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TMI Blog2005 (12) TMI 157X X X X Extracts X X X X X X X X Extracts X X X X ..... on, Mumbai (Appellants) are inter alia engaged in the manufacture of chemicals, pesticides, etc. falling under Chapter 38 of the Customs Tariff Heading Act. They also engaged in trading of imported Boric Acid. The appellants imported a consignment of 20 MTs of Boric Acid. They initially filed a bill of entry for warehousing dated 29-11-04 and later on filed a bill of entry of Home consumption, seeking clearance thereof under DFRC Scheme. The eligibility for clearance of DFRC was under examination before the concerned authorities of customs. The Central Board of Excise and Customs vide Circular No. 61/2004, dated 28-10-2004 clarified that 'Boric Acid' being an "Insecticide" mentioned in the Schedule to the Insecticides Act, 1968, same would ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng which provides the most specific description shall be preferred to heading providing a more generic description. Besides, it was also contended that Boric Acid is specifically mentioned in HSN Chapter 28 and the term "insecticide", mentioned in Chapter 38 is generic in nature. By applying Rule 3(a) of the said Rules, "Boric Acid" shall be eligible for classification under Chapter 28 being a specific entry. Following case laws were cited in support of the claim. (i) VAC Met. Corp. v. Superintendent Central Excise - 1985 (22) E.L.T. 330 (S.C.) (ii) Moorco v. Collector - 1994 (74) E.L.T. 5 (.S.C.) (iii) CST v. Bansal Bottle Co. - 1982 (50) STC 369 (All.) 5.The appellants further placed reliance on the judgment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct. The Boric Acid is multi-furious use and in this regard they have relied upon the Kirk Othmer's Encyclopedia of Chemical Technology, 4th Edition, Vol. 4, the relevant text is extracted as under :- USES : (i) Boric acid has surprising variety of applications in both industrial and consumer products (6.57). It serves as a source of B2O3 in many fused products, including textile fiber glass, optical and sealing glasses, heat-resistant borosilicate glass, ceramic glazes, and porcelain enamels (see ENAMELS, PORCELAIN AND VITREOUS). It also serves as a component of fluxes for welding and brazing (see SOLDERS AND BRAZING ALLOYS: WELDING). (ii) A Number of boron chemicals are prepared directly from boric acid. These include ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... many applications. High purity boric acid is added to the cooling water used in high pressure water reactors (see NUCLEAR REACTORS). 9.Further their contention is that the Boric Acid correctly falls under Heading 28.10 of the Customs Tariff/Excise Tariff/ITC-HS as it specifically covers boric acid by description. (i) Sub-heading 281000.20 of the Customs Tariff by name, specifically covers boric acids. (ii) Similarly, sub-heading 2810.00 of the Excise Tariff also covers by name, boric acids. (iii) Chapter 28 of both Customs Tariff and Excise Tariff are aligned with Harmonised System of Nomenclature (HSN). HSN Explanatory Notes to Heading 28.10 provide as under :- BORIC ACIDS : (i) Boric acid (orthobo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... E.L.T. 23 (S.C.) (b) CC, Bombay v. Business Forms Ltd. - 2002 (142) E.L.T. 18 (S.C.) (c) CCE, Hyderabad v. Bakelite Hylam Ltd. - 1997 (91) E.L.T. 13 (S.C.) 12.The General Rules for the Interpretation of the Custom Tariff or Excise Tariff provide as under : "Classification of goods in this Schedule shall be governed by the following principles: "l. The titles of Sections, Chapters and sub-chapters are "1. provided for ease of reference only; for legal purpose, classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes and, provided such headings or Notes do not otherwise require." 13.Since Heading 28.10 specifically covers boric acid by name, irrespective of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... anatory Notes to Heading 38.08 clearly shows that boric acid will not fall under Heading 38.08 as an insecticide. The boric acid as imported by the appellants in capable of killing any pest. 19.As per the technical books, boric acid with the addition of anti-caking agents, is capable of killing cockroaches. Therefore, the boric acid in the form in which it is imported, will not fall under Heading No. 38.08 insecticide. 20.The ld. Commissioner of Customs (A), Nhava Sheva, rejected the appeals filed by the appellants for not producing the end-use certificate from the concerned Ministry and classified the Boric Acid under Chapter Heading No. 38.08. 21. After going through the record, the Board Circular dated 28-8-2004, encyclopedia of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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