In Brief
The Supreme Court dismissed civil appeals challenging a Government circular that clarified the Vishesh Krishi Upaj Yojana export incentive scheme to exclude benefits for 100% export-oriented units and SEZ units. The Court held that Government incentive schemes are discretionary privileges that can be withdrawn or clarified at any time. Clarifications to remove ambiguities need not follow formal amendment procedures. Merchant exporters cannot circumvent the exclusion by purchasing from excluded units, as this would indirectly undermine the policy's intent. The Court applied deferential review to policy decisions made in public interest, declining to second-guess Government economic choices."
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