New Delhi, Nov 27: Union minister for food and consumer affairs Raghuvansh Prasad Singh on Thursday ordered cancellation of the recently-promulgated Gur Control Order, 1997.

The Gur Control Order was promulgated on October 27 under the Essential Commodities Act, restricting the storage limit for traders to 250 quintal at any particular point of time. The order came into effect from November 1.

Under the conditions of the order, only licensed dealers were allowed to carry on the business of purchase and sale of gur. The order also stated that the dealers should not hold the stock of gur beyond ten days from the date of receipt of the stock.

Authorised officers of the central and state governments had been given the power to enter and search places, seize stocks and inspect accounts and documents with the view to ensure compliance of the provisions of the Gur Control Order.

While promulgating the order, the ministry stated that it was designed to check the possible diversion of sugarcane to the gur units effecting the operation of sugar mills as there existed a possibility of lower sugar production in the current season.

But ever since the order was issued there was a stiff resistance from the farmers unions, traders associations, state governments and political parties although the sugar barons welcomed the order with open arms. Janata Dal partymen and leaders like Ajit Singh was vocal in their criticism. The food minister had to issue a statement clarifying that the order was for a temporary phase of a year to help the sugar industry come out of the present crisis.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.