Printed sheets of plastics which are ready to be used for manufacturing articles for conveyance or packing of goods of plastics - Classification of - Central Excise - 41/89

Printed sheets of plastics which are ready to be used for manufacturing articles for conveyance or packing of goods of plastics - Classification of Circular No. 41/89 Dated 13-7-1989 [From F. No. 93/30/89-CX.3] Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Subject : Central Excise - Classification of printed sheets of plastics which are ready to be used for manufacturing articles for conveyance or packing of goods, of plastics like stoppers, lids, caps and other closures of plastics - Whether under Heading No. 39.20 or 39.21, as the case may be, or under heading No. 39.23 - Doubts regarding - Clarification thereof. A doubt had been raised as to whether printed sheets of plastics which are ready for being used in the manufacture of articles of plastics for conveyance or packing of goods like stoppers, lids, caps and other closures of plastics would be classifiable under heading No. 39.20 or 39.21, as the case may be, or under heading No. 39.23. 2. The matter also came up for discussion at the North Zone Tariff Conference held at Shimla an 5th and 6th June, 1989. The point was sponsored by the CCE, Meerut, who explained that printed sheets of plastics falling within Chapter 39 are cut either longitudinally or horizontally into required sizes to be finally used as packing materials. He was of the view that since such cut sheets which had no use other than for packaging had acquired the essential character of packaging materials, they would merit classification under Heading No. 39.23 as articles for conveyance or packaging of goods, of plastics, in view of Rule 2(a) of Rules for the Interpretation of the Schedule to the Central Excise Tariff Act. 1985. 3. The Conference physically examined the samples brought by the Collector and the entries, namely, 39.20, 39.21 and 39.23 and held that such goods could not be treated as articles for conveyance or packaging of goods as they are not presented as such. The Member, while examining the classification of the concerned goods, sounded a note of caution regarding "essential character" type of identification. He felt that while attempting the classification of goods it was advisable and necessary to observe and study the goods as they actually are; and to decide the classification according to the nature and characteristics of the goods, as presented for assessment. It would be advisable not to be influenced by ideas of what the goods might be changed into immediately after their clearance. It was seen that the goods as presented for inspection were in the form of sheets of plastics and, deserved to be treated as such whatever their subsequent use. It was held that the appropriate classification would be under Heading No. 39.20 or 39.21, as the case may be. 4. The Conference was, accordingly, of the view that the appropriate classification of printed plastic sheets ready to be used in the manufacture of articles for conveyance or packaging of goods would be under heading No. 39.20 or 39.21, as the case may be, and in the case of goods falling within Chapter 48 or 76, the approach to their classification should be similar i.e. the emphasis should be on the goods as presented for assessment rather than on what they would be turned into after their clearance. 5. The Board agrees with the above views of the Conference. 6. The above guidelines may be brought to the notice of the lower field formations and the trade interests may also be suitablyadvised. 7. All pending assessments may be finalised on the above basis.