Background
The Narcotic Drugs and Psychotropic Substances Act, 1985 was enacted to consolidate and amend laws relating to narcotic drugs and psychotropic substances, providing strict measures for their control, regulation, and prevention of illegal activities, including forfeiture of property linked to illicit trafficking, while also implementing international conventions. The Narcotic Drugs and Psychotropic Substances Rules, 1985 were introduced under the Act to regulate operations involving these substances, ensuring their use is limited to medical and scientific purposes and preventing misuse and illegal trade.
Application
This act along with the rules shall be applicable across India, to Indians residing outside India, and persons on ships or aircraft registered in India.
Compliance Requirements under the Act in Accordance with the Laws
A license for cultivation of opium poppy for the production of opium extracting juice by lancing the opium poppy to be issued by the District Opium Officer
An application for issue of licence for cultivation of opium poppy for the production of opium extracting juice by lancing the opium poppy be made in Form No. 1 to the District Opium Officer.
Upon receiving an application under Rule 7 for cultivating opium poppy to produce opium by lancing, the District Opium Officer may grant a licence in Form No. 2, subject to the general licence conditions notified by the Central Government.
Rule 9: The licence for cultivation of opium poppy issued under rule 8 shall specify the area and designate the plots to be cultivated with opium poppy.
A license for cultivation of opium poppy for the production of poppy straw from opium poppy from which no juice has been extracted through lancing to be issued by the District Opium Officer
An application for issue of licence for cultivation of opium poppy for the production of Poppy straw from opium poppy from which no juice is extracted through lancing be made in Form No. 1 to the District Opium Officer.
After receiving a Rule 7 application for cultivating opium poppy to produce poppy straw without lancing, the District Opium Officer may issue Licence Form 2A. Applicant must submit buyer consent and pay ₹1,000 per hectare within 30 days, otherwise the licence is revoked.
Rule 9: The licence for cultivation of opium poppy issued under rule 8 shall specify the area and designate the plots to be cultivated with opium poppy.
The ban on cannabis (ganja) for non-medical or non-scientific use applies from a date notified by the Central Government. This rule does not apply to export of poppy straw for decorative purposes
(a) convert or transfer any property knowing that such property is derived from an offence committed under this Act or under any other corresponding law of any other country or from an act of participation in such offence, for the purpose of concealing or disguising the illicit origin of the property or to assist any person in the commission of an offence or to evade the legal consequences; or
(b) conceal or disguise the true nature, source, location, disposition of any property knowing that such property is derived from an offence committed under this Act or under any other corresponding law of any other country; or
(c) knowingly acquire, possess or use any property which was derived from an offence committed under this Act or under any other corresponding law of any other country.
One sample drawn under rule 30B shall be tested by the licensee and test result shall be shared both with Central Bureau of Narcotics and cultivator concerned and the Narcotics Commissioner, shall get second sample tested independently in accordance with guidelines framed by the Department of Revenue.
No person shall possess poppy straw produced from opium poppy without a licence under rule 8 or rule 36A.
A person permitted to possess poppy straw may import or export it between states but must give at least five working days’ prior intimation to the office designated by the Narcotics Commissioner.
Poppy straw consignments transported or moved inter-state must carry a consignment note in Form 2B. The note is prepared in triplicate; original and duplicate go with the consignment, and the consignee returns the endorsed duplicate to the consignor after confirming quantity received.
If consignor does not receive consignee’s endorsed copy, loss must be reported to Narcotics Commissioner within 10 days of dispatch. Consignment notes must be preserved by both parties for at least 2 years, and no transporter may carry such consignments without one, producing it on demand to authorized officers.
Whenever poppy straw is transported by motorised tankers/container or otherwise by packages, all inlets and outlets of such tankers/container or packages shall be sealed with tamper-proof seals each of which shall have identifiable description and such seal shall be affixed at premises of consignor and removed at premises of consignee and Narcotics Commissioner may also put tamperproof seals on containers, carriages or packages as deemed necessary.Seal details must be recorded in the consignment note; duplicate-identification tamper-proof seals are prohibited.
Consumption and use of poppy straw is prohibited save in accordance with a licence issued under rule 36A.
A person holding a licence under Rule 8 or Rule 36A who wants to destroy poppy straw in their possession must apply to the Narcotics Commissioner in the form and manner specified by him.
The Narcotics Commissioner shall, within a period of thirty days from the date of receipt of an application under sub-rule (1), appoint a committee comprising two Gazetted Officer in the office of the Narcotics Commissioner, and an authorised representative of the applicant for supervising the destruction of the poppy straw and such destruction shall be carried out within a period of thirty days from the appointment of the committee.The destruction of the poppy straw shall be carried out in accordance with the provision of the relevant laws for the time being in force.
