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RAMESH KUMAR VERMA (pursuing company secretary course)     30 July 2011

Govt assures hc of following its order on rice export

Govt Assures HC of Following Its Order on Rice Export

New Delhi (PTI)


 The Centre today assured the Delhi High Court that its direction, restraining allocation of quota for non-basmati rice for export, would be complied with strictly in accordance with the order.

The assurance to this effect was given by the Ministry of Commerce to a bench of justices S K Kaul and Rajiv Shakdhar when a private rice company alleged that the July 26 order to stop allocation of export quota was not complied with by the government.

When the issue was mentioned before the court, Additional Solicitor General A S Chandioke informed the bench that the export quota was allocated because the order had not been communicated to the department concerned.

He assured that the order will be communicated to the department and it would be followed.

A day after the High Court order, the Commerce Ministry had allocated export of 1 million tonnes of non-basmati rice to 82 exporters.
This was brought to the notice of the court by Kannu Aditya Ltd, a rice exporter.

On July 19, the ministry had notified the decision to allow exports of non-basmati rice. The ban was imposed in April 2008 to control inflation.

The government move was challenged by Kannu, alleging that there was no transparency in the export policy and the notification lacked basis of allocation of quota.
The ministry had allocated the quota on first-come-first serve basis and the letter of intent was invited through e-mail. Only two days (July 21-22) were given to make applications for exports.

The All India Rice Exporters Association, too, had objected to the notification for allowing exports and alleged that only those companies would be benefited who had prior knowledge of the order.




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