2004 (2) TMI 479 - AT - Central Excise

Summary

Issues: Classification of Vegetable Pastes under Central Excise Tariff

Analysis:

Issue 1: Classification of Vegetable Pastes
The primary issue in the appeals filed by M/s. Dabur India Ltd. was the classification of Vegetable Pastes manufactured by them under the Central Excise Tariff. The Revenue claimed classification under Heading 2001.10, while the Appellants argued for classification under Heading 2001.90.

Issue 2: Interpretation of Brand Name
The Advocate for the Appellants argued that the Tribunal had previously ruled in their favor, stating that merely mentioning the name of the manufacturer on the label cannot be the sole basis for classifying the goods under Heading 2001.10. This argument was supported by referencing a previous Final Order.

Issue 3: Definition of Brand Name
On the contrary, the Departmental Representative contended that the labeling on the goods established a connection in the course of trade between the manufacturer and the product. Reference was made to the definition of brand name in Note 4 to Chapter 20, which includes various identifiers used in relation to a product for trade communication purposes.

Analysis of Judgment:
The Tribunal examined the submissions from both parties and referred to the previous decision in the Appellants' own case. The Tribunal highlighted that the Prevention of Food Adulteration Rules mandates the mention of the manufacturer's name and complete address on food packages. In this case, the label did not bear the insignia of Dabur but only mentioned Dabur India Ltd. as the manufacturer, which was in compliance with the rules. Therefore, the Tribunal concluded that merely mentioning the manufacturer's name cannot be the sole basis for classification under Heading 2001.10, which requires goods to be put up in a unit container bearing a brand name. The Tribunal set aside the impugned order and allowed the appeal, emphasizing the importance of compliance with the Prevention of Food Adulteration Rules in determining classification.

In summary, the judgment focused on the proper classification of Vegetable Pastes under the Central Excise Tariff, emphasizing the significance of adhering to regulatory requirements such as the Prevention of Food Adulteration Rules in determining the classification based on the presence of the manufacturer's name on the label.