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TMI Blog2018 (11) TMI 1306X X X X Extracts X X X X X X X X Extracts X X X X ..... Dated:- 24-9-2018 - SHRI P. K. CHOUDHARY, JUDICIAL MEMBER AND SHRI BIJAY KUMAR, TECHNICAL MEMBER S/Shri S.Bagaria I.Banerjee, both Adv. for the Appellant (s) Shri S. N. Mitra, Asstt.Commr. (AR) for the Revenue (s) ORDER Per Shri Bijay Kumar : The appellant is in appeal against the impugned Order-in-Appeal No.Kol/Cus/CKP/91/2008 dt.18.03.2008, wherein the ld.Commissioner (Appeals) has upheld the order passed by the primary adjudicating authority confirming demand of ₹ 2,21,524.25 against the appellant. 2. The brief facts of the case are that the appellant has imported six consignments of Raw Jute Cutting (BTC) from Bangladesh and they filed six Bills of Entry for home consumption which are as under : (i) B/E No.003655/16/05 dated 22.11.2005 (ii) B/E No.003732/16/05 dated 26.11.2005 (iii) B/E No.004132/16/05 dated 22.12.2005 (iv) B/E No.004133/16/05 dated 22.12.2005 (v) B/E No.004131/16/05 dated 22.12.2005 (vi) B/E No.004173/16/05 dated 26.12.2005 The appellant sought clearance of the goods so imported i.e. Raw Jute (BTC). The Bills of Entry were filed for assessment of import duties on the goods imported from Bangladesh. Tho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e ld.D.R. appearing on behalf of the Revenue, supports the impugned order and states that since the specific entry has been created under new eight digit classification and therefore, raw jute cutting is required to classify under Tariff Heading 53039010 of the Customs Tariff Act, 1975 as jute cutting. 7. We have heard both the parties and perused the appeal records. We find that the issue is regarding classification of raw jute cutting grade imported by the appellant from Bangladesh through LCS Petrapole. The present issue is no more res-integra in view of the order passed by this Tribunal in the case of Naffar Chandra Jute Mills Ltd. (supra). We feel it appropriate to reproduce the relevant extract from the aforesaid judgement, which are as follows : 5.2 He has further referred to the meaning of cuttings mentioned in HSN as butt ends of the fibre, which are cut off and marketed separately. He submits that in the trade parlance, as is evident from the website and from other jute customers and traders, jute cuttings (BWCA), stands for raw jute cutting of Bangla White Cutting Grade A, which could have cutting range upto 10 ; Jute cuttings are low in quality but have commer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... weighing 149.11 MT, it was recorded as follows : opened and examined 20 bales. The goods examined w.r.t party classification letter dated 28-2-2006 and find the goods are jute cuttings correctly classifiable U.T.N. 53090010 (not covered N/F No. 21/2002-Cus.) . 6.4 Similar examination reports were recorded on the respective Bills of Entry filed by the other two appellants. On the basis of said physical examination, the adjudicating authority, concluded that the imported goods were jute cuttings and correctly classifiable under the new tariff sub-heading 5303 90 10 of CTA, 1975. Advancing reasons, the adjudicating authority had observed that jute plant is of 2 metre or more in height; the fibre is stripped off after retting the plant and the whole fibre so collected, is the raw jute bast fibre . It is not continuous throughout length either content wise or quality wise. The lower portion is stronger and contains more fibre. The fibre contents both qualitatively and quantitatively becomes less towards top, hence, the lower portion is costly and more in demand for better commercial use. Further, referring to the meaning of cuttings in the HSN he has observed th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 15% 5303 90 Other 5303 90 10 Jute cutting Kg. 15% 5303 90 90 Other Kg. 15% 6.7 On a preliminary analysis of the old tariff entry, it is clear that, the Heading 5303, in its domain include jute and other textile bast fibres raw or processed but not Spun; tow and waste of these fibres (including yarn waste and garneted stock). This heading was divided into two sub-headings. Under sub-heading 5303.10 jute and other textile bast fibres, raw or retted were specified, whereas, the second sub-heading 5303.90 was meant for other . 6.8 It is the claim of the appellant that the sub-heading 5303.10 includes only raw jute and other textile bast fibres, and not the processed ones. The processed fibres and wastes were correctly classifiable under the subheading 5303.90. It is their submission that when the raw jute is cut into different length, it cannot be considered as processed one, but continues to remain as raw jute only, but of c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... crap rope or cordage. Tow and waste are classified here whether suitable for spinning into yarns (whether or not in the form of slivers) or suitable only for use as caulking materials, padding or stuffing or in felt-making, paper-making, etc. Bleaching or dyeing does not affect the classification of the products covered by this Heading. 6.12 We find that the sub-heading 53.03 of CTA, 1975 broadly enumerates the items, that is, jute and other textile based fibers in raw stage or processed ones; also the waste generated. To explain the said heading, the Explanatory Notes under the HSN are also designed accordingly, mentioning the items that are covered under the said heading. Under the 1st category, of the quoted explanation different types of raw fibers are considered, under category II the processed goods are covered and under category III, waste materials of the fibers have been included. The meaning of cuttings appears under category I and it is referred in the contest while explaining different types of raw fibers that are covered under the said sub-heading. It is explained to mean the butt-ends of the fibers which are cut off and marketed separately. 6.13 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tedly, the inference goes in favour of the assessee that what they had imported, were raw jute of cutting grade and correctly classifiable under sub-heading 5303 10 10 of CTA, 1975. 6.17 Regarding the other argument of the Appellants that they were enjoying the benefit of exemption Notification No. 21/2002-Cus., dated 1-3-2002 under Serial No. 170, being applicable to raw jute under the six digit code of classification and the same should not be denied to them under the new eight digit code of classification by virtue of Notification No. 16/2003- Cus., dated 24-1-2003, we find force in the contention of the assessee. However, since we have observed that the goods imported by the appellant, be considered as raw jute of cutting grade, therefore the benefit of the said notification automatically flows as it continued to be applicable to raw jute only and we do not see any necessity to delve into this aspect as it would be a mere academic exercise. 6.18 Further it is pleaded on behalf of the Appellant that even though on the issue of valuation and admissibility of Notification No. 105/99-Cus., dated 10-8-1999, the adjudicating authority had decided the issue in thei ..... X X X X Extracts X X X X X X X X Extracts X X X X
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