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AGRICULTURAL AND PROCESSED FOOD PRODUCTS EXPORT DEVELOPMENT AUTHORITY ACT, 1985
2 of 1986
8th January, 1986
An Act to provide for the establishment of an Authority for the development and promotion of exports of certain agriculture and processed food products and for matters connected therewith Be it enacted by Parliament in the Thirty-sixth Year of the Republic of India as follows :-
Prefatory Note-Statement of Objects and Reasons.-Agricultural sector of the economy contributes significantly to our exports and would have to continue to do so. Increasing reliance shall, however, have to be placed on exports of agricultural and processed food products which lead to higher realisation through added value. Value addition would also generate economic activity and employment in the country.639 2. Although the potential for exports of processed food products is good, there have been several constraints inhibiting its growth, The food processing industry is by and large in the small scale sector using technology of processing and packaging which is outdated. In order to have a stable market, it is necessary to guarantee the strict standards of quality expected by importing countries and to maintain consistency. This would require inputs of research technology and a considerable degree of organisational effort. 3. At present the Processed Foods Export Promotion Council looks after exports of these products. The Council does not have any statutory backing to undertake quality control. It is also not equipped to generate production of value added products or to effectively promote their exports. It has, therefore, been considered necessary to replace the Council by a statutory authority to be designated as the Agricultural and Processed Food Products Export Development Authority. It will co-ordinate its activities with the national bodies like Horticulture Board and State Governments for generating production for export and with research institutes for development of value added products. It would also be able to undertake quality certification and unify the existing inspection and quality control for products such as meat and meat products. 4. In order to enable the authority to discharge its functions effectively it is proposed, by a separate Bill, to provide for the levy by way of a cess of the duty of the customs on all the Scheduled products which are exported. The intention is to make over, after due appropriation by Parliament, by law the proceeds of the cess to the Authority. 5. The Authority is proposed to be constituted, among others, with representatives of the Central and State Governments, Parliament, trade. Export Promotion Councils and specialists in the field. The main functions proposed to be assigned to this Authority are to develop processed food industry by way of providing financial assistance for undertaking surveys and feasibility studies, participation in the equity capital through joint ventures and other relief and subsidy schemes, registration of exporters of the Scheduled products, fixing of standards and specifications for Scheduled products for purposes of exports, carrying out inspection of meat and meat products in any slaughterhouse, processing plant, etc., improvement in packaging of Scheduled products and marketing of the products outside India and promotion of export-oriented production and product development of Scheduled products. The Bill contains a provision that it shall be the duty of the Authority to provide, by such measures as it thinks fit, the development and promotion under the control of the Central Government, of export of agricultural and processed food products included in the Schedule thereof mainly with a view to enabling it to undertake the activities mentioned above. Power has also been taken for the Central Government to prohibit or control the imports and exports of the Scheduled products. 6. The Bill seeks to achieve the above objects.
CHAPTER 01: PRELIMINARY
SECTION 01: SHORT TITLE, EXTENT AND COMMENCEMENT
- (1) This Act may be called the Agricultural and Processed Food Products Export Development Authority Act, 1985.
(2) It extends to the whole of India.
(3) It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint, and different dates may be appointed for different provisions of this Act.
SECTION 02: DEFINITIONS
-In this Act, unless the context otherwise requires,-
(a) "Authority" means the Agricultural and Processed Food Products Export Development Authority established under Section 4-;
(b) "Chairman" means the Chairman of the Authority;
(c) "export" means taking out of India by land, sea or air;
(d) "exporter" means a person registered as an exporter of Scheduled products under Section 12-;
(e) "member" means a member of the Authority and includes the Chairman;
(f) "prescribed" means prescribed by rules made under this Act ;
(g) "processing" in relation to Scheduled products includes the process of preservation of such products such as canning, freezing, drying, salting, smoking, peeling or filleting and any other method of processing which the Authority may, by notification in the Official Gazette, specify in this behalf;
(h) "regulations" means regulations made under this Act ;
(i) "Scheduled product" means any of the agricultural or processed food products included in the Schedule.
