PUNJAB SEED CORPORATION ACT, 1976

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THE PUNJAB SEED CORPORATION ACT, 1976 
(X of 1976) 
CONTENTS 
CHAPTER I 
PRELIMINARY 
1. Short title, extent and commencement 
2. Definitions 
CHAPTER II 
Constitution of the Corporation 
3. Establishment of the Corporation 
4. Establishment, powers and constitution of the Board 
5. Managing Director 
6. Resignation by or removal of nominated Member 
7. Removal of Managing Director 
8. Appointment of officers, etc. of the Corporation 
9. Declaration of fidelity and secrecy 
10. Financial, Technical and Advisory Committee 
11. Immunity of the Managing Director and employees of the Corporation 
12. Delegation of Powers 
13. Meetings of the Board 
14. Power of Board to associate other persons 
CHAPTER III 
Powers and Functions of the Corporation 
15. Powers and Functions of the Corporation 
CHAPTER IV 
Finance, Audit and Accounts 
16. Source of Funds 
17. Corporation Fund 
18. Powers of the Corporation to borrow money 
19. Budget 
20. Accounts and Audit 
21. Report to be furnished to Government 
22. Reference of a dispute to the Arbitrator 
23. Recovery of dues 
24. Rules 
25. Regulations 
TEXT 
1
THE PUNJAB SEED CORPORATION ACT, 1976 
(X of 1976) 
[18th June, 1976] 
An 
Act 
to provide for the establishment of the Punjab Seed Corporation. 
Preamble.– WHEREAS it is expedient to provide for the establishment in the 
Province of the Punjab, a Corporation for the production, procurement, processing, 
marketing and distribution of seeds; 
It is hereby enacted as follows:– 
CHAPTER I 
PRELIMINARY 
1. Short title, extent and commencement.– (1) This Act may be called the 
Punjab Seed Corporation Act, 1976. 
 (2) It shall extend to the whole of the Province of the Punjab.  
 (3) It shall come into force at once. 
2. Definitions.– (1) In this Act, unless there is anything repugnant in the subject 
or context– 
(a) “Advisor” means the Advisor of the Corporation; 
(b) “Board” means the Board constituted under section 4 of this Act; 
(c) “Corporation” means the Punjab Seed Corporation established under 
section 3 of this Act; 
(d) “Employee” means an employee of the Corporation; 
(e)  “Government” means the Government of the Punjab; 
(f) “Managing Director” means the Managing Director of the Corporation 
and includes any person discharging the duties of the Managing 
Director for the time being; 
(g) “Member” means the member of the Board and includes its Chairman 
and Managing Director; 
(h) “Registered Grower” means a grower registered with the Corporation in 
the prescribed manner; and 
(i) “Prescribed” means prescribed by rules or regulations. 
 (2) All words and expressions used but not defined in this Act shall bear 
 
1This Act was passed by the Punjab Assembly on 8 June, 1976; assented to by the Governor of the Punjab on 18 June 1976; 
and published in the Punjab Gazette (Extraordinary), dated 18 June 1976, pages 1389-1397. 
the same meanings as are assigned to them in the Seed Act, 1976. 
CHAPTER II 
Constitution of the Corporation 
3. Establishment of the Corporation.– (1) As soon as may be, after the 
commencement of this Act, there shall be established a Corporation to be called the 
Punjab Seed Corporation. 
 (2) The Corporation shall be a body corporate having perpetual 
succession and a common seal with power, subject to the provisions of this Act, to 
acquire and hold property, both movable and immovable and it shall sue and be 
sued by the said name. 
4. Establishment, powers and constitution of the Board.– (1) The 
administration and management of the Corporation and its affairs shall vest in a 
Board to be constituted by the Government through a notification issued in the 
official Gazette. The Board may exercise powers and do all acts and things that may 
be exercised or done by the Corporation in accordance with the provisions of this 
Act. 
(2) The Board in discharging its functions shall act on commercial 
considerations and be guided by such directions as the Government may give to it 
from time to time. 
2[(3) The Board shall consist of the following: 
 
