Exemption from procedural rule for manual cotton fabric processors, subject to quantity ceilings and mandated declaration and records. Exemption from rule 174 is provided to persons processing cotton fabrics without power or steam whose goods are otherwise fully exempt from excise duty, subject to an aggregate quantity ceiling under the underlying exemption notification. The exemption ceases to apply if clearances for home consumption by a manufacturer, alone or across factories in which they have an interest, exceed the exemption limit for the financial year. Claimants must file a prescribed declaration and annual undertaking identifying proprietors and factories, stating past and estimated clearances, citing the exemption basis, describing the process, undertaking registration when clearances near the limit, and maintaining records.