Trade and Commerce Relations between Central and States in India.

 Here are the notes from the provided speech, detailing trade and commerce relations between the Union (Central) and States in India, as per the Indian Constitution:

Main Topic: Trade and Commerce Relations between Central and States in India.

Constitutional Basis:

• Covered in Part XIII (Part 13) of the Indian Constitution.

• Specifically outlined in Articles 301 to 307.

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1. Article 301: Freedom of Trade and Commerce

• In India, legally, both the Central and State governments can conduct free trade and commerce.

• This freedom is subject to existing laws and rules.

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2. Article 302: Power of Parliament to Impose Restrictions

• Parliament is responsible for drafting/designing laws related to trade and commerce in India.

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3. Article 303: Restrictions on Legislative Powers of Union and States

• When Parliament makes laws related to trade and commerce:

  • It should NOT discriminate against any state.

  • It should NOT give special preference to any region.

• Exception:

  • If there is a shortage of goods in a particular region, Parliament can make special laws or give preference to that region to address the shortage.

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4. Article 304: Restrictions on Trade, Commerce, and Intercourse Among States

• State Legislatures can impose taxes on goods imported into their state from:

  • Any other Indian State.

  • Any Union Territory.

• Conditions/Restrictions on State Legislatures when imposing taxes:

  • They must NOT discriminate against any state.

  • They must NOT give preference to any specific state.

• Regarding imposing restrictions on trade:

  • State Legislatures can impose reasonable restrictions on free trade and commerce within their own state.

  • State Legislatures can impose reasonable restrictions on inter-state trade and commerce.

• Prior Presidential Sanction:

  • If a State Legislature proposes a bill to impose restrictions (internal or inter-state) on free trade and commerce, it must obtain the President's prior sanction for that bill.

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5. Articles 305 & 306:

• Article 306 has been deleted from the Constitution.

• Article 305 contains less significant provisions and is generally not a primary focus.

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6. Article 307: Power of Parliament to Appoint Authority

• To regulate trade and commerce in India, the President can establish a National Trade and Commerce Council.