2007 (7) TMI 121 - AT - Central Excise

Classification Appellant contended that base fabric rubberized textile falling under Heading 59.06 of CET and hence rain coat manufacture by the same is classifiable under Heading 62.01ibid Held the appellant contention was correct and allowed the same

Summary

Issues: Classification of raincoats made from rubberized textile fabrics under Heading 62.01 or Heading 40.15.

In this case, the appellants manufacture raincoats from rubberized textile fabrics and seek classification under Heading 62.01. The impugned order classifies the product under Heading 40.15 as an article of apparel of vulcanized rubber. The appellants do not dispute the use of vulcanized rubber in the product, with a test report indicating 21.9% polyester fabric and 313.2 GSM weight of the fabric. The appellants argue that the base fabric is classified under Heading 59.06, supported by chapter note No. 4 to chapter 59, which specifies the classification of textile fabrics impregnated with rubber weighing not more than 1500 GSM as rubberized textile fabrics under Heading 59.06. They refer to previous orders classifying similar products under different headings based on the same chapter note.

The Ld. D.R. acknowledges that the classification of the goods in question should consider the test report dated 26-12-2003 and relevant chapter notes. After evaluating the submissions, chemical test report, and previous decisions of the Bench, it is concluded that the raincoats made from rubberized textile fall under Heading 59.06, thus meriting classification under 62.01. Consequently, the impugned order is set aside, and both appeals are allowed. The issue of limitations raised by the appellants is not addressed as the appeals are decided in favor of the appellants based on merit. The judgment is dictated and pronounced in the open Court.