Page 179 - ELT_1st August 2020_Vol 373_Part 3

2020 ] COMMISSIONER OF CUSTOMS v. NAYARA ENERGY LTD. 361

zette, declare that so much of the material as is contained in goods exported
shall, for the purpose of sub-section (1), be deemed to be imported material.
(2) The Central Government may make rules for the purpose of carrying
out the provisions of sub-section (1) and, in particular, such rules may pro-
vide -
(a) for the payment of drawback equal to the amount of duty ac-
tually paid on the imported materials used in the manufacture or
processing of the goods or carrying out any operation on the goods
or as is specified in the rules as the average amount of duty paid on
the materials of that class or description used in the manufacture or
processing of export goods or carrying out any operation on export
goods of that class or description either by manufacturers generally
or by persons processing or carrying on any operation generally or
by any particular manufacturer or particular person carrying on
any process or other operation, and interest, if any, payable thereon.
(aa) for specifying the goods in respect of which no drawback
shall be allowed;
(ab) for specifying the procedure for recovery or adjustment of the
amount of any drawback which had been allowed under sub-
section (1) or interest chargeable thereon;
(b) for the production of such certificates, documents and other
evidence in support of each claim of drawback as may be necessary;
(c) for requiring the manufacturer or the person carrying on any
process or other operation to give access to every part of his manu-
factory to any officer of Customs specially authorised in this behalf
by the Assistant Commissioner of Customs to enable such author-
ised officer to inspect the processes of manufacture, process or any
other operations carried out and to verify by actual check or other-
wise the statements made in support of the claim for drawback.
(d) for the manner and the time within which the claim for pay-
ment of drawback may be filed;
(3) The power to make rules conferred by sub-section (2) shall include the
power to give drawback with retrospective effect from a date not earlier
than the date of changes in the rates of duty on inputs used in the export
goods.
11. Thus, Section 75 of the Act provides for allowing of a drawback of
duties of Customs chargeable under that Act on any imported materials of a class
or description used in manufacture or processing of such goods or carrying out
any operation on such goods. Sub-section (15) of Section 2 of the Customs Act
defines “duty” to mean a duty of Customs leviable under that Act. Section 12 of
the Customs Act provides that except as otherwise provided in that Act, or any
other law for the time being in force, duties of Customs shall be levied at such
rates as may be specified under the Customs Tariff Act, 1975 or any other law for
the time being in force, on goods imported into, or exported from, India.
12. In the facts and circumstances of the present case, we are not con-
cerned with an exemption notification but as to whether NCCD can be consid-
ered for computing brand rate eligibility.
13. Insofar as the applicability of the Drawback Rules to NCCD is con-
cerned, it may be germane to refer to the circulars issued by the CBEC from time

EXCISE LAW TIMES  1st August 2020  179