9911796707
TMI Blog2000 (11) TMI 225X X X X Extracts X X X X X X X X Extracts X X X X ..... yors. In the declaration dated 12-5-1995 (effective from 1-5-1995), submitted under Rule 173B of the Central Excise Rules, 1944, the appellants mentioned the "Parts of the Belt Conveyor" as "Belt Conveyor (knocked down condition)" and classified the same under Heading No. 84.28. During the relevant period, i.e. October, 1995 to March, 1996, the Central Excise duty on "Belt Conveyor" under Heading No. 84.28 was 10% ad valorem, whereas "parts of Belt Conveyor" under Heading No. 84.31 attracted duty of 15% ad valorem. From the records, it was ascertained that during the relevant period the appellants delivered the so-called "Belt conveyors (in knocked down condition". As such, the Revenue took a view that the "Belt Conveyor in knocked down con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4.28, but appropriately considered as parts of conveyor and classifiable under Heading 84.31 attracting higher rate of duty at 15% ad valorem. He has also taken note of the fact that "Belt" was not supplied along with such structure rendering it as an incomplete conveyor. Accordingly, he confirmed the said demand. Being aggrieved, the appellants have preferred the present appeal before the Tribunal. 3. Shri B.N. Chattopadhaya, learned Consultant appearing for the appellants, submits that the appellants' customer M/s. Central Coalfield Ltd. had placed order for "Belt Conveyor" of the type being conventional Intermediate structures of specified diamentions and, therefore, the Commissioner was wrong in arriving at the conclusion that the app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onveyor without the belt shall be considered to be a complete "Belt conveyor" for the purpose of levy of Central Excise duty specially in view of the provisions of Rule 2(a) of the interpretative Rules of the Central Excise Tariff Act, 1985 which lay down that incomplete or unfinished goods having essential character of the complete or finished goods shall be classified along with the complete or finished goods. The learned Consultant further argues that in terms of Note No. 1(a) of Section XVI of the CETA, 1985, transmission or conveyor belts or belting, of plastics of Chapter 39, or of vulcanised rubber (Heading No. 40.10) are outside the scope of that Section and as such they do not find place in either Heading 84.28 or 84.31.The learned ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ries of Tariff Headings 84.28 and 84.31, purchase orders with the drawing attached thereto, and the concerned bills raised. On a careful perusal of the purchase order and the drawing of the conveyor, it is observed that the customer has placed an order for the entire system which consists of Drive Unit, Take-up Unit, Intermediate Structure, Tail Unit etcetera. But order was not placed for the belt. The customer can purchase the belt of his choice either of plastic or of rubber, from the open market and attach the same to the said system at site. The Interpretative Rule 2(a) to which our attention has been drawn reads as under : "2(a) : Any reference in a heading to goods shall be taken to include a reference to those goods incomplete or u ..... X X X X Extracts X X X X X X X X Extracts X X X X
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