Animal-feed classification turns on popular meaning and statutory exclusions for feed supplements and vitamin preparations.

Animal-feed entries were construed in their ordinary and commercial sense to include feed supplements and vitamin preparations used for nutrition and production. On that approach, cattle-feed in entry 21 covered such products in principle, but the specific exclusion for mechanically produced cattle-feed controlled the result and kept the cattle products outside the exemption. Poultry-feed in entry 25 was treated more broadly, with vitamin and mineral preparations used as additives in poultry ration falling within the expression because that entry contained no comparable exclusion. The ratio emphasises popular meaning in taxing entries and gives effect to specific statutory exclusions.

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Issues: (i) Whether feed additives and vitamin preparations meant for cattle, when used as supplements in the ration, fall within the expression "cattle-feed" in entry 21 of Schedule I to the Gujarat Sales Tax Act, 1969. (ii) Whether similar vitamin preparations meant for poultry fall within the expression "poultry-feed" in entry 25 of Schedule I to the Gujarat Sales Tax Act, 1969.

Issue (i): Whether feed additives and vitamin preparations meant for cattle, when used as supplements in the ration, fall within the expression "cattle-feed" in entry 21 of Schedule I to the Gujarat Sales Tax Act, 1969.

Analysis: The expression "cattle-feed" was construed in its ordinary and trade sense, having regard to the setting of the entry, which includes fodder and concentrates and excludes mechanically produced cattle-feed, cotton-seeds, oilcakes and de-oiled cakes. The Court held that cattle-feed is not confined to maintenance ration alone, but extends to feed supplied for growth, production and nutrition, including concentrates and vitamin supplements used in live-stock feeding. On that construction, the products in question would ordinarily answer the description of cattle-feed, but the entry itself excludes mechanically produced cattle-feed. As the assessee conceded that the relevant cattle products were mechanically produced, the exclusion became decisive.

Conclusion: The cattle products are not covered by entry 21 of Schedule I, and the answer is against the assessee.

Issue (ii): Whether similar vitamin preparations meant for poultry fall within the expression "poultry-feed" in entry 25 of Schedule I to the Gujarat Sales Tax Act, 1969.

Analysis: The expression "poultry-feed" was given its ordinary meaning in the context of poultry farming, which includes scientifically prepared feed and feed supplements used for maintenance as well as production of eggs, meat and feathers. The Court held that vitamin and mineral preparations used as additives in poultry ration are within the popular and commercial understanding of poultry-feed. Unlike entry 21, entry 25 contains no exclusion for mechanically produced feed or for supplements.

Conclusion: The poultry products are covered by entry 25 of Schedule I, and the answer is in favour of the assessee.

Final Conclusion: The reference was answered by holding that the cattle products were outside the exempt cattle-feed entry because of the mechanical-production exclusion, while the poultry products were exempt as poultry-feed. The decision therefore granted relief only in respect of the poultry items.

Ratio Decidendi: In taxing entries relating to animal feed, the expressions "cattle-feed" and "poultry-feed" are to be understood in their popular and commercial sense so as to include feed supplements and vitamin preparations used for nutrition and production, but a specific exclusion for mechanically produced cattle-feed must be given effect to.

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