1990 (6) TMI 146 - AT - Customs

Summary

Issues:
Classification of imported goods under Customs Tariff Act, 1975; Applicability of Notification No. 147/76-Cus.; Interpretation of chemical composition and classification under specific headings.

Analysis:
The case involved the classification of imported "Rasorite Crude Sodium Borate Concentrate" under the Customs Tariff Act, 1975. The appellants argued for re-assessment under a specific heading with reference to Notification No. 147/76-Cus., dated 2-8-1976, which exempted certain borate minerals from customs duty. The lower authorities initially rejected this claim, leading to the appeal.

The appellants relied on a previous Tribunal order in their favor, where it was established that the imported goods were Kernite (Rasorite) and qualified for exemption under the mentioned notification. They presented various expert opinions, chemical analysis reports, and technical references to support their classification argument. The experts opined that Rasorite and Kernite were synonymous terms describing the same mineral substance with a specific chemical composition.

The Tribunal carefully examined the chemical composition of the imported goods, expert opinions, and technical references provided by the appellants. The analysis revealed that the goods in question matched the chemical composition of Kernite (Rasorite), which falls under a specific chapter of the Customs Tariff Act, 1975. The presence of impurities like silica did not alter the classification under the relevant heading.

Furthermore, the Tribunal considered the process of crystallization as a determining factor in classification under the Customs Tariff Act. Since the imported goods did not undergo crystallization, they were deemed eligible for classification under the specific chapter with the benefit of the mentioned notification. The test reports confirmed the nature of the goods as sodium borate concentrate, supporting their classification under Chapter 25 of the Tariff.

In conclusion, based on the evidence presented, expert opinions, and chemical analysis reports, the Tribunal set aside the lower authorities' orders and allowed the appeals. The imported goods were classified under the Customs Tariff Act, 1975, with the benefit of Notification No. 147/76-Cus., dated 2-8-1976, exempting them from excess customs duty.