1999 (11) TMI 243 - AT - Central Excise

Summary

Issues: Classification of vitamin preparation under Tariff Headings 3003.10, 2936.00, and 2108.91

In this judgment by the Appellate Tribunal CEGAT, Chennai, the issue revolves around the correct classification of a vitamin preparation named "glow up tonic" under different Tariff Headings. The manufacturer classified it under sub-heading 3003.10, while the Department argued for classification under 2936.00 and later under 2108.91. The authorities below upheld the manufacturer's classification, leading to the Revenue challenging the decision.

The Respondent, the manufacturer, claimed that the product should be classified under sub-heading 3003.10, which pertains to "Patent or proprietary medicaments." The manufacturer's argument was supported by the Assistant Collector's reasoning in Order-in-Original No. 33/94, emphasizing the therapeutic uses of the product and its composition with various ingredients beyond just vitamins. The manufacturer's products were considered to meet the definition of "Medicaments" and "Patent or Proprietary Medicaments," making them eligible for certain benefits under specific notifications.

During the appeal hearing, the Departmental Representative argued for a different classification based on the protein content of the product. However, the Tribunal found no merit in this argument, especially considering the established therapeutic uses of the product and its composition. Therefore, the Tribunal dismissed the appeal, affirming the classification under sub-heading 3003.10 as claimed by the manufacturer.

The judgment highlights the importance of considering the composition, therapeutic uses, and specific definitions within the Tariff Headings while classifying products like the "glow up tonic." It emphasizes the need for a comprehensive analysis of the product's nature and intended use to determine the appropriate classification under the relevant Tariff Headings.