Opium shall not be manufactured save by the Central Government Opium Factories at Ghazipur and Neemuch Provided that opium mixtures may be manufactured from opium lawfully possessed by a person authorised under the rules made by the State Government for the said purpose.
The export of opium is prohibited save when the export is on behalf of the Central Government
Opium sales to State Governments, manufacturing chemists, or licensed entities are allowed only from Government Opium Factories at Neemuch and Ghazipur. Such sales require a permit issued by or under the orders of the concerned State Government. The permit referred to in sub-rule (2) shall be issued, in quadruplicate and,—
(a) the quadruplicate copy shall be retained by the issuing authority and the remaining copies forwarded to the Government Opium Factories at Neemuch and Ghazipur
(b) the said factory shall retain the duplicate copy for record, send the original copy with the consignment of opium and return the triplicate copy to the issuing authority after endorsing thereon the quantity actually supplied and the date of dispatch.
The manufacture of crude cocaine, ecgonine and its salts and of diacetyl morphine and its salts is prohibited
Nothing contained in this rule shall apply in case the drugs are manufactured by Government opium factory or by chemical staff employed under the Central Board of Excise and Customs or any person authorised by the Narcotics Commissioner by a special licence for purposes mentioned in Chapter VIIA
The manufacture of morphine, codeine, dionine, thebaine, dihydrocodeinone, dihydrocodeine, acetyldihydrocodeine, acetyldihydrocodeinone, dihydromorphine, dihydromorphinone, dihydrohydroxycodeinone, pholocodine and their respective salts is prohibited save by the Government Opium Factory.
Rule 36 – Narcotics Commissioner or auth.officer may grant a licence in Form 3 to any person or entity for manufacture of morphine, codeine, dionine, thebaine, dihydrocodeinone, dihydrocodeine, acetyldihydrocodeine, acetyldihydrocodeinone, dihydromorphine, dihydromorphinone, dihydrohydroxycodeinone, pholcodine and their respective salts if CG determines that such licence is necessary in public interest and is in consonance with India’s obligations under International treaties, conventions or protocols
Rule 37-Subject to the provisions of rule 36, the manufacture of manufactured drugs notified under sub-clause (b) of clause (xi) of section 2 of the Act including the essential narcotic drugs notified under clause (viiia) of section 2 of the Act (hereafter referred to as the drug) but not including preparation containing any manufactured drug from materials which the maker is lawfully entitled to possess is prohibited save under and in accordance with the conditions of a licence granted by the Narcotics Commissioner or such other officer as may be authorised by the Central Government in this behalf, in Form No. 3 appended to these rules.
Explanation.-For the removal of doubts it is hereby clarified that the licence to manufacture a preparation containing any manufactured drug and including the preparation notified as essential narcotic drugs under clause (viiia) of section 2 of the Act shall be regulated under the rules made by the State Government under section 10 of the Act.
If CG is of the opinion that it is in public interest to do so, Narcotics Commissioner or any other officer authorised by CG in this behalf may issue a licence in Form No. 3A on such terms and conditions as may be specified in the licence to manufacture poppy straw concentrate [from poppy straw produced from poppy cultivated under a licence issued under rule 8 of these rules]
The licensee may also manufacture morphine, codeine, thebaine, dionine, dihydrocodeinone, dihydrocodone, acetyldihydrocodeine, acetyldihydrocodeinone, dihydromorphine, dihydromorphinone, dihydrohydroxycodeinone, pholcodeine and their respective salts from the poppy straw concentrate manufactured as above
A person licensed under Rule 36,36A,37 cannot start manuf. drugs without obtaining required licences under Drugs & Cosmetics Act, 1940 for manufacture of drug & rules framed U/s 10 of Act by State Government of State in which he has his place of business, for possession, sale & distribution of drug
a) The licensee shall send copy of the licences to the Narcotics Commissioner before commencement of manufacture of the drug.
b) In the event of revocation of licence issued under the Drugs and Cosmetics Act, 1940 (23 of 1940) for the manufacture of the drug or the rules framed under section 10 of the Act by State Government of the State in which he has his place of business, for the possession, sale and distribution of the drug, the licence issued under rule 36 or rule 36A or rule 37, as the case may be, shall be deemed to be revoked.
26. Licensee must use lawfully possessed material and maintain security at manufacturing premises. (Rule 40,42)
A licensee may manufacture the drug only from materials lawfully possessed and only after receiving an allotted quota for that drug under Rule 67E(2).
(1) The licensee shall not manufacture the drug save from materials which he is lawfully entitled to possess.
