LAWS(APH)-2005-2-15

ADVANTA INDIA LTD Vs. STATE OF A P

Decided On February 08, 2005
ADVANTA INDIA LTD., BANGALORE Appellant
V/S
STATE OF ANDHRA PRADESH Respondents

JUDGEMENT

(1.) In this batch of writ petitions, a common question, namely, whether market fee, under the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966 (for short 'the Markets Act'), is leviable on the seeds, manufactured by the petitioners, arises for consideration.

(2.) The petitioners are manufacturers and producers of seeus, of different varieties, within the State of Andhra Pradesh. Petitioners state that they undertake extensive research in bringing about hybrid varieties, and once a variety is successfully evolved, the foundation seed is given to selected farmers for multiplication, and the seeds so produced are procured by them. Thereafter, seeds are further processed, packaged and sold as certified seeds. All the petitioners got themselves registered under the relevant provisions of the Seeds Act, 1966, and some of them have obtained registration under the Seeds Control Order 1983 (for short 'the Control Order'), issued under the Essential Commodities Act.

(3.) Petitioners contend that though the seeds produced and dealt with by them are meant to be supplied to the farmers for growing crops, the respondents are treating the seeds as a mere agricultural produce and levying market fee thereon. It is contended that the matters, in relation to seeds, are governed by the provisions of the Seeds Act and the Control Order, and the provisions of the Markets Act have no application, in relation thereto. A further contention is advanced to the effect that certified or branded seeds cannot be treated as an agricultural produce, within the meaning of Section 2(1) of the Markets Act, and that there is no transaction of sale and purchase of agricultural produce, in the matter of growing and manufacturing of the seeds. One of the writ petitioners deals exclusively, with vegetable seeds, and it is contended that their product is not notified either directly or indirectly under the Markets Act.