1998 (10) TMI 217 - AT - Central Excise

Summary

Issues: Classification of sintered dolomite/burnt dolomite under Tariff Heading 6807.00 and benefit under Notification No. 281/86-C.E.; Classification of calcined dolomite under Tariff Heading 68.07 and benefit under Notification No. 217/86-C.E.

Classification of sintered dolomite/burnt dolomite under Tariff Heading 6807.00 and benefit under Notification No. 281/86-C.E.:
The appellants claimed classification of sintered dolomite/burnt dolomite under Tariff Heading 6807.00 and sought benefit under Notification No. 281/86-C.E. However, the lower authority denied this benefit stating that the goods were not manufactured in a workshop within a factory as required by the notification. The Tribunal found that the appellants' products could be classified under Tariff Heading 2804.90 based on the process of manufacture and the common oxide composition of Calcium and Magnesium. The Tribunal referred to its own previous judgments in favor of the appellants and allowed the benefit of Notification No. 281/86-C.E. for the burnt dolomite used in maintenance of the factory's furnace.

Classification of calcined dolomite under Tariff Heading 68.07 and benefit under Notification No. 217/86-C.E.:
The appellants claimed the benefit of Notification No. 217/86-C.E. for calcined dolomite, which was considered a fluxing agent for iron or steel production. The lower authority rejected this claim, stating that since calcined dolomite was classified under Chapter 68 along with burnt dolomite, it did not qualify for the benefit under Notification No. 217/86-C.E. The Tribunal, however, agreed with the appellants' advocate that the correct classification for both products should be under Tariff Heading 2804.90. It emphasized that the benefit of Notification No. 217/86-C.E. would depend on the dutiability of the final product, iron and steel. The Tribunal remanded the question of dutiability of the final product for further examination by the adjudicating authority, directing a reevaluation to determine the entitlement of the notification.

In conclusion, the Tribunal upheld the classification of the products under Tariff Heading 2804.90 and allowed the benefit of Notification No. 281/86-C.E. for burnt dolomite used in maintenance. Regarding calcined dolomite, the Tribunal remanded the issue of dutiability of the final product for further assessment to determine the eligibility for the benefit under Notification No. 217/86-C.E.