Sugar Factories Control Act, 1950

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Department: Food
Main Category: Acts
Specific Category Name: Control
Year 1950
Promulgation Date: 05-04-1950
Details:

THE [1][KHYBER PAKHTUNKHWA]  SUGAR FACTORIES CONTROL ACT, 1950.

 

(Act NO. XXII OF 1950).


CONTENTS.

 

PREAMBLE

SECTIONS.



1.                  Short title, extent and commencement.

2.                  Definitions.

3.                  Sugar-cane Control Board.

4.                  Constitution of the Board.

5.                  Powers and duties of the Board.

6.                  Appointment of Cane-Commissioner.

7.                  Appointment of Inspectors.

8.                  Notice of Crushing.

9.                  Estimate of quantity of Cane required by Factory.

10.              Declaration  of Reserved Area.

11.              Survey of Reserved Area.

12.              Maintenance of Register.

13.              Purchase of Cane in a Reserved Area.

14.              Declaration of Assigned areas and Purchase of Cane therein.

15.              Purchase of cane outside Reserved area.

16.              Power of Provincial Government to fix minimum Price.

17.              Licensing of Purchasing Agents.

18.              Distribution of Seed Cane by Factories.

19.              Determination of occupier for purposes of this Act.

20.              Appointment and removal of Factory Staff.

21.              Penalties.

22.              Institution of Proceedings.

23.              Powers to make Rules.

 

THE [2][KHYBER PAKHTUNKHWA] SUGAR FACTORIES CONTROL ACT, 1950.

 

(Act NO. XXII OF 1950).


(Received the assent of the Governor,
[3][Khyber Pakhtunkhwa], on the 5th April,1950). 

AN 
ACT


to provide for the regulated supply of sugarcane 1[and sugar beet]

to the Sugar Factories.

 

            WHEREAS it is expedient to provide for regulating the supply of sugarcane [4][and sugar beet] intended for use in such factories and the price at which it may be purchased and for such other matters as may be incidental thereto:


            It is hereby enacted as follows :-


[5][1.    (1) This Act may be called the
[6][Khyber Pakhtunkhwa] Sugar Factories Control Act, 1950.


            (2)  It extend to the whole of the Province of the
[7][Khyber Pakhtunkhwa]  except the Tribal Areas].

   Preamble.

 

 

 

 

 

 

Short title and extent.

2.       In this Act, unless there is anything repugnant in the subject or context :-

  Definitions.

 

(a)      "assigned area" means an area assigned to a factory under  sub-section  (1)  of Section 14;

 

[8][(b) "Board" means the sugarcane and sugar beet Control Board established under Section 3;

 

(c)       "Cane" means sugarcane intended for use in a factory and includes the sugar-beet;]

 

(d)      "Cane Commissioner" means the officer  appointed to be cane Commissioner under Section 6;

 

(e)       "Cane-grower" means a person who cultivates cane either by himself or by members of his family or by hired labour and who is not a member of a Cane-growers' Co-operative Society;

 

(f)        "Cane-growers Co-operative Society" means society registered under the Co-operative Societies Act, 1912, (Act II of 1912), [9][or the Sindh Co-operative Societies Act, 1925) one of the objects of which is to sell cane grown by its members;

 

(g)      "Collector" in any provision of this Act includes any officer whom the Governor may, by notification, appoint to exercise and perform the powers and duties of a collector under that provision;

 

(h)      "Crushing season" means the period beginning on the 1st October in any year and ending on the 30th June next following;

 

(i)        "Factory" means any premises, including the precincts thereof, wherein twenty or more workers are working or were working on any day of the preceding twelve months and in any part of which any manufacturing process connected, with the production of sugar by means of vacuum pans is being carried on, or is ordinarily carried on, with the aid of power:

 

(j)        "Inspector" means an Inspector appointed under Section 7 of the Act and includes an ex-officio or additional Inspector;

 

(k)       "Occupier of a factory" means the person who has ultimate control over the affairs of a factory:


                     Provided that where the affairs of a factory are entrusted to a managing agent, or a Managing Director or a Director in-charge, such managing agent, Managing Director or Director in-charge shall be deemed to be the occupier of the factory;

 

(l)        "Prescribed" means prescribed by rules;

 

(m)    "purchasing agent" means a person licensed under this Act to act as a purchasing agent;

 

(n)      "Reserved area" means an area specified in an order issued under Section  10;

 

(o)      "Rule" means a rule made under this Act;

 

[10][(p) "Slicing season" means the period beginning on the 15th April, in any year and ending on the 31st July, next following].

