The petitioner sought release of an export subsidy of Rs. ...

Dairy exporter granted Rs. 8cr export subsidy citing equal treatment & non-discrimination principles.

Case Laws     Indian Laws

August 30, 2024

The petitioner sought release of an export subsidy of Rs. 8,08,50,000/-. The respondent confirmed that the milk powder exported by the petitioner, amounting to 1617 metric tonnes, was from stock existing on June 30, 2018, entitling the petitioner to receive the export subsidy under the government resolution dated July 31, 2018. The court observed that once a similarly placed party like Indapur received such subsidy, which is a state largesse, the principles of reasonableness and fairness emanating from Article 14 of the Constitution of India require the respondents to extend similar treatment to the petitioner, who was identically placed. Differential treatment would result in a breach of the petitioner's right to non-discrimination under Article 14. The subsidy scheme is a welfare scheme, fully implemented and acted upon in Indapur's case. The Supreme Court judgments relied upon by the respondents regarding negative equality are distinguishable as the court had directed the release of export subsidy to Indapur based on its legal entitlement, without any illegality involved. Consequently, the respondents were directed to release the export subsidy amount of Rs. 8,08,50,000/- to the petitioner within six weeks.

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