Classification of Domestic Appliance - Domestic Flour Mills with motor and without motor - Central Excise - 11/90-CX.4

Classification of Domestic Appliance - Domestic Flour Mills with motor and without motor Circular No. 11/90-CX.4 Dated 31-5-1990 [From F.No. 151/1/90-CX.4] Government of India Central Board of Excise Customs New Delhi Subject : Classification of Domestic Appliance - Domestic Flour Mills with motor and without motor. A doubt has been expressed regarding the classification of Domestic Flour Mills with or without motor whether under Heading 8437 or Heading 8478 or 8509 or 8543 of the Central Excise Tariff Act, 1985. 2. Domestic Electric Flour Mills (DEFM) consists of two emery stones, shaft, hopper, electric motor and cabinet. The hopper is on the top side. In between, there are 2 emery stones, lower one is stationary and upper one rotates. Electrical shaft passes through the middle of the stone. Below the lower stone, there is a circular iron wheel which joined at the lower end of the shaft. Shaft is further connected by V-belts to an electric motor, usually of 1/2 HP. Grain/Pulses are fed through the hopper are ground between two stones and the flour is collected in a drawer type box on the front side. All components are housed in a cabinet. In some types arrangement of stones is kept vertical. In some the motor is mounted on the shaft. It was stated that clearances were made both with and without the electric motor. 3. The matter has been discussed in the West Zone Tariff Conference held at Bombay on 30th April and 1st May, 1990. A view was expressed in the said Conference that as per the Gujrat High Court's decision [Balkrishna Ranchod Lal Shah, 1979 (4) E.L.T. J-377, Sri Punit Gharghanti, 1981 (8) E.L.T. 121] that in-built electric motor is essential for an appliance to fall under Tariff Item 33-C and for HSN Explanatory Notes under Heading 8509. It will not be classified under Heading 8509, since there is no in-built electric motor and it weighs more than 20 Kgs. By function, it appears to be covered under Heading 8437 which covers machinery used in milling industry but this is not for industrial use. It is, therefore, to be classified under the residuary Headings 85.43 or 84.79. 4. The Conference observed that though the electric motor is connected by V-belt with shaft, it is located within the cabinet, therefore, it may not be correct to view DEFM as being without a self contained motor. It satisfies all the conditions of Note 3 to Chapter 85 since it is 'Food Grinders or Mixer' as per HSN Explanatory Notes at page 1345 (weight restriction of 20 Kgs. will apply to other machines only). In view of this and Chapter Note 1(c) and Note 3 to Chapter 84, the Conference recommended that the domestic electric flour mills are appropriately classifiable under Heading 8509 of the Central Excise Tariff Act, 1985. 5. As regards flour mills cleared with electric motor, the Conference was of the view that these are appropriately considered as semi-finished articles having the essential character of DEFM. Since, it runs on electric motors which is intended to be fitted within the cabinet and in view of the Rule 2(a) of Rules of Interpretations, as also HSN Explanatory Notes at page 1345 on incomplete machines, the flour mills without electric motors are appropriately classifiable under Heading 8509. 6. The Board agrees with the above recommendation of the Conference and accordingly it is clarified that Domestic Electric Flour Mills (both with or without electric motors) are appropriately classifiable under Heading 8509 of the Central Excise Tariff Act, 1985. 7. Field formation may be informed accordingly.