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TMI Blog2003 (6) TMI 352X X X X Extracts X X X X X X X X Extracts X X X X ..... es to reconsider the evidence produced by the importer to the effect that the imported item was crude iodine and not resublimed iodine and the crude iodine has a minimum percentage of iodine content to the extent of 99.5% to 99.8%. The crude iodine contains Sulphate to the maximum extent of 0.01%; Chloride and Bromide to the maximum extent of 0.003% and Iron to the maximum extent of 0.005%. It also tends to volatise into violet vapour at room temperature and its appearance is solid-laminated grayish black while resublimed iodine is in the form of small crystals with metallic lusture. These features had not been noted by the Custom House Laboratory and, therefore, the Commissioner (Appeals) directed the original authority to re-examine the issue afresh in the light of the technical evidence including the evidence culled out from the Encyclopaedia of Chemical Technology by Kirk Othmer, Volume 13, page 657, wherein it has been stated that crude iodine is packed in double polyethylene-lined fiber drums containing 45-90 kgs., whereas resublimed iodine is shipped in 11.3 kg. lined fibre drums and in 0.11, 0.45, and 2.26 kg. bottles. The importers had imported 1000 Kgs. o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The samples received passes the specifications pharmacopaeial grade in respect of purity and accordingly, the report on such samples was Iodine other than crude iodine. It was pointed out in the meeting that as far as possible, the laboratory report in such case should be more specific. If iodine conforms to the pharmacopaeial specifications, it should be mentioned in the report . Thus, it would appear that the meeting wanted test reports to be more specific. Further, it wanted the fact of conformity to pharmaceutical grade mentioned in the report. From these observation it does not follow automatically that all iodine of pharmaceutical grade are per se not crude. In the present case, the laboratory reports are not specific even though they categories the iodine to be of BP grade. In other words, the reports do not mention the type and percentage of impurities, if any. Thus, they lack the data on the basis of which the lab has arrived at the conclusion that the goods are not crude iodine. The technical issues raised by the appellants have not been met. Further, the test reports finding the goods to be in the form of dark gray flakes and grayish purple plates and p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 709 (GOI), the Indian standards should prevail upon the foreign one in the event of doubt between the Indian and Foreign standards. He submitted that as the Indian pharmacopoeia have laid down the purity for crude iodine at 99.5% to 99.8% , and as the import documents clearly indicates its percentage, therefore, it should be considered as an item other than crude iodine . He also submitted that the Apex Court in the case of Amrutanjan Ltd v. CCE - 1995 (77) E.L.T. 500 (S.C.), held that when the letters IP are affixed on an article, it demonstrates that it is of pharmaceutical quality and is usable in medicinal preparations. Ld. DR contended that once the purity is established, then the opinion of the CRCL, New Delhi is required to be accepted to treat the item as resublimed iodine and other than crude iodine . 6. Ld. Counsel in reply referred to the order of remand wherein the Commissioner had clearly given directions to the authorities to examine the technical literature on record. He submits that the authorities below did not look into this aspect but merely on the basis of opinion of Heads of Laboratories Meeting held at CRCL, New Delhi has considered the item to be o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submits that there is clear price difference between crude iodine and resublimed iodine. He submits that the item was imported for the purpose of salt iodation and in view of practical difficulty faced by the importer, the Government has amended the notification and has removed the word crude by Notification No. 15/95. He also referred to the Extract of British Pharmacopoeia and the Extract of Pharmacopoeia of India to strengthen his arguments. He referred even to the test memo which clearly described the item as crude iodine and there was no indication that it was having purity of resublimed iodine. There was no indication that it was free from all impurities. There was no categorical finding by the Chemical Examiner that it was a resublimed iodine. There was a question of impurities raised by the importer which has not been answered by the Chief Chemist. He referred to the back of the Bill of Entry which clearly referred the item as Iodine Crude purity 99.5% as marked on drums . He submits that there was no charge or allegation of mis-representation or misdeclaration of the item and Revenue has not proved that the importer attempted to avail of the benefit of notification b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... med iodine is shipped in 11.3 Kg lined fiber drums and in 0.11, 0.45 and 2.26 Kg. bottles. The Commissioner in the impugned order had clearly directed the authorities to draw fresh samples from the similar items which have been imported in view of sample not being available and no specific finding given with regard to purity. On the test memo, specific question was raised with regard to impurities. The Chief Chemist has not indicated impurities present in the samples. The item has been described as crude iodine by Chief Chemist in the test report but he has not given the details of the impurities. The technical opinion obtained from the Head of the Department of Chemistry, IIT, Madras shows that if there are non-volatile matter like chloride and bromide then it has to be treated as crude iodine. The Revenue has not raised any allegation of misdeclaration of the item in the shipping documents. Neither they have shown that the value of the imported item was undervalued. The department has also accepted the valuation in respect of this item. The respondent-importer have demonstrated before the Commissioner that the difference in value between crude iodine and resublimed iodine is to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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