1994 (9) TMI 91 - HC - Customs

Summary

Issues: Classification of imported goods under Customs Tariff Act, 1975

Analysis:
The petitioner, engaged in the manufacture of ready-made garments for export, imported staples classified under Heading 73.17 of the Customs Tariff Act. The petitioner relied on a previous judgment by Venkataswami, J., which held similar goods under Tariff Item 73.31. However, the Department contended that post-amendment in 1986, the goods should be classified under Heading 83.05. The court noted the substantial difference in language and content of the entries pre and post-amendment. The current Heading 73.17 excludes goods falling under 83.05. The court held that goods under 83.05 would attract regardless of the base material. The dispute centered on the base material used in manufacturing the goods. The court agreed with the Department's classification under 83.05 post-amendment, rejecting the petitioner's claim under 73.17. The court emphasized that the Department's interpretation aligned with the post-amendment entry and common sense, dismissing the petitioner's contentions.

The court rejected the petitioner's argument that a citizen-favorable construction should apply when there are multiple interpretations. Post-amendment, only one construction method is valid, as per the Department's interpretation. Consequently, the court found no merit in the writ petition and dismissed it without costs.