(a) Minister for Agriculture of the 
Government; 
Chairman 
(b) Secretary to the Government, 
Agriculture Department; 
member 
(c) Secretary to the Go vernment, 
Finance Department; 
member 
(d) two members of Provincial 
Assembly of the Punjab to be 
nominated by the Speaker of 
the Assembly; 
members 
(e) two persons from the private 
sector having expertise in the 
field of agribusiness industry; 
members 
(f) three persons from the farming 
community, registered with the 
Punjab Seed Corporation, 
including at least one female; 
members 
(g) one person from the private 
sector having expertise in the 
field of finance; 
member 
(h) one person from the private 
sector having expertise in the 
field of marketing; 
member 
 
2Substituted by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), publ ished in the Punjab Gazette (Extraordinary), 
dated: 31 October 2022, pp. 1681-1682, s.2. 
(i) one person from the private 
sector having expertise in the 
field of information technology; 
member 
(j) two persons from the faculty of 
a public or private sector 
university, having expertise in 
the f ield of Agriculture 
Economics or Crop Sciences;  
members 
(k) one renowned scientist involved 
in Agricultural Research (Crop 
Sciences; and 
member 
(l) Managing Director. member/secretary”; 
 3[(4) The members mentioned at clauses (e) to (k) of subsection ( 3) shall be 
nominated by the Chief Minister for a term not exceeding three years.] 
 (5) The membership of the Board may be altered by the 4[Chief Minister] at 
any time. 
5[5. Managing Director.– (1) The Chief Minister, on the recommendation of the 
Board, shall appoint a Managing Director in such manner as may be prescribed and 
he shall be the Chief Executive of the Corporation.  
(2) The Managing Director shall: 
(a) be a whole-time officer of the Corporation and he shall organize 
and manage its day to day fun ctions in such manner as may be 
prescribed; 
(b) preform such other duties as may be assigned to him by the 
Board; and  
(c) receive such salary and allowances as may be  prescribed.] 
6. Resignation by or removal of nominated Member.– Notwithstanding 
anything contained in this Act a nominated member may at any time before the 
expiry of his term of office, resign his office, or be removed from office by 6[the Chief 
Minister] without assigning any reason. 
7. Removal of Managing Director.– (1) The Managing Director may at any time 
before the expiry of his term and upon three month’s notice, resign his office or upon 
similar notice be removed by 7[the Chief Minister] 
8
[after affording him an opportunity 
 
3Substituted by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab Gazette (Extraordinary), 
dated: 31 October 2022, pp. 1681-1682, s.2. 
4Substituted for the word ‘Government’ by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab 
Gazette (Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.2. 
5Substituted by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab Gazette (Extraordinary), 
dated: 31 October 2022, pp. 1681-1682, s.3. 
6Substituted for the word ‘Government’ by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab 
Gazette (Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.4. 
7Substituted for the word ‘Government’ by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab 
Gazette (Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.4. 
of being heard]: 
Provided that 9[the Chief Minister] may upon payment of three month’s salary 
and allowances in lieu of the notice remove him immediately 
10
[after affording him an 
opportunity of being heard]. 
(2) The Board may remove the Managing Director if he– 
(a) refuses or fails to discharge or becomes, in the opinion of the Board, 
incapable of discharging his responsibilities under this Act; 
(b) has, in the opinion of the Board, abused his position as Managing 
Director; 
(c) has knowingly acquired, without permission in writing of the Board, 
directly or through a partner, any share or interest in any contract or 
employment with or on behalf of the Corporation or in any property, 
which in his knowledge, is likely to benefit or has benefitted him as a 
result of the operations of the Corporation; 
(d) has in the opinion of the Board violated the declaration of fidelity and 
secrecy provided in Section 9; or 
(e) has absented himself for three consecutive meetings of the Board 
without leave of the Board. 
8. Appointment of officers etc. of the Corporation.– The Board may, subject 
to such general or special orders as Government may give to it from time to time, 
appoint such officers, advisors and servants as it deems necessary for the efficient 
performance of its functions on such terms and conditions as may be prescribed: 
Provided that the Board shall have the power to make appointment on 
contract basis on such terms and conditions as it may deem fit. 
9. Declaration of fidelity and secrecy.– (1) Every member, advisor, officer and 
other employee of the Corporation shall, before entering upon his office, make such 
declaration of fidelity and secrecy as may be prescribed. 
(2) Any advisor, officer or other employee of the Corporation, who in the 
opinion of the Board has violated the declaration of fidelity and secrecy made by him 
under sub-section (1) shall be liable to be removed forthwith: 
Provided that no such person shall be removed unless he is afforded an 
opportunity of showing cause why he should not be removed from service under this 
sub- section. 
10. Financial, Technical and Advisory Committee.– The Board may, for 
efficient functioning of  the Corporation, constitute such financial, technical, and 
advisory committees as it may deem necessary. 
 
