9911796707
TMI Blog2004 (1) TMI 526X X X X Extracts X X X X X X X X Extracts X X X X ..... enying the said benefit has held that ----- I agree to some extent with the contention made by the Exporter that such bags are bought and sold in the name of synthetic bags or cotton bags due to outer covering of such bags which gives essential characteristics of the bags. I also agree to some extent with the contention of the exporter that the other goods are ancillary to the finishing of the goods. I have examined the bags and cost structure where I have found that the costings of the bags are mainly of the ingredients which are not made-up of either synthetic fabrics or cotton fabrics. 3. He has further observed that the Exim Policy has not extended the DEPB benefit to the synthetic or cotton fabric made-ups which contain such extra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cles, of any textile fabric . Sub-Chapter I comprises of Heading Nos. 63.01 to 63.08 of the Customs Tariff. Heading No.63.05 reads as follows :- Sacks and bags, of a kind used for the packing of goods . This heading and the sub-headings thereof, read with Chapter Note I, makes it clear and apparent that, inter alia, the said goods are made-ups . As a matter of fact, the shipping bills would show that the said goods were classified therein as goods falling under Chapter Heading 6305 of the Customs Tariff and duly approved as such by the concerned Customs authorities. 7. He has further contended that neither in Section Note 7 of Section XI of the Customs Tariff nor in the DEPB Rate List, including under the subject Product Code 89 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y the lower authority on CBEC Circular No. 6/2001-Cus., dated 5-2-2001 is misdirected inasmuch as that cover the case of an article which was not covered by DEPB claim and the shipping bill was split into two separate constituents pertaining in the export product of which one falls under DEPB Rate List entry and the other falls outside. 10. Shri N.K. Mishra, ld. JDR appearing for the Revenue draws our attention to the detailed discussions made by the Assistant Commissioner in his impugned order. He submits that inasmuch as the bags are components items made-ups of synthetic or cotton fabrics as also of other materials, which cannot be considered as made-ups . The DEPB scheme is to neutralise the incidence of Customs duty on the import of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xclusively or only made-ups of polyester/cotton fabrics. As such, if the goods are treated as polyester bags and cotton bags in the market, they have to be held as made-ups of polyester or cotton textiles. It is further seen that the lower authority accepted the appellants contention that in the common parlance, the goods are known as synthetic bags or cotton bags, the same have been classified under Heading 63.05 of the Textile Tariff and duly approved by the Customs authorities. As per the Chapter Note of Chapter 63, sub-chapter I applies to made-ups article of any textile fabrics and Heading 63.05 includes bags. This shows that the bags are required to be considered as made-ups articles. In our view, the above reason is sufficient ..... X X X X Extracts X X X X X X X X Extracts X X X X
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