton see d variety considered for evalua tion of 
performance as claimed by the producer on label; 
 
 (2) “Controller” means the Cotton Seed Controller 
appointed by the Government under section 3; 
 
 (3) “Cotton Seed ” means cotton seed of any variety 
and includes transgenic and genetically modified cotton 
seed varieties used for sowing; 
 
 (4) “Farmer” means any person who raises cotton 
crops either by cultivating the land by himself or through 
                                                           
1. The Andhra Pradesh Cotton Seeds (Regulation of Supply, 
Distribution, Sale and Fixation of Sale Price) Act, 2007  received the 
assent of the Governor on the 14th August, 2007. The said Act in force in 
the combined State, as on 02.06.2014, has been adapted to the State of 
Telangana, under section 101 of the Andhra Pradesh Reorganisation 
Act, 2014 (Central Act 6 of 2014) vide. the Telangana Adaptation of Laws 
Order, 2016, issued in G.O.Ms.No.45, Law (F) Department, dated 
01.06.2016. 
2. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016. 
Short title and 
commencement. 
Definitions. 
2  [Act No.29 of 2007] 
any other person but shall not include persons , companies, 
traders, dealers who engage in the commercial 
procurement and sale of seeds; 
 
 (5) “Government” means the State Government; 
 
 (6) “Misbranded” the seed shall be deemed to be 
misbranded,- 
 
  (i) if it is a substitute for or resembles in a manner 
likely to deceive, another variety of seed under the name of 
which it is sold, and is not plainly and conspicuous ly 
labelled so as to indicate its true nature; 
 
  (ii) if it is falsely stated to be the produce of any place 
or Country; 
 
  (iii) if it is sold by a name which belongs to another 
kind or variety of seed; 
 
  (iv) if  false claims are made for it upon the label or 
otherwise; 
 
  (v) if, when sold in a package which has been sealed 
or prepared by or at the instance, of the dealer and which 
bears his name and address, the contents of each package 
are not conspicuously and  correctly stated on the outside 
thereof within the limits of variability prescribed under this 
Act; 
 
  (vi) if the package containing it or the label on the 
package bears any statement, design or device regarding 
the quality of cotton seed contained there in, which is false 
or misleading in any material particular or if the package is 
otherwise deceptive with respect of its contents; 
 
[Act No.29 of 2007]  3 
  (vii) if it is not registered in the manner required by or 
under this Act; or 
 
  (viii) if its label does not contain a wa rning or caution 
which may be necessary, and sufficient, if complied with, to 
prevent risk to human beings or animals; or 
 
  (ix) if the package containing it or the label on the 
package bears the name of a fictitious individual or 
company as the dealer of the kind or variety; or 
 
  (x) i f it is not labe lled in accordanc e with the 
requirements of this Act or rules made thereunder; 
 
 (7) “notification” means a notification published in the 
3Telangana Gazet te and the word „notified‟ shall be 
construed accordingly; 
 
 (8) “prescribed” means prescribed by rules made 
under this Act; 
 
 (9) “producer” means a person, group of persons, firm 
or company or organisation who grows or organises the 
production of cotton seed; 
 
 (10) “spurious see d” means that which is not genuine 
or true to its type; 
 
 (11) “State” means the State of 3Telangana; 
 
 (12) “State Referral Seed Testing Laboratory ” means a 
laboratory established or declared as notified by the State; 
 
 (13) “substandard” means cotton seed which does not 
meet the prescribed seed standards for the cotton seed; 
                                                           
3. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016. 
4  [Act No.29 of 2007] 
 (14) “Transgenic variety ” means seed or planting 
material synthesized or developed by modifying or altering 
the genetic composition by means of genetic engineering; 
 
 (15) “Variety” means a plant grouping except micro 
organism within a single botanical tax on of the lowest 
known rank, which can be,- 
 
  (i) defined by the expression of the characteristics 
resulting from a given genotype of that plant grouping; 
 
  (ii) distinguished from any other plant grouping by 
expression of atleast one of the said characteristics; and 
 
  (iii) considered as a unit with regard to its suitability 
for being propagated, which remains unchanged after such 
propagation and includes propaga ting material of such 
variety, extant variety, transgenic variety, farmers' variety 
and essentially derived variety; 
 
 (16) The words and expressions used in this Act but 
not defined shall have the same meaning assigned to them 
in the Seeds Act, 1966, the Essential Commodities Act, 
1955, the Seeds Control Order, 1983, issued thereunder 
and the Environmental Protection Act, 1986. 
 