 

3.         The Provincial Government may, by notification establish a Sugar-cane  [11][and Sugar-beet] Control Board for the Province.

Sugar-cane control Board.

4.         The Board shall consist of a [12][Cane] Commissioner, who shall be the chairman of the Board and such and so many members from the cane-growers, factory owners and servants of the State, as may be prescribed.

Constitution the Board.

5.         The Board shall exercise and perform such powers and duties as may be prescribed, and its business shall be conducted in such manner and in accordance with such procedure as may be prescribed.

Powers and duties of the Board.

6.       (1) The Provincial Government may, by notification, appoint any officer, not below the status of a Collector, to be the Cane Commissioner to exercise and perform, in addition to the powers and duties conferred and imposed on him by this Act such powers and duties as may be prescribed from time to time.

Appointment of Cane commissioner.

            (2) The Cane-Commissioner shall be deemed to have powers of a Collector under the [13][West Pakistan Land Revenue Act, 1967 ] and the [14][Khyber Pakhtunkhwa] Tenancy Act, 1950] [15][or any other enactment relating to land revenue and tenancy in  force in any part of the Province.

 

[16][6-A.  The Provincial Government may, by notification, appoint the Collector to be an Additional Cane Commissioner to exercise such powers and perform such duties and functions of the Cane Commissioner, within the district or any part thereof, as may be specified.

Appointment of Additional Cane Commissioner.

 

7.        (1) The Provincial Government may, by notification, appoint such persons as it thinks fit, to be Inspectors for the purposes of this Act within such local limits as it may assign to them respectively.

Appointment of Inspectors.

           

            (2) No person shall be appointed to be an Inspector under sub-section (1) or, having been so appointed, shall continue to hold office, who is or becomes directly or indirectly interested in a factory or in any process or business carried on therein or in any patent or machinery connected therewith.


            (3) Every Inspector, who shall be deemed to be a public servant within the meaning of the Pakistan Penal Code, shall be officially subordinate to such authority as the Provincial Government may specify in this behalf, and shall exercise such powers and duties as may be prescribed from time to time.

 

[17][8.   The occupier of a Factory shall send a notice to the Cane  Commissioner  in a prescribed form intimating him of his intention to Start Crushing or Slicing one clear month before the crushing or,  as the case may be, Slicing starts:


            Provided that the occupier shall start crushing by a date not later than 30th November, and Slicing by a date not later than 15th May, each year].

Notice of Crushing or Slicing.

9.         (1) The Cane  Commissioner  may,  by order, require the occupier of any Factory to submit to him on or before a date to be fixed by him an estimate in the prescribed form and manner of the quantity of the cane, which will be required during such crushing season [18][or Slicing Season as the case may be] as may be specified in the order.

Estimate of quantity of Cane required by Factory.

            (2) The Cane Commissioner shall examine every such estimate and shall publish the same in the prescribed manner with such modifications, if any as he may think fit to make therein after consultation with the Board.

 

            (3) The Cane Commissioner may revise an estimate under sub-section (2) at any time without consulting the Board.

 

10.       (1) The Cane Commissioner may, after consulting the Board, issue an order declaring any area to be reserved area for the purposes of the supply of cane to a particular factory during a particular crushing season [19][or Slicing Season] of seasons, and may likewise, at any time, cancel such order or alter the boundaries of an area so reserved.


            (2) An appeal shall lie against the order of the Cane Commissioner under sub-section (1) to the [20][Commissioner of the Division

Declaration of Reserved Area.

11.       (1) The Provincial Government may order a survey to be made of the area proposed to be reserved for or assigned to a factory] and may recover the cost of such survey from the occupier of such factory.


            (2) Every survey mentioned in sub-section (1) shall be made by an officer appointed by the Provincial Government for this purpose, and the said officer shall exercise and perform such powers and duties in making such survey as may be prescribed and the survey shall be made in accordance with the prescribed procedure.

 

            (3) Every person owning or occupying land in any area in respect of which a survey is being made under sub-section (2) shall afford to the officer making the said survey such assistance and facilities for making the said survey as may be prescribed.


           (4) Any amount due from the occupier of a Factory under sub-section (1) shall be recoverable from such occupier as an arrear of land revenue.

Survey of Reserved Area.

12.       The occupier of a Factory for the purposes of which an area has been reserved, shall maintain a register in  the, prescribed form and manner of all cane growers and Cane-Growers Co-operative Societies in such area.

Maintenance register.

