Central Excise - Classification of fruit pulp based juices like Maaza - Central Excise - 31/88

Central Excise - Classification of fruit pulp based juices like Maaza Circular No. 31/88 Dated 20-12-1988 [From F. No. 16/3/88-CX.1] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Central Excise - Classification of fruit pulp based juices like Maaza. Attention is invited to Board's Circular No. 12/88-CX.I dated 28-3-1988 issued from F.No. 16/5/87-CX.I in terms of which it was clarified that the correct classification of fruit pulp based drinks like Maaza should be under heading 20.01 of the CET and to say that the matter incidentally came up for discussion in the Tariff Conference of West Zone Collectorates held on 28th July, 1988 at Bombay. The Conference felt that preparations like Maaza would be classifiable under heading 21.07 of the CET.[ii] 2. The question whether the instructions issued in Circular No. 12/8-CX.1 dated 28-3-1988 would require any modification in the context of the above deliberations of the Conference was examined in the Board's secretariat. The Board also took into consideration the CEGAT decision in the case of M/s Northland Industries v. CCE, Delhi in Order No. 498/88-D in Appeal No. E.3210/87-D wherein the Tribunal relying upon the specifications of fruit juices, squashes and cordials as given in Fruit Products Order, 1955, held that fruit squashes and cordials which are preparations of fruit juices are correctly classifiable under heading 20.01 of the CET. Board's earlier instructions in Circular No. 12/88-CX.1 dated 28.3.88 classifying maaza and other similar drinks under heading 20.01 where issued based mainly on the advice of the Central Food Technological Research Institute, Mysore, according to which flavours, as understood in the field of food technology, are added in minute quantities to simulate or adjust natural flavour in a product, and that Maaza cannot come under the heading 22.02 as the quantity of pulp added 15% is too large to be considered as having been used for flavouring purposes. 3. In view of the above, it has been decided that there is no reason to modify the instructions contained in Board's Circular No. 12/88-CX.1, dated 28.3.88 issued from F.No. 16/5/87-CX.1.