1994 (8) TMI 133 - AT - Central Excise

Summary

Issues:
1. Classification of adhesive backed sheets and cut sheets of expanded polyethylene.
2. Eligibility for exemption under Notification No. 186/75 dated 21-8-1975.

Analysis:
1. The appellants contested the classification of adhesive backed sheets and cut sheets under specific sub-headings, arguing they should be classified differently. The Collector (Appeals) upheld the classification under sub-heading 3919.00 for adhesive backed sheets and cut sheets, and sub-heading 3921.19 for profeel sets. The appellants claimed classification under sub-heading 3923.19. The Tribunal agreed with the Collector (Appeals), stating that the adhesive properties of the sheets warranted classification under sub-heading 3919.00. The Tribunal also confirmed the classification of profeel sets under sub-heading 3921.19, rejecting the appellants' arguments for a different classification.

2. Regarding the eligibility for exemption under Notification No. 186/75, the Collector (Appeals) denied the benefit to the appellants, stating the goods were not used for packaging but for protection. The Tribunal analyzed the notification's language and concluded that the goods, including polyethylene sheets for preventing damage during transportation, could be eligible for exemption if used in connection with packaging goods for export. The matter was remanded to the Assistant Collector for further review, emphasizing compliance with the notification's conditions and granting a personal hearing to the appellants.

In conclusion, the Tribunal affirmed the classification of adhesive backed sheets and cut sheets under specific sub-headings and addressed the eligibility for exemption under Notification No. 186/75, remanding the matter for further consideration.