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PART XIII
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TRADE, COMMERCE AND INTERCOURSE WITHIN THE
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TERRITORY OF INDIA
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301. Freedom of trade, commerce and intercourse.—Subject to the
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other provisions of this Part, trade, commerce and intercourse throughout the
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territory of India shall be free.
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302. Power of Parliament to impose restrictions on trade, commerce
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and intercourse.—Parliament may by law impose such restrictions on the
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freedom of trade, commerce or intercourse between one State and another or
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within any part of the territory of India as may be required in the public
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interest.
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303. Restrictions on the legislative powers of the Union and of the
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States with regard to trade and commerce.—(1) Notwithstanding anything
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in article 302, neither Parliament nor the Legislature of a State shall have pow
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er
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to make any law giving, or authorising the giving of, any preference to one
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State over another, or making, or authorising the making of, any discrimination
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between one State and another, by virtue of any entry relating to trade and
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commerce in any of the Lists in the Seventh Schedule.
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(2) Nothing in clause (1) shall prevent Parliament from making any law
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giving, or authorising the giving of, any preference or making, or authorising
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the making of, any discrimination if it is declared by such law that it is
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necessary to do so for the purpose of dealing with a situation arising from
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scarcity of goods in any part of the territory of India.
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304. Restrictions on trade, commerce and intercourse among
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States.—Notwithstanding anything in article 301 or article 303, the
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Legislature of a State may by law—
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(a) impose on goods imported from other States or the Union
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territories any tax to which similar goods manufactured or produced in
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that State are subject, so, however, as not to discriminate between goods
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so imported and goods so manufactured or produced; and
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(b) impose such reasonable restrictions on the freedom of trade,
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commerce or intercourse with or within that State as may be required in
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the public interest:
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Provided that no Bill or amendment for the purposes of clause (b) shall
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be introduced or moved in the Legislature of a State without the previous
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sanction of the President.
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148
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149
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THE CONSTITUTION OF INDIA
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305. Saving of existing laws and laws providing for State
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monopolies.—Nothing in articles 301 and 303 shall affect the provisions of
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any existing law except in so far as the President may by order otherwise
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direct; and nothing in article 301 shall affect the operation of any law made
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before the commencement of the Constitution (Fourth Amendment) Act, 1955,
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in so far as it relates to, or prevent Parliament or the Legislature of a State
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from
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making any law relating to, any such matter as is referred to in sub-clause (ii)
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of clause (6) of article 19.
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306. [Power of certain States in Part B of the First Schedule to impose
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restrictions on trade and commerce.] Rep. by the Constitution (Seventh
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Amendment) Act, 1956, s. 29 and Sch.
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307. Appointment of authority for carrying out the purposes of
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articles 301 to 304.—Parliament may by law appoint such authority as it
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considers appropriate for carrying out the purposes of articles 301, 302, 303
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and 304, and confer on the authority so appointed such powers and such duties
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as it thinks necessary.
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