Strict construction of exemption notifications: Aviation Turbine Fuel failed to qualify as Kerosene without proof of ordinary lamp use.

Aviation Turbine Fuel claiming exemption as "Kerosene" under Notification No. 19/94-Cus. had to satisfy not only the specified technical characteristics but also the express condition that it is ordinarily used as an illuminant in oil burning lamps. Although the product met the hydrocarbon oil and smoke point criteria, the record did not establish the required ordinary-use condition. Mere classification under the same tariff heading as Kerosene was insufficient. The notification was therefore to be construed strictly, and the claimant had to bring the product clearly within every term of the exemption entry. On that basis, ATF was not entitled to the exemption.

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Issues: Whether Aviation Turbine Fuel imported by the appellant was entitled to exemption under Notification No. 19/94-Cus. as "Kerosene" falling under Heading 27.10 of the First Schedule to the Customs Tariff Act, 1975.

Analysis: The exemption covered only Kerosene satisfying the stated technical conditions and the further requirement that it is ordinarily used as an illuminant in oil burning lamps. The appellant showed that ATF satisfied the hydrocarbon oil and smoke point criteria, but did not produce material to establish that ATF is ordinarily used as an illuminant in oil burning lamps. Mere tariff classification under the same heading as Kerosene did not make the exemption automatically applicable. Exemption notifications are to be construed strictly, and the claimant must bring the product clearly within the terms of the notification. The circular and earlier decisions relied upon did not assist because they dealt with different contexts, and the record did not show that ATF answered the essential user condition in the notification.

Conclusion: ATF was not held eligible for exemption as Kerosene under Notification No. 19/94-Cus., and the rejection of the claim was upheld in favour of Revenue.

Ratio Decidendi: An exemption notification must be strictly construed, and a product claiming the benefit must satisfy every express condition of the notification, including the specified ordinary use where such use forms part of the exemption entry.

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