(1) This Order may be called the Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs Order, 2016.

(2) It shall come into force with effect from the 1^st day of October, 2016.

In this Order, unless the context otherwise requires,

(a) Act means the Essential Commodities Act, 1955 (10 of 1955);

(b) Central Government means the Ministry of Consumer Affairs, Food and Public Distribution, Department of Consumer Affairs;

(c) dealer means any person engaged in the business of purchase, movement, sale, supply, distribution or storage for any of the commodities specified in clause 3, whether as a wholesaler or retailer or producer or manufacturer or importer or exporter and whether or not in conjunction with any other business, and includes his representative or agent but does not include a producer or manufacturer or importer or exporter of sugar; and

(d) State Government , in relation to a Union territory, means the administrator thereof.

(1) Any dealer may freely buy, stock, sell, transport, distribute, dispose, acquire, use or consume, any quantity of wheat, wheat products (namely maida, rava, suji, atta, resultant atta and bran) paddy, rice, coarsegrains, sugar, gur, edible oilseeds, edible oils, pulses, hydrogenated vegetable oils or vanaspati, onions and potato and shall not require a permit or license therefor, under any order issued under the Act, save as otherwise provided under this clause.

(2) The provisions of sub-clause (1) shall, in respect of the purchase, movement, sale, supply, distribution or storage for sale of these commodities, not apply to

(i) 1[* * *];

2[(ii) sugar, for a period upto 28th April, 2018;]

(iii) edible oils and edible oilseeds, for a period up to 3[30^th September, 2018] except for the purposes of calculation of stock limits under the Act, in the following cases, namely:

(a) an exporter, being a wholesaler or retailer or dealer, having Importer-Exporter Code Number issued by the Directorate General of Foreign Trade, if such exporter is able to demonstrate that the whole or part of his stock in respect of edible oils and edible oilseeds are meant for exports, to the extent of the stock meant for export;

(b) a retailer having multiple outlets or large departmental retailers;

(c) stock essential to be used as raw materials by licensed food processors for manufacture of food products;

(d) an importer, being a wholesaler or retailer or dealer, if such importer is able to demonstrate that part of his stock in respect of edible oils and edible oilseeds are sourced from imports:

Provided that the Central Government or the State Government may direct the importers to declare the receipts of stocks of edible oils and edible oilseeds and stocks retained by them.

4[(iv) Onion, with the following stock limits on traders for all States and Union Territories;

Provided that an importer, being a wholesaler or retailer or dealer shall be exempted for the imported stock of onions.]

5[(3) Nothing contained in sub-clause (2) shall

(a) affect the transport, distribution or disposal of sugar, edible oils and edible oilseeds to places outside the State;

(b) apply to the stock of specified commodities (specified by the Central Government for the purpose of this order), in which derivatives trading is permissible and kept in warehouses accredited by a commodity derivatives exchange and registered with the Warehouses Development and Regulatory Authority for delivery on exchange platforms and this exemption shall be available as long as these conditions are fulfilled.]

The provisions of this Order shall have effect notwithstanding any order issued by the State Government under the powers delegated to it vide notification of the Government of India in the then Ministry of Agriculture (Department of Food) number G.S.R. 800, dated the 6[9^th June, 1978] and the State Government shall obtain prior approval of the Central Government for issuing of any order for the purposes of regulating by licenses, permit or otherwise, the storage, transport, distribution, disposal, acquisition, use or consumption of any of the commodities specified in clause 3:

Provided that nothing contained in this Order shall affect the operation of

(i) the Public Distribution System (Control) Order, 2001 issued by the Central Government or any order of the State Government issued in pursuance thereof;

(ii) the orders for levy from the millers or traders of paddy or rice issued by the State Government for the purposes of procurement of rice, in pursuance of the powers delegated to it by the Central Government under Section 3 of the Act.

1. Omitted. by S.O. 1600(E), dated 17-5-2017 (w.e.f. 17-5-2017).

2. Subs. by S.O. 3422(E), dated 25-10-2017 (w.e.f. 29-10-2017).

3. Subs. for 30th September, 2017 by S.O. 3136(E), dated 27-9-2017 (w.e.f. 1-10-2017).

4. Subs. by S.O. 4417(E), dated 10-12-2019. Prior to substitution it read as: [(iv) Onion, with the following stock limits on traders for all States and Union Territories; Wholesaler: 25 MT and Retailer: 5 MT Provided that an importer, being a wholesaler or retailer or dealer shall be exempted for the imported stock of onions.]

5. Subs. by S.O. 4471(E), dated 16-12-2019 (w.e.f. 16-12-2019). Prior to substitution it read as: (3) Nothing contained in sub-clause (2) shall affect the transport, distribution or disposal of sugar, edible oils and edible oilseeds to places outside the State.

6. Subs. for 17th June, 1978 by S.O. 4471(E), dated 16-12-2019 (w.e.f. 16-12-2019).