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TMI Blog2022 (3) TMI 1489X X X X Extracts X X X X X X X X Extracts X X X X ..... ermined by the application of this decision also then by application of the Note d to Chapter 76, these slugs will be classified under Heading 7606 only. There are no merits in the impugned order - appeal allowed. - C/138/2011 - Final Order No. A/85197/2022-WZB - Dated:- 1-3-2022 - Shri P. Dinesha, Member (J) and Sanjiv Srivastava, Member (T) Shri J.C. Patel with Ms. Shamita Patel, Advocates, for the Appellant. Shri Ramesh Kumar, Assistant Commissioner (AR), for the Respondent. ORDER This appeal is directed against Order-in-Appeal No. 405 to 422 (GR.IV)/2010 (JNCH)/IMP-371 to 388, dated 16-12-2010 of the Commissioner of Customs (Appeals), Nhava Sheva. By the impugned order, the Commissioner (Appeals) has held as follows : ORDER I uphold the classification of Aluminum slugs in heading no. 7616 99 90 and reject the appeal. 2.1 Appellant filed eighteen Bills of Entries clearance of aluminum slugs declaring the classification the goods under the sub-heading 7606 91 10. 2.2 These bills of entry were assessed by the group modifying the classification to S.H. 7616 99 90 attracting higher rate of customs duty. The appellant paid the duty under prot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itated 2.4 The appeals were adjudicated by the Commissioner (Appeals) as per the impugned order, upholding the assessment made by the group. 2.5 Aggrieved by the impugned order, appellants have preferred this appeal. 3.1 We have heard Shri J.C. Patel with Ms. Shamita Patel, Advocates for the appellant and Shri Ramesh Kumar, Assistant Commissioner, Authorized Representative for the revenue. 3.2 Arguing for the appellant Learned Counsel submits : The Aluminium Slugs imported by them are used for the manufacture of Aluminium Collapsible Tubes , by subjecting them to the process of Impact Extrusion . In the process of Impact Extrusion , they are forced/pressed into a Die by a Punch and by the process of extrusion is formed into a tube. The Aluminium Slug is a Circular/Round Cut piece obtained by punching from an Aluminium Strip. It is a Flat Surface Product and therefore a Strip of a Shape other than rectangular or square (Circular shape) as defined in Note d(ii) of Chapter 76. As per Note d(ii) Aluminium Strip includes a Strip of a Shape other than Rectangular or Square, of any size, provided that it does not assume the character of Articles or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... process such as impact extrusion into an article of aluminum viz. tubes. Reliance placed by Commissioner (Appeals) on the judgment in the case of Shalimar Textiles Mfg. [1990 (48) E.L.T. 618] is totally misconceived. Issue involved in the matter is squarely covered in their favour by the decisions in case of Impact Containers P. Ltd. [1996 (85) E.L.T. 213 (Bom.)]. The goods when locally manufactured are also classified under Tariff Heading 7606 as would be evident from the Invoices of local manufacturers which are at Pages 88 to 92 of the Appeal. In any event the goods were even otherwise liable to duty at 7.5% under Notification No. 153/2009-Cus., dated 31-12-2009 and not 10%. 3.3 Learned Authorized Representative while reiterating the findings recorded in the impugned order submits that the appellant has himself described the goods as aluminum slugs in the bill of entries and not as aluminum strips in circular shape as claimed by them. All the documents in relation to the imports describe the goods as aluminum slug only. The slugs are more appropriately classifiable as other article of Aluminum under 7616 99 90. The decision in the case of Shalimar Textile reli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 7606 91 20 --- Electrolytic plates or sheets 7606 91 90 --- Other 7606 92 -- of aluminum alloys 7606 92 10 --- circles 7606 92 90 Other 7616 Other articles of aluminum 7616 10 00 Nails tacks, staples (other than those of heading 8305), screws, bolts, nuts, screw hooks, rivets, cotters, cotter pins, washers and similar articles. - Other 7616 91 00 -- Cloth, grill, netting, and fencing of aluminum wire 7616 99 -- Other 7616 99 10 --- Expanded metal of aluminum and aluminum alloys 7616 99 20 --- Chains 7616 99 30 --- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red by the appellant fall in clause (a) as if it can be classified with reference to (a) then clauses (b) and (c) would not apply. Clause (a) incorporates the common and general principle that the goods which can be classified specifically with reference to any heading should be placed in that category alone. The specific heading of classification has to be preferred over general heading. The clause contemplates goods which may be satisfying more than one description. Or it may be satisfying specific and general description. In either situation the classification which is the most specific has to be preferred over the one which is not specific or is general in nature. In other words, between the two competing entries the one most nearer to the description should be preferred. Where the class of goods manufactured by an assessee falls say in more than one heading one of which may be specific, other more specific, third most specific and fourth general. The rule requires the authorities to classify the goods in the heading which satisfies most specific description Thus after considering the general rules of interpretation Hon ble Supreme Court has stated that classification sho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orized representative. 4.8 Admittedly the imported goods are used by the importer to manufacture the finished goods classifiable under Chapter Heading 7608. The classification as proposed by the Revenue under Heading 7616, goes contrary to the General Structure of Tariff, which classifies the raw materials used in the manufacture of the finished goods under heading which occur prior to the heading of the finished goods. 4.9 In case of Shalimar Textile Mfg. [1990 (48) E.L.T. 618 (T)] relied upon by the Commissioner (Appeals) Tribunal was not concerned with the classification of aluminum slugs , but was concerned with admissibility of exemption under Notification No. 173/77-Cus. and has in Para 15, observed as follows : 15. In this case it is beyond doubt that the goods imported were slugs. According to the importers (the respondents) slugs are circles. It has been recorded by the Government that slugs are imported for making collapsible tubes by the process of impact extrusion (review notice). Nothing can be derived from this language. The question before us can be resolved only on the basis of what the goods were at the time of importation and not on what would be done w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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