The Khaddar (Protection of Name) Act, 1950

📘 The Khaddar (Protection of Name) Act, 1950

1. Introduction

The Khaddar (Protection of Name) Act, 1950 is a short but significant piece of legislation passed by the Indian Parliament to protect the name “Khaddar” (also known as Khadi) from misuse.

"Khaddar" refers to hand-spun and hand-woven cloth, which gained importance during India's freedom movement under the leadership of Mahatma Gandhi, symbolizing self-reliance, rural employment, and swadeshi (indigenous) ethos.

This Act ensures that only genuine Khaddar products—made by hand using traditional methods—can legally use the term "Khaddar" in their trade or business.

2. Objective of the Act

To prevent misuse of the word “Khaddar” or “Khadi” in commercial or trade practices.

To preserve the authenticity and traditional identity of Khaddar cloth.

To ensure that consumers are not misled by false labeling of machine-made fabrics as “Khaddar”.

To uphold the legacy of Khadi as a symbol of Indian self-reliance and national pride.

3. Background Context

After independence, the Indian government recognized that the term “Khaddar” was being misused by traders selling machine-made or mill-made cloth under that name.

This not only undermined rural artisans and genuine Khadi producers, but also misled consumers and weakened the cultural significance of Khadi. The Act was passed to prevent such unethical practices.

4. Scope and Applicability

The Act applies across India.

It applies to individuals, firms, companies, or any commercial enterprise using the word “Khaddar” or any derivative thereof in relation to textiles or cloth.

It does not regulate production, but only the use of the name “Khaddar”.

🧾 Key Provisions of the Act

Section 2 – Definitions

“Khaddar”: Any cloth woven on handlooms in India from yarn spun by hand in India or from yarn manufactured in India and declared by the Central Government to be Khaddar for purposes of the Act.

The definition excludes machine-made or mill-made cloth.

Section 3 – Prohibition of Improper Use of the Name

No person shall apply the name "Khaddar" or any similar word to any cloth or textile which is not Khaddar as defined under the Act.

This includes labelling, advertising, marketing, or selling of cloth.

The prohibition is absolute, regardless of whether the misuse was intentional or not.

Section 4 – Penalty for Contravention

Any person who contravenes Section 3 is liable to:

Fine up to ₹5,000 for the first offence.

Imprisonment up to 6 months or fine or both for second or subsequent offences.

Section 5 – Cognizance of Offences

No court shall take cognizance of an offence under this Act except on a complaint made by an officer authorized by the Central Government.

Section 6 – Power to Make Rules

The Central Government is empowered to make rules to carry out the objectives of the Act.

These may include:

Manner of labelling genuine Khaddar

Criteria for inspection

Appointment of inspectors and officers

⚖️ Legal and Practical Significance

✅ Consumer Protection

Protects consumers from being misled into buying mill-made cloth falsely labeled as “Khaddar”.

✅ Artisan Welfare

Preserves the livelihood of rural artisans by ensuring only genuine Khadi is promoted.

✅ Cultural Identity

Maintains the symbolic and patriotic significance of Khadi in India’s socio-political history.

⚖️ Relevant Case Law and Judicial Interpretations

Although case law directly under this Act is limited due to its narrow and specific application, relevant principles have been discussed in broader contexts, including intellectual property, trade practices, and misrepresentation.

Case 1: Chhattisgarh Khadi and Village Industries Board v. Commercial Traders, Bilaspur (Hypothetical based on real principles)

Issue: Whether a commercial trader selling mill-made cotton cloth labeled as “Khadi” was in violation of the Act.

Held: The court ruled that such labeling was a clear violation of the Khaddar Act, 1950.

The term “Khadi” or “Khaddar” carries a specific statutory definition, and using it for machine-made cloth misleads the public and harms genuine producers.

Principle: Even if the cloth is made of cotton and looks similar, if it is not hand-spun and hand-woven, it cannot be labeled “Khadi” or “Khaddar”.

Case 2: KVIC (Khadi and Village Industries Commission) v. Traders’ Association (Hypothetical legal context)

Held: The Khadi and Village Industries Commission is legally empowered to inspect, certify, and regulate the use of the term “Khadi/Khaddar”.

Principle: Any unauthorized use of the term “Khadi” or “Khaddar” is liable for penal action, and genuine producers are entitled to legal remedies for misuse.

🧠 Legal Principles Emerging

Statutory Definition Supremacy: The meaning of “Khaddar” is fixed by law and cannot be stretched by commercial use or custom.

Consumer Protection: False labeling amounts to deceptive trade practice.

Preservation of National Symbols: Khadi represents national pride, and its misuse is legally punishable.

Strict Liability: Even unintentional misuse can attract penalties.

✅ Summary Table

SectionProvisionKey Point
2Definitions“Khaddar” = hand-spun, hand-woven cloth only
3Prohibition of misuseCannot label non-Khaddar as “Khaddar”
4PenaltyFine or imprisonment for misuse
5CognizanceOnly govt-authorized officers can prosecute
6Power to make rulesGovernment can issue rules for enforcement

📌 Conclusion

The Khaddar (Protection of Name) Act, 1950 is a focused legislation designed to preserve the integrity of “Khaddar” or “Khadi”—not just as a type of cloth, but as a symbol of Indian self-reliance, rural empowerment, and national identity.

By restricting the use of the name only to genuinely hand-spun and hand-woven products, the Act safeguards the interests of rural artisans and protects consumers from deception. Though not frequently invoked, it remains a legally and culturally significant Act in India’s legal landscape.

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