Central Excise classification of paper-covered aluminium strips upheld under Item 27(b), not Item 68

Paper-covered insulated aluminium strips were held to remain classifiable under Item 27(b) of the Central Excise Tariff, because covering the aluminium strips with paper did not bring into existence a new product warranting reclassification under Item 68. The Tribunal accepted that the Bombay High Court reasoning relied on by the appellants applied to the goods in question, so the paper-covered strips were not treated as a distinct excisable product outside Item 27(b).

---

---

Issues: Whether paper-covered insulated aluminium strips were classifiable under Item 27(b) of the Central Excise Tariff or under Item 68.

Analysis: The dispute turned on whether the process of covering aluminium strips with paper brought into existence a new product so as to justify reclassification under Item 68. The Tribunal accepted that the reasoning of the Bombay High Court decisions relied upon by the appellants applied to the goods in question as well. On that basis, the paper-covered strips were not to be treated as a distinct product falling outside Item 27(b).

Conclusion: The goods were held classifiable under Item 27(b) of the Central Excise Tariff and not under Item 68, in favour of the appellants.

---