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TMI Blog2019 (7) TMI 95X X X X Extracts X X X X X X X X Extracts X X X X ..... fferent from the parent product in as much as it contains extra ingredients as mentioned in (i) to (vi) above, ingredients which along with the other regular ingredients may assist diabetics in replacing a meal or part of it. However it is also found that the product is also advertised as providing Energy, Immune Health, Heart Health, Vitamins and Minerals and maintains cholesterol levels. On the container there is a mentioned that Prohance-D is a specifically designed sugar free and low GI product. It contains Isomaltutose a low glycemic carbohydrate that helps minimize blood sugar spikes. It provides energy from high quality protein, fat and is rich in dietary fibre and MUFA that heart health. The subject product is also advertised as having various other health benefits and to treat the same only as a diabetic food will not be proper in our view. Secondly, as per information available on the internet, the diabetic foods must contain high amounts of dietary fibre and some slow digestion agents. Though the preparation in question contains gum Arabic, it does not contains high amount of dietary fibre. A little amount of fibre as found in this preparation is found in all kinds of fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons. 1. What is the appropriate classification of the Applicant's product, Prohance - D (Chocolate)? At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGS T Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the COST Act would also mean a reference to the same provision under the MGST Act. Further, henceforth for the purposes of this Advance Ruling, a reference to 'GST ACT' would mean CGST Act / MGST Act. 02. FACTS AND CONTENTION - AS PER THE APPLICANT The submissions, as reproduced verbatim, could be seen thus- "STATEMENT OF RELEVANT FACTS HAVING A BEARING ON THE QUESTION(S) ON WHICH ADVANCE RULING IS REQUIRED. M/s. Sun Pharmaceutical Industries Limited (hereinafter referred to as "Applicant') having its corporate head office at, "SUN HOUSE" Western Express Highway, Goregaon(E), Mumbai-400063 is engaged in the business of manufacturing and trading of pharmaceutical products, nutraceutical and allied products falling under Chapter 28 & 30 of the Customs Tariff Act, 1975 and is registered as per the GST laws. The Applicant is engaged in the p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ove, Prohance - D manufactured by the Applicant in chocolate flavor in order to make the said product appealing to the end consumer, without altering the diabetic nature of the same. STATEMENT CONTAINING APPLICANT'S INTERPRETATION OF LAW AND/OR FACTS, AS THE CASE MAY BE IN RESPECT OF OUESTION(S) ON WHICH ADVANCE RULING IS REOUIRED. APPLICANT'S INTERPRETATION THE PRODUCT "PROHANCE-D (CHOCOLATE)" AS MANUFACTURED BY THE APPLICANT IS "DIABETIC FOOD" ALONE AND IS CLASSIFIABLE UNDER HEADING 2106.90.91 TO CHAPTER 21 OF THE CUSTOMS TARIFF ACT 1975 Chapter 21 of Custom Tariff Act, 1975 covers "Miscellaneous edible preparations". Heading No.21.06 under the said Chapter covers "Food preparations not elsewhere specified or included". In other words, the Chapter Heading 2106 is residuary heading which covers all the products not specified elsewhere in the tariff. The relevant extract of the said heading is reproduced under for ready reference: HS Code Description of goods unit (1) (2) (3) 2106 Food preparations not elsewhere specified or included 2106 10 10 Protein concentrates and textured protein substances.............. Kg 2106 90 -Other: --- Soft drink concentrates: 210 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ar based gels." The Food Safety and Standards Act, 2006 (FSSAI) also makes a reference to "foods for special dietary purposes". In this regard, it is pertinent here to mention that the Courts in the past have referred to statutes to assist in the classification of a certain product. A judgment on the point is that of Connaught Plaza Restaurant (P.) Ltd. v. Commissioner of Central Excise, New Delhi reported at [2003] 154 ELT 187 = 2003 (1) TMI 160 - CEGAT, NEW DELHI where the court permitted the use of a Statute (Prevention of Food Adulteration Act, 1954) for HSN classification. The court accepted the decision in State of Maharashtra Vs. Baburao Ravaji Mharulkar, AIR 1985 SC 104 = 1984 (10) TMI 249 - SUPREME COURT, where it was observed that; "..the common parlance understanding of the term ice cream can be inferred by the definition of ice cream in Prevention of Food Adulteration Act, 1954 and the Rules made thereunder; that as per paragraph A.11.20.08 of Appendix B to the Rules, 1955 Ice cream shall contain not less than 10.0 per cent milk fat, 3.5 per cent protein and 36.0 per cent total solids except that when any of the aforesaid preparations contains fruits or nuts or both, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oods" which is not represented for use as a conventional food and whereby such products may be formulated in the form of powders, granules, tablets, capsules, liquids, jelly and other dosage forms but not parenterals, and are meant for oral administration; (ii) such product does not include a drug as defined in clause (b) and ayurvedic, sidha and unani drugs as defined in clauses (a) and (h) of section 3 of the Drugs and Cosmetics Act, 1940 (23 of 1940) and rules made thereunder; (iii) does not claim to cure or mitigate any specific disease, disorder or condition (except for certain health benefit or such promotion claims) as may be permitted by the regulations made under this Act; (iv) does not include a narcotic drug or a psychotropic substance as defined in the Schedule of the Narcotic Drugs and Psychotropic Substances Act, 1985 (61 of 1985) and rules made thereunder and substances listed in Schedules E and El of the Drugs and Cosmetics Rules, 1945; (2) "genetically engineered or modified food" means food and food ingredients composed of or containing genetically modified or engineered organisms obtained through modern biotechnology, or food and food ingredients produ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... use shall contain any of the ingredients specified in Schedules I or Schedule II or Schedule III or Schedule IV or Schedule VI or Schedule VII or Schedule VIII. (ii) A food business operator may use the ingredients specified in the Schedules referred to in clause (i) of sub regulation (2) in manufacturing food for special dietary use without prejudice to modifications for one or more of these nutrients rendered necessary by the intended use of the product. ……Emphasis Supplied Schedule VIII of the Notification stated above is extracted below for ready reference: Schedule - VIII [See regulations 3.(13), 6.(2)(1), 7.(2)(i), 8.(2)(i), 9.(2)(i) and 11.(1)(1)] List of prebiotic compounds S.No. Prebiotic Compounds 1. Polydextrose 2. Soyabean oligosaccharides 3. Isomalto-oligosaccharides 4. Fructo-oligosaccharides 5. Gluco-oligosaccharides 6. Xylo-oligosaccharides 7. Inulin 8. Isomaltulose 9. Gentio-ologsaccharides 10. Lactulose 11. Lactoferrin 12. Sugar alcohols such as lactitol, sorbitol, maltitol, inositol, isomalt 13. Galacto-oligosaccharides A combined reading of the above provisions clarifies that FSSAI recognized "food ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce or by the people who ordinarily deal with them. The Court held that in ordinary and commercial parlance in India, food is considered as 'nutritive material absorbed or taken in the body of an organisation for the purpose of growth work or repair and for the maintenance of vital processes.' In the present matter, the product under consideration undisputedly is covered under the definition of "Food" as elaborated upon by the Supreme Court above. Thus, it is pertinent to analyse whether the said food is covered under the definition of "Diabetic Food" or not. As stated above, the product under consideration is a specially designed nutritional powder which substitutes "sugar" for Maltodextrin, Fructose, Isomaltulose and Fibers (FOS, Inulin and Gum Arabic) to meetthe special dietary requirements of Diabetic people. It is pertinent to note that ingredients like Isomaltulose, FOS - Fructo oligosaccharides and Inulin are covered under Schedule VIII of the above-mentioned notification prescribed by FSSAI. Thus, the said product is treated as a "food for special dietary uses" under FSSAI. The product also has other features also like it being sugar free, having low GI, having high fiber, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fruit, fruit paste, liqueurs, marzipan, nuts, nougat, caramel or combinations of these products, enrobed with chocolate. Solid blocks, slabs or bars of chocolate containing, for example, cereal, fruit or nuts (whether or not in pieces), embedded throughout the chocolate, are not regarded as "filled". Chapter 18 which only pertains to "Chocolate and other food preparations containing cocoa, intends to cover all those products which have the presence of Cocoa in it. However, we need to place reliance on Chapter 19 wherein products which have marginal content of Cocoa present in them are still classifiable under Chapter 19 and not Chapter 18. It is further submitted that Chapter 18 does not intend to cover any and all the food preparations containing cocoa. It is evident by the explanatory notes to the entry, which clearly states "The heading also includes all sugar confectionery containing cocoa ……………….