Printed waxed wrapping paper - Classification of - Central Excise - 9/89

Printed waxed wrapping paper - Classification of Circular No. 9/89 Dated 22-2-1989 [From F. No. 61(10)87-CX.4] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Classification of Printed waxed wrapping paper. The doubts expressed on the appropriate classification of printed waxed wrapping paper as product of printing industry falling under TI-68 exempted under notification 234/82 under the old tariff and under Chapter 49 of CETA-85, or as converted types of paper covered by TI-17(2) of the erstwhile tariff and under sub-heading 4811.90-CETA exempted under notification 49/87. 2. The matter was discussed in the Conference of Collectors of Central Excise, West Zone at Porbundar on 28th and 29th November, 1988. The Conference examined the samples of the product and observed that the printing was merely incidental to the primary use and that in order to merit classification under Chapter 49, the printing in the product must have a definite purpose to serve by itself. It was, however, viewed that waxed wrapping paper could be considered as converted paper eligible for exemption under notification 49/87. 3. The matter has since been examined by the Board. The scope of products of printing industry has already been clarified by the Board in telex dated 3-8-1988. It has been viewed that in order to be a product of the printing industry, printing must be of essence. The printed waxed wrapped paper could therefore not be regarded as a product of printing industry. It can appropriately be taken as a converted paper. The Board already clarified in F. No. B-11/6/82-TRU, dated 17-5-1982 that converted paper would include both wet and dry processes for improving the grade of paper and paper board. Waxed paper has been specifically mentioned as one variety of converted paper. Accordingly, the Board is of the view that printed waxed wrapping paper is not covered under Chapter 49 as a product of printing industry since printing is merely incidental to the primary use of the product, and that it is more appropriately classified as a converted paper under sub-heading 4811.90 exempt by notification 49/87. 2. All pending assessments may be finalised accordingly. Trade interests may be suitably informed.