M/S. DIWAN SUGAR & GENERAL MILLS (PRIVATE) LTD. AND OTHE vs THE UNION OF INDIA

The Supreme Court upheld the legality of the notification issued under Section 3 of the Essential Commodities Act, 1955, and clause 5 of the Sugar (Control) Order, 1955, which fixed the ex-factory price of sugar in certain states. The Court found that the notification was within the authority of the Central Government and served the purpose of ensuring fair prices for consumers. It ruled that the notification did not impose unreasonable restrictions on the right to trade under Article 19(1)(g) and clarified that the pricing, while region-specific, effectively applied to the entire country due to sugar deficits in other states.