High Court's Support to Central Policy on Maize Imports
Date : January 28, 2012
Number of Views : 160
Dismissing a writ petition filed by city-based Sriven Marketings which is into trading popcorn (maize), the AP High Court has upheld the central government’s decision in withdrawing the condition which permitted import of popcorn only by the ‘actual user’.
Under the Foreign trade policy, the central government had permitted import of popcorn by ‘actual users’ and not for ‘trading’, but later it waived the condition for importing maize. Sriven Marketings (petitioner) had challenged the Centre’s decision by contending that this decision would directly impact India’s farming community, particularly, the farmers of Rangareddy and Karimnagar.
The Centre had initially imposed customs duty on maize used for making of pop corn at 60 per cent and then reduced it to 15 per cent and later withdrew it completely. While dismissing the plea, Justice held that the policy of the central government in stipulating the customs duty at nil rate and withdrawing the condition of ‘actual user’ cannot be said to be arbitrary.
Referring to the Centre’s contention and facts presented before the court with regard to imports being way below the quota prescribed, the Justice said that the decision of the Centre did no harm to domestic growers or consumers.
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