13.     (1) A cane-grower or a Cane-Growers' Co-operative Society in a reserved area may, if required to do so by the Cane Commissioner shall, offer in the form and by the date prescribed, and supply to the occupier of the Factory, for which the area is reserved, such quantity of cane grown by the cane-grower or by the members of such Cane-Grower's Co-operative Society, as the case may be as is generally prescribed for, or specially directed by the Cane Commissioner, for such cane grower or Cane-Grower's Co-operative Society.

Purchase of cane in Reserved Area.

 

            (2) The occupier of a Factory, for which an area is reserved, shall enter into an agreement in such form by such date and on such terms and conditions as may be prescribed to purchase the cane offered in accordance with sub-section (1); provided that he shall not purchase or enter into an agreement to purchase cane from a person who is member of Cane-Grower's Co-operative Society.


            (3) Unless the Provincial Government otherwise directs, cane grown in a reserved area shall not be purchased by a purchasing agent or by any person other than the occupier of the Factory, for which such area has been reserved except by another grower for the bona fide purpose of seed.


            (4) Cane grown in a reserved area shall not be sold by any person other than a cane- grower or a Cane-Growers' Co-operative Society, provided that a cane-grower or a Cane-Grower's Cooperative Society may deliver cane intended for a factory through another cane-grower of that area, or through a carrier.


            (5) During the crushing season [21][or the slicing season as the case may be], the Provincial Government may, if it is satisfied that there is likely to be in the area reserved for a Factory any quantity of cane available for sale to the occupier of the Factory in excess of the quantity for which he is required to enter into an agreement, direct that cane shall not be purchased outside the reserved area until the occupier of the Factory enters into agreements to purchase all the cane offered to him in the reserved area.

 

 [22][13-A. Notwithstanding anything to the contrary contained in this Act or any other law for the time being in force, the Provincial Government may, where it considers necessary by notification in the official Gazette, direct that the total supply of Cane or a specified percentage thereof to a factory from its assigned or reserved, area or any part thereof shall be made through a Cane-Grower's Co-operative Society only. On any such direction the occupier of the factory shall not, to the extent of the quantity or the percentage specified in the notification, purchase or enter into an agreement to purchase cane from any source other than a Cane-Grower's Co-operative Society].

Restriction on supply of Cane.

14.       (i) The Cane Commissioner may, after consulting the Board, issue an order declaring an area to be an assigned area for the purposes of the supply of cane to a particular factory.

Declaration of Assigned area and purchase of Cane therein.

 

            (ii) The occupier of a Factory, for which an area has been assigned, shall enter into an agreement with cane-growers in the assigned area or Cane-Grower's Co-operative Society or purchasing agents for the purchase in the assigned area of such quantity of cane by such date and in such form and on such terms and conditions as may be prescribed by the Cane Commissioner, provided that such agreement shall not be entered into with a person who is a member of Cane -Growers' Co-operative Society.


            (iii) If such an agreement is entered into with the purchasing agent, he shall enter into agreement with Cane-Growers in the assigned area or Cane-Growers' Societies in respect of all the cane which he has undertaken to supply.


            (iv) If the cane-growers or Cane Growers' Co-operative Societies in the assigned area are not willing to enter into agreements to supply, the Cane Commissioner may, by an order in writing require them to do so on such terms and conditions as may be prescribed by him, which order shall be legally binding on the cane-growers or the Cane-Growers' Co-operative Societies, as the case may be.


            (v)   In the event of failure to supply the requisite quantity of cane, the occupier of the Factory or the Purchasing agent, may, after giving the prescribed notice to the Cane Commissioner, purchase the balance of the cane required from outside the assigned area, unless otherwise directed by him.


            (vi) An appeal shall lie against the order of the Cane Commissioner under sub-section (i) or sub-sections (ii) and (iv) to the [23][Commissioner of the Division].

 

 [24][14-A.  The Cane Commissioner may, by an order in writing,  prohibit the cultivation in any reserved area by cane-growers  or  Cane Growers' Co-operative Societies of any variety of [25][cane ] declared by the Provincial Government  under section 18 to be unsuitable for distribution]

Power of cane Commissioner to prohibit cultivation of unsuitable varieties of sugar-cane.

 

15.        In any area, other than a reserved area, no person shall purchase cane except-

            (a) the occupier of a Factory or a person employed by him for the purpose of making such purchases;

Purchase of cane outside Reserved Area.

 

            (b)    a purchasing agent or a person employed by him for the purpose of making such purchase; , or

 

            (c)   a Cane-Growers' Co-operative, Society; (d) A Cane grower for bonafide seed purpose:


            Provided that a person entitled to purchase cane, may take delivery thereof through a cane grower or through a carrier.

