Strict construction of exemption notifications excludes a horizontal boring and milling machine from concessional customs duty relief.

A horizontal boring and milling machine imported with accessories was held outside Notification No. 40/78-Cus. because the exemption applied only to floor or table type horizontal boring machines with the specified spindle diameter. The article states that the goods were described as a machine capable of boring, milling and drilling, and that a composite machine did not match the notification's plain description. Exemption notifications must be construed strictly, so their benefit cannot be extended to goods not clearly covered by the express words. The concessional duty claim therefore failed.

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Issues: Whether a horizontally boring and milling machine imported with accessories was covered by Notification No. 40/78-Cus., which granted concessional duty to floor and table type horizontal boring machines above a specified spindle diameter.

Analysis: The imported unit was described in the bill of entry, invoice and catalogue as a horizontal boring and milling machine capable of boring, milling and drilling. The notification was held to apply strictly to machines that were boring machines as such, falling within the description of floor or table type horizontal boring machines above 160 mm spindle diameter. A machine that performed both boring and milling did not answer that description, and the scope of the exemption could not be enlarged to include goods outside the plain words of the notification.

Conclusion: The imported machine was not covered by Notification No. 40/78-Cus., and the claim for concessional benefit failed.

Ratio Decidendi: Exemption notifications must be construed strictly, and their benefit cannot be extended to goods that do not clearly fall within the express terms of the notification.

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