Advance licence exemption turns on licence conformity, not separate proof of material used in the resultant product.

Under the quantity-based advance licence scheme, exemption under Notification No. 204/92-Cus. depended on whether the imported goods conformed to the description and specifications in the licence. Once that conformity was established, Customs could not insist on separate proof of the specifications of the material used in the resultant product, because the later notification was treated as broader than the earlier exemption regime under Notification No. 159/90-Cus. The notification therefore could not be denied on the ground that the importer failed to prove those additional particulars, and the Revenue's challenge failed.

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Issues: Whether the benefit of Notification No. 204/92-Cus. was available where the imported goods satisfied the description and specifications in the advance licence, without the importer separately proving the specifications of the material used in the resultant product.

Analysis: The notification governing the quantity-based advance licence was treated as materially different from the earlier exemption regime under Notification No. 159/90-Cus. Under the quantity-based scheme, exemption depended on the specifications of the goods mentioned in the advance licence. Once the imported goods conformed to the licence description, Customs could not insist on further proof that the transferee knew or established the exact specifications of the material used in the resultant product. The wider wording of the later notification supported the claim to exemption, and the cited Tribunal decisions were relied upon to reinforce that approach.

Conclusion: The requirement of proving the particulars of the material used in the resultant product was not applicable, and the benefit of the notification could not be denied on that ground. The Revenue's appeal failed.

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