The Sugar Export Promotion Act, 1958

Administered Ministry: Ministry of Home Affairs / Department of States

Act details

Short titleThe Sugar Export Promotion Act, 1958
Long titleAn Act to provide for the export of sugar in the public interest and for the levy and collection in certain circumstances of an additional duty of excise on sugar produced in India.
Act number30 of 1958
Act year1958
Enactment date16 Sep 1958
MinistryMinistry of Home Affairs / Department of States
DepartmentDepartment of States
JurisdictionCentral (Parliament of India)
Sections14
StatusNot repealed
Last checked on India Code4 Nov 2026
SourceIndia Code, Government of India

Summary

summary of the Sugar Export Promotion Act, 1958:
Key Provisions:
1. Short Title & Extent: Applies to the whole of India.

2. Definitions: Defines key terms such as "export", "export agency", "factory", "owner", "sugar", and "year".

3. Export Agency: The Central Government may specify an export agency (could be a company or body corporate) to perform functions under this Act.

4. Fixation of Sugar Quantity for Export: The Central Government fixes the exportable sugar quantity, considering availability, domestic consumption needs, and foreign exchange earnings.

5. Export Quotas for Factories: Quotas are apportioned among owners based on their sugar production.

6. Liability to Deliver Export Quota: Owners must deliver their quota to the export agency as specified.

7. Levy of Additional Excise Duty: If an owner falls short of their export quota, an additional excise duty (Rs. 45.55 per quintal, as amended) is levied on sugar dispatched for domestic consumption.

8. Sale of Delivered Sugar & Payments: The export agency sells the sugar and distributes proceeds to owners after deducting expenses.

9. Powers & Protections:
• Central Government Directions: The export agency must follow Central Government directions.
• Delegation of Powers: The Central Government can delegate powers to subordinate officers.
• Protection of Actions: Immunity for the export agency and Central Government for actions taken in good faith under this Act.

10. Rule Making & Repeal:
• Power to Make Rules: For carrying out the Act's purposes.
• Repeal and Saving: (Originally listed but context shows it as repealed by another act, details not provided in the summary context).

Legislative history

Legislative History:

The Sugar Export Promotion Act, 1958

Act Title - The Sugar Export Promotion Act, 1958

Act Number / Year - 30 of 1958

Act ID (India Code) - 195830

Presidential Assent Date - September 16, 1958

Enforcement Date - September 16, 1958

Nodal Ministry - Ministry of Home Affairs

Precedent & Historical Rationale

● Foreign Exchange Generation and Market Stabilization: Enacted in the public interest to earn critical foreign exchange by mandating the export of surplus Indian sugar through canalized agencies, while preventing domestic price collapses caused by overproduction.

● Statutory Export Quotas and Enforcement Mechanics: Empowered the Central Government to fix aggregate export limits (up to 20% of national production) and apportion compulsory quotas to individual mills, imposing an additional excise duty on default to enforce compliance.

Parliamentary Trajectory & Enactment

● Formulation: Promulgated initially as the Sugar Export Promotion Ordinance on June 27, 1958, to urgently manage surplus sugar stocks, and subsequently introduced as a Parliamentary Bill.

● Parliamentary Passage: Debated and passed by both Houses of Parliament during the Monsoon Session of 1958.

● Presidential Assent: Received Presidential Assent on September 16, 1958.

● Enforcement: Enforced on September 16, 1958.

Source: Official Record of Parliament, India Code, and Ministry of Home Affairs