Twisting yarn as doubling qualifies for exemption; intended use for socks did not defeat the notification benefit.

Twisting yarn was treated as equivalent to doubling where two or more yarns are twisted together in one operation, so the activity fell within the notification granting nil duty to doubled yarn. The denial of exemption on the ground that the yarn was intended for socks was rejected because socks are produced by knitting and subsequent cutting and stitching of tubular fabric, not by direct use of yarn as such. The assessee was therefore entitled to the notification benefit.

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Issues: Whether the activity of twisting yarn amounts to doubling so as to qualify for exemption under the relevant notification.

Analysis: The notification treated doubled yarn as eligible for nil rate of duty. The Court compared technical textile definitions and found that twisting and doubling are used as synonymous concepts when two or more yarns are twisted together in one operation. It further held that the Commissioner was in denying the benefit on the footing that the yarn was meant for socks, since socks are made through knitting and subsequent cutting and stitching of tubular fabric rather than by direct use of yarn as such.

Conclusion: The activity of twisting amounted to doubling, and the assessee was entitled to the notification benefit.

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