Decatising of man-made fabrics fell outside the exemption notification, leaving the duty demand sustained.

Decatising of man-made fabrics was examined against Notification No. 9/96 for exemption from duty. The adjudicating authority treated calendering as a covered finishing process but regarded decatising as a distinct final-stage treatment, relying on textile dictionary meanings. No reliable technical material or other satisfactory basis was produced to displace that view. On that basis, decatising was held to fall outside the scope of the exemption notification, and the duty demand was sustained against the assessee.

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Issues: Whether decatising of man-made fabrics was covered by Notification No. 9/96 dated 23-7-1996 so as to qualify for exemption from duty.

Analysis: The adjudicating authority denied the exemption by distinguishing calendering from decatising on the basis of textile dictionary meanings. Calendering was treated as a finishing process covered by the notification, while decatising was regarded as a distinct process and a final stage treatment. No reliable technical material or other satisfactory basis was placed before the Tribunal to displace that view.

Conclusion: Decatising was held not to fall within the scope of the exemption notification, and the duty demand was upheld against the assessee.

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