Customs classification dispute over calcium nitrate and ammonium nitrate mixture led to waiver of pre-deposit and stay of recovery.

A customs classification dispute over a calcium nitrate and ammonium nitrate product raised an arguable question whether the presence of ammonium nitrate made the import a tariff mixture. As the duty demand was substantially secured by bank guarantee and the goods had been provisionally released, the Tribunal found a prima facie case for waiver of pre-deposit and protection from immediate recovery. Deposit of the duty was waived, and recovery was stayed pending appeal, subject to continuation of the bank guarantee until disposal.

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Issues: Whether the appellant was required to pre-deposit the duty demanded in a customs classification dispute concerning calcium nitrate and ammonium nitrate mixture, and whether recovery of the duty should be stayed pending appeal.

Analysis: The appeal raised an arguable question on classification, including whether the presence of ammonium nitrate rendered the imported product a mixture for tariff purposes. The duty demand had been secured to a substantial extent by bank guarantee, and the goods had been provisionally released. On the material before it, the Tribunal found a prima facie case for waiver of deposit and protection against immediate recovery.

Outcome: Deposit of the duty demanded was waived and recovery was stayed, subject to continuation of the bank guarantee till disposal of the appeal.

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