Licensing of new industrial undertakings
Commencement. 08-05-1952, 15-02-1962
Section 11 of the Industries (Development and Regulation) Act, 1951 deals with licensing of new industrial undertakings. No person or authority other than the Central Government, shall, after the commencement of this Act, establish any new industrial undertaking, except under and in accordance with a licence issued in that behalf by the Central Government: Provided that a Government other than the Central Government m The Act was enacted on 31 Oct 1951.
(1) No person or authority other than the Central Government, shall, after the commencement of this Act, establish any new industrial undertaking, except under and in accordance with a licence issued in that behalf by the Central Government:
Provided that a Government other than the Central Government may, with the previous permission of the Central Government, establish a new industrial undertaking.
(2) A licence or permission under sub-section (1) may contain such conditions including, in particular, conditions as to the location of the undertaking and the minimum standards in respect of size to be provided therein as the Central Government may deem fit to impose in accordance with the rules, if any, made under section 30.
Section 11, The Industries (Development and Regulation) Act, 1951 (Act 65 of 1951).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Referred to by 7
- s. 11A Licence for producing or manufacturing new articles
- s. 12 Revocation and amendment of licences in certain cases
- s. 13 Further provision for licensing of industrial undertakings in special cases
- s. 14 Procedure for the grant of licence or permission
- s. 24 Penalties
- s. 29B Power to exempt in special cases
- s. 30 Power to make rules
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Amrut Distilleries Ltd. v. Swami Nandagopalan
Court's Decision & Legal Precedent
DATE-VERIFIED Judgment body 'DATE OF JUDGMENT: 13/02/2008' / 'February 13, 2008' matches index Judgment 2008-02-13 (order-7.pdf; get_case_brief date-verified). SC held the Kerala DB erred in requiring an additional Central IDRA s.11 licence for potable-alcohol manufacture by following a clerical/inadvertent sentence in Synthetics & Chemicals (para 85). Applying Bihar Distillery, potable liquor manufacture/sale is within exclusive State domain (Entry 8 List II); Union IDRA licensing under s.11 does not extend to potable alcohol industries. Appeals allowed; matter remitted for fresh consideration on Bihar Distillery lines.
On this section: Teaches s.11’s licensing reach: IDRA new-undertaking licensing does not compel a Central licence for potable-alcohol manufacture, which remains State-regulated under the constitutional scheme clarified in Bihar Distillery.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Judgments citing this section
These may be obiter dicta or a precedent, for you to study. These are the judgments where this section is quoted.
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… contrary to G.O.Ms.No.51 dated 01.06.2010 and also the provisions of the Act are concerned, it is to be noted that the Act, more particularly Section 7(1) thereof, prescribes the different types of Enterprises based on their turnover. Section $7(1)$ reads as under:- "7.(1) Notwithstanding anything contained in Section 11 of the Industries (Development and Regulation) Act, 1951, the Central Government, for the purposes of this Act, by notification and having regard to the provisions of sub-sections (4) and (5), classify any class or classes of enterprises, whether proprietorship, Hindu undivided family, association of persons, …
Made under this section, and citing it
1 instrument states that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Another 1 instrument names this provision in its title or its text without being made under it.
Questions about Section 11
What have the courts held on Section 11 of the Industries (Development and Regulation) Act?
Amrut Distilleries Ltd. v. Swami Nandagopalan (13 Feb 2008) is the leading judgment on this section among those set out below: Teaches s.11’s licensing reach: IDRA new-undertaking licensing does not compel a Central licence for potable-alcohol manufacture, which remains State-regulated under the constitutional scheme clarified in Bihar Distillery.
How do I find court cases under Section 11 of the Industries (Development and Regulation) Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Industries (Development and Regulation) Act 11, section 11 Industries (Development and Regulation) Act, section 11 of the Industries (Development and Regulation) Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Amrut Distilleries Ltd. v. Swami Nandagopalan (13 Feb 2008).
What should I read with Section 11 of the Industries (Development and Regulation) Act, and has it changed?
Its own text turns on section 30 (Power to make rules), so none of them can safely be read on its own. 7 other provisions in this corpus refer back to it. The rules and notifications made under it are where it actually bites, and there is one: most recently The Registration and Licensing of Industrial Undertakings Rules, 1952 (1952).
When was Section 11 of the Industries (Development and Regulation) Act enacted?
Section 11 of the Industries (Development and Regulation) Act, cited as Industries (Development and Regulation) Act 11, was enacted on 31 Oct 1951 as Act 65 of 1951. It is in force as at the date shown on this page.
Other sections of this Act
- 18FF. Provisions where Government decides to follow the course of action specified in section 18FD (2)1453 words
- 29B. Power to exempt in special cases1143 words
- 18FA. Power of Central Government to authorise, with the permission of the High Court, persons to take over management or control of industrial undertakings968 words
- 18FE. Provisions where Government decides to follow the course of action specified in section 18FD (1)944 words
- 3. Definitions779 words
- 30. Power to make rules679 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 18 Oct 2026. This page is not a substitute for legal advice.