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TMI Blog2002 (7) TMI 625X X X X Extracts X X X X X X X X Extracts X X X X ..... e has demanded Customs duty on ATF which had remained in the fuel tank of the aircraft on arrival at Calicut from foreign destinations; that under Notification No. 19/94-Cus., Customs duty is exempted in respect of Kerosene falling under Heading 27.10 of the First Schedule to the Customs Tariff Act; that according to Explanation I to the Notification Kerosene means any hydrocarbon oil (excluding mineral colza oil and white spirit) which has a smoke point of eighteen millimetres or more and is ordinarily used as an illuminant in oil burning lamps ; that ATF is nothing but superior Kerosene which satisfies the definition of the Kerosene given in Explanation 1 to the Notification; that according to Encyclopaedia Britanica, Kerosene is a term ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... otification. He relied upon the decision of the Larger Bench in the case of CCE, Bombay v. Reliance Industries Ltd. 2000 (119) E.L.T. 26 (T-LB) wherein it has been held that Heavy Normal Paraffin (HNP) is classifiable under sub-heading 2710.29 of the Schedule to the Central Excise Tariff Act holding that as per definition of Kerosene and ATF, these should take in any hydro carbon oils other than mineral colza and turpentine substitute which satisfy the physical properties mentioned therein and definition of Kerosene and ATF in Chapter 27 takes within its ambit any hydrocarbon oil other than mineral colza oil and turpentine substitute which has a smoke point of 18 mm or more and has a boiling point not exceeding 300 C. The learned Advocate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... turpentine substitute, conforming to the definitional specifications. 2.2 He also mentioned that the Tribunal in IPCL case also observed that it is a matter of common knowledge, that Kerosene is used not only for illumination but also for heating and cooking, as solvent etc. Use for illumination is thus one of its uses. It would therefore be reasonable to presume that the words in parenthesis after Kerosene are only meant to identify the product and not to define its scope and coverage. He mentioned that the Tribunal went on to hold that so long as an oil conforms to the definition of mineral oil in Explanation 1 to Item 7 read with Explanation 1 to Item 6, C.E.T., and to the smoke point and final boiling point criteria laid down ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at it has been held by the Supreme Court in the case of Shri Vaidyanath Ayurved Bhawan Ltd. v. CCE, Nagpur 1996 (83) E.L.T. 492 (S.C.) that in interpreting statutes like Excise Act, the primary object of which is to raise revenue and for which purpose various products are differently classified, resort should not be had to the scientific and technical meaning of the term and expressions used but to their popular meaning, that is to say, the meaning attached to them by those who are using the product. Learned Departmental Representative thus contended that ATF which is subject matter of the present Appeal is not used for illuminant in burning lamps in the common parlance; that even in the case of IPCL Ltd. (supra), the Tribunal has treated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d most common use is specified and if a consumer also uses the Kerosene oil, which is used for illumination of oil burning lamps, for any other purpose. The exemption will continue to be applicable. Learned Departmental Representative emphasized that the Board in this clarification has stressed again that Kerosene oil should be useable for illumination of oil lamps and if it is used by the consumer for any other purpose, the benefit of Notification will not be denied and there is nothing on record brought by the Appellants that the ATF is ordinarily used as Kerosene for illumination in oil burning pumps as illuminant. 4. We have considered the submissions of both the sides. Notification No. 19/94-Cus., dated 1-3-94 provides nil rate of du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an India v. CCE, Hyderabad 1994 (73) E.L.T. 769 (S.C.) = 1994 (4) RLT 323 (SC) and Liberty Oil Mills Ltd. 1995 (75) E.L.T. 13 (S.C.). The Board s letter dated 5-6-97 does not advance the case of the appellants as it merely mentions that Aviation Turbine Fuel oil is classifiable as superior Kerosene. The issue dealt with in the said letter was availability of inbond movement of ATF to the flights bound for foreign ports but touching en route some intermediate Indian airports. The classification of ATF under the Tariff Item 7 of the old Central Excise Tariff was never in dispute as Tariff Item 7 covered Kerosene (which is ordinarily used as an illuminant in oil burning lamps) and Aviation Turbine Fuel. After introduction of new Central Ex ..... X X X X Extracts X X X X X X X X Extracts X X X X
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