Case Note & Summary
The Supreme Court dismissed appeals challenging the validity of a 1994 notification under the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966, which included ghee as a notified livestock product. The appellants, producers and traders of ghee, argued that ghee is not a 'product of livestock' and that the notification was issued without following the mandatory procedure under Section 3 of the Act. The court, affirming the Full Bench decision of the Andhra Pradesh High Court, held that ghee is a product of livestock because it is derived from milk, which is a product of cows and buffaloes. The court noted that the definition of 'products of livestock' under Section 2(xv) is broad enough to include derivative items. On the procedural issue, the court found that the 1994 notification was issued under Section 4 of the Act, which does not require the draft notification and hearing process prescribed under Section 3. The appeals were dismissed, upholding the validity of the notification.
Headnote
A) Agricultural Marketing - Definition of Livestock Products - Ghee as Derivative Product - Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966, Sections 2(v), 2(xv) - The court held that ghee, being derived from milk which is a product of cows and buffaloes (livestock), is a 'product of livestock' under Section 2(xv) of the Act. The legislative intent includes derivative items obtained from primary livestock products. (Paras 1, 10) B) Agricultural Marketing - Notification Procedure - Distinction between Section 3 and Section 4 - Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966, Sections 3, 4 - The court upheld the Full Bench decision that the 1994 notification was issued under Section 4, not Section 3, and therefore the procedural requirement of draft notification and hearing objections under Section 3 was not applicable. The notification was valid. (Paras 3-8)
Issue of Consideration
Whether ghee is a 'product of livestock' under the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966, and whether the Government notification dated 05.07.1994 notifying ghee as a livestock product was validly issued after compliance with the procedure under the Act.
Final Decision
The Supreme Court dismissed all appeals, upholding the Full Bench decision of the Andhra Pradesh High Court. The court held that ghee is a product of livestock under Section 2(xv) of the Act and that the 1994 notification was validly issued under Section 4, not requiring the procedure under Section 3.
Law Points
- Ghee is a product of livestock
- Derivative products of livestock are covered
- Notification under Section 4 does not require Section 3 procedure
- Liberal interpretation of livestock products
