2017 (10) TMI 717 - AT - Customs

Classification of imported goods - probat Roasting unit Model I-P from M/s. Probat-Weke, Germany - to be classified under CTH 85167990 or under CTH 841981.90? - N/N. 21/2002 dt. 01/03/2002 - Held that - the Commissioner(Appeal) has held that the same cannot be considered as electro thermic appliances and therefore cannot be classified under the heading 8516 and accordingly he classified the impugned goods under Chapter 8419 - there are no infirmity in the impugned order which has been passed by the Commissioner(Appeals) - appeal dismissed - decided against appellant.

Summary

Issues: Classification of imported goods under specific tariff heading for exemption benefits.

In this case, the appellant, engaged in the business of roasting and marketing filter coffee, imported a probat Roasting unit Model I-P from Germany. The appellant sought classification of the imported goods under Chapter Heading/CETH 85167990 to claim exemption benefits under Notification No.21/2002. However, the goods were classified by the authorities under CTH/CETH 841981.90 as other machinery and equipment. The appellant contended that the imported goods should be classified under 85167990 and be eligible for exemption benefits. The Commissioner(Appeals) upheld the classification under Chapter 8419, denying the concessional rate of duty under the said notification. The appellant's appeal was rejected, leading to the present appeals.

The appellant argued that the impugned order was not sustainable as the goods imported were for industrial use and should be classified under CTH 85167990. They claimed that the imported machine was a coffee roasting machine for industrial use, eligible for exemption. On the contrary, the learned AR defended the impugned order, stating that the goods should be classified under Chapter 84, as per the Commissioner(Appeals)'s decision. The Commissioner(Appeals) held that the imported goods did not fall under Chapter Heading 8516 as they were rightly classifiable under 841931.00, thus not eligible for the exemption under Notification No.21/2002. The Commissioner's decision was based on the technical manual of the manufacturer, which described the item as a gas-fired roaster for coffee, not an electro thermic appliance. The eligibility for the concessional rate of duty was also discussed, emphasizing the specific tariff heading requirements for the exemption.

Upon hearing both sides and reviewing the records, it was noted that the appellant did not appear despite notice. The Tribunal proceeded to decide based on the grounds of appeal and available materials. The Commissioner(Appeals)'s classification of the coffee roasting unit using gas as the heating medium under heading 8419 was upheld. The Tribunal found no infirmity in the impugned order, as it was passed after considering all grounds raised by the appellant. Consequently, both appeals by the appellant were dismissed, affirming the Commissioner(Appeals)'s decision.