SECTION 03: POWER TO AMEND SCHEDULE
--The Central Government may, having regard to the objects of this Act, and if it considers necessary or expedient so to do, by notification in the Official Gazette, add to, or, as the case may be, omit from, the Schedule any agricultural or processed food product and on such addition, or as the case may be, omission, such product shall be, or shall cease to be, a Scheduled product.
CHAPTER 02: AGRICULTURAL AND PROCESSED FOOD PRODUCTS EXPORT DEVELOPMENT AUTHORITY
SECTION 04: ESTABLISHMENT AND CONSTITUTION OF THE AUTHORITY
- (1) With effect from such date as the Central Government may, by notification in the Official Gazette, appoint in this behalf, there shall be established for the purposes of this Act, an Authority to be called the Agricultural and Processed Food Products Export Development Authority.
(2) The Authority shall been a body corporate by the name aforesaid, having perpetual succession and a common seal, with power to acquire, hold and dispose of property, both movable and immovable, and to contract, and shall by the said name sue and be sued.
(3) The head office of the Authority shall be at Delhi and the Authority may, with the previous approval of the Central Government, establish offices or agencies at other places in or outside India.
(4) The authority shall consist of the following members namely :-
(a) a Chairman, to be appointed by the Central Government;
(b) the Agricultural Marketing Adviser to the Government of India, ex officio;
(c) one member to be appointed by the Central Government to represent the Planning Commission ;
(d) three members of Parliament of whom two shall be elected by the House of the People and one by the Council of States ;
(e) eight members to be appointed by the Central Government to represent, respectively, the Ministries of the Central Government dealing with-
(i) agriculture and rural development ;
(ii) commerce;
(iii) Finance;
(iv) industry;
(v) food;
(vi) civil supplies;
(vii) civil aviation;
(viii) shipping and transport ;
(f) five members to be appointed by the Central Government by rotation in the alphabetical order to represent the States and the Union territories: Provided that an appointment under this clause shall be made on the recommendation of the Government of the State, or as the case may be, the Union territory concerned ;
(g) seven members to be appointed by the Central Government to represent,-
(i) the Indian Council of Agricultural Research ;
(ii) the National Horticulture Board ;
(iii) the National Agricultural Co-operative Marketing Federation;
(iv) the Central Food Technological Research Institute;
(v) the Indian Institute of Packaging ;
(vi) the Spices Export Promotion Council; and
(vii) the Cashewnut Export Promotion Council ;
(h) twelve members to be appointed by the Central Government to represent,-
(i) fruit and vegetable products industries ;
(ii) meat, poultry and dairy products industries ;
(iii) other Scheduled products industries ;
(iv) packaging industry;
Provided that the number of members appointed to represent any of the groups of industries specified in sub-clauses (i) to (iii) or the industry specified in sub-clause (iv) shall in no case be less than two; (i) two members to be appointed by the Central Government from amongst specialists and scientists in the field of agriculture, economics and marketing of Scheduled products.
(5) The term of office of the members, other than the member referred to in clause (b) of sub-section (4) and the manner of filling vacancies among, and the procedure to be followed in the discharge of their functions by, the members shall be such as may be prescribed.
(6) Any officer of the Central Government, not being a member of the Authority, when deputed by that Government in this behalf, shall have the right to attend meetings of the Authority and take part in the proceedings thereof but shall not be entitled to vote.
(7) No act or proceeding of the Authority or any committee appointed by it under Section 9-shall be invalidated merely by reason of-
(a) any vacancy in, or any defect in the constitution of, the Authority or such committee; or
(b) any defect in the appointment of a person acting as a member of the Authority or such committee; or
(c) any irregularity in the procedure of the Authority or such committee not affecting the merits of the case.
(8) The Authority shall meet at such times and places and shall observe such rules of procedure in regard to the transaction of business at its meetings (including the quorum at its meetings) as may be provided by the regulations.
SECTION 05: SALARY AND ALLOWANCES AND OTHER CONDITIONS OF SERVICE OF CHAIRMAN AND ALLOWANCES OF MEMBERS
- (1) The Chairman shall be entitled to such salary and allowances and shall be subject to such conditions of service in respect of leave, pension, provident fund and other matters as may, from time to time, be fixed by the Central Government.
