Temporary import of durable containers for re-export was protected by customs exemption, defeating confiscation as a prohibited import.

Temporary import of durable empty tank containers for re-export was covered by Customs Notification No. 104/94-Cus. Customs retained control to ensure re-export within the stipulated period, and the Tribunal accepted that the container had been repeatedly imported and exported under the same policy. On that basis, the container was not treated as a prohibited import and confiscation was held unsustainable. The appeal succeeded with consequential relief.

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Issues: Whether the imported empty tank container was liable to confiscation as a prohibited import, or whether it was covered by the customs exemption notification permitting temporary import of durable containers for re-export.

Analysis: Durable containers imported for specific re-export purposes were treated as importable free of duty under Notification No. 104/94-Cus. dated 16-3-1994. The record showed that customs houses maintained control over such containers to ensure re-export within the stipulated period. The Tribunal found that the container was of the kind repeatedly imported and exported under the same policy and notification, and that there was no justification for treating it as a prohibited import warranting confiscation.

Conclusion: The confiscation was unsustainable and the appeal succeeded with consequential relief.

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