2018 (1) TMI 198 - AT - Central Excise

SSI Exemption - classification of goods - pre-mixes of coffee and tea and dairy whitener - Held that - Since the classification of the products manufactured by the appellant has already been decided by the highest court of the country, the said classification of the products would apply in this case - If the said product is classified under sub-heading 2101.10, the benefit of Notification No. 8/2003 is automatically not available to the appellants. As this Heading 2101.10/20 is excluded from the benefit of N/N. 8/2003-C.E. as amended from time to time - appeal dismissed.

Summary

Issues:
Classification of products under SSI exemption notification.

Analysis:
The appeal was filed against the Order-in-Appeal No. 23-2007, dated 6-8-2007. Despite no representation from the appellant, the case was taken up for disposal. The issue revolved around the benefit of SSI exemption under Notification No. 8/2003-C.E. for pre-mixes of coffee, tea, and dairy whitener manufactured by the appellants. The products were classified under Chapter Heading Nos. 2101.10, 2101.20, and 0401.19. The appellants claimed SSI exemption, but the lower authorities rejected their contentions and classified the products under Chapter Heading Nos. 2101.10 and 2101.20, excluding them from the SSI exemption. The grounds of appeal highlighted the manufacturing process and product classification, arguing that the process employed did not fall under the definition of manufacture under Section 2(f) of the Central Excise Act, 1944.

The Tribunal found that the contentions raised by the appellant would not succeed. Referring to a previous case involving Nestle India Ltd., where the classification of Nescafe premix of coffee was determined to fall under sub-heading 2101.10, the Tribunal held that the classification decided by the highest court would apply. Since the product was classified under sub-heading 2101.10, the benefit of Notification No. 8/2003 was not available to the appellants. Consequently, the appeal was deemed devoid of merits, and the impugned order was upheld as correct and legal, leading to the rejection of the appeal.

In conclusion, the judgment focused on the classification of products under the SSI exemption notification, emphasizing the applicability of previous court decisions in determining the classification of goods. The Tribunal upheld the lower authorities' decision to exclude the appellants from the SSI exemption, citing relevant legal precedents and classification principles.