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Judgment
Satish K. Agnihotri, J.—The petitioner challenges levy of Mandi fee on jute purchased by the petitioner from outside and brought into the Mandi area for the purpose of use in its own factory at Raipur. Shri Vyas, learned counsel appearing for the petitioner submits that the schedule II to Chhattisgarh Krishi Upaj Mandi Adhiniyam, 1972 (for short ''the Act, 1972'') provides for Cotton (unginned), Sun Hemp, Ambadi/Mesta under the head "Fibers" and jute is not mentioned and, as such, jute is not exigible to mandi fee.
Shri Vyas relies on definition of ''Jute'', as defined in the Jute Manufactures Cess Act, 1983 wherein "jute manufacture" means any article specified in the schedule which contains more than fifty percent of jute (including bimlipatam jute or mesta fibre) of any sort by weight of the total fibre content and in the production of which any process is ordinarily carried on with the aid of power.
On the other hand, Shri Minhaz, learned Panel Lawyer for the State/respondent No. 1 & 2, and Shri Thakur, learned counsel appearing for the respondent No. 3 and 4 submits that Hemp and Mesta have been used and the Jute can be prepared from Hemp and Mesta, both. Thus, whether jute is made from Hemp or mesta, market fee would be leviable.
Heard learned counsel appearing for the parties, perused the pleadings and documents appended thereto. I have also examined the definition given in some of the dictionaries wherein the term ''jute'' has been defined.
The charging section under the Act, 1972 is Section 19, which reads as under:
Power to levy market fee-[(1) Every Market Committee shall levy market fee,-
(i) on the sale of notified agricultural produce whether brought from within the State or from outside the State into the market area; and
(ii) on the notified agricultural produce whether brought from within the State or from outside the State into the market areas and used for processing;
at such rates as may be fixed by the State Government from time to time subject to a minimum rate of fifty paise and a maximum of two rupees for every one hundred rupees of the price in the manner prescribed:
Provided that no Market Committee other than the one in whose market area the notified agricultural produce is brought for sale or processing by an agriculturist or trader, as the case may be, for the first time shall levy such market fee.]
xxx xxx xxx
SCHEDULE [See Section 2(1)(a)] I-Fibres
[1. Cotton (unginned)], 2. Sun Hemp, [3. Ambadi/Mesta]
Hemp or Mesta has been added subsequently by M.P. Act No. 5 of 1990 (w.e.f. 8.2.1990)
The Concise Oxford English Dictionary, Eleventh Edition, defines the term "Jute" as under:
Jute-1. rough fibre made from the stems of a tropical plant, used for making rope or woven into sacking, 2. the plant cultivated for jute fibre, with edible young shoots. [Corchorus capsularis (China) and C. Olitorius (India).]
The Bhargava''s Standard Illustrated Dictionary (Anglo-Hindi edition) defines ''jute'' as under:
Jute.
- n. the fibre from certain plants resembling hemp.
In Advanced Law Lexicon, P Ramanatha Aiyar, 3rd Edition 2005, Jute Manufacture has been defined as under:
"Jute manufacture" means any articles specified in the Schedule which contains more than fifty per cent of jute (including bimilipatam Jute or mesta fibre of any sort) by weight of the total fibre content and in the production of which any process is ordinarily carried on with the aid of power.
Under the Jute Manufactures Cess Act, 1983, Jute Manufacture has been defined as under:
(a) "jute manufacture" means any article specified in the Schedule which contains more than fifty per cent of jute (including bimlipatam jute or mesta fibre of any sort by weight of the total fibre content and in the production of which any process is ordinarily carried on with the aid of power.
On bare perusal of the charging Section as well as the Schedule specifying goods, which are exigible to tax, it is crystal clear that Fibre, which is also called Jute is exigible to mandi fee.
Under clause (i) of sub-section (1) of Section 19 of the Act, 1972, market fee is payable on the sale of notified agricultural produce whether brought from within the State or from outside the State into the market area. As per clause (ii) the market fee is payable on the notified agricultural produce whether brought from within the State or from outside the State into the market areas and used for processing.
In the case on hand, it is indisputable that the jute brought by the petitioner from outside was used for processing in the factory. Thus, the contention of the petitioner that the mandi fee is not payable on the jute, as the same is not notified in Schedule II under the heading Fibers i.e. sun, hemp, ambadi/mesta, is noticed to be rejected on the grounds stated hereinabove.
In support of the aforesaid contention, the petitioner has not produced any document or material to establish that the jute brought by the petitioner into market area is not of sun, hemp, ambadi/mesta.
The petitioner questions basically the fact that jute is not a notified agricultural produce and as such, no market fee is leviable. In Schedule II under the heading Fibers, cotton (unginned), sun, hemp, ambadi/mesta are types of jute.
Under the definition of ''jute'', (i) jute is a rough fibre made from the stems of a tropical plant, used for making rope or woven into sacking; (ii) the plant cultivated for jute fibre, with edible young shoots. Thus, the jute brought into the market area is exigible to mandi fee.
From the definition as well as the word employed under the Act, 1983 and also under the notification, it is clear that whether the jute comes from Hemp or Ambadi/Mesta all types of jute are exigible u/s 19(1) of the Act, 1972 to Mandi fee. In view of that, there is no error in imposing mandi fee on jute. The petitioner has no grievance with regard to the rate of fee upon the jute. Resultantly, the writ petition is dismissed. No order as to costs.