Tariff classification by statutory definition defeats common parlance when aluminium granules fail the prescribed sieve test.

Classification of aluminium granules or powder under the Central Excise Tariff turned on the statutory definition of "powder" in Section XV, which requires 90% or more by weight to pass through a 1 mm sieve. The text states that classification could not be based on common parlance once the tariff provided an express definition, and the department failed to prove that the goods met the sieve test. The chemical examiner's report also did not support treatment of the sample as aluminium powder. On that basis, the product was not classifiable as aluminium powder under Heading 76.03 and was treated as unwrought aluminium under sub-heading 76.01, with exemption under Notification No. 180/88 available.

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Issues: Whether aluminium granules/powder manufactured by the assessee were classifiable as aluminium powder under Heading 76.03 of the Central Excise Tariff Act, 1985 and, if not, whether the assessee was entitled to exemption under Notification No. 180/88 dated 13-5-88.

Analysis: The expression "powder" was specifically defined in Note 6(b) of Section XV of the Central Excise Tariff Act, 1985 as products of which 90% or more by weight pass through a sieve having a mesh aperture of 1 mm. Once a statutory definition exists, classification cannot rest on common parlance. The department did not establish that the disputed product satisfied the statutory sieve test, and the chemical examiner's report described the sample as neither aluminium powder, flakes nor granules. On the evidence, the product could not be treated as aluminium powder under Heading 76.03. The Tribunal further found that the granules were covered by sub-heading 76.01 as unwrought aluminium and were manufactured from duty-paid aluminium scrap.

Conclusion: The demand was unsustainable, and the assessee was entitled to exemption under Notification No. 180/88 dated 13-5-88. The issue was decided in favour of the assessee.

Ratio Decidendi: Where a tariff entry contains a specific statutory definition, classification must be determined by that definition and not by common parlance, and the department must prove that the goods satisfy the statutory criteria for the disputed classification.

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