THE STATE OF RAJASTHAN vs RAJASTHAN AGRICULTURE INPUT DEALERS ASSN

The Supreme Court held that seeds, as defined under Section 2(1)(i) of the Rajasthan Agricultural Produce Markets Act, 1961, do not constitute agricultural produce when they are processed and rendered unfit for human or animal consumption. The Court affirmed the Rajasthan High Court's decision that the appellants could not require licenses for the trade of seeds, as the definition of agricultural produce excludes processed items. The appeal by the State of Rajasthan was dismissed, upholding the High Court's ruling.