Concessional customs duty for pre-shrinking range upheld where the machine matched the notification for flat goods.

An imported pre-shrinking range used for flat goods was held to satisfy the description in Notification No. 21/2002-Cus., which granted concessional duty to pre-shrinking ranges for flat and knitted goods. The Revenue's objection that the machine could not work on knitted fabric did not defeat the exemption, because its use for pre-shrinking flat goods was undisputed and sufficient to bring it within the notification. The benefit of concessional duty was therefore available to the equipment.

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Issues: Whether the imported pre-shrinking range was entitled to the concessional rate of duty under Notification No. 21/2002-Cus. despite the Revenue's objection that it was capable of use only for flat goods and not for knitted goods.

Analysis: The machine was found to be used for pre-shrinking of flat goods, and that fact was not in dispute. The notification granted concessional duty to pre-shrinking ranges for flat and knitted goods. The objection that the machine was not capable of working on knitted fabric did not dislodge the entitlement, since the machine answered the description of a pre-shrinking range for flat goods and the benefit was available to such equipment under the notification.

Conclusion: The imported machine was entitled to the benefit of Notification No. 21/2002-Cus., and the Revenue's objection failed.

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