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Taruna has formed a partnership company with his wife Dara. A main activity of the firm is to purchase paddy from farmers direct from the
Taruna has formed a partnership company with his wife Dara. A main activity of the firm is to purchase paddy from farmers direct from the paddy field. Farmers requested the payment in cash. The paddy is transported/supplied to a rice mill factory that convert the paddy into rice. The supply/sale of paddy to these millers is on cash basis as well as on credit (1-3 month period).
- What is Shariah position, when Taruna sell paddy on (a) cash basis (b) on credit to the miller/factory? Justify your stand.
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