A Division Bench of the Kerala High Court on Wednesday observed that the Union government was bound to take into account the plight of rubber farmers while formulating import policies.
The Bench comprising Acting Chief Justice Ashok Bhushan and Justice A.M. Shaffique made the observation even as it declined to interfere with the present rubber import policy of the Union government.
The court, however, directed the Union Finance Ministry to consider and take a final decision on a representation filed by P.C. Thomas, former MP, containing suggestions to arrest the fall in rubber price.
The court observed that it was not for the Centre to consider whether the price of natural rubber in the domestic market was low owing to import or not as it involved a scientific and legal study of market conditions. The price for a particular commodity was fixed by the government taking into account various factors, including domestic conditions. Besides, it was based on various studies. It was not possible for the court to sit in judgment over these matters.
In his petition, Mr. Thomas highlighted the crisis being faced by the rubber farmers on account of the low import duty on rubber. He contended that the reduction of import duty was against the recommendation of a seven-member expert panel submitted in 2010.
The government had not considered the panel recommendations while evolving the import policy of rubber, he said.
