Strict reading of exemption notification denied concession for exports to Nepal; only home-consumption clearances qualified.

Notification No. 46/83-C.E. was confined to paper cleared for home consumption, so Kraft paper exported to Nepal did not qualify for the concessional rate. Although the exemption scheme was intended to provide relief to small paper mills based on preceding year clearances, the express wording of the notification controlled and could not be overridden by the broader scheme. Export to Nepal remained an export, and it did not become home consumption merely because the rebate mechanism under the Central Excise Rules altered the duty flow. In the absence of ambiguity, the exemption had to be applied strictly as written, and the duty demand was sustained.

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Issues: Whether the concessional rate under Notification No. 46/83-C.E. applied to Kraft paper exported to Nepal or only to goods cleared for home consumption.

Analysis: The notification expressly limited the concession to paper cleared for home consumption. Although the scheme of the notification was to grant relief to small paper mills based on preceding year clearances, the expressed words could not be ignored. Export to Nepal remained an export and did not become a clearance for home consumption merely because rebate machinery under the Central Excise Rules treated the duty flow differently. In the absence of ambiguity, the language of the exemption had to be applied as written.

Conclusion: The exports to Nepal were not eligible for the concession under Notification No. 46/83-C.E. and the demand was sustainable, against the assessee.

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