Agricultural Produce (Cereals) Act, 1935

Purchase by millers of home-grown wheat additional to home-grown wheat quota.

16.—(1) Where in any cereal year commencing after the passing of this Act the Minister is, after the month of May in such cereal year, satisfied that any home-grown millable wheat remains unsold in the hands of the grower thereof, the Minister may not later than the 31st day of July in such cereal year serve an order (in this Act referred to as a compulsory sale order) on such grower and on such other person, being the holder of a milling licence in respect of a mill, as the Minister may select requiring such grower to sell to such other person and such other person to purchase from such grower within a specified time a specified amount (not exceeding one-fourth of one per cent. of the home-grown wheat quota for such mill for such cereal year) of such home-grown millable wheat at the minimum price for wheat of the class to which such home-grown millable wheat belongs for the month of August in such cereal year, and subject to such conditions as to carriage and delivery as may be specified in such order.

(2) Where a compulsory sale order has been duly served on the grower of home-grown millable wheat and the holder of a milling licence such grower and such holder shall be deemed to have entered into a contract in terms of the requirements of such order.

(3) The Minister shall so exercise the power conferred on him by sub-section (1) of this section that no holder of a milling licence in respect of a mill shall be required by virtue of a compulsory sale order or orders to purchase in all in any cereal year an amount of home-grown millable wheat exceeding one-fourth of one per cent. of the home-grown wheat quota for such mill for such cereal year.