3. The State Government may, by notification appoint any 
authority dealing with the subject to be the Cotton Seeds 
Controller, for the State. 
 
4. (1) Subject to the contro l of the State Government, the 
Controller, so far as it appears to him to be necessary or 
expedient for regulating, maintain ing or increasing the 
supply or distribution or sale of Cotton Seeds, may, by order 
in writing,- 
 
Appointment of 
Controller. 
Powers of 
Controller. 
[Act No.29 of 2007]  5 
  (a) require any person holding stock of cotton seed 
to sell the whole or specified part thereof at such prices as 
may be fixed by the Government from time to time and to 
such persons in such circumstances as may be specified in 
the order; 
 
  (b) require any person engaged in the supply 
distribution and sale of Cotton Seeds to comply with such 
directions as may be specified in the order as to the variety, 
quality or quantity of the Cotton Seeds to be sold or 
delivered by him from time to time. 
 
 (2) Any person to whom an order is issued under sub -
section (1) shall comply with such order, notwithstanding 
anything inconsistent therewith contained in any contract or 
other instrument to which he is a party. 
 
5. (1) The Controller appointed under this Act shall 
perform the following functions,- 
 
  (a) mandatory registration of cotton seed firms which 
are engaged in trade of cotton seed duly indicating the 
production aspects and areas of operation etc.,; 
 
  (b) payment of compensation to the farmers. 
 
 (2) The Controller shall advice the State Government 
on matters relating to,- 
 
  (i) regulations of sale of cotton seed by way of 
compulsory DNA finger printing test or genetic purity test; 
and 
 
  (ii) such other matters as assigned by the 
Government. 
 
Functions of 
Controller. 
6  [Act No.29 of 2007] 
6. The Government may in consultation with Controller 
and by notification,- 
 
 (a) establish one or more State Seed Testing 
Laboratories or declare any seed testing laboratory in the 
Government or non -Government sector as a State Seed 
Testing Laboratory whe re analysis of cotton seed shall be 
carried out under this Act in the prescribed manner; 
 
 (b) recognizes one or more seed testing laboratories 
as referral seed testing laboratories for the purpose of 
referral analysis in the manner prescribed. 
 
7. (1) The producer or distributor or vendor of cotton 
seeds or whose address appears on the label shall as the 
case may be disclose the expected performance of such 
seed, under given condition to the Controller and if such 
seed fails to provide the expected performance under such 
given conditions the Government or farmer may claim 
compensation in such manner as may be prescribed. In 
respect of transgenic seed all the conditions that are 
imposed by Genetic Engineering Approval Com mittee, has 
to be complied. 
 
 (2) In case the claim of expected performance found 
fictitious, the possessor of such cotton seed shall be 
responsible for payment of all such claims related to 
agronomic performance as specified in sub-section (1). 
 
 (3) The compensation payable under sub -sections (1) 
and (2) shall be assessed and fixed by the Committee 
appointed for each agro-climatic zone separately, consisting 
of crop experts and representatives of the Government as 
may be notified. 
 
 
State Seed 
Testing 
Laboratory. 
Compensation to 
farmer. 
[Act No.29 of 2007]  7 
8. (1) The Government may, by notification, appoint such 
person as it thinks fit, to be Seed Inspector and specify the 
areas within which he shall exercise jurisdiction. 
 
 (2) The Seed Inspector, if he has information that any 
person dealing in trade of Cotto n Seed, has contravened 
any of the conditions issued by the Controller, or suspecting 
the quality of the Cotton Seed or any person about to 
commit offence in respect of Cotton Seed, he shall enter, 
search of any p remises and draw samples and detain or 
seize the stock of Cotton Seed and records and after 
receiving the reports of Seed Analyst, shall take all further 
action as specified in the Act. 
 
 (3) Every Seed Inspector shall be deemed to be a 
public servant within the meaning of section 21 of the Indian 
Penal Code, 1860 and shall be officially subordinat e to such 
authority as the Government may specify in this behalf. 
 
9. The Government may, by notification, appoint such 
person as it thinks fit, to be the Seed Analyst and specify the 
areas within which he shall exercise his jurisdiction. 
 
10. (1) The Seed Analyst shall, as soon as may be after the 
receipt of the sample from the Seed Inspector, analyze the 
sample at the State Seed Laboratory and furnish a report on 
the result of the analysis to the Seed Inspector. 
 
