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Section 4

[2A) In particular, and without prejudice to the generality of the provisions of sub-section (1), the Central Government may, if it is satisfied, after considering the recommendations made to it by the Advisory Committee constituted under sub-section (2B), that it is necessary so to do for the development and expansion of ancillary, or small scale, industrial undertakings, by notified order, direct that any article or class of articles specified in the First Schedule shall, on and from such date as may be specified in the notified order (hereafter in this section referred to as the " date of reservation " ), be reserved for exclusive production by the ancillary, or small scale, industrial undertakings (hereafter in this section referred to as " reserved article " ).

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4 [2A) In particular, and without prejudice to the generality of the provisions of sub-section (1), the Central Government may, if it is satisfied, after considering the recommendations made to it by the Advisory Committee constituted under sub-section (2B), that it is necessary so to do for the development and expansion of ancillary, or small scale, industrial undertakings, by notified order, direct that any article or class of articles specified in the First Schedule shall, on and from such date as may be specified in the notified order (hereafter in this section referred to as the " date of reservation " ), be reserved for exclusive production by the ancillary, or small scale, industrial undertakings (hereafter in this section referred to as " reserved article " ). (2B) The Central Government shall, with a view to determining the nature of any article or class of articles that may be reserved for production by the ancillary , or small scale, industrial undertakings , constitute an Advisory Committee consisting of such persons as have , in the opinion of that Government, the necessary expertise to give advice on the matter. (2C) The Advisory Committee shall, after considering the following matters, communicate its recommendations to the Central Government, namely:— (a) the nature of any article or class of articles which may be produced economically by the ancillary, or small scale, industrial undertakings; (b) the level of employment likely to be generated by the production of such article or class of articles by the ancillary, or small scale, industrial undertakings; (c) the possibility of encouraging and diffusing entrepreneurship in industry; (d) the prevention of concentration of economic power to the common detriment; and