Customs-controlled movement for gamma irradiation approved; treatment under safeguards did not amount to clearance under the Customs Act.

Movement of imported goods to a gamma irradiation facility under Customs supervision was approved on a tightly controlled, case-specific basis, with joint verification, sealing, escort, insurance, indemnity, CCTV monitoring and post-treatment testing to preserve revenue and regulatory safeguards. Such movement was expressly stated not to amount to clearance under the Customs Act, 1962 so long as Customs control continued throughout the process. The High Court's classification of the goods was affirmed, but the broader legal question was left open for decision in an appropriate case, and the arrangement was confined to the facts without precedential value.

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Issues: Whether the goods could be moved to a gamma irradiation facility under Customs supervision without amounting to clearance under the Customs Act, and whether the High Court's classification of the goods required interference.

Analysis: A detailed procedure was approved for movement, including joint physical verification, sealing, escort, insurance, indemnity, CCTV-monitored treatment, and post-treatment testing, while maintaining Customs control throughout. It was also expressly clarified that such movement would not amount to clearance under Sections 45 and 47 of the Customs Act, 1962. The High Court's classification of the goods was affirmed, while the legal question was left open for decision in an appropriate case and the arrangement was stated to be confined to the facts of the case without precedential value.

Conclusion: The respondent was permitted to proceed with the prescribed treatment mechanism under the stated safeguards, Customs control was preserved, and the challenge to the High Court's classification did not succeed.

Final Conclusion: The matter was finally disposed of by approving a case-specific, tightly controlled procedure for gamma irradiation of the goods, while leaving the broader question of law open.

Ratio Decidendi: Movement of imported goods for a controlled treatment process does not by itself constitute clearance when the goods remain under Customs control and the Court prescribes safeguards to secure revenue and regulatory interests.

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