Specific customs exemption prevails over general entry when imported goods are expressly described in one notification.

Imported optical time domain reflectometers were specifically covered by Notification No. 59/88-Cus., while Notification No. 96/91-Cus. referred to them only under a general description. The principle allowing an assessee to choose the more beneficial exemption applies only where two notifications are equally applicable to the goods. Because the specific entry governed, the broader notification could not be invoked. The orders of the Collector (Appeals) were set aside and the orders-in-original were restored.

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Issues: Whether the imported optical time domain reflectometers were entitled to exemption under Notification No. 96/91-Cus. as against the specific exemption available under Notification No. 59/88-Cus., and whether the assessee could claim the more beneficial notification where the goods were specifically described in one notification and generally covered in the other.

Analysis: The goods imported were found on examination to be optical time domain reflectometers. Notification No. 59/88-Cus. specifically described optical time domain reflectometers, whereas Notification No. 96/91-Cus. covered them only under a general description in the table relating to automatic testing or marking or printing or taping machines or any combination thereof. The exemption entry in Notification No. 59/88-Cus. was therefore a specific entry, while the entry in Notification No. 96/91-Cus. was general in nature. The principle that an assessee may choose the more beneficial exemption applies only where two notifications are equally applicable to the goods. Where one notification specifically covers the goods and the other does not, the specific entry governs.

Conclusion: The goods were not equally covered by both notifications, and the benefit of Notification No. 96/91-Cus. was not available. The orders of the Collector (Appeals) were set aside and the orders-in-original were restored.

Final Conclusion: The Revenue succeeded because the specific customs exemption prevailed over the general exemption, and the imported goods could not be shifted to the broader notification merely on the ground of greater relief.

Ratio Decidendi: Where exempted goods are specifically described in one notification and only generally covered in another, the specific exemption applies and the rule permitting choice of the more beneficial notification has no application unless both notifications are equally applicable.

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