Integrated fabric dyeing machinery qualified for customs exemption where technical documents showed one complete unit with dye kitchen accessories.

Soft flow dyeing machine supplied with a multifunction stock tank was treated as one integrated fabric dyeing unit for customs exemption purposes. The contract, packing list, technical write-up and manufacturer's certificate showed that the stock tank operated as a service tank for chemical additions and dyeing solution, and that the complete set constituted a dyeing machine with dye kitchen and accessories. Reliance was placed on prior Tribunal authority supporting exemption where technical material and manufacturer clarification establish the equipment's true character. On that basis, the denial of exemption from customs duty and CVD was set aside and consequential relief followed.

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Issues: Whether the soft flow dyeing machine along with the multifunction stock tank was entitled to exemption from customs duty/CVD under the relevant exemption notifications.

Analysis: The sale contract, packing list and technical write-up showed that the soft flow dyeing machine and the multifunction stock tank were supplied as one integrated unit. The multifunction stock tank functioned as a service tank for preparation of chemical additions and dyeing solution and operated with the dyeing machine. The manufacturer's certificate also stated that the complete set constituted a fabric dyeing machine with dye kitchen and accessories. The Tribunal further noted that the earlier decision in Bharat Textile Processings supported acceptance of exemption where technical material and manufacturer's clarification established the nature of the machine.

Conclusion: The integrated equipment was held to be a fabric dyeing machine complete with dye kitchen and accessories, and the denial of exemption was set aside. The appeal was allowed with consequential relief.

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