2008 (9) TMI 638 - AT - Central Excise

Summary

Issues: Classification of dextrose anhydrous under the Tariff

Comprehensive Analysis:

Issue 1: Classification Dispute
The appeal was filed against the order classifying dextrose anhydrous under Chapter 29 of the Tariff, while the appellant argued for classification under Chapter Heading 17.02. The appellant contended that the product, being chemically pure and in powder form for food and pharmaceutical industries, was previously and subsequently classified under Chapter Heading 17.02 without objection from the Revenue. The show-cause notice sought classification under sub-heading No. 2913, but the adjudicating authority classified it under sub-heading No. 2942.00. The appellant cited a Tribunal decision in a similar case for support.

Issue 2: Legal Precedents
The Revenue relied on a Bombay High Court decision followed by a Tribunal decision to argue for classification under Chapter 20 of the Tariff. However, the Tribunal referenced a previous case involving dextrose classification under Chapter 17. The Tribunal concluded that dextrose, as chemically pure glucose, falls under Chapter Heading 17.02, including sugars like lactose, maltose, glucose, and fructose. The Tribunal distinguished the cited legal precedents, emphasizing the applicability of the classification under Chapter 17.

Issue 3: Tribunal Decision
Based on the analysis, the Tribunal set aside the impugned order and allowed the appeal. The Tribunal held that the product, dextrose anhydrous, should be classified under Chapter Heading 17.02 of the Tariff, in line with the previous Tribunal decision. The appellants were granted consequential relief as per the law.

In conclusion, the Tribunal's decision favored the appellant's argument for classifying dextrose anhydrous under Chapter Heading 17.02 of the Tariff, emphasizing its chemical purity and intended use in food and pharmaceutical industries. The legal precedents cited by both parties were carefully analyzed, leading to the Tribunal's ruling in favor of the appellant and providing consequential relief accordingly.