8Substituted for the words “without assigning any reason” by the Punjab Seed Corporation (Amendment) Ordinance, 1984 (XXXII of 1984); 
and published in the Punjab Gazette (Extraordinary), dated 17.12.1984, s.2. 
9Substituted for the word ‘Government’  by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab 
Gazette (Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.4. 
10Ibid. 
11. Immunity of the Managing Director and employees of the Corporation.– 
Every member, advisor, officer and employee of the Corporation shall be indemnified 
by the Corporation against all losses and expenses sustained or incurred by him in 
the discharge of his duties save such losses and expenses as are sustained and 
incurred as a result of his own wilful act or default. 
12. Delegation of Powers.– (1) The Board may, by general or special order, 
delegate to the Managing Director, a Member, Officer or Employee of the 
Corporation any of its powers, duties or functions under this Act or the rules and 
regulations made thereunder, subject to such conditions as it may deem fit to 
impose. 
(2) The Managing Director may like-wise delegate to an officer any of his 
powers under this Act or the rules or regulations made thereunder, not being a 
power delegated to him by the Board under sub-section (1). 
13. Meetings of the Board.– (1) The meetings of the Board shall be held at such 
time and place as may be prescribed: 
Provided that at least one meeting shall be held during each quarter of the 
year:  
Provided further that until regulations are made in this behalf, such meetings 
shall be held at such time and place as may be determined by the Chairman. 
(2) The quorum required for transacting business at a meeting of the 
Board shall be 11[seven]: 
Provided that for the budget meeting of the Board one of the 12[seven] 
members constituting the quorum shall be the Finance Secretary. 
(3) The meetings of the Board shall be presided over by the chairman and 
in his absence by such member as may be nominated by him and failing such 
nomination by any other member as may be elected by the members present. 
(4) No act or proceedings of the Board shall be invalid merely on the 
ground of the existence of any vacancy in or any defect in the constitution of the 
Board. 
(5) The minutes of every meeting shall be drawn up and recorded in a 
book to be kept for this purpose and shall be signed by the person presiding over the 
meeting and such book shall at all reasonable times and without payment of any fee, 
be open to inspection by any member. 
(6) The Managing Director shall circulate to the Members, the copies of 
the minutes of every meeting. 
(7) If Government so directs the Managing Director shall forward to it 
copies of all papers laid before the Board for consideration at a meeting. 
 (8) Government may require the Managing Director to furnish to it– 
 
