1987 (6) TMI 262 - AT - Central Excise

Summary

Issues: Classification of products under Tariff Item 51A(ii) - Whether the products are hand tools or industrial power tools.

Analysis:
The case involved a dispute over the classification of various products under Tariff Item 51A(ii) as either hand tools or industrial power tools. The Assistant Collector initially classified certain items as hand tools under Tariff Item 51A(ii) based on their design and functionality. However, the Appellate Collector, after reviewing the literature provided by the appellants, concluded that the products were heavy-duty industrial power tools and not hand tools. The appellants argued that the products did not fit into any sub-classification of Item 51A and were more akin to metal working machines like drilling and grinding machines rather than tools. The appellants failed to appear at the hearing, and the Respondent cited a previous Tribunal ruling to support the classification of electrically driven machines as hand tools assessable under Tariff Item 51A(ii.

The literature provided by the appellants described the products as heavy-duty, shockproof, variable speed compact electric drills that fit in the palm of the hand. The appellants contended that the products were not explicitly labeled as hand tools in the catalog and highlighted features like "piston grip" and "spade grip" that indicated they were industrial power tools. However, the Tribunal emphasized that the classification should be based on the wording of the Tariff Item, which specifically referred to tools for working in the hand with self-contained non-electric motors. The Tribunal interpreted "tools for working in the hand" as including portable tools that can be held and moved by hand during use, with provisions for auxiliary support to prevent user fatigue. Despite the appellants' arguments about the nature of the products resembling mini-machine tools, the Tribunal upheld the classification under Tariff Item 51A(ii based on the earlier decision and the product literature provided. Consequently, the appeal was dismissed, affirming the classification of the products as hand tools under Tariff Item 51A(ii.