(2) The other members of the Authority shall receive such allowances as may be fixed by the Central Government.
(3) A member, other than the ex officio member, may resign his office by giving notice thereof in writing to the Central Government and on such resignation being accepted, he shall be deemed to have vacated his office.
SECTION 06: CHAIRMAN TO BE CHIEF EXECUTIVE
-The Chairman shall be the chief executive of the Authority and shall exercise such powers and perform such duties as may be prescribed.
SECTION 07: SECRETARY OF THE AUTHORITY AND OTHER STAFF
- (1) The Central Government shall appoint a Secretary to the Authority who shall exercise such powers and perform such duties as may be prescribed or as may be delegated to him by the Chairman.
(2) The Secretary shall be entitled to such salary and allowances and shall be subject to such conditions of service in respect of leave, pension, provident fund and such other matters as may, from time to time, be fixed by the Central Government.
(3) Subject to such control and restrictions as may be prescribed, the _Authority may appoint such other officers and employees, as may be necessary, for the efficient performance of its functions and the method of appointment, the scale of pay and allowances and other conditions of service of such other officers and employees of the Authority shall be such as may be provided by the Authority by regulations.
(4) The Chairman, the Secretary and other officers and employees of the Authority shall not undertake any work unconnected with their duties under this Act except with the permission of the Central Government.
SECTION 08: SPECIAL PROVISION FOR TRANSFER OF EMPLOYEES TO THE AUTHORITY
- (1) On the establishment of the Authority, it shall be lawful for the Central Government to transfer to the Authority, by order, and with effect from such date or dates as may be specified in the order, any officer or other employee holding office as such in the Processed Foods Export Promotion Council (hereafter in this section referred to as the Council) immediately before the date on which the Authority is established: Provided that the scale of pay of the post in the Authority to which such officer or other employee is transferred such not be lower than the scale of pay of the post he was holding immediately before such transfer and the other terms and conditions of service (including pension, leave, provident fund and medical benefits) of the post to which he is transferred shall not be less favourable than the terms and conditions of service in relation to the post held by him immediately before such transfer.
(2) An order under sub-section (1) may be made so as to have retrospective effect from a date not earlier than the date of the commencement of this Act.
(3) Before any order is issued under sub-section (1), all officers and employees of the Council shall be given an option to express, in such form as may be prescribed, and within such time as may be specified in that behalf by the Central Government, their willingness or otherwise to become employees of the Authority and such option once exercised shall be final: Provided that no order under sub-section (1) shall be made in relation to any officer or other employee of the Council who has intimated his intention of not becoming an employee of the Authority within the time specified in that behalf: Provided further that such of the officers and employees of the Council who do not express, within the time specified in that behalf, their intention of becoming the employees of the Authority, shall be dealt with in the same manner and in accordance with the same laws and standing orders as would have applied immediately before the commencement of this Act to the employees of the Council in the event of the reduction of the strength of the officers and employees of the Council.
(4) An officer or other employee transferred by an order made under sub-section (1) shall, on and from the date of transfer, cease to be an employee of the Council and become an officer or other employee of the Authority with such designation as the Authority may determine and shall, subject to the provisions of the proviso to sub-section (1), be governed by the regulations made by the Authority under this Act in respect of remuneration and other conditions of service (including pension, leave, provident fund and medical benefits) and shall continue to be an officer or other employee of the Authority unless and until his employment is duly terminated by the Authority:
Provided that till such time as the regulations referred to above governing the conditions of service of its officers or other employees are framed by the Authority, the relevant laws and standing orders applicable to the officers and employees of the Council shall continue to be applicable to them.
(5) If a question arises whether the terms and conditions of service prescribed in the regulations framed by the Authority in respect of any matter, including remuneration, pension, leave, provident fund and medical benefits, are less favourable than those attached to the post held by an officer or other employee immediately before his transfer to the Authority, the decision of the Central Government in the matter shall be final.
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