Bajaj Hindustan gets duty relief after 26 yrs

 In the late 1970s, sale and distribution of sugar was largely under the control of the Central government. However, as per an agreement between producers and the government, the sugar companies were allowed to sell some part in open market at their discretion. This was known as 'free-sale' sugar.

But the government remained the major buyer and fixed a statutory price for purchase of 'levy-sugar', which was sold through the public distribution system.

Opposing the levy price fixed by the government as uneconomical, the company moved the High Court and obtained relief. Even after winning the case, the company continued to pay excise duty on the basis of 'levy-sugar' - that is, on lower prices fixed by government.