1990 (6) TMI 163 - AT - Central Excise

Summary

Issues: Classification of glass materials under Tariff Item 23A(4) or Tariff Item 68

In this case, the main issue revolves around the classification of glass materials meant for lenses under Tariff Item 23A(4) or Tariff Item 68. The appeal was filed against the order of the Collector of Central Excise, Bombay, which classified the glass materials under Tariff Item 23A(4). The key contention was whether the glass materials, specifically for sun glasses, should be considered as lenses for spectacles falling under Tariff Item 68 or under the broader category of glasses and glassware not otherwise specified in Tariff Item 23A(4).

The learned counsel for the appellant argued that the dictionary definition, Encyclopaedia Britanica, and ISI Standards indicated that sun glasses are a type of spectacles, and the lenses used in sun glasses are for correcting or protecting the eyes. They also pointed out notifications issued under Tariff Item 68, which included spectacles, spectacle lenses, and spectacle frames, supporting their classification argument.

On the other hand, the learned SDR contended that Tariff Item 23A(4) covered glasses and glassware not otherwise specified, emphasizing the broad scope of the term "glass." The Collector's order mentioned the process of manufacturing the glass materials into sun glasses, highlighting the transformation of the materials into a distinct product ready for use in sun glasses.

The Tribunal considered the submissions of both sides and observed that the glass materials, after undergoing the manufacturing process, had acquired the characteristics of lenses and were ready for use in sun glasses. They noted that the notifications cited by the appellant, although not directly applicable, provided a plausible viewpoint supported by other materials such as Encyclopaedia Britanica and ISI specifications related to opthalmic lenses and spectacle frames.

The Tribunal analyzed various definitions and standards related to spectacle lenses and sun glasses, concluding that sun glasses are a type of spectacles with lenses tinted to reduce light transmission and avoid glare. They also considered an expert opinion that the manufactured glass materials were spectacle lenses. Based on these observations, the Tribunal held that the glass materials in question were correctly classifiable under Tariff Item 68 and not under Tariff Item 23A(4).

Therefore, the appeal was accepted, emphasizing the correct classification of the glass materials under Tariff Item 68 based on their characteristics and purpose for use in sun glasses.