11Substituted for the word ‘four’ by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab Gazette 
(Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.5. 
12Substituted for the word ‘four’ by the Punjab Seed Corporation (Amendment) Act 2022 (XXV of 2022), published in the Punjab Gazette 
(Extraordinary), dated: 31 October 2022, pp. 1681-1682, s.5. 
(a) any return, statement, estimate, statistics, or other information 
regarding any matter, under the control of the Corporation; or 
(b)  any document in his possession or control, and the Managing Director 
shall comply with any such requisition without delay. 
14. Power of Board to associate other persons.– The Board may associate 
with itself, any person whose assistance or advice it may require, in such manner, on 
such terms and for such period as it may deem fit. 
CHAPTER III 
Powers and Functions of the Corporation 
15. Powers and Functions of the Corporation.– (1) Subject to the provisions of 
this Act, the Corporation may take such measures, exercise such powers as it 
considers necessary or expedient, undertake any works, incur any expenditure, 
purchase, take on lease or acquire land for seed production, procure any plants, 
machinery or material required for its use, and may enter into any contract and do all 
acts and things necessary for carrying out the purpose of this Act. 
(2) In particular and without prejudice to the generality of the foregoing 
powers, the Corporation may take such measures as it may consider necessary for– 
(a) Procurement and import of pre-basic seed; 
(b) Production and proper multiplication of basic seed; 
(c) Multiplication, procurement, processing, bagging and storage of 
certified seed;  
(d) Adequate marketing of certified seed through both the public and 
private Sector; 
(e) export of the certified seed when possible after meeting the national 
requirements; 
(f)  taking over and managing the Punjab Agricultural Development 
Supplies Corporation Seed Farms as directed by the Government on 
such terms and conditions as may be prescribed; 
(g) making suitable arrangements for the multiplication of seeds on private 
farms under its supervision; 
(h) making suitable arrangements for the certification of seed in such 
manner as may be prescribed; 
(i) taking all measures to promote the establishment of the seed industry 
in the Province; 
(j) rendering technical advice and other services to its registered growers; 
and 
(k) contributing towards the cost of any studies, services, experiment or 
technical research connected with the functions of the Corporation and 
undertaken or done by any other person, agency or body. 
 (3) The Government may entrust any other functions which it may consider 
necessary to the Corporation. 
CHAPTER IV 
Finance, Audit and Accounts 
16. Source of Funds.– To enable the Corporation to carry out its business 
effectively and to meet charges in connection with its functions under this Act, the 
Government shall provide the Corporation with adequate funds. 
17. Corporation Fund.– (1) There shall be established a fund to be known as the 
“Corporation Fund” which shall vest in the Corporation, and be utilised to meet 
charges in connection with its functions including the payment of salaries and other 
remunerations of the Managing Director, officers, and employees of the Corporation. 
(2) The Corporation fund shall consist of– 
(a) equity capital to be provided by the Government; 
(b) long term loans from the Government; 
(c) loans from commercial banks to be obtained on the advice of the 
Board; 
(d) income and receipts of the Corporation from sale proceeds, fees or any 
other sums received by the Corporation; and 
(e) amounts received from the Government in the form of subsidy, 
commission on providing service and other incidental sums. 
18. Powers of the Corporation to borrow money.– The Corporation shall be 
deemed to be a local authority under the Local Authorities Loans Act, 1914 (No. IX of 
1914) for the purposes of borrowing money: 
Provided that no foreign loan shall be obtained by the Corporation without the 
previous sanction of the Government. 
19. Budget.– The annual budge estimates of the Corporation shall be prepared 
and approved in the manner as may be prescribed. 
20. Accounts and Audit.– (1) The Corporation shall maintain proper accounts 
and other relevant records and follow the commercial cost accounting procedure. 
(2) The Corporation shall prepare annually a balance sheet including the 
profit and loss account with such general directions as may be prescribed. 
(3) The Accounts of the Corporation shall be audited at least once in every 
financial year by the Auditor-General of Pakistan. 
(4) Before the audit referred to in sub-section (3), the accounts of the 
Corporation shall be audited at least once in every financial year by an approved firm 
of Chartered Accountants. 
(5) A statement of the audited accounts referred to in sub-section (3) shall 
be furnished to the Government within four months after the end of every financial 
year. 
21. Report to be furnished to Government.– The Corporation shall within four 
months of the close of each financial year, furnish to Government audited statement 
of its assets and liabilities of commercial undertakings and transactions together with 
a profit and loss account and a full report regarding the work performed during the 
year, and copies of the said statement, account and report shall be published in the 
official Gazette. 
22. Reference of a dispute to the Arbitrator.– In the case of any dispute 
regarding the actual sum due to the Corporation, the matter shall be referred to an 
arbitrator appointed by the Government and the award of the arbitrator thereon shall 
be final and binding upon the parties. 
23. Recovery of dues.– All sums due to the Corporation from any person under 
an award of an arbitrator or decree of any court shall be recoverable as arrears of 
land revenue. 
24. Rules.– The Government may make rules for carrying out the purposes of 
this Act. 
25. Regulations.– Subject to the provisions of the Act and the rules framed 
thereunder, the Board may make regulations for carrying out the purposes of this 
Act.