Ordinary meaning of "textile garments" upheld for knitwear exemption; knitted seamless gloves qualified under the customs notification.

An exemption notification under the EPCG-linked customs framework must be strictly construed, but its object and ordinary wording remain controlling where the relevant expression is undefined. "Textile garments (including knitwear)" was interpreted in common parlance as garments worn as attire, and knitted seamless gloves were treated as capable of falling within that description. Section Note 13 of Section XI of the Customs Tariff Act was relevant for classification but not conclusive for eligibility under the notification. The Ministry of Textiles' view that knitted seamless gloves are knitted garments was given persuasive value, and the exemption was upheld for the imported glove-making machine.

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Issues: Whether an automatic seamless glove making machine imported under the EPCG scheme was eligible for exemption under Notification No. 29/97-Cus. for manufacture of textile garments including knitwear, and whether knitted seamless gloves could be treated as textile garments for that purpose.

Analysis: The exemption notification, issued under Section 25 of the Customs Act, 1962 and linked to the EPCG scheme, had to be construed strictly without losing sight of its object. The expression "textile garments (including knitwear)" was given its ordinary meaning, and the term "garment" was understood as an article of dress. Knitted seamless gloves were found to be worn as part of attire and therefore capable of falling within the broad understanding of knitwear/garments. Section Note 13 of Section XI of the Customs Tariff Act, 1975 was treated as relevant for classification, but not as conclusive for eligibility under the exemption notification. The certificate issued by the Ministry of Textiles treating knitted seamless gloves as knitted garments was also given persuasive value in interpreting the undefined expression used in the notification.

Conclusion: The knitted seamless gloves were held to fall within the scope of "textile garments (including knitwear)" for the purpose of Notification No. 29/97-Cus., and the exemption was upheld.

Final Conclusion: The Revenue's challenge to the grant of exemption failed, and the order allowing the benefit of the notification stood sustained.

Ratio Decidendi: An exemption notification must be strictly construed, but its object and clear wording must be given effect to; where the notification uses an undefined expression, it is to be understood in its ordinary and common parlance sense, and classification notes cannot override that meaning for eligibility under the notification.

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