9911796707
TMI Blog2022 (7) TMI 1098X X X X Extracts X X X X X X X X Extracts X X X X ..... sugar, salt and some spices also - It is found that as per the ingredients and process for manufacture of product in question given by the Applicant, the said product is not covered under the chapter 0811 and rightly classified/covered under the chapter heading number 2008 of the tariff. The case of Harith Budhraja (M/s Bharat Agro) [ 2018 (9) TMI 1864 - APPELLATE AUTHORITY FOR ADVANCE RULING UTTAR PRADESH ] is not applicable as in the instant case, the process of manufacture and ingredient of product i.e. Bery Berry is entirely different. Thus, the product Ber Berry , is rightly classifiable under the chapter heading 2008. - Order No. 03/2022, Case No. 15/2021 - - - Dated:- 3-3-2022 - SHRI VIRENDRA KUMAR JAIN AND SHRI MANOJ KUMAR CHOUBEY, MEMBER Present on behalf of applicant : Shri Pradeep Asawa And Shri Palkesh Asawa Chartered Accountant PROCEEDINGS (Under sub-section (4) of Section 98 of Central Goods and Service Tax Act, 2017 and the Madhya Pradesh Goods Service Tax Act, 2017) 1. The present application has been filed u/s 97 of the Central Goods and Services Tax Act, 2017 (hereinafter also referred to CGST Act and SGST Act respectively) by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... VIEWPOINT AND SUBMISSIONS ON ISSUES ON WHICH ADVANCE RULING IS SOUGHT) The applicant submits that, in their view the product should be treated as a fruit classified under Tariff Heading 0810. The applicant following points, in support of their view: A. The product is like the original fruitfully 1. The applicant submits that our product is essentially like jujube fruit only: and is also presented and marketed as such. It is just that the product has been prepared after treating the raw fruit to steam and adding some salt and sugar for flavouring purposes only. The process of steam treating and exposure to heal results in some pieces getting crushed, but otherwise the essential characteristics remain the same. 2. That merely healing / packing the fruit does not change its essential characteristics. The packed fruit still contains all the defining characteristics of the jujube fruit, such as it still contains the seed of the fruit and its outer peel, which signifies that the applicant has not processed the fruit resulting in any change in its essential nature and that the fruit remains clearly identifiable in the sachet. The addition of sugar and other spices is on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the procedure as specified above. Applicant further submitted while cooking, sugar, salt, and other spices arc added to the heat-treated fruit to enhance its flavours. It is submitted that addition of salt to the product does not affect its classification under this heading. Further, fruits and nuts of this chapter may be whole, sliced, chopped, shredded, stoned, pulped, grated, peeled, or shelled. Therefore, such treatment on the fruit does not affect its classification under this heading as long as the essential conditions for the classification in this heading are met. In this context, reliance is placed on the decision of the Appellate Authority of Advance Ruling. Uttar Pradesh in the case of Harith Budhraia (M/s. Bharat Agro), the facts of which are summarised below:- a. The appellant was engaged in supply of peeled sliced pineapple put up in airtight containers in sugar syrup. Applicant vide their application dated 28-3-2018 sought Advance Ruling in respect of the HSN classification for peeled sliced Pineapple, put up in airtight unit container in sugar syrup. b. The Uttar Pradesh Goods and Services Tax, Advance Ruling Authority passed the order on 21-5-2018 hold ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ir product fulfils both the conditions and should therefore be covered under the same tariff heading. In support of this, submit as follows: Process of preparation of the product is covered by Chapter 8 General Note 1(a) of Chapter 20 clearly specifies that Chapter 20 shall not include vegetables, fruits, or nuts, prepared, or preserved by processes specified in Chapter 7, 8 or 11. Therefore, Chapter 8 is overriding Chapter 20. Hence if a product is prepared through any process covered under Chapter 8, then by virtue of this clause the product cannot be classified under Chapter 20. Tariff heading 0811 includes fruits that are cooked by steaming or boiling in water, whether or not containing added sugar. The applicant submits that the product in question is prepared by cooking it by steaming which is the exact same procedure as specified under the said heading. Therefore, it would be unquestionably classified under Chapter 8 and therefore not under Chapter 20. The fruit should be clearly identifiable as such For a product to be classified under Chapter 8. it should be identifiable as a fruit. In this context the applicant submits that, the product is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... both cooked and uncooked vegetable under that heading. Thus, the entire material on record support classification under Chapter 7. Therefore. the Hon'ble Tribunal opined that the correct classification of button mushroom in brine is under Chapter 7. 8. The applicant submits, reliance is placed on the decision of Hon'ble Tribunal in case of NORTHLAND INDUSTRIES Versus Collector of Central Excise - 1988 (37) E.L.T. 229 (Tribunal), wherein it is noted in para 10 as follows: - [In this case] fresh fruits purchased from the market are washed, the inedible portions are taken out and the edible portions of the fruits are put into cans after adding sugar. The cans are then sealed. Looking to the process of manufacture, and applying the principles laid down by the Supreme Court in the PIO Food Packers case and the Sterling Foods case, there can be no doubt that essentially the canned fruit is not different from the naturally occurring fruit. The latter has been made more presentable by removal of the inedible portions of the fruit and, by canning, the fruit has been made more long-lasting. Hut the canned fruit nevertheless is only fruit. It is not something e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TIONAL OFFICER : The Deputy Commissioner, State Tax, Circle-13, Indore vide his letter No. DC/State Tax/2021/13/641-A dated 15.12.2021 addressed to Advance Ruling authority, Indore submitted his view that the product is not covered under the chapter 20 and is covered under chapter No.8. 7. DISCUSSIONS AND FINDINGS: 7.1 We have gone through the submissions made by the applicant in his application and during the time of personal hearing, view of the Jurisdictional officers. The question raised by the applicant is squarely covered under Section 97(2)(a) of the CGST Act, 2017 being a matter related to classification of goods. We, therefore admit the application for consideration on merit. 7.2 We observe that the question before us is whether the product marketed under brand name Ber Berry , manufactured, and supplied by the applicant, containing the ingredients jujube fruit, sugar, salt, permitted preservative (E-211) and mixed spices, should be classified under the Tariff Heading 0810 as Jujube fruit (Ber/Bore) or under Tariff Heading 0811 as fruits cooked by steaming , or under the Tariff Heading 2008 as fruits, otherwise prepared or preserved containing added sug ..... X X X X Extracts X X X X X X X X Extracts X X X X
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