 (2) The Laboratory to which a sample has been sent by 
a Seed Inspector for analysis shall send the analysis report 
to the concerned Seed Inspector within thirty days from the 
date of receipt of the sample to the laboratory. 
 
 (3) The Seed Inspector may, on the basis of the report 
of the Seed Analyst under sub -section (1) institute 
proceedings for the prosecution of the producer or vendor, 
as the case may be of the said seed. 
Seed Inspector. 
Seed Analyst. 
Report of Seed 
Analyst. 
8  [Act No.29 of 2007] 
 (4) After institutio n of prosecution under this Act, the 
accused vendor or the complainant may as the case may be 
on payment of the prescribed fee, make an application to 
the Court for sending any of the sample retained with seed 
inspector or vendor as per discretion of Magis trate to any of 
the referral Laboratory as may be prescribed under section 
6 of the Act, for its report, the Court shall first ascertain the 
mark or s eal or fastening as prescribed a re intact. On 
receipt of the application, the Court may dispatch the 
sample under its own seal to any of the referral Laboratory 
specified for the purpose, which shall there upon send its 
report to the Court in the prescribed form, specifying the 
result of the analysis within a period of thirty days from the 
date of receipt of sample. 
 
 (5) The report sent by the referral Laboratory under 
sub-section (4) shall supercede the report given by the Seed 
Analyst under sub-section (1). 
 
 (6) The report sent by the referral Laboratory under 
sub-section (3) is produced in any proceedings,  it shall not 
be necessary to produce any such proceedings of any 
sample or part thereof taken for analysis. 
 
11. The Government after taking into consideration of 
costs of production etc., including trait value wherever 
necessary obtained from various agencies concerned, may 
fix maximum sale price from time to time of all types of 
cotton seed every year. 
 
12. (1) If any person contravenes any order issued to him 
by the Controller under section 4, he shall be punishable 
with imprisonment for a term which may extend to three 
years or with fine which may extend to rupees five thousand 
or with both. 
 
Direction to price 
fixing. 
Penalties. 
[Act No.29 of 2007]  9 
 (2) If any person c ommits any act of misbranding, sale 
of spurious and substandard seed shall be punishable with 
imprisonment for a term which may extend to three years or 
with fine which may extend to rupees five thousand or with 
both. 
 
13. If the person contravening any order issued by the 
Controller under section 4 is a company or other body 
corporate, every director, manager, secretary or other officer 
or agent thereof shall, unless he proves that the 
contravention took place without his knowledg e or that he 
exercised all due diligence to prevent such contravention, 
be deemed to be guilty of such contravention. 
 
14. No court shall take cognizance of any offence 
punishable under this Act except on a report in writing of the 
facts constituting such offence made by the Controller or 
any other authority authorised by him. 
 
15. (1) No suit, prosecution or other legal proceedings 
shall lie against any person (including the Controller) for 
anything which is in good faith done or intended to be done 
in pursuance of any order issued under section 4. 
 
 (2) No suit or other legal proce edings shall lie against 
the State Government, the Controller or any other person, in  
respect of any damage caused or likely to be caused by 
anything which is in good faith done or intended to be done 
in pursuance of any order issued under section 4. 
 
16. (1) Any person aggrieved by a decision of the 
Controller under section 4 or section 5 may, within thirty 
days from the date on which the decision is communicated 
to him and on payment of such fees as may be prescribed, 
prefer an appeal to such  authority as may be specified by 
the State Government in this behalf: 
Offences by 
companies. 
Cognizance of 
Offences. 
Protection of 
action taken in 
good faith. 
Appeal. 
10  [Act No.29 of 2007] 
 Provided that the Appellate Authority may entertain an 
appeal after the expiry of the said period of thirty days if it is 
satisfied that the appellant was prevented by sufficient 
cause from filing the appeal in time. 
 
 (2) On receipt of an appeal under sub -section (1), the 
Appellate Authority shall, after giving the appellant an 
opportunity of being heard, dispose of the appeal as 
expeditiously as possible. 
 
 (3) Every order of the Appe llate Authority under this 
section shall be final. 
 
17. When any person has been convicted under this Act 
for the contravention of any of the provisions of this Act or 
the rules made thereunder, the cotton seed in respect of 
which the contravention has been committed may be 
forfeited to the Government. 
 