(other than those excluded in the General Explanatory Note to this Chapter)". It logically follows that since the explanatory notes speak about food preparations containing cocoa in general and not necessarily all the food preparations contain ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... view should be followed in cases pertaining to classification of products to be considered as diabetic food covered under Chapter 21. Attention is drawn to the fact that Prohance - D (Chocolate), merely contains 3% Cocoa Powder. (See "Exhibit - A"). As per the explanatory notes to Chapter 19 the product under consideration, which contains less than 5% cocoa should be excluded from the scope of Chapter Heading 18 and be classifiable under Chapter Heading 2016 as a "Diabetic Food". Pertinent here to mention a judgment on point is that of The Commissioner of Central Excise vs. Britannia Industries. Ltd reported at 2005 (183) ELT 257 (Tri-Mumbai) = 2005 (1) TMI 168 - CESTAT, MUMBAI, the dispute in this case is regarding the classification of the product wafer which contain chocolate. The relevant extract of the case is: "3. Considering the material on record it is found that based on the classification of the Chocolate Cream placed between two sliced biscuits-wafers and the fact that the said Chocolate cream would be classifiable under heading 1803 do not enthuse us to classify the biscuits, in this case, on the ground as taken irrespective of the fact of percentage of Cocoa in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... laimed by the appellant in their letter dt. 6.6.2012 as containing (a) Skim milk powder (64.7%), (b) Lactose (15.2%), (c) Sucrose (12%), (d) Cocoa Powder (2.5%) (e) Oligofructose (2.2%),) Minerals and Vitamins is not disputed by the revenue. The main ingredients as indicated hereinabove in the letter by the appellant would indicate that the product predominantly contains milk and milk derivative. The said product would have got ordinarily classified under Chapter Heading 0404 as product containing natural milk constituents, whether or not containing added sugar or other sweetening matter, not elsewhere specified or included (as per the CTH reproduced hereinabove), but since the product imported by the appellant contains various other minerals and cocoa powder to the extent of 2.5%, the said product does not merit classification under Chapter Heading 0404. This would take us do the next available chapter heading which this product can be classified is 1901. The chapter notes of heading No. 1901 specifically indicates that the goods of headings 0401 to 0404 which do not have cocoa containing more than 5% by weight are classified under the said heading 1901. As is already recorded by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l its forms.' Prohance TM-D Chocolate INGREDIENTS: Maltodextrin, Sunflower seed oil (High oleic acid), Calcium caseinate, Whey protein isolate, Soy protein isolate, Isomaltulose (6.1 0/0), Rapeseed oil - low erucic acid, Fructose, Fructo-oligosacharides, Cocoa powder (3.0%), Gum arabic, Minerals, Inulin, Sunflower seed oil, Antioxidants (Soya Iecithin, L-Ascorbic acid, TBHQ), Myo-inositol, Choline bitartrate, Vitamins, L-Carnitine, Taurine, Artificial sweetener (Sucralose), Acidity regulator (Citric acid). Regulatory Category: FOOD FOR SPECIAL DIETARY USE. Food for people with Diabetes. DIRECTIONS FOR USE: 1. Take 175 ml of drinking water 2. Add 6 leveled scoops (Approx. 50g) of Prohance TM-D Chocolate Powder 3. Stir continuously until dissolved and consume immediately When to Consume ProhanceTM-D Chocolate? * As a partial meal replacement - 1 serving of ProhanceTM-D Chocolate can be used before a major meal (e.g., lunch/dinner), * or as a Breakfast replacement; * or as an Evening snack/healthy bedtime snack; * or as directed by your physician/dietician Additional submissions on 22-01.2019 A. PROHANCE - D IS A "FOOD PREPARATION" Since the term "Food Preparati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owder, granular or other bulk form in containers or immediate packings, of a content exceeding 2 kg - Other, in blocks, slabs or bars : 18.06.31 - Filled 1806.32 -Not filled 1806.90 - Other The heading also includes all sugar confectionery containing cocoa in any proportion (including chocolate nougat), sweetened cocoa powder, chocolate powder, chocolate spreads, and, in general, all food preparations containing cocoa (other than those excluded in the General Explanatory Note to this Chapter) Here attention is drawn to the language of the explanatory notes which states that the heading includes certain goods which can be broken down into the following parts: (i) All sugar confectionery containing coca in 'any proportion' chocolate nougat); (ii) Sweetened cocoa powder; (iii) Chocolate Powder; (iv) Chocolate Spreads; and (v) in general, all food preparations containing cocoa (other than those excluded in the General Explanatory Note to this Chapter). At the outset, it is pertinent to note that the said heading covers "All sugar confectionaries containing cocoa in any proportion" as stated in the above extract. "Prohance - D (Chocolate)" is not a sugar confection ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ining cocoa or containing less than 40% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included; food preparations of goods of headings 04.01 to 04.04, not containing cocoa or containing less than 5% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included. As per the said Chap. Heading, "Food Preparations" containing "less than 5% cocoa" shall remain classifiable under Chap Hdg 19.01 irrespective of the cocoa content in the said preparations. From the said heading, it can be inferred that a threshold of "5% cocoa" can be used to determine whether a "food preparation" contains a substantial amount of cocoa to be classified under Chapter 18.06. "Prohance - D (Chocolate)" contains 3% cocoa as a flavouring agent, merely to make the product more palatable to the taste buds of Diabetic consumers and to provide customers with a variety of flavours to choose from. Addition of 3% cocoa does not change the essential characteristic of the product under consideration. In this respect, "Prohance-D (Chocolate)" shall not be covered under the last description of the HSN Explanatory Note and thus, shall be squarely exc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the HSN explanatory note to Chapter Heading 21.06 of the CTA which states as under: 21.06 - Food preparations not elsewhere specified or included. 2106.10 - Protein concentrates and textured protein substances 2106.90 - Other Provided that they are not covered by any other heading of the Nomenclature, this heading covers: (A) Preparations for use, either directly or after processing (such as cooling, dissolving or boiling in water, milk etc.) for human consumption. "Prohance-D (Chocolate)" is a food preparation meant to be consumed by people by dissolving the same in water/milk. It is thus a "food preparation", squarely covered under Chapter Heading 21.06 of the CTA. It is further to note that Tariff Item no. 2106 9091 of the CTA, specifically covers "Diabetic Foods". The product in question is marketed and sold as a "Diabetic Food". Thus, on the basis of the facts of the case as well as the perusal of Tariff Item no. 21.06 9091 it is clear that the product is squarely classifiable under the said Tariff Item as it is the most specific sub-heading entry available for "Prohance - D (Chocolate)" in the CTA. C. SPECIFIC ENTRY REGARDING SPECIFIC ITEM TO BE PREFERRED TO A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding intends to cover only food preparations in which cocoa is contained in a substantial proportion, it is also pertinent to note that it is a "residuary entry" for food preparations containing cocoa in a substantial proportion. In the case of Commissioner of C. Ex., Mysire v. Anurag Foods & Appliances Ltd, 2009 (234) E.L.T. 641 (Tri. - Chennai) = 2008 (9) TMI 636 - CESTAT, CHENNAI it was held that Residuary entry is to be preferred only after it is exhaustively shown that the product was not covered in any specific heading. Hence it is pertinent to analyse whether Chap Hdg 21.06 of the CTA is more specific than Chap Hdg 18.06 which is residuary in nature. Chapter Heading 2106 of the CTA covers "Food Preparations not elsewhere specified". The interpretation of the said entry has two parts. First part covers food preparations which are specified under Chapter Heading 2106 of the CTA and thus, the entry is deemed to be "specific in nature" as the heading itself states that the said Food preparations are not elsewhere specified. Second part of the said heading covers food preparations which are not specified under the said heading and are not classifiable under any other heading. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... abetic Foods" in all forms. As per Rule 3(a) of the General Rules of Interpretation, it is humbly submitted that Tariff Item no. 2106 9091 provides the most specific description for "Prohance - D (Chocolate)". D. SPECIFIC HEADING SHOULD BE PREFERRED AND IF THERE ARE TWO SPECIFIC HEADINGS. TO WHICH A PRODUCT CAN BE REFERRED. THE ONE OCCURRING SUBSEOUENTLY WILL PREVAIL - "PROHANCE - D (CHOCOLATE)" IS CLASSIFIABLE UNDER TARIFF ITEM NO. 2106 9091 OF THE CTA In the alternative, if the authorities are of the view that both of the entries under consideration are "specific in nature", the classification of "Prohance - D (Chocolate)" shall be subject to Rule 3(b) and Rule 3(c) of the General Rules of Interpretation which states as under: RULE 3 When by application of rule 2(b) or for any other reason, goods are, prima facie, classifiable under two or more headings, classification shall be effected as follows: (a) The heading which provides the most specific description shall be preferred to headings providing a more general description. However, when two or more headings each refer to part only of the materials or substances contained in mixed or composite goods or to part only of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his appeal. No doubt there is a specific entry which speaks of Slagwool and Rock-wool under Sub-heading No. 6803.00, but there is yet another entry which is consciously introduced by the Legislature under sub-heading No. 6807.10, which speaks of goods in which Rockwool, Slagwool and products thereof are manufactured by use of more than 25% by weight of blast furnace slag. It is not in dispute that the goods in question are those goods in which more than 25% by weight of one or more of red mud, press mud or blast furnace slag is used. If that be the case, then, in a classification dispute, an entry which is beneficial to the assessee requires to be appIied and the same has been done by the adjudicating authority. which has been confirmed bp the Tribunal. In the said case, both the competing entries dealt with the same product i.e "Slagwool" but with certain different specification. The latter of the two entries was was specifically introduced on a later date with a lower rate of duty payable on the same. In analysing the appropriate classification of the slagwool in question, Tribunal was of the view that in such type of disputes, an entry which is beneficial to the assessee requir ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... II covers products taxable @ 12%. In the said Schedule, Diabetic Foods are covered and I have already given my say as to how the product is not covered by the schedule. In Schedule III of 18%, at item no 23, against heading 2106 the following description is found:- All kinds of food mixes including instant food mixes, soft drink concentrates, Sharbat, Betel nut product known as "Supari", Sterilized or pasteurized millstone, ready to eat packaged food and milk containing edible nuts with sugar or other ingredients, [other than Namkeens, bhujia, mixture, Chabena and similar edible preparations in ready for consumption form] The impugned product does not fit in the description given above. In the Schedule IV which covers products @ 28%, heading 2106 occurs at item no 9. The description is given below:- Food preparations not elsewhere specified or included i.e. Protein concentrates and textured protein substances, Sugar-syrups containing added flavouring or colouring matter, not elsewhere specified or included; lactose syrup; glucose syrup and malto dextrine syrup, Compound preparations for making non-alcoholic beverages, Food flavouring material, Churna for pan, Custard powder. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 017-Central Tax (Rate) dated 30.06.2017 and attract GST @ 18%. They are classifying the vanilla variant of their product as diabetic food and their query is regarding classification only in respect of the chocolate variant of their product where chocolate flavor is used in order to make the said product appealing to the end consumer, without altering the diabetic nature of the same. According to their submissions, "Prohance-D (Chocolate) manufactured by them as a diabetic food alone is classifiable under Heading 2106 90 91 of the Customs Tariff Act. The applicant has submitted that FSSAI has recognized "food for special dietary uses" (specially processed or formulated to satisfy particular dietary requirements which may exist or arise because of certain physiological or specific health conditions such as diabetes) as a separate category of foods and as per the definition of the term 'food' in Section 20 of the FSSAI Act and the Webster's international Dictionary and as per the Supreme Court judgment in the case of CCE Vs. Parle Exports (P) Ltd. reported at 1988 (38) ELT 741 = 1988 (11) TMI 108 - SUPREME COURT the product under consideration is covered under the definition of "Food" ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd includes primary food to the extent defined in clause (2k), genetically modified or engineered food or food containing such ingredients, infant food, packaged drinking water, alcoholic drink, chewing gum, and any substance, including water used into the food during its manufacture, preparation or treatment but does not include any animal feed, live animals unless they are prepared or processed for placing on the market for human consumption, plants, prior to harvesting, drugs and medicinal products, cosmetics, narcotic or psychotropic substances. As per Webster's international Dictionary food is defined as a "nutritive material absorbed or taken into the body of an organism which serve, for purposes of growth, work or repair and for the maintenance of the vital process." We find that the subject product is an edible substance consisting of nourishing and nutritive components such as carbohydrates, fats, proteins, essential mineral and vitamins and can be ingested and digested and provides nutrients to the human body. Hence we have no doubt that the subject product can be categorized as food. Now we shall discuss whether the subject product can be considered as a diabetic food ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le or in combination; (ii) minerals or vitamins or proteins or metals or their compounds or amino acids (in amounts not exceeding the Recommended Daily Allowance for Indians) or enzymes (within permissible limits); (iii) substances from animal origin; (iv) a dietary substance for use by human beings to supplement the diet by increasing the total dietary intake; (b) (i) a product that is labelled as a "Food for special dietary uses or functional foods or nutraceuticals or health supplements or similar such foods" which is not represented for use as a conventional food and whereby such products may be formulated in the form of powders, granules, tablets, capsules, liquids, jelly and other dosage forms but not parenterals, and are meant for oral administration; (ii) such product does not include a drug…………; (iii) does not claim to cure or mitigate any specific disease, (except for certain health benefit or such promotion claims) as may be permitted by the regulations made under this Act; (iv) does not include a narcotic drug or………………………………; (2) "genetically ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d also not include the article of food intended to replace complete diet covered under food for special medical purpose specified in regulation 9. (2) (i) The articles of food for special dietary use shall contain any of the ingredients specified in Schedules I or Schedule II or Schedule III or Schedule IV or Schedule VI or Schedule VII or Schedule VIII (ii) A food business operator may use the ingredients specified in the Schedules referred to in clause (i) of sub regulation (2) in manufacturing food for special dietary use without prejudice to modifications for one or more of these nutrients rendered necessary by the intended use of the product. C. 10 Schedule VIII of the Notification stated above enumerates a list of prebiotic compounds which includes Fructo-oligosaccharides, Inulin and Isomaltulose (which are some of the ingredients used in the manufacture of the subject product. Hence it is seen that FSSAI recognises "food for special dietary uses" (specially processed or formualted to satisfy particular dietary requirements which may exist or arise because of certain physiological or specific health conditions such as diabetes) as a separate category of foods. We find tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... outh for high blood fats, including cholesterol and triglycerides. It is also used for weight loss, constipation, diarrhea, and diabetes. Inulins and oligofructose are not digested by human enzymes, making them unavailable for glucose release into the blood stream, ensuring that their consumption does not raise blood glucose levels. Organic inulin powder is a low-glycemic sweetener, Agave inulin is a preferred sugar substitute for diabetics because it does not cause spikes in blood sugar associated with common sweeteners and can be used to replace sugar, fat, and flour. Normal digestion does not break inulin down into monosaccharides, and therefore it does not elevate blood sugar levels and may, therefore, be helpful in the management of diabetes. (iv) Myo-lnnositol is a carbocyclic sugar and a sugar alcohol with half the sweetness of sucrose (table sugar) and helps to promote proper utilization of the hormone insulin. (v) Sucralose is a zero-calorie artificial sweetener and is made from sugar in a multi-step chemical process in which 3 hydrogen-oxygen groups are replaced with chlorine atoms. Sucralose is commonly used as a sugar substitute in both cooking and baking and is calor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . It provides energy from high quality protein, fat and is rich in dietary fibre and MUFA that heart health." We therefore find from the above that the subject product is also advertised as having various other health benefits and to treat the same only as a diabetic food will not be proper in our view. Secondly, as per information available on the internet, the diabetic foods must contain high amounts of dietary fibre and some slow digestion agents. Though the preparation in question contains gum Arabic, it does not contains high amount of dietary fibre. A little amount of fibre as found in this preparation is found in all kinds of food and Prohance-D has no extra amount of fibre. It is also seen that there are no substances in its composition that help in slowing down of food moving through stomach and sugars moving to blood stream. In view of these deficiencies, the Prohance-D cannot be categorized as diabetic food. Now that we find that the said Prohance -D is not a diabetic food, we will take up the other issue raised by the applicant i.e. whether the same can be treated as a product classifiable under Chapter 1 8/19 of the Tariff. Chapter 18 of the Customs Tariff Act, 1975 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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