Article 304 of Constitution of India – Restrictions on trade, commerce and intercourse among States.

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Article 304 of Constitution of India deals with Restrictions on trade, commerce and intercourse among States.

Original Text of Article 304 of Constitution of India

Notwithstanding anything in article 301 or article 303, the Legislature of a State may by law—


(a) impose on goods imported from other States 1[or the Union territories] any tax to which similar goods manufactured or produced in that State are subject, so, however, as not to discriminate between goods so imported and goods so manufactured or produced; and


(b) impose such reasonable restrictions on the freedom of trade, commerce or intercourse with or within that State as may be required in the public interest:

Provided that no Bill or amendment for the purposes of clause (b) shall be introduced or moved in the Legislature of a State without the previous sanction of the President.

Questions related to Article 304 of Constitution of India

What does Article 304 of the Indian Constitution allow the states to do?

Article 304 empowers state legislatures to impose reasonable restrictions on trade, commerce, and intercourse within the state in public interest, provided it does not conflict with Parliament’s laws under the Constitution of India.

Can a state impose taxes on goods from other states under Article 304?

Yes, under Article 304(b), a state can impose taxes on goods imported from other states if similar goods produced within the state are also taxed equally. This ensures fair competition as per the Articles of Indian Constitution.

Is prior approval of the President needed for laws under Article 304?

Yes, any bill introduced under clause (b) of Article 304 requires the prior sanction of the President. This provision reinforces the federal checks laid down in the Indian Constitution.

How does Article 304 ensure economic equality among states?

Article 304 maintains economic balance by allowing states to regulate trade within their boundaries while ensuring they don’t discriminate unfairly against goods from other states. It reflects cooperative federalism in the Constitution of India.

Where can I find case laws and interpretations related to Article 304?

Legal platforms like Indian Kanoon provide access to case laws, judicial interpretations, and detailed discussions on Article 304 of the Indian Constitution, helpful for legal and UPSC aspirants alike.

For Further Reference:

Other Related Links:

Indian Constitution: All Articles and schedulesArticle 2 of Indian Constitution
Article 3 of Indian ConstitutionArticle 4 of Indian Constitution
Article 5 of indian ConstitutionArticle 6 of Indian Constitution
Article 7 of Indian ConstitutionArticle 8 of Indian Constitution
Article 9 of Indian ConstitutionArticle 10 of Indian Constitution
Article 11 of Indian ConstitutionCitizenship

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