THE SUGAR-CANE ACT, 1934 
______ 

ARRANGEMENT OF SECTIONS 
______ 

SECTIONS 

1. Short title, extent and commencement. 

2. Definitions. 

3. Declaration of controlled areas and fixing of prices. 

4. Previous publication of notifications under section 3. 

5. Penalty for purchase of sugar-cane in contravention of notification under section 3. 

6. Sanction for prosecution under this Act.  

7. Power of State Government to make rules. 

8. Power of State Government to make rules. 

1 

 
 
 
 
 
 
 
 
 
 
 
THE SUGAR-CANE ACT, 1934 

ACT NO. 15 OF 19341 

[1st May, 1934.] 

An Act to regulate the price of sugar-cane intended for use in sugar factories. 

WHEREAS  it  is  expedient,  for  the  purpose  of  assuring  to  sugar-cane  growers  a  fair  price  for  their 
produce, to regulate the price at which sugar-cane intended to be used in the manufacture of sugar may be 
purchased by or for factories; It is hereby enacted as follows:— 

1. Short title, extent and commencement.—(1) This Act may be called the Sugar-cane Act, 1934. 

2[(2)  It  extends  to  the  whole  of  India,  except  the  3[territories  which,  immediately  before  the  1st 

November, 1956, were comprised in Part B States].] 

(3) This section shall come into force at once; the remaining sections of this Act shall come into force 
in  any  4[State]  on  such  date  as  the  5[State]  Government  may,  by  notification  in  the  6[Official  Gazette], 
appoint in that behalf. 

2. Definitions.—In this Act, unless there is anything repugnant in the subject or context,— 

(1)  “controlled  area”  means  any  area  specified  in  a  notification issued  under  sub-section  (1)  of 

section 3; 

(2)  “factory”  means  any  premises  (including  the  precincts  thereof)  wherein  twenty  or  more 
workers are working or were working on any day of the preceding twelve months and in any part of 
which  any  manufacturing  process  connected  with  the  production  of  sugar  is  being  carried  on  or  is 
ordinarily carried on with the aid of power; and 

(3) “sugar” means any form of sugar containing more than ninety per cent. of sucrose. 

3.  Declaration  of  controlled  areas  and  fixing  of  prices.—(1)  The  5[State]  Government  may,  by 
notification in the 6[Official Gazette], declare any areas specified in the notification to be a controlled area 
for the purposes of this Act. 

(2) 7*** The 5[State] Government may, by notification in the 6[Official Gazette], fix a minimum price 

or minimum prices for the purchase in any controlled area of sugar-cane intended for use in any factory. 

(3) The 5[State] Government may, by notification in the 6[Official Gazette] prohibit in any controlled 
area  the  purchase  of  sugar-cane  intended  for  use  in  any  factory  otherwise  than  from  the  grower  of  the 
sugar-cane or from a person licensed by the 5[State] Government to act as a purchasing agent. 

4. Previous publication of notifications under section 3.—Not less than thirty days before the issue 
of  any  notification  under  sub-section  (1)  or  sub-section  (2)  of  section  3,  the  5[State]  Government  shall 
publish in the 6[Official Gazette] and in such other manner (if any) as it thinks fit a draft of the proposed 
notification  specifying  a  date  on  or  after  which  the  draft  will  be  taken  into  consideration,  and  shall 

1. This Act has been rep. in Bihar by Bihar Act 7 of 1937, in U.P. by U.P. Act 1 of 1938; in certain districts of Madras and 

Andhra by Madras Act 20 of 1949, and in Punjab by Punjab Act 40 of 1953.  

2. Subs. by the A.O. 1950, for sub-section (2) (w.e.f. 26-1-1950). 
3. Subs. by the A.O. 1956, for “Part B States” (w.e.f. 1-11-1956). 
4. Subs. by the A.O. 1950, for “Province”. 
5. Subs., bid., for “Provincial”.  
6. Subs. by the A.O. 1937, for “local Official Gazette”. 
7. The words “Subject to the control of the Governor-General in Council” omitted by the A.O. 1937 (1-4-1937). 

2 

 
 
 
 
                                                           
consider  any  objection  or  suggestion  which  may  be  received  from  any  person  with  respect  to  the  draft 
before the date so specified. 

5.  Penalty  for  purchase  of  sugar-cane  in  contravention  of  notification  under  section  3.—
Whoever in any controlled area purchases any sugar-cane intended for use in a factory at a price less than 
the minimum price fixed therefore by notification under sub-section (2) of section 3 or in contravention of 
any prohibition made under sub-section (3) of section 3 shall be punishable with fine which may extend 
to two thousand rupees. 

6.  Sanction  for  prosecution  under  this  Act.  —No  Court  shall  take  cognizance  of  any  offence 
punishable under section 5 except upon complaint made by order of, or under authority from, the District 
Magistrate. 

7. Power of State Government to make rules.—(1) The  1[State] Government may, by notification 

in the 2[Official Gazette], make rules for the purpose of carrying into effect the objects of this Act. 

(2)  In  particular  and  without  prejudice  to  the  generality  of  the  foregoing  power,  such  rules  may 

provide for—  

(a) the carrying out of inquiries preliminary to the exercise of the powers conferred by section 3; 

(b) establishing Advisory Committees for any purpose connected with the administration of this 

Act, and defining the powers, functions and procedure of such Committees; 

(c) the issue of licences to purchasing agents, the fees for such licences, and the regulation of the 

purchase and sale of sugar-cane by and to such agents; 

(d) the organisation of growers of sugar-cane into societies for the sale of sugar-cane to factories; 

(e) the authorities by which any functions under this Act or the rules made thereunder are to be 

performed; and 

(f)  the  records,  registers  and  accounts  to  be  maintained  for  ensuring  compliance  with  the 

provisions of this Act. 

(3) In making any rule under sub-section (1) or under clause (c) or clause (f) of sub-section (2), the  
1[State] Government may provide that a breach of the rule shall, where no other penalty is provided by 
this Act, be punishable with fine not exceeding two thousand rupees. 

8.  Power  of  State  Government  to  make  rules.—3[(1)]  The  1[State]  Government  after  previous 
publication  may,  by  notification  in  the  2[Official  Gazette],  make  rules  providing  for  the  exemption  of 
factories or any class of factories from the provisions of this Act. 

4[(2) Every rule made by the State Government under this Act shall be laid, as soon as may be after it 

is made, before the State Legislature.] 

1. Subs. by the A.O. 1950 for “Provincial”. 
2. Subs. by the A.O. 1937 for “local Official Gazette”. 
3. Section 8 renumbered as sub-section (1) thereof by Act 4 of 2005, s. 2 and the Schedule. 
4. Added by s. 2 and the Schedule, ibid.   

3 

 
 
 
 
                                                           
