Prospective exclusion of gambier from customs exemption did not affect imports made before the amendment took effect.

Gambier imported before 1-3-2003 remained covered by Notification No. 76/86-Cus. because the later amendment excluding gambier operated prospectively only. The departmental circular also clarified that the exclusion did not withdraw exemption for imports made before the effective date. On that basis, denial of the exemption for a pre-amendment import was unsustainable, and the import was entitled to the benefit of the notification.

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Issues: Whether gambier imported prior to 1-3-2003 was entitled to the benefit of Notification No. 76/86-Cus., in view of the subsequent amendment excluding gambier and the circular clarifying that the exclusion operated prospectively.

Analysis: The relevant exemption notification originally covered the goods in question, and the later amendment excluding gambier took effect only from 1-3-2003. The circular issued by the Department clarified that the amendment was prospective and did not withdraw the exemption for imports made before that date. Since the import had taken place before the amendment, the denial of the exemption could not be sustained.

Conclusion: The import was eligible for the exemption under Notification No. 76/86-Cus., and the denial of benefit was unsustainable.

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