Export rebate eligibility turns on the exported article itself being listed in the statutory Schedule, not merely a by-product connection.

Additional export rebate under section 2(5)(a)(ii) of the Finance Act, 1964 was held unavailable for export of de-oiled cake because the rebate applies only where the exported article itself is one of the articles listed in the First Schedule to the Industries (Development and Regulation) Act, 1951. The court construed the Finance Act reference to a scheduled industry as tied to the article-based classification in the Schedule, and a by-product of the manufacture of vegetable oils or vanaspati did not satisfy that requirement. De-oiled cake was therefore outside the statutory language, and the claim for rebate failed.

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Issues: Whether the assessee was entitled to additional export rebate under section 2(5)(a)(ii) of the Finance Act, 1964 on export of de-oiled cake, being a by-product of an industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951.

Analysis: The additional rebate under section 2(5)(a)(ii) is available only where the exported article itself is one of the articles contemplated by the First Schedule to the Industries (Development and Regulation) Act, 1951. The Schedule is an enumeration of articles and the reference to a scheduled industry in the Finance Act must be read with that article-based classification. De-oiled cake was not one of the articles specified in the First Schedule, and the fact that it was a by-product of the manufacture of vegetable oils or vanaspati did not bring it within the statutory language. On that construction, it was unnecessary to decide whether clause (c) independently excluded the claim.

Conclusion: The assessee was not entitled to rebate on export of de-oiled cake; the question was answered against the assessee and in favour of the Revenue.

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