Gujarat High Court Allows Petition of Industrial Undertaking Challenging Rejection of Section 63AA Certificate for Agricultural Land Purchase. Section 63AA of Gujarat Tenancy and Agricultural Lands Act, 1948, is a self-contained provision that does not require prior permission under Section 63 for purchase of agricultural land by an industrial undertaking for non-agricultural purposes.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The petitioner, Mewad Polymers Private Limited, an industrial undertaking, purchased agricultural land situated at Revenue Survey No. 80/p3, Village-Fazalpur (Ankhi), Taluka & District: Vadodara, for industrial purposes under Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948. The land originally belonged to Panubhai Nanubhai Patel, who sold it to Krupali Krushi Pashu Sanshodhan Kendra in 1978. Subsequently, the trustees of that organization sold the land to Solanki Desaibhai Devjibhai, who then sold it to the petitioner. The petitioner applied to the respondent no.2 (the Collector) for a certificate under Section 63AA, but the application was rejected by order dated 12.09.2021 on the ground that the petitioner had not obtained prior permission under Section 63 of the Act. The petitioner challenged this order by way of a writ petition under Articles 226 and 227 of the Constitution. The High Court examined the provisions of Section 63AA, which was inserted to facilitate industrial development by allowing industrial undertakings to purchase agricultural land for non-agricultural purposes without the need for prior permission under Section 63. The court noted that Section 63AA is a self-contained provision and the Collector's role is limited to issuing a certificate upon satisfaction that the purchaser is an industrial undertaking and the land is required for non-agricultural use. The court held that the respondent no.2 erred in requiring prior permission under Section 63, as Section 63AA does not mandate such permission. The impugned order was quashed and set aside, and the respondent no.2 was directed to issue the certificate under Section 63AA within eight weeks. The petition was allowed.

Headnote

A) Gujarat Tenancy Law - Section 63AA Certificate - Industrial Undertaking - The petitioner, an industrial undertaking, purchased agricultural land for industrial purposes under Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948. The respondent no.2 rejected the application for a certificate under Section 63AA on the ground that prior permission under Section 63 was required. The High Court held that Section 63AA is a self-contained provision and does not require prior permission under Section 63; the Collector is only to issue a certificate upon satisfaction that the purchaser is an industrial undertaking and the land is for non-agricultural use. The impugned order was quashed and the respondent was directed to issue the certificate. (Paras 1-9)

B) Gujarat Tenancy Law - Section 63 vs Section 63AA - Distinction - Section 63AA was inserted to facilitate industrial development by allowing industrial undertakings to purchase agricultural land without the need for prior permission under Section 63. The two provisions operate in different spheres; Section 63AA is a complete code for purchases by industrial undertakings for non-agricultural purposes. The court relied on the object of the provision and the fact that the petitioner already held land for non-agricultural use. (Paras 4-8)

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Issue of Consideration

Whether the respondent no.2 was justified in rejecting the petitioner's application for a certificate under Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948, on the ground that the petitioner had not obtained prior permission under Section 63 of the Act.

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Final Decision

The petition is allowed. The impugned order dated 12.09.2021 passed by respondent no.2 in Application No.21902202100807 is quashed and set aside. The respondent no.2 is directed to issue the certificate under Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948, in favour of the petitioner within a period of eight weeks from the date of receipt of the order.

Law Points

  • Section 63AA of Gujarat Tenancy and Agricultural Lands Act
  • 1948
  • does not require prior permission for purchase of agricultural land by an industrial undertaking if the purchaser already holds land for non-agricultural use
  • the provision is a complete code for such purchases
  • the Collector's role is limited to issuing a certificate upon satisfaction of conditions.
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Case Details

2026:GUJHC:15235

R/Special Civil Application No. 8694 of 2024

2026-02-13

Vaibhavi D. Nanavati

2026:GUJHC:15235

Prateek S Bhatia for the Petitioner, Ms. Devanshiba Rana, AGP for the Respondent No.1

Mewad Polymers Private Limited

State of Gujarat & Anr.

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Nature of Litigation

Writ petition under Articles 226 and 227 of the Constitution challenging the order of the Collector rejecting application for certificate under Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948.

Remedy Sought

Quashing of order dated 12.09.2021 and direction to respondent no.2 to grant certificate under Section 63AA.

Filing Reason

The petitioner's application for a certificate under Section 63AA was rejected on the ground that prior permission under Section 63 was not obtained.

Previous Decisions

Order dated 12.09.2021 by respondent no.2 in Application No.21902202100807 rejecting the petitioner's application.

Issues

Whether the respondent no.2 was justified in rejecting the application for a certificate under Section 63AA on the ground that prior permission under Section 63 was required. Whether Section 63AA is a self-contained provision that does not require compliance with Section 63.

Submissions/Arguments

The petitioner argued that Section 63AA is a complete code for purchase of agricultural land by industrial undertakings and does not require prior permission under Section 63. The respondent argued that prior permission under Section 63 is necessary before the certificate under Section 63AA can be issued.

Ratio Decidendi

Section 63AA of the Gujarat Tenancy and Agricultural Lands Act, 1948, is a self-contained provision that allows industrial undertakings to purchase agricultural land for non-agricultural purposes without the need for prior permission under Section 63. The Collector's role is limited to issuing a certificate upon satisfaction that the purchaser is an industrial undertaking and the land is required for non-agricultural use.

Judgment Excerpts

Section 63AA of the Act is a self-contained provision and does not require prior permission under Section 63 of the Act. The Collector is only required to issue a certificate upon satisfaction that the purchaser is an industrial undertaking and the land is required for non-agricultural use.

Procedural History

The petitioner filed an application for a certificate under Section 63AA before respondent no.2, which was rejected on 12.09.2021. The petitioner then filed the present writ petition before the High Court of Gujarat.

Acts & Sections

  • Gujarat Tenancy and Agricultural Lands Act, 1948: 63, 63AA
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