2006 (9) TMI 478 - AT - Customs

Summary

Issues:
1. Stay application by the department for the impugned order.
2. Classification of imported goods for concessional rate of duty under Customs Notification No. 21/2002.

Analysis:
1. The Tribunal considered the department's application for a stay of the impugned order but decided to proceed with the appeal itself, leading to the dismissal of the stay application.

2. The case revolved around the classification of "Nickel Alloy Bars" imported by the respondents under Customs Notification No. 21/2002. The original authority denied the benefit, but the Commissioner (Appeals) granted it, prompting the department's appeal. The imported hollow bars of nickel alloy were classified under CTH 7505 12 10, falling within Chapter 75 of the Customs Tariff Act, covering nickel and its alloys. The Notification allowed a concessional rate of duty for "Nickel and articles of nickel" under specific chapters, including Chapter 75. The imported alloy, composed of over 90% nickel, was rightly classified as nickel under the Act's provisions. Section Notes 5 and 6 clarified that nickel alloys were to be treated as nickel for classification purposes. The Tribunal found that the imported goods met the criteria specified under the Notification, justifying the allowance of the concessional duty rate by the Commissioner (Appeals).

3. Consequently, the Tribunal upheld the Commissioner's decision, affirming the impugned order and dismissing the department's appeal. The judgment was dictated and pronounced in open court.