Legal Case Summary

Case Details
Case ID 0a3f5db6-83cb-45e9-885a-94d5239d63e2
Body View case body.
Case Number Constitutional Petitions Nos.1364 to 1369, 1385 to
Decision Date Mar 27, 2003
Hearing Date Mar 27, 2003
Decision The court ruled that the Provincial Government is empowered to fix the minimum price of sugarcane and to direct sugar mills to pay a quality premium. The law was upheld as neither discriminatory nor unconstitutional. The concerns raised by the petitioners regarding excessive delegation and violation of rights were dismissed, affirming that the quality premium is a legitimate incentive linked to sucrose recovery, aiming to promote better agricultural practices among growers. The court emphasized that the provisions of the Sugar Factories Control Act, 1950, including section 16(v), align with the constitutional framework and do not infringe upon the rights guaranteed under the Constitution of Pakistan.
Summary In the case of Messrs Shahmurd Sugar Mills Ltd. vs. Government of Sindh, the Sindh High Court addressed multiple constitutional petitions regarding the payment of a 'quality premium' to sugarcane growers under the Sugar Factories Control Act, 1950. The petitioners argued that the provincial government lacked the authority to impose such payments after the expiration of the relevant ordinance. The court found that the law allowed for the provincial government to direct sugar mills to pay a quality premium based on sucrose recovery, emphasizing the goal of improving sugarcane quality. The decision reinforced the legal framework supporting the government's role in regulating agricultural pricing and incentivizing quality production, aligning with constitutional principles. This ruling is significant for stakeholders in the agricultural sector, particularly sugar mills and cane growers, impacting economic relations and regulatory practices in Sindh. Keywords such as 'sugar mills', 'quality premium', 'sucrose recovery', and 'agricultural law' are essential for understanding the implications of this case.
Court Sindh High Court
Entities Involved Not available
Judges S. Ahmed Sarwana, Muhammad Mujeebullah Siddiqui
Lawyers Farogh Naseem, Fazle Ghani Khan, Syed Tariq Ali, Raja Qureshi, Naraindas C. Motiani, Muhammad Farid
Petitioners Messrs Shahmurd Sugar Mills Ltd. through Deputy General Manager and others
Respondents Government of Sindh through Secretary, Agriculture and Food Department, Sindh Secretariat, Karachi and others
Citations 2003 SLD 2620, 2003 CLC 1078
Other Citations Fauji Sugar Mills v. Province of Punjab 1996 CLC 592, Ellahi Cotton Mills Ltd. and others v. Federation of Pakistan and others (1976) 76 Tax 5, Pakistan Tobacco Company Ltd.'s case 1999 SCMR 382, Inamur Rehman v. Federation of Pakistan 1992 SCMR 563
Laws Involved Sugar Factories Control Act (XXII of 1950), Constitution of Pakistan (1973)
Sections 16(v), 2A, 3, 4, 18, 25, 38, 227