 

16.       (i)  The Provincial Government after consultation with the Board, may by notification, determine in respect of any area the minimum price to be paid by  occupiers of Factories or purchasing agents for cane purchased in that area either generally or related to the sugar contents of the cane or direct that such minimum price shall be calculated  in the manner prescribed.


           (ii) The Provincial Government may from time to time vary, by notification, the price fixed under subsection (1).


            (iii) The occupier of a Factory or a purchasing agent shall not make any deduction from the amount due for cane sold to him by a Cane-grower or a Cane-Growers' Co-operative Society, except such deductions as may be prescribed or as the Provincial Government may, by notification, from time to time, allow.


           (iv) The Provincial Government may after consultation with the Board by notification, direct that in addition to the minimum price to be paid for cane, the occupier of a factory shall pay for special varieties of cane to be specified in the notification and which the cane grower or Cane Growers' Co-operative Society has agreed to supply, such additional price as the Provincial Government may direct.

           

            [26](v) The Provincial Government may direct the factories to pay to the Provincial Government or to growers a premium to be known as quality premium at the end of a crushing /slicing season at such rate as may be specified in proportion to the sucrose recovery of each factory in excess of base level sucrose contents determined by the Provincial Government from time to time.

Power of Provincial Government to fix Minimum price.

17.       No person or class of persons shall be employed by an occupier of a Factory or by a purchasing agent to do any work or class  of work in connection with any transaction for the purchase of cane and no person shall exercise any of the powers conferred by or under this Act on a purchasing agent, unless he is licensed in the prescribed manner.

Licensing of Purchasing Agents.

18.       (i) The occupier of a Factory or any other person acting on his behalf shall  not distribute [27][seed] of any variety to any person to be used by [28][seed] growers or the members of Cane-Growers' Cooperative Societies if the Provincial Government after consulting the Board, has by an order published in the [29]Gazette, declared that such variety of [30][seed] is unsuitable for distribution to cultivators.

Distribution of seed cane by Factories.

 

            (ii) The Provincial Government may, on the recommendations of the Board require the occupier of a Factory to distribute in an area reserved for the Factory such variety of [31][seed] on such conditions and in such manner as it may prescribe in every case.

 

19.       (1) Where the occupier of a Factory is a firm or other association of individuals, any one of the  individual  partners or members thereof may be prosecuted  and punished under this Act for any offence for which the occupier of the Factory is punishable:


            Provided that the firm or association may give notice to the Collector that it has nominated one of its members to be the occupier of the factory for the purposes of this Act and such individual shall be deemed to be the occupier for the purposes of this Act until further notice cancelling his nomination is received by the Collector or until he ceases to be a partner or member of the firm or association.


           (2) Where occupier of a factory is a company, any one of the directors thereof, or in the case of a private company, any one of the share-holders thereof, may be prosecuted and punished under this Act for any offence for which the occupier of the  factory  is  punishable:


            Provided that the company may give notice to the Collector that it has nominated a director, or, in the case of a Private Company, a shareholder, to be the occupier of the factory for the purposes of this Act and such director or share-holder shall be deemed to be the occupier of the factory for the purposes of this Act, until further notice cancelling his nomination is received by the Collector or until he ceases to be a director or share-holder.

Determination of “occupier” for purposes of this Act.

20.       The occupier of a factory shall have to employ a Cane Superintendent and such staff as may be prescribed by the Provincial Government, on the recommendations of the Cane Commissioner, to regulate, arrange and supervise the purchase of cane for the factory. The appointment and the award of punishment including removal from service of Cane Superintendent and other staff shall be subject to the approval of the Cane Commissioner.

Appointment and removal of Factory Staff.

21.       (a) Any person contravening the provisions of  this Act or any order or rule made thereunder shall be punishable with imprisonment for a period extending upto six months or with fine which may extend to Rs. 10,000 or with both.


          (b) Offences under the Act shall be bailable and non-cognizable.

Penalties.

 

22.       (i) No prosecution shall be instituted under this Act, except upon a complaint made by or under the authority, from the Collector or Cane Commissioner.

Institution of Proceedings.

           

            (ii) On the application of a person accused of an offence under this Act, the Cane Commissioner or the Collector may with the previous approval of the Provincial Government, compound such offence by levying a composition fine not exceeding two times the fine which could be imposed for such offence at any stage before conviction.


            (iii) No court inferior to that of a Magistrate of the 1st Class shall try any offence under this Act or any order or rule made thereunder.

