1998 (8) TMI 361 - AT - Customs

Summary

Issues: Classification of imported machine under Tariff Heading 84.18 or 84.53.

Classification Issue:
The case involved the classification of an imported ironing and conditioning machine from Italy under Tariff Heading 84.18 or 84.53. The machine was used in the manufacture of shoes, reducing leather stresses and conditioning shoes at low temperatures. The Revenue classified it under Tariff Heading 84.18 due to its cooling effect, while the appellant argued for classification under Tariff Heading 84.53 as shoe-making machinery. The appellant presented opinions from various organizations supporting its use in shoe making, emphasizing that it was not a refrigerator. The JDR contended that the machine resembled refrigerating equipment, citing its cooling capabilities and an ITC classification for refrigeration equipment in leather industries. However, the appellant highlighted that the machine was allowed for import at a concessional rate for the leather industry. The Tribunal agreed with the appellant, noting that the machine's primary use was in shoe manufacturing, making Tariff Heading 84.53 more specific and applicable. The Tribunal also noted that the lower authorities did not address the appellant's plea regarding the concessional rate for import, ultimately allowing the appeal and providing relief to the appellant.

Conclusion:
The Tribunal ruled in favor of the appellant, classifying the imported machine under Tariff Heading 84.53 for shoe-making machinery rather than Tariff Heading 84.18 for general refrigerating equipment. The decision was based on the machine's specific use in conditioning and ironing shoes, as supported by evidence provided by the appellant. The Tribunal also considered the appellant's entitlement to import the machine at a concessional rate for the leather industry, which the lower authorities had not addressed. As a result, the appeal was allowed, overturning the previous order and providing relief to the appellant.