1991 (1) TMI 246 - AT - Customs

Summary

Issues: Classification of imported goods under Tariff Heading 59.16/17 or 59.01/15.

In this case, the appellants imported goods described as "Dust Catcher Bags Tubing (Non Woven Filter Media) Dia 4.5" polyester T/560/TSS in random length of 50 mtrs." The appellants claimed the assessment of the goods under Tariff Heading 59.16/17 as textile fabrics commonly used in machinery or plant. However, the department assessed the goods under Tariff Heading 59.01/15, which includes felt. The lower appellate authority held that the goods, being in running lengths and not cut to shape and size, do not qualify as textile articles commonly used in machinery or plant, falling under Tariff Heading 59.01/15.

The appellants argued that the imported goods are industrial fabrics with special treatments for dust collection purposes, relying on a catalogue and a manufacturer's certificate detailing special treatments like acid-resistant finish, fume collection efficiency, dust release efficiency, flame retardant finish, liquid repellant finish, antistatic finish, and surface treatment. The consultant contended that these special finishes make the fabric suitable only for machinery purposes, justifying classification under Tariff Heading 59.16/17.

The SDR, on the other hand, referred to Chapter Note 4 to Chapter 59, defining "Textile Fabrics and Textile articles of a kind commonly used in machinery or plant." The SDR argued that the imported goods did not meet the criteria specified in the note, thus falling outside Tariff Heading 59.16/17 and under Tariff Heading 59.01/15. The Tribunal considered both arguments and noted that while the goods were indeed a type of textile fabric commonly used in machinery or plant, the definition in Chapter Note 4 had to be strictly applied.

The Tribunal reviewed Chapter Note 4(a) to Chapter 59, which lists specific textile products falling under Tariff Heading 59.16/17, such as textile fabrics coated with rubber, bolting cloth, and woven fabrics for paper-making machinery. The Tribunal concluded that the imported goods did not align with any of the descriptions in the note, especially noting that the liquid repellant finish treatment made them unsuitable for certain machinery uses. Therefore, the Tribunal upheld the department's classification under Tariff Heading 59.01/15, emphasizing the importance of Chapter Notes in tariff classification.

Ultimately, the Tribunal rejected the appeal, affirming the department's classification of the imported goods under Tariff Heading 59.01/15 based on the specific criteria outlined in Chapter Note 4 and the inapplicability of Tariff Heading 59.16/17 to the goods in question.