 

            (iv)  (a) No suit, prosecution or other legal proceeding shall lie against the Provincial Government or any of its servants for any thing which is in good faith done or intend ed to be done under this Act or the rules framed thereunder.

 

(b)      The exercise of any discretion or authority conferred on the Provincial Government or the Board or the Cane Commissioner by this Act shall not be questioned in any Civil Court.

 

(c)       The Provincial Government may delegate all or any of its powers under this Act, to any officer not below the status of a Collector.

 

23.    (1) The Provincial Government may make rules to carry out the provisions of this Act.  

Power to make Rules.

          (2)  In particular and without prejudice to the generality of the foregoing powers, such rules may provide for the constitution, powers, duties and procedure of the appointment of the Cane Commissioner and Inspectors and the powers and duties to be exercised  and performed by  them.


          (3)   The authorities by which any functions under this Act or the rules made there under are to be performed.


           (4)   The form in which the notices required by Sections 8 and 14 (v) should be given.


          (5)  The form, manner and date for the submission of estimates mentioned in Section 9, and the manner in which and the pacesl at which such estimates should be published.

 

           (6)  The procedure to be followed for making a, survey under section 11, the powers to be exercised by survey officers and the assistance to be afforded by owners and occupiers of land to the officers making such survey.


           (7)  Records, registers and accounts and the submission of returns, the supply of copies of entries there in and the fees to be charged for the same.

 



[1] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[2] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[3] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[4] Ins.  by N. W. F. P. Old. No. VII of 1976.

[5] Section-1, subs, by N. W. F. P. Adapt, of Laws Order, 1975

[6] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[7] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[8] In section-2, in  Mauses (6) and (c) substituted by N. W. F.P. Ord. No. VII of 1976 and Act No. VIII of 76, s.3. (iii).

[9] Ins. by the W. P. Ord. III of 1961, s. 3.

[10] Clause(p), inserted by N.W.F. P. Ord.No.VII of 1976, s. 3 (iii) and Act No. VIII of 1976. s. 3 (iii).

[11] In section-3, after the words "Sugar-cane", the  words "and  sugar-beet", ins.  by N.-W. F. P. Ord. No. VII of 1976, s.4.and NW.F.P. .Act No. VIII o 1976, s.4.

[12] In section-4, for the word "Sugar-Cane", the word "Cane", subs, N.-W. F. P. Ord. No. VII of 1976, s.4.and NW.F.P. .Act No. VIII o 1976,  s.4.

[13] In section-6, in sub-section (2), for the words and figures "Punjab Land Revenue Act, 1887" and "Punjab Tenancy Act, 1887", the words and figures "West Pakistan. Land Revenue Act, 1967" and "North-West Frontier Province Tenancy Act, 1950' respectively subs. ibid

[14] Substituted vide Khyber Pakhtunkhwa Act. No. IV of 2011.

[15] Subs, by the W. P. Ord. III of 1961.

[16] Ins. by W. P. Ord. XLV of 1963, s. 2.

[17] Section 8 substituted by N. W. F. P. Ord.No.VII of 1976 and Act No.  VIII of 1976, s.7.

[18] Inserted ibid.

[19] Ins: by N.W.F.P. Ord. No. VII of 1976.

[20] Subs. for the words "Provincial Government" by W.P. Ord. III of 1961, s. 6.

[21] The words or slicing season as the case may be inserted by N. W.F.P.  Ord. No. VII of 1976 and Act No. VIII of 1976, s. 10.

[22] Section 13-A. ins. by Khyber Pakhtunkhwa  Ord. No. XII of 1978 s. 2.

[23] Subs. for the words "Provincial Government" by W. P. Ord. in of 1961, s.6.

[24] Ins. ibid.

[25] In section l4-A, for the words "Sugar-Cane", the Word" Cane", subs, by N.W.F.P. Ord. No. VII of 1976, s. 11.

[26] Added vide Khyber Pakhtunkhwa Act No. VIII of 1988.

[27] Substituted by N.W.F.P. Ord. No. VII of 1976, s.12 and Act No. VIII of 1976 s.12.

[28] Substituted by N.W.F.P. Ord. No. VII of 1976, s.12 and Act No. VIII of 1976 s.12.

[29] Now refers to the Official Gazette of West Pakistan, see W. P. Act XVI of 157, s. 3 (4).

[30] Substituted by N.W.F.P. Ord. No. VII of 1976, s.12 and Act No. VIII of 1976 s.12.

[31] Substituted by N.W.F.P. Ord. No. VII of 1976, s.12 and Act No. VIII of 1976 s.12.