1. Petitioner is an agriculturist. Respondent No.1, National Horticulture Board, floated a scheme to develop high quality horticultural farms in identified belts and make such area vibrant with horticultural activity which in turn will act as hubs for developing commercial horticulture by adopting high-tech horticulture techniques. Under the scheme, the agriculturists were required to submit their projects and on its approval, were eligible to receive, as back ended capital investment, a subsidy. In the foreword of project, which has been relied upon by the learned Counsel for the respondents, it has been stated thus:-

2. National Horticulture Board (for short NHB )was set up by the Government of India in 1984 as an autonomous society under the Societies Registration Act, 1860 with a wide mandate to promote integrated development of horticulture, to help in coordinating, stimulating and sustaining the production and processing of fruits and vegetables and to establish a sound infrastructure in this field. NHB is accordingly laying special emphasis on post-harvest management and marketing aspects of horticultural produce.

3. Since its inception, NHB has taken up various programmes/schemes. 7th Plan Schemes marked the beginning of this endeavour with thrust on post-harvest management and marketing during 8th Plan. The present compendium of New Schemes is a set of interventions, to achieve high quality commercial production, create post-harvest infrastructure and cool-chain facilities through back-ended capital investment subsidy. It will lead to increased productivity with emphasis on quality which in turn will result encouraging enterpreneurship in every aspect of horticulture industry and exports.

2. The relevant provisions of the scheme are :-

I. Objectives of NHB

The broad objectives are to :

Develop high quality horticultural farms in identified belts and make such areas vibrant with horticultural activity which in turn will act as hubs for developing commercial horticulture.

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3. Horticulture Scenario

Horticulture includes fruits, vegetables, root and tuber crops, mushroom, honey, floriculture, medicinal and aromatic plants and nuts, etc. The sector has established its importance in improving land use, promotion crop diversification, generating employment and above all providing nutritional security to the people besides supplementing to their income.

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The total operational holdings under Agriculture is 190 million hac. whereas area under Horticulture is only 14.82 million ha.(7.84%). Out of the total percentage of Agro Exports, fruits, vegetables, flowers and processed products contributes only 5.59%. It has been estimated that post harvest losses of horticulture produce are very substantial which needs urgent attention. Coupled with this, each intermediary in the chain of final cost is getting 2.5 times more than the actual price realised by a small farmer. Though the country is the 2"1' largest producer of Horticulture produce in the World, our per capita consumption of fruits & vegetables for one billion population is very low. Indian consumption of plant nutrients per kg ./ha. is also well below most of the advanced countries and Indian farm yields, particularly for fruits & vegetables are also well below the International level.

During the 7'1' and 8lh Five Year Plans couple of schemes were implemented by the National Horticulture Board. However, the benefit/impact of these Schemes was seen only in few states/ sectors. Therefore, an urgency was felt to formulate new strategies with the back up of attractive schemes which would give boost- -to each and even' segments of horticulture industry, all over the country. In view of the above. National Horticulture Board formulated innovative schemes which have been made more broad-based and entrepreneur driven. The Government of India. Department of Agriculture and Cooperation have approved these schemes which are as under :-

1. Capital Investment Subsidy Sch