1997(03)LCX0064
IN THE CEGAT, COURT NO. II, NEW DELHI
S/Shri S.L. Peeran, Member (J) and Shiben K. Dhar, Member (T)
KUMAR AEROSOLS PVT. LTD. & ANR.
Versus
COLLECTOR OF CUSTOMS, NEW DELHI
Final Order Nos. C/621-627/97-B2, dated 19-3-1997 in Appeal Nos. C/1495 to 1498/91-B2 and C/1724- 1726/91-B2
CASE CITED
SPIC v. Collector — 1996(10)LCX0137 Eq 1997 (089) ELT 0530 (Tribunal) Relied on [Para 3]
Advocated By : Shri J.S. Agarwal, Advocate, for the Appellant.
Smt. R. Pant, SDR, for the Respondent.
[Order per : Shiben K. Dhar, Member (T)]. - In all these appeals involving common question of law and facts were taken up together and are being disposed of through this common order.
2. The appellants are manufactures of Aerosol Valves. Aerosol Valves are claimed to be pressure reducing valves which are mounted on the top of containers manufactured from glass or metal and are used for spraying liquids packed under pressure according to ISI Specification No. IS 9634 -1980 for Aerosol Valves. The Appellants imported nozzels which among others are as parts of these valves. They claimed benefit of Notification 69/87, dt. 1-3-1987 on the ground that goods are classifiable under Heading 8481.90, and by virtue of the classification are classifiable under CTH 98.06. This claim was rejected.
3. We have heard both sides. Note 7(d) of Chapter Note 98 does not cover, among others, any other part of machinery which the Central Government may, having regard to its nature of being a part having general application, notify in the Official Gazette in this behalf.
We proceed therefore from the premise as conceded by both the sides that goods are primarily classifiable under Heading 8481.90. The only dispute is in regard to classification under Heading 98.06. It is the contention of the ld. Advocate that goods being classifiable under Heading 8481.90 would attract classification under 98.06. Ld. DR submits that all the items classifiable under Heading 84.81 having specifically been notified to be general purpose parts under Notification No. 257/88 and therefore would not merit classification under 98.06.
As noted earlier Chapter Note 7(d) empowers Central Government to notify certain goods as goods having general application.
Notification 257/88, dt. 21-9-1988 has been issued in exercise of the powers conferred by clause (d) of Note 7 of Chapter 98 of the First Schedule to the Custom Tarrif Act, 1975. This notification indicates that Central Government, having regard to the nature of goods being parts having general application, notifies the goods described in the Table thereto annexed for the purpose of clause (d) of Chapter Note 7 of Chapter 98. Customs Tariff Heading 84.81 has been indicated against S. No. 6 of the table of the notification. In other words goods falling-under Chapter Heading 84.81 had been notified as goods being parts having general application. In terms of Clause (d) of Chapter Note 7, these goods would not merit classification under CTH 98.06. In this connection Id. DR cites the case of the SPIC v. CC, Madras - 1997 (089) ELT 530. We agree that case fully supports the case of Revenue.
Goods were imported in October, November and December, 1988 and therefore, Notification No. 257/88, dated 21-9-1988 comes into force.
4. In regard to these goods, it was contended by the ld. Advocate that there has been mis-construction of Note 7(d) of Chapter 98 and notification issued in terms of powers conferred by the said note. The components parts of Aerosol Valves as imported do not have any general application and therefore, are not hit by Notification 257/88, dated 21-9-1988.
5. We are, however, of the view once it is accepted that goods are classifiable under Chapter 84.81, it has to be accepted also, in view of Notification 257/88, that these are parts having general application. Chapter Note 7 indicates that Central Govt., having regard to the nature of goods being parts having general application notifies the goods described in the Table for the purpose of Clause (d) of Note 7. In other words, the legislature clearly ruled that parts classifiable under CTH 84.81 are parts having general application. We cannot go beyond it and hold that even when legislature notifies goods falling under Chapter 84.81 as goods having general applications, some goods even while falling under 84.81 do not have general application. The conclusion is inevitable that parts falling under Heading 84.81, being parts having general application, and are notified as such by Central Govt. in exercise of powers conferred on it under clause (d) of Chapter Note 7 of Chapter 98, are excluded from purview of Chapter 98.06.
6. In view of this, all appeals are rejected and impugned orders are upheld.
Equivalent 1997 (93) ELT 201 (Tribunal)
Equivalent 1997 (020) RLT 0390 (CEGAT-SB)