Central Excise - Classification of Lapping Abrasive powder - Central Excise - 13/87-CX.4

Central Excise - Classification of Lapping Abrasive powder Circular No. 13/87-CX.4 Dated 18-12-1987 [From F. No. 134/3/87-CX.4] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Central Excise - Classification of Lapping Abrasive powder. Doubts have been raised as to whether lapping abrasive powder would be classifiable under Chapter 28 or under Chapter 68 of the Central Excise Tariff. 2. The issue was discussed in the North Zone Tariff Conference, held in New Delhi on 13th and 14th Oct., 1987. 3. It was explained in the Conference that the lapping abrasive powders of different grades of size ranging from 240 mesh to 2500 mesh are manufactured with the raw materials such as Garnet sand, fused aluminium oxide, silicon carbide, calcined aluminium oxide (calcined Alumine) and Emery. The process of manufacture basically involves size reduction of abrasive grains and segregation of coarse from the fine. Abrasive grains are fed to the pebble mills and ground slurry is then fed to the mixer for hydraulic elutriation. This process separates fine from the coarse, in terms of Stekes Law. Separate powders of different fineness are collected in separate containers and dried in electrically controlled dryers. The dried powders are then lended together and packed. Some of the powders are mixtures of natural abrasives and artificial abrasives in which natural abrasives or artificial abrasives may predominate. There are few varieties which contain 100% of natural or artificial abrasives. 4. A view was expressed that in terms of note 2 of Chapter 25, the classification may be made under heading 25.05 provided the products have not been roastead, calcined or obtained by mixing. Since the products in question are calcined as well as obtained by mixing, it may not merit classification under heading 25.05. Similarly in terms of note 1 (a) of chapter 28, the headings of chapter 28 apply only to separate chemical elements and separate chemically defined compounds, whether or not containing impurities. Therefore, the question of classification under chapter 28 can arise only when the goods possesses individual identity as a particular chemical element or chemically defined compound to the extent they are specified under heading/sub-heading of Chapter 28. Since the abrasive powders do not retain their separate identity as separate chemical elements or separate chemically defined compounds, they may not be classifiable under Chapter 28. In this connection, the attention of the Conference was drawn to the Customs Notification 347/86-Cus., dt. 16-6-1986 wherein lapping/abrasive powder or compounds (including aluminium oxide, cerium oxide and silicon carbide powders, grains or compounds) have been classified under Ch. 68 of the First Schedule to the Customs Tariff Act, 1975. Therefore, it was felt that the item in question may be classifiable under Chapter 68 of the Central Excise Tariff Act, 1985. As regards the sub-heading under which this may be classified, it was stated that the sub-heading 6802.00 would cover only these natural artificial abrasive powder or grains which are on a base of textile material, of paper, of paperboard or all other materials, whether or not given to shape or sawn or otherwise made up. Since, the abrasive powder in question is not a base for the materials stated above, the Conference viewed that all abrasive powders would be classifiable under residuary sub-heading 68.07 of CET. 5. Board agrees with the above views of the Conference and accordingly holds that all abrasive powders are classifiable under residuary sub-heading of 68.07 of CET.