2005 (5) TMI 93 - AT - Central Excise

Summary

Issues: Classification of the item Dextrose under Chapter 29 or Chapter 17

In this appeal, the Revenue contested the classification of the item Dextrose under Chapter 29, while the respondents argued it should be classified under Chapter 17 as chemically pure glucose. The Tribunal analyzed the provisions of both chapters and headings to determine the correct classification.

The Tribunal found that Heading 29.40 under Chapter 29 covers only sugars that are chemically pure, excluding sucrose, lactose, maltose, glucose, and fructose. It does not include dextrose or chemically pure glucose. On the other hand, Heading 17.02 under Chapter 17 includes chemically pure glucose along with other sugars like lactose, maltose, and fructose. The Tribunal noted that dextrose, being chemically pure glucose, falls within the scope of Heading 17.02.

The Tribunal referred to the HSN Notes and previous judgments to support its decision. It distinguished the judgment in the case of Tata Exports Ltd. v. U.O.I. and Anil Starch Products Ltd. v. CCE, Ahmedabad, stating that subsequent amendments to Chapter Headings 17 and 29 rendered those judgments inapplicable. Similarly, the Tribunal differentiated the case of CCE v. Sukhjit Starch & Chemicals Ltd. due to the amendments in the relevant headings.

Ultimately, the Tribunal upheld the classification of the item Dextrose under Chapter 17 Heading 17.02 as chemically pure glucose, dismissing the Revenue's appeal. The impugned order was deemed lawful, and no illegality was found in the decision.