(2) The licensee shall not manufacture the drug without allotment of quota for that drug under sub-rule (2) of rule 67E
(3) The licensee shall ensure all necessary security arrangements in the manufacturing premises as may be specified by the issuing authority.
The licensee must give at least one month’s written notice to the issuing authority before stopping drug manufacture. This notice is not required if manufacturing stops due to unforeseen circumstances beyond the licensee’s control.
The licensee must give at least 15 days’ written notice to the issuing authority before restarting manufacture of the drug after a period of cessation as in Rule 43(1)
Penalty & Punishment
Section 15: Anyone who illegally produces, possesses, transports, imports/exports between states, sells, purchases, uses, warehouses, or handles poppy straw in violation of the Act, rules, orders, or licence conditions is punishable depending on the quantity involved:
Note: The court may impose a fine exceeding ₹2 lakh if justified and recorded in the judgment.
U/s 16: Whoever, in contravention of any provision of this Act or any rule or order made or condition of licence granted thereunder, cultivates any coca plant or gathers any portion of a coca plant or produces, possesses, sells, purchases, transports, imports inter-State, exports inter-State or uses coca leaves shall be punishable with rigorous imprisonment for a term which may extend to ten years, and with fine which may extend to one lakh rupees.
U/s 18: Anyone who illegally cultivates opium poppy or produces, manufactures, possesses, sells, purchases, transports, imports/exports between states, or uses opium in violation of the Act, rules, or licence conditions is punishable based on the quantity involved:
Section 19: Punishment for embezzlement of opium by cultivator.—Any cultivator licensed to cultivate the opium poppy on account of the Central Government who embezzles or otherwise illegally disposes of the opium produced or any part thereof, shall be punishable with rigorous imprisonment for a term which shall not be less than ten years but which may extend to twenty years and shall also be liable to fine which shall not be less than one lakh rupees but which may extend to two lakh rupees: Provided that the court may, for reasons to be recorded in the judgment, impose a fine exceeding two lakh rupees.
U/s20: Punishment for contravention in relation to cannabis plant and cannabis – Whoever, in contravention of any provision of this Act or any rule or order made or condition of licence granted thereunder,—
(a) cultivates any cannabis plant; or(b) produces, manufactures, possesses, sells, purchases, transports, imports inter-State, exports inter-State or uses cannabis,shall be punishable (i) where such contravention relates to clause (a) with rigorous imprisonment for a termwhich may extend to ten years, and shall also be liable to fine which may extend to one lakh rupees; and
(ii) where such contravention relates to sub-clause (b),—
(A) and involves small quantity, with rigorous imprisonment for a term which may extend to one year, or with fine which may extend to ten thousand rupees, or with both;
(B) and involves quantity lesser than commercial quantity but greater than small quantity, with rigorous imprisonment for a term which may extend to ten years, and with fine which may extend to one lakh rupees;
(C) and involves commercial quantity, with rigorous imprisonment for a term which shall not be less than ten years but which may extend to twenty years and shall also be liable to fine which shall not be less than one lakh rupees but which may extend to two lakh rupees:
Provided that the court may, for reasons to be recorded in the judgment, impose a fine exceeding two lakh rupees
U/s21: Anyone who illegally manufactures, possesses, sells, buys, transports, imports, exports, or uses a manufactured drug faces punishment based on quantity:
U/s 22: Punishment for contravention in relation to psychotropic substances. – Anyone who illegally manufactures, possesses, sells, buys, transports, imports, exports, or uses a psychotropic substance is punished based on quantity:
U/s23: Punishment for illegal import into India, export from India or transhipment of narcotic drugs and psychotropic substances: Illegal import, export, or transshipment of narcotic drugs or psychotropic substances is punishable based on quantity:
Section 27B: Punishment for contravention of section 8A.—Whoever contravenes the provision of section 8A shall be punishable with rigorous imprisonment for a term which shall not be less than three years but which may extend to ten years and shall also be liable to fine.
U/s 32: Punishment for offence for which no punishment is provided.—Whoever contravenes any provision of this Act or any rule or order made, or any condition of any licence, permit or authorisation issued thereunder for which no punishment is separately provided in this Chapter, shall be punishable with imprisonment for a term which may extend to six months, or with fine, or with both.
Rule 36A(3): If, in the opinion of the Central Government, the licensee fails to fulfil the purpose for which he is issued a licence under sub-rule (1), or the terms and conditions of the licence, the Central Government, may after giving the licensee a reasonable opportunity of being heard, cancel the licence.
Rule 36(2B):Cancellation of License: If, in the opinion of the Central Government, the licensee fails to fulfil the purpose for which he is issued a licence under sub-rule (2A) or the terms and conditions of the licence, the Central Government may, after giving the licensee a reasonable opportunity of being heard, cancel the licence.
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