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Part XIII · Trade, Commerce and Intercourse within the Territory of India

Article 304: Restrictions on trade, commerce and intercourse among States

Official text as on 1 May 2024

Text of Article 304

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

(a) impose on goods imported from other States [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.

Words in [square brackets] were inserted or substituted by later amendments (see below). Source: Legislative Department, Ministry of Law and Justice, Government of India

A plain-English explanation of Article 304, landmark judgments and exam facts are being added to this page.

Amendment history

Changed by: 7th Amendment Act, 1956

  • Ins. by the Constitution (Seventh Amendment) Act, 1956, s. 29 and Sch. (w.e.f. 1-11-1956).

More in Part XIII: Trade, Commerce and Intercourse within the Territory of India · Constitution quiz

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