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Showing contexts for: forest produce in Ballarpur Industries Limited, Through ... vs The State Of Maharashtra, Through ... on 6 March, 2020Matching Fragments
3. Clause (2)(a) of the agreement defines "Bamboo" for the purposes of agreement as under :
wp3659 of 2009 and 1486 of 2014.odt " "Bamboo" shall mean the bamboo extracted from Commercial Bamboo and Nistar Bamboo Felling Series of the concerned Forest Division which are to be used for the purpose of manufacturing pulp, paper, paper boards and other paper products."
4. On 9-3-2009, a show cause notice was given to the petitioner regarding revision of agreement as per Rule 3(1) of the Maharashtra Supply of Forest Produce (Revision of Agreement) Rules, 1983 (for short, "the Rules of 1983"). It was proposed to fix the rate of bamboo supply at Rs.1,495/- per metric tonne instead of Rs.650/- per metric tonne, contained in clause (7) of the agreement dated 11-3-2004, for the supply in the year 2005-06. As per Rule 3(2) of the Rules of 1983, a detailed note explaining the basis for determination of the market value under Section 4 of the Maharashtra Supply of Forest Produce by Government (Revision of Agreements) Act, 1982 (for short, "the Act of 1982") was also supplied. The petitioner submitted the reply dated 8-4-2009 opposing the proposal. In the reply, it was the contention raised that the hike in the rate proposed was arbitrary and much more than the market rate of Rs.600/- per metric tonne. It was the stand taken that under the agreement dated 11-3-2004, the rate fixed was at Rs.650/- per metric tonne, which represented the market value.
"Objects and Reasons Government had made commitments in a number of cases for sale or supply of forest-produce to the purchasers on long-term basis, primarily for utilisation in industries based on forest-produce like paper mills. Normally, the agreements provided for periodical revision of price or rate for the forest-produce to be supplied to the purchasers. There were, however, some cases, in which there was no wp3659 of 2009 and 1486 of 2014.odt provision for revision of the price or rate. In some cases, a ceiling had been put on the increase in the price or rate at the time of revision. In the absence of these provisions, Government was deprived of a fair price legitimately payable to it for the forest-produce supplied to the purchasers.
(a), i.e. to provide for a revision or a periodical revision of the price or rate for sale or supply of forest produce to the purchaser, where such agreement does not provide for any such revision or periodical revision, as the case may be, and where such periodical revision is provided in the agreement, to provide for reducing or enhancing the period of revision.
12. Section 4 of the Act of 1982 deals with the price or rate of forest produce sold or supplied to purchasers not to exceed market value. Sub-section (1) therein states that the price or rate for sale or supply of the forest produce, to be fixed at the time of any revision of the price or rate under Section 3, shall not exceed the market value of the forest produce at the time of such revision, as the case may be, determined by the State Government in the prescribed manner.
16. From the objects and reasons, it seems that the Legislature was conscious of the fact that the agreements entered into prior to coming into force of the Act provided for periodical revision of price or rate for the forest produce to be supplied to the purchasers. It, however, took note of the fact wp3659 of 2009 and 1486 of 2014.odt that there were some cases in which there was no provision for revision of the price or rate. In the absence of these provisions under the agreements, the Government was deprived of a fair price legitimately payable to it for the forest produce supplied to the purchasers. To meet these difficulties, it was proposed under the Act to take power to Government to suitably revise such agreements whether existing or future, as and when necessary, where there was no provision for revision or for periodical revision, which came in the way of Government fixing the price or rate based on the prevailing market value. An option is also given to the purchaser to terminate the agreement after giving one month's notice, within a period of six months from the date on which the amendment in the terms and conditions or the revision in the price or rate is communicated to him, if he does not find it convenient to abide by the terms and conditions of the agreement, as revised under the Act.