1997 (12) TMI 116 - SC - Central Excise

Summary

Issues Involved:
1. Classification of a product known as 'New Sapan Dairy Special'.
2. Classification of 'partially skimmed milk powder' under Heading 0401.13 or 0401.19.

Classification of 'New Sapan Dairy Special':
The appeal arose from a consequential order following a decision on classification in favor of the assessee by the Tribunal. The respondent's Counsel argued that as the Tribunal's decision on classification had become final and no appeal was filed by the Department, the Department cannot challenge the consequential order on quantum alone. The Court noted that since the Department did not challenge the Tribunal's decision on classification, the appeal must fail solely on this ground. The appeal was dismissed based on this reasoning.

Classification of 'partially skimmed milk powder':
The Additional Solicitor General contended that 'skimmed milk' includes 'partially skimmed milk' and should be classified under Heading 0401.13. However, the Court upheld the view that 'partially skimmed milk powder' is a distinct commodity from 'skimmed milk powder' and should be classified under Heading 0401.19. The judgment provided detailed reasons for this decision, citing separate mentions in headings, ISI specifications, Prevention of Food Adulteration Rules, and International Standards. The Court found no grounds to interfere in the appeals and accordingly dismissed them.

Separate Judgment:
No separate judgment was delivered by the Judges in this case.