2017 (5) TMI 1325 - AT - Customs

Classification of Rubber Process Oil - classified under CTH No. 2707 or under CTH 2710 - Held that - the matter is covered by the decision of this Tribunal in the case of Kushal N. Desai vs. Commissioner of Customs (Import), Mumbai 2016 (9) TMI 973 - CESTAT MUMBAI , where it was held that the imports of the appellants do contain a higher percentage of aromatic constituent than prescribed for classification under Heading 2710. The alternate heading which describes the imported goods to be waste brings it under the ambit of Hazardous Waste (Management, Handling & Trans-Boundary Movement) Rules, 2008 - the subject item is rightly classifiable under CTH 27079900 - appeal dismissed - decided against appellant.

Summary

Issues:
Classification of Rubber Process Oil under Customs Tariff Heading (CTH) 27101990 or CTH 27079900.

Analysis:
1. Appellant M/s. Paswara Papers Ltd (Appeal No. C/321/2008):
- Purchased Rubber Process Oil on transfer of ownership basis.
- Goods assessed provisionally pending test results.
- Test report indicated the goods were High Solvancy Process Oil with 78% Aromatics.
- Assistant Commissioner classified goods under CTH 27079900 based on the test report.
- Commissioner (Appeals) dismissed the appeal.
- Tribunal upheld the classification under CTH 27079900 based on the Tribunal's previous decision in a similar case.

2. Appellant M/s. Mohit Trading Company (Appeal No. C/330/2008):
- Appeal against classification of Rubber Process Oil under CTH 27079900.
- Facts similar to M/s. Paswara Papers Ltd's case.

3. Appellant Shri Durga Laghu Udyog (Appeal No. C/334/2008):
- Appeal against classification of Rubber Process Oil under CTH 27079900.
- Facts similar to M/s. Paswara Papers Ltd's case.

4. Appellant Shri Om Udyog (Appeal No. C/335/2008):
- Appeal against classification of Rubber Process Oil under CTH 27079900.
- Facts similar to M/s. Paswara Papers Ltd's case.

5. Appellant M/s. Garg Distilleries Pvt Ltd (Appeal No. C/336/2008):
- Appeal against classification of Rubber Process Oil under CTH 27079900.
- Facts similar to other appellants.

6. Decision:
- Tribunal relied on a previous case where goods with a high percentage of aromatic constituents were classified under CTH 27079900.
- Goods containing a higher percentage of aromatic constituents than prescribed under Heading 2710 were classified as waste and deemed hazardous.
- Tribunal upheld the classification under CTH 27079900 for all appellants based on the test results.
- All appeals were dismissed as without merits.

This judgment clarifies the classification of Rubber Process Oil under Customs Tariff Heading 27101990 or 27079900 based on the aromatic content of the goods. The decision was consistent with a previous ruling and highlighted the importance of test results in determining the correct classification of goods, especially when hazardous implications are involved.