18. The Government may give such directions as may 
appear to it to be necessary for carrying into execution in 
the State any of the provisions of this Act or of any rule 
made thereunder. 
 
19. Nothing in this Act shall apply to any cotton seed 
grown by a farmer and sold or delivered by him on his own 
premises directly to another farmer for being used by that 
farmer for the purpose of sowing. 
 
20. (1) The Govern ment may, by notification in the Official 
Gazette, make rules to carry out the purposes of this Act. 
 
 (2) Every rule made under this Act shall immediately 
after it is made, be laid before each House of the State 
Legislature if it is in session and if it is not in session in the 
session immediately following for a total  period of fourteen 
days which may be comprised in one session or in two 
Forfeiture of 
property. 
Power to give 
directions. 
Exemption. 
Power to make 
rules. 
[Act No.29 of 2007]  11 
successive sessions, and if, before the expiration of the 
session in which, it is so laid or the session immediately 
following, both Houses agree in making any modification in 
the rule or in the annulment of the rule, the rule shall, from 
the date on which the modification or annulment is notified 
in the 4Telangana Gazette, have effect only in such modified 
form or shall stand annulled, as the case may be, so 
however, that any such mod ification or annulment shall be 
without prejudice to the validity of any thing previously done 
under that rule. 
 
21. The Explanatory Statement to this Act shall constitute 
the guidelines for the interpretation and implementation of 
this Act. 
 
22. The Andhra Pradesh Cotton Seeds (Regulation of 
Supply, Distribution, Sale and Fixation of Sale Price) 
Ordinance, 2007 is hereby repealed. 
  
                                                           
4. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016. 
Guidelines for 
interpretation of 
Act. 
Repeal of 
Ordinance No.4 of 
2007. 
12  [Act No.29 of 2007] 
EXPLANATORY STATEMENT 
 
 The provisions of the Seeds Act, 1966 (Central Act 54 
of 66) in its application to the State of Andhra Pradesh 
regulate the quality of seed in respect of notified varieties. 
For the past few years, in view of substantia l change of 
pattern of agricultu re particularly in usage of seed, the said 
provisions are found to be inadequate for enforcement in 
respect of quality of cotton seed and regulation of trade of 
non-notified cotton varieties, research hybrid varieties etc., 
as a result the entire economy of farmers is affected. 
 
 By the recent amendment of Essential Commodities 
Act, 1955, cotton seed is deleted from the Schedule of the 
Act. The Environmental Protection Act, 1986, the Rules, 
1986 and the Rules for Manufacture, Use/Import/Export and 
Storage of Haz ardous Micro Organisms/Genetically 
Engineered Organism or Cells, 1989 deals with only 
biosafety aspects of transgenic cotton seed. The traders 
who are dealing in cottonseed including transgenic cotton 
seed have been resorting to dubious methods and 
exploitation of poor farmers, particularly in respect of scarce 
type of cotton seed, causing unjustified burden to wards 
seed cost which is essent ial and vital input in the process of 
agriculture, which lead the several f armers into debt trap, 
and some times leadin g to suicides also. The multinational 
companies are taking undue advantage of their monopoly in 
respect of scarce type of cotton seed. 
 
 Article 39  (b) of the Constitution of India enjoins the 
State to make suitable statutory prescriptions, so as to make 
available the commodities essential to the citizens at fair 
price. Therefore, in the interest of farming fraternity and to 
have free flow of supply, equi -distribution and price of all 
kinds of cotton seeds including transgenic cotton seeds and  
to protect t he farmers economy, it is expedient and 
necessary that there is every need to bring a Cotton Seed 
[Act No.29 of 2007]  13 
Regulation law in consonance with National Seed Policy, 
2002. 
 
Salient features of Act: 
 
 To constitute and appoint a Controller at the State 
level; 
 
 To notify the seed testing laboratories; 
 
 To curtail the supply of spuri ous or inferior quality of 
seed; 
 
 To evolve an effective regulatory system which will 
enable effective quality assurance, supply,  distribution and 
at fair price; 
 
 To provide punishments in the event of violations of the 
provisions of the Act; 
 
 To provide adequate mechanism to pay compensation 
to the farmers in the event of supply of inferior quality of 
cotton seed; 
 
 To bring regulatory mechanism for regulation of trade 
of transgenic a nd genetically modified varieties by way of 
compulsory DNA Finger printing tests or genetic purity test. 
Mandatory registration of all types of cotton seed produced 
in the State or imported to the State. 
 
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