(1)Where it appears to the Central Government that in respect of goods of any class or description [manufactured, processed or on which any operation has been carried out in India] [ Substituted by Act 22 of 1995, Section 61, for " manufactured in India" (w.e.f. 26.5.1995).][, being goods which have been entered for export and in respect of which an order permitting the clearance and loading thereof for exportation has been made under section 51 by the proper officer] [ Substituted by Act 11 of 1983, Section 52, for " and exported to any place outside India" (w.e.f. 13.5.1983).],[or being goods entered for export by post under [clause (a) of section 84] [ Inserted by Act 80 of 1985, Section 7 (w.e.f. 27.12.1985).] and in respect of which an order permitting clearance for exportation has been made by the proper officer] [ Substituted by Act 22 of 1995, Section 60, for sub-Section (3) (w.e.f. 26.6.1995).], a drawback should be allowed of duties of customs chargeable under this Act on any imported materials of a class or description used in the [manufacture or processing of such goods or carrying out any operation on such goods] [ Substituted by Act 22 of 1995, Section 61, for " manufacture of such goods" (w.e.f. 26.5.1995).], the Central Government may, by notification in the Official Gazette, direct that drawback shall be allowed in respect of such goods in accordance with, and subject to, the rules made under sub-section (2):[Provided that no drawback shall be allowed under this sub-section in respect of any of the aforesaid goods which the Central Government may, by rules made under sub-section (2), specify, if the export value of such goods or class of goods is less than the value of the imported materials used in the [manufacture or processing of such goods or carrying out any operation on such goods] [Inserted by Act 49 of 1991, Section 120 (w.e.f. 1.4.1991). ][or class of goods, or is not more than such percentage of the value of the imported materials used in the [manufacture or processing of such goods or carrying out any operation on such goods] [Inserted by Act 49 of 1991, Section 120 (w.e.f. 1.4.1991). ] [or class of goods as the Central Government may, by notification in the Official Gazette, specify in this behalf:] [Inserted by Act 49 of 1991, Section 120 (w.e.f. 1.4.1991). ][ Substituted by Act 80 of 1985, Section 6 (w.e.f. 27.12.1985).]Provided further that where any drawback has been allowed on any goods under this sub-section and the sale proceeds in respect of such goods are not received by or on behalf of the exporter in India within the time allowed under the [Foreign Exchange Management Act, 1999 (42 of 1999)] [ Substituted by Act 20 of 2002, Section 125, for " Foreign Exchange Regulation Act, 1973 (46 of 1973)" (w.e.f. 11.5.2002).], such drawback shall be deemed never to have been allowed and the Central Government may, by rules made under sub-section (2), specify the procedure for the recovery or adjustment of the amount of such drawback.][(1-A) Where it appears to the Central Government that the quantity of a particular material imported into India is more than the total quantity of like material that has been used in the goods [manufactured, processed or on which any operation has been carried out in India] [ Inserted by Act 25 of 1978, Section 10 (w.e.f. 1.7.1978).] [and exported outside India, then, the Central Government may, by notification in the Official Gazette, declare that so much of the material as is contained in the goods exported shall, for the purpose of sub-section (1), be deemed to be imported material.] [ Inserted by Act 25 of 1978, Section 10 (w.e.f. 1.7.1978).]
