Prospective sugar export prohibition required registered letters of credit; private contracts and export quotas created no enforceable continuation right.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Sugar export prohibition applied prospectively under the policy prevailing on the export date. Transitional protection required a pre-existing, registered irrevocable commercial letter of credit; private contracts, advance payments, and unsubstantiated claims that goods were in the export pipeline did not qualify. Consignments covered by a Let Export Order issued before the notification remained unaffected. The article notes that export quotas did not create vested rights for merchant exporters, and legitimate expectation or promissory estoppel could not prevent a revised policy adopted in supervening public interest. The prohibition, intended to protect domestic availability and price stability, was treated as a reasonable restriction; the writ petitions were dismissed, with domestic disposal of retained sugar permitted under applicable law.....