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Issues:
Interpretation of Notification No. 220-Cus., dated 10-11-1978 for exemption on insulated copper wire thinner than 44 S.W.G. under Heading No. 85.44 of the Customs Tariff Act. Analysis: The primary issue in this case revolves around the interpretation of Notification No. 220-Cus., dated 10-11-1978, concerning the entitlement to exemption on insulated copper wire thinner than 44 S.W.G. under Heading No. 85.44 of the Customs Tariff Act. The central question is whether the appellants qualify for the benefits outlined in the notification, specifically in terms of the classification of the product as wire or cable. The Commissioner rejected the benefit based on the interpretation that the term "wire" refers only to a single strand of wire and not multiple strands, which would constitute a cable. However, the appellants argue that historical acceptance by the Department of wires sheathed with insulation and termed as cables, along with previous orders in their favor, support their claim for exemption. The Tribunal analyzed the submissions and evidence presented by both parties. It noted that the issue at hand is whether a bunch of wires in the form of a cable can also be considered for the benefit of the notification. The Tribunal highlighted the explanatory notes from the Harmonized System of Nomenclature (H.S.N.) clarifying that both wire and cable can share similar physical characteristics. It emphasized that as long as the notification grants exemption to insulated copper wire thinner than 44 S.W.G., even if bunched together in a cable form, the benefit should not be denied. The Tribunal also referenced previous orders by Commissioner (Appeals) supporting the inclusion of multiple strands in the definition of wire under Heading 85.44. Furthermore, the Tribunal addressed the reliance on a Bureau of Indian Standards opinion by the Commissioner, stating that it did not directly pertain to the issue of wire classification for exemption under the notification. The Tribunal emphasized that the test results from the Department's test house, certifying the wire's compliance with the criteria, should hold more weight than the opinion cited. Ultimately, the Tribunal concluded that the explanatory notes support the inclusion of wires assembled together in a common insulating sheath as wires for the purpose of the notification. Therefore, the impugned order was set aside, and the appeals were allowed in favor of the appellants.
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