Dismissing the appeal of the revenue the Court held that ; the processing of the iron ore in a plant belonging to the assessee being in the nature of job work was not prohibited and formed an integral part of the activity of the export oriented unit ; the mere fact that the plant was situated outside the bonded area was of no legal significance as the benefit of customs bonding is only for the limited purpose of granting benefit as regards customs and excise duty. The entitlement to deduction under the Act is to be looked into independently and the benefit would stand or fall on the applicability of S 10B . Hence the mere location of the plant outside the export oriented unit and customs bonded area was not a disqualification to claim deduction. ( AY. 2009-10 2010-11 2011-12 )