1993 (6) TMI 192 - AT - Customs

Summary

Issues:
1. Interpretation of the term "Zip tapes" under Notification 190/90-Cus.
2. Whether the tape imported should be classified as "zip tape" or "zipper chain."
3. Consideration of the classification under Tariff Heading 58.06.

Analysis:
1. The Collector of Customs appealed against the order allowing the respondents the benefit of Notification 190/90-Cus, contending that the tape imported is beaded on one edge for metal scoops and should not be considered "Zip tapes."
2. The Department argued that the tape imported is the tape for zip fasteners and should be classified as "zip tape" even before the attachment of metal scoops, as the tape forms an integral part of the zip fastener components.
3. The respondents' representative argued that the tape imported was designed for zip fasteners but should only be considered "zip tape" after the attachment of metal scoops, referencing literature on zip manufacturing machines to support this claim.
4. The Tribunal noted that the literature presented by the respondents did not refer to the tape with scoops as "zip tape" but as "zipper chain," indicating that the tape alone is distinct from the final product after attachment of scoops, known as the zipper chain used for making zippers.
5. Based on the analysis, the Tribunal concluded that the tape imported should be considered "zip tape" and not eligible for the benefit of the notification, granting a stay on the lower appellate authority's order until the appeal is disposed of.
6. Additionally, the Tribunal highlighted that the imported product appears to fall under Tariff Heading 58.06, a factor that was not considered by the lower authorities and should be examined during the final hearing, with the appeal papers being forwarded to CEGAT, New Delhi for further review.