Articles 301 to 307 - Inter-state trade and commerce
Q. Which of the following is correct?- Published on 27 Feb 17a. Part XII of the Constitution deal with the trade, commerce and intercourse within the territory of India.
b. Article 301 will not be violated if restrictions are imposed at any prior stage than the frontier of the state.
c. Article 301 to 307 in part XII of the constitution deal with public acts, records and judicial proceedings.
d. A bill for imposing reasonable restrictions on the freedom of trade can be introduced in the state legislature only with the previous sanction of the President.
ANSWER: A bill for imposing reasonable restrictions on the freedom of trade can be introduced in the state legislature only with the previous sanction of the President.
- Articles 301 to 307 in Part XIII of the Constitution deal with the trade, commerce and intercourse within the territory of India.
- Article 301 declares that trade, commerce and intercourse throughout the territory of India shall be free.
- The object of this provision is to break down the border barriers between the states and to create one unit.
- The freedom under this provision is not confined to inter-state trade, commerce and intercourse but also extends to intra-state trade, commerce and inter-course.
- Thus, Article 301 will be violated whether restrictions are imposed at the frontier of any state or at any prior or subsequent stage.
- The freedom guaranteed by Article 301 is a freedom from all restrictions, except those which are provided for in the other provisions (Articles 302 to 305) of Part XIII of the Constitution itself.
These are -
1. Parliament can impose restrictions on the freedom of trade, commerce and inter-course between the states or within a state in public interest.
2. But, the Parliament cannot give preference to one state over another except in the case of scarcity of goods in any part of India.
3. (The Parliament has made the Essential Commodities Act (1955). This Act enables the Central government to control the production, supply and distribution of certain essential commodities like petroleum, coal, iron and steel, etc.)
4. The legislature of a state can impose reasonable restrictions on the freedom of trade,commerce and intercourse with that state or within that state in public interest.
5. But, a bill for this purpose can be introduced in the legislature only with the previous sanction of the President.
6. The state legislature cannot give preference to one state over another or discriminate between the states.
7. The legislature of a state can impose on goods imported from other states or the union territories any tax to which similar goods manufactured in that state are subject.
8. This provision prohibits the imposition of discriminatory taxes by the state.
9. The freedom (under Article 301) is subject to the nationalization laws (i.e., laws providing for monopolies in favor of the Centre or the states).
10. The Parliament or the state legislature can make laws for the carrying on by the respective government of any trade,business, industry or service, whether to the exclusion, complete or partial, of citizens or otherwise.
- The Parliament can appoint an appropriate authority for carrying out the purposes of the above provisions relating to the freedom of trade, commerce and intercourse and restricts on it.
- The Parliament can also confer on that authority the necessary powers and duties.
- But, no such authority has been appointed so far.
