Customs exemption for use means capable of use, not actual use, where imported goods fit the intended leather industry purpose.

The expression "for use" in Notification No. 45/94-Cus. was read as requiring capability of use for the intended purpose, not actual use of the imported goods. Because the goods were undisputedly capable of being used in the leather industry, denial of the notification benefit on the ground of non-use was unsustainable. The appeals were allowed and the adverse order was set aside.

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Issues: Whether the benefit of Notification No. 45/94-Cus. dated 1-3-94 could be denied on the ground that the imported goods were not actually used, despite being capable of use in the appellants' leather industry.

Analysis: The expression "for use" in the notification was construed to mean that actual use was not a condition for claiming the benefit. It was sufficient if the goods were capable of being used for the intended purpose, and the factual position that the goods were capable of such use was not disputed.

Conclusion: The denial of the notification benefit was unsustainable. The appeals were allowed and the impugned order was set aside.

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