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TMI Blog2007 (7) TMI 391X X X X Extracts X X X X X X X X Extracts X X X X ..... uent clarification, appears to have confirmed that silica was used as a carrier for the vitamin. The appellant has no case that the goods imported by the respondents was used in any manner other than as an animal feed additive. For these reasons, learned Commissioner (Appeals) has rightly classified the goods under Heading 23.09 and SH 2309.90. In the case of Ranbaxy Laboratories [ 1994 (5) TMI 67 - CEGAT, NEW DELHI] , the Tribunal had classified synthetic preparations containing mixtures of vitamins under Heading 29.36 of the Schedule to the CETA despite the presence of some minerals and materials therein. This decision of the Tribunal has been relied on by the appellant. But, as rightly pointed out by the consultant, the said decision ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pending chemical test results. Accordingly, 80% of the cargo was released against bond. The Chemical Examiner who tested a sample of the goods reported as follows :- The sample is in the form of white powder. It is composed of a preparation containing Vitamin-E and inorganic substances (silica). Such compositions are known to find use as feed additive in animal feeds. Percentage of inorganic substance (silica) = 44.6%; percentage of Vitamin - E = balance. From the test report, it appeared to the Customs authorities that the major ingredient was Vitamin-E and that silica was used as filler. On this basis, they took the view that the goods would appropriately be classifiable under CTH 2936.28 attracting basic Customs duty (a) 35% and un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for animal feed and was not known to be used for human consumption. Apparently, on the basis of the original test report and subsequent clarification thereon, learned Commissioner (Appeals) took the view that the goods would go out of the scope of Heading 29.36 and would consequently be classifiable under Heading 23.09. 3. Heard both sides. Relying on the Chemical Examiner s report and taking aid from Hawley s Condensed Chemical Dictionary, learned SDR submitted that the item imported by the respondents was Tocopherol (Vitamin-E) adsorbed on silica. She pointed out that silica was an anti-caking agent used as a stabilizer for Vitamin-E for the purpose of its preservation or transport. On these facts, she relied on Note 1(f) in Chapter 29 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing does not alter the character of the basic product and render it particularly suitable for specific use rather than for general use. Learned Consultant, on the other hand, pointed out that the Tribunal s decision in Ranbaxy Laboratories Ltd. v. Collector - 1994 (72) E.L.T. 197 (Tribunal) relied on by the appellant had been set aside by the Supreme Court as per judgment dated 17-12-2002 in Civil Appeal No. 2284/95 vide 2003 (152) E.L.T. A92 (S.C.). He submitted that the lower appellate authority had correctly classified the item under SH 2309.90 on the basis of its end-use. He pointed out that the Chemical Examiner s report certified the end-use viz. additive in animal feeds. He submitted that the appellant also had not disputed the fact ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Laboratories (supra), the Tribunal had classified synthetic preparations containing mixtures of vitamins under Heading 29.36 of the Schedule to the CETA despite the presence of some minerals and materials therein. This decision of the Tribunal has been relied on by the appellant. But, as rightly pointed out by the consultant, the said decision was set aside by the Apex Court vide 2003 (152) E.L.T. A9 (SC). The Apex Court classified the above synthetic preparations under Heading 23.02 of the CETA Schedule. It is also noticed that a Larger Bench of the Tribunal in the case of Tetragon Chemie P. Ltd. v. Collector of Central Excise, Bangalore - 2001 (138) E.L.T. 414 (Tri. LB) classified animal feed supplements under Heading 23.02 of the CETA ..... X X X X Extracts X X X X X X X X Extracts X X X X
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