The ANDHRA PRADESH FOREST PRODUCE (FIXATION OF SELLING PRICES) ACT, 1989
**THE ANDHRA PRADESH FOREST PRODUCE (FIXATION OF SELLING**

**PRICES) ACT, 1989**


**(ACT No. 29 OF 1989)**


**ARRANGEMENT OF SECTIONS**


**SECTIONS**


1. Short title, extent and Commencement

2. Definitions

3. Supply of forest produce under agreement, etc

4. Fixation of selling price

5. Termination of leases and contracts

6. Recovery of amount due under the Act

7. Saving in respect of acts done in good faith

8. Act to override other laws

9. Constitution of Industrial plantation Fund

10. Power to make rules


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**THE ANDHRA PRADESH FOREST PRODUCE (FIXATION OF SELLING**

**PRICES) ACT, 1989**


**(ACT, No. 29 of 1989)**



[18[th] November, 1989]


**AN ACT TO PROVIDE FOR THE SUPPLY OF FOREST PRODUCE AND THE**


**FIXATION OF SELLING PRICE IN RESPECT THEREFOR AND THE**
**CONSTITUTION OF AN INDUSTRIAL PLANTATION FUND AND FOR**
**MATTERS CONNECTED THEREWITH OR INCIDENTAL THERETO.**

Whereas, agreements have been entered into, or other arrangements

made by the Government with certain industrial concerns for the supply of
bamboo and other forest produce;

And whereas, certain rates of royalty (selling price) have been fixed by the

Government for the supply of bamboo and other forest produce;

And whereas, it is considered necessary to rationalise the periods of

supply of forest produce and the selling prices thereof;


And whereas, it is considered necessary to rationalise interest to


terminate certain existing agreements or other arrangements made for the
supply of forest produce.

Be it enacted by the Legislative Assembly of the State of Andhra Pradesh

in the Fortieth Year of the Republic of India, as follows:
**1. Short title, extent and Commencement - (1) This Act may be called**
the Andhra Pradesh Forest Produce (Fixation of Selling Prices) Act, 1989.


(2) It extends to the whole of the State of Andhra Pradesh


(3) It shall come into force on such date as the Government may, by

notification in the Andhra Pradesh, Gazette, appoint.


**2. Definitions - In this Act, unless the context otherwise requires,-**


(a) ‘appointed date’ means the date specified under sub-section (3)
of section 1;

(b) ‘forest produce’ means such forest produce as may, from time to
time, be specified by the, Government by notification for the
purposes of this Act;


(c) ‘Government’ means the State Government of Andhra Pradesh;


(d) ‘notification’ means a notification published, in the Andhra
Pradesh Gazette, and the word notified shall be construed
accordingly;


(e) ‘prescribed’ means-prescribed by rules made under this Act.


**3. Supply of forest produce under agreement, etc. - (1) No lease, agreement**
or any other arrangement entered into or made by the Government providing
for the supply of forest produce by the Government shall be for a term
exceeding ten years; and the supply under every such lease, agreement or
other arrangement shall, notwithstanding anything to the contrary contained
in such, lease, agreement or other arrangement be subject to the condition of
availability of such forest produce.


(2) Notwithstanding anything contained in the Indian Contract Act, 1872


(Central Act 9 of 1872) or the Transfer of Property Act, 1882 (Central Act 4 of
1882) or any other law for the time being in force or any judgment, decree or
order of any Court, Tribunal or authority to the contrary, every lease or
agreement or any other arrangement providing for the supply of forest produce
by the Government granted or entered into prior to the appointed date,
(a) for a term exceeding ten years and in force on the appointed
date; shall cease to be in force on the expiry of the period of ten


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years with effect from the date when such lease or agreement came
into force; and

(b) shall be and shall be always deemed to be subject to the
condition of availability of such, forest produce.

**4. Fixation of selling price - Notwithstanding anything contained in the**
Indian Contract Act, 1872 (Central Act 9 of 1872) or the Transfer of Property
Act, 1882 (Central Act 4 of 1882) or any other law for the time being in force or
any judgment, decree or order of any Court, Tribunal or other authority or in
any lease, agreement or other arrangement, it shall be competent for the
Government by notification to fix sliding rates for each year effective for three
years and also to enhance or reduce such sliding rates for the next three years
in respect of the selling price of the forest produce to be supplied under any
lease, agreement or other arrangement with effect from such date as may be
specified in the notification, having due regard to such principles as may be
prescribed.

**5. Termination of leases and contracts - Notwithstanding anything contained**
in the Indian Contract Act, 1872 (Central Act 9 of 1872), the Transfer of
Property Act, 1882 (Central Act 4 of 1882) and any other law for the time being
in force, it shall be law ful for the Government to terminate any lease,
agreement or any other arrangement granted or entered into before or after the
appointed date, in case,
(a) the price for the produce sold has not been paid to the
Government in accordance with the terms off the lease, agreement
or any other arrangement;

(b) the negligent operations of the lease resulted in depletion of the
forest produce.

**6. Recovery of amount due under the Act - If the selling price payable under**
any lease, agreement or any other arrangement has not been paid within the
time specified therefor to the Government, the Chief Conservator of Forests
may if the amount continues to be due, issue a certificate to the District
Collector for the amount due and the District Collector shall proceed to recover
the same as arrears of land revenue.

**7. Saving in respect of acts done in good faith - No suit or other legal**
proceedings shall lie against the Government or any of their Officers for any
damage caused or likely to be caused or any injury suffered or likely to be
suffered by virtue of the enforcement of the provisions of this Act or for
anything which in good faith done or intended to be so done in pursuance of
this Act or the rules made thereunder.

**8. Act to override other laws - The provisions of this Act and the rules made**
thereunder shall have effect, notwithstanding anything inconsistent therewith
in any other law for the time being in force, or any custom, usage or
agreement, or decree or order of a Court, Tribunal or other authority.

**9. Constitution of Industrial plantation Fund - (1) There shall be constituted**
in the manner prescribed a fund called the Andhra Pradesh Industrial
Plantation Fund.


(2) From out of the selling price payable by the allotees of forest produce


under section 4, such sum or sums as may be prescribed in this behalf shall,
first, be credited to the Consolidated Fund of the State, and thereafter under
appropriation duly made by law in this behalf, form part of, and be transferred
to the Andhra Pradesh Industrial Plantation Fund.

(3) Any sum or sums transferred to the said Fund under sub-section (2)

shall be charged upon the consolidated Fund of the State.


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(4) The sums at the credit of the said Fund shall not be expended for any


purposes not connected with the raising of industrial plantations or
afforestation or purposes incidental thereto.

**10. Power to make rules - (1) The Government may, by notification, make**
rules for carrying out all or any of the purposes of this Act.


(2) Every rule made under this Act shall immediately after it is made, be


laid before the legislative Assembly of the State, if it is in session and if it is not
in session in the session immediately following for a total period of fourteen
days which may be comprised in one section, or is two successive sessions and
if before the expiration of the session in which it is so laid or the session
immediately following the Legislative Assembly agrees in making any
modification in the rule or in the annulment of the rule, the rule shall, from the
date on which the modification or annulment is notified have effect only in
such modified form or shall stand annulled, as the case may be; so however,
that any such modification or annulment shall be without prejudice to the
validity of anything previously done under that rule.


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