2011 (6) TMI 663 - AT - Central Excise

Tribunal classifies wooden panels supplied to ONGC under Central Excise Tariff sub-heading 4408.90

The Tribunal upheld the classification of wooden panels, partition panels, doors, and channels supplied to ONGC under sub-heading 4408.90 of the Central ... Classification - wood partition with GRP Skin and are manufactured by laminating wood battens with veneer sheets and glass cloth with the help of resin at room temperature. According to the appellant these goods are “articles of wood not elsewhere specified” covered under sub-heading 4410.90, while according to the department, these goods are classifiable under 4408.90 “other plywood veneered panels and similar laminated wood” - Held that:- process of the manufacture of the goods involves fixing of veneered on the wooden doors, panels and partition, correctly classifiable under sub-heading 4408.90, appeal is dismissed Issues: Classification of goods under Central Excise Tariff - Sub-heading 4410.90 vs. 4408.90Analysis:1. Background: The appellant, a manufacturer of various items chargeable to Central Excise Duty, supplied wooden panels, partition panels, doors, and channels to ONGC. The dispute revolves around the classification of these items under the Central Excise Tariff.2. Appellant's Argument: The appellant claimed that the items should be classified under sub-heading 4410.90 as 'other articles of wood not elsewhere specified.' They argued that the goods are articles of wood and should not be considered 'similar laminated wood' under sub-heading 4408.90. They relied on previous tribunal judgments to support their classification.3. Department's Argument: The department contended that the goods are laminated wood, specifically under sub-heading 4408.90, based on the manufacturing process involving veneer sheets and glass cloth lamination. They supported their stance by referencing a Supreme Court judgment and defended the classification upheld by the Commissioner (Appeals).4. Tribunal's Decision: After considering both sides' arguments and examining the manufacturing process, the Tribunal concluded that the goods in question, wood partitions with GRP skin, should be classified