2005 (7) TMI 194 - AT - Central Excise

Summary

Issues involved: Classification of products (Rasgulla and Peda) under Heading 21.08 or Heading 1704.90.

Classification Dispute: The appellant claimed classification under Heading 21.08 for "Edible preparations, not elsewhere specified or included," while the impugned order classified the products under Heading 1704.90 for "Sugar confectionery (including white chocolate), not containing cocoa."

Appellant's Claim: The appellant's claim was based on Note No. 10 to Chapter 21, which specifically includes sweet meats like 'Misthans' or 'mithai' under Heading 21.08, irrespective of their ingredients.

Argument and Analysis: The note aims to place all 'mithai' and 'namkeens' under Tariff Heading 2108 to avoid classification doubts. Despite sugar being the main ingredient, the note clarifies that products remain classified under 2108 regardless of their composition.

Contention: The items manufactured by the appellant were argued not to be Rasgulla due to the absence of curdled milk, but the classification does not depend on the composition as per Note 10.

Decision: The Tribunal accepted the appellant's claim for classification under Heading 21.08 based on the broad scope of Note 10, which includes sweet meats like 'misthans' or 'mithai'. The impugned classification was set aside, and the appeals were allowed with entitlement to consequential relief.

Conclusion: The Tribunal's decision was pronounced on 21-7-2005, emphasizing the relevance of Note 10 in classifying products like Rasgulla and Peda under the appropriate heading.