9911796707
TMI Blog2021 (9) TMI 72X X X X Extracts X X X X X X X X Extracts X X X X ..... ssification of chelated micronutrient mixtures as under (hereinafter referred to as "Subject Goods"):- i. Chelated Zinc at 12% EDTA ii. Chelated Iron as 12% Fe EDTA iii. MNM Chelated (b) Micronutrient mixtures are manufactured by the Appellant by using chelating agents with an organic compound i.e. Ethylene Diamine Tetra Acid (EDTA), by dissolving the same in Ammonia and water ( para 2.7 of SCN- P.61).The final product so manufactured retains Nitrogen contributed from Ammonia. (c) The Appellant claimed classification of the subject goods as "Other Fertilizers" under Chapter sub-heading 3105 90 which reads as under: Tariff Item Description of Goods Unit Rate of duty 3105 Mineral or chemical fertilizers containing two or three o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lizer, the requirements specified under Note 6 to Chapter 31 are met for the classification of the subject goods under Chapter Sub-heading 31 05 90 of the Schedule to the Central Excise Tariff Act. (e) In terms of Notification No.4/2006 C.EX. dated 01.03.2006, products falling under Chapter 31 and answering to the description in S.No.63 of the said notification are wholly exempted from Central Excise duty. S.No.63 of the above said notification reads as under:- "31 All goods, other than those which are clearly not to be used- (a) As fertilizers; or (b) In the manufacture of other fertilizers, whether directly or through the stage of an intermediate product This exemption entry was amended vide notification No. 4/2011C.E dated 01.03. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epartment sought to classify the subject goods as "Plant Growth Regulators" under chapter heading 3808 of the Schedule to the Central Excise Tariff Act. (h) It is submitted that the issue involved in the present case is covered in favour of the Appellant by Final Order No. 42339/2018 dated 04.09.2018 passed in the Appellant's own case for the period April 2008 to August 2012. Hence, the present Appeals may be allowed on this ground alone. The Tabulation of the cases is as under:- S. No. SCN / SOD Sl No. Date Period involved Stage of Adjudication Central Excise Duty involved Rs. 1. 23/2013 - C.Ex (ADC) dt 06.05.2013 April 2008 to August 2012 (issued invoking proviso to Section 11A (4) of the Central Excise Act, 1944 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3808 93 40 ---Plant growth regulators kg. 12% 8. The appellants have classified the said goods under CETA 3015 as other 'Fertilizers' and claimed nil rate of duty vide Notification 4/2006-CE dated 1.3.2006. 9. The above issue was analyzed in the appellant's own case for a different period wherein the Tribunal had upheld the classification adopted by the appellant. The relevant portion of the order is as under:- "5. The issue of classification of 'micronutrients' has been in confusion for a number of years. The CBEC have revised their stance in respect of the classification in successive circulars. No doubt, the Commissioner (Appeals) has relied upon the judgment of the Hon'ble Supreme Court in the case of Karnataka Ag ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the impugned goods, it is present in very low percentage which is not sufficient to be called as essential constituent of the fertilizer. We, however, find that the ld. Advocate is correct in her assertion that there being no minimum prescribed percentage of Nitrogen etc. prescribed in Note 6 to Chapter 6 of the Central Excise Tariff Act, the requirements of that Note being classified as micronutrient in other fertilizers, CETA 31.05 are satisfied. We also, note that the Board's circular dated 6.4.2016 also does not specify any minimum percentages for such elements to be considered as "essential constituents". Evidently, the essentiality of these elements is then to be decided by the "essential manner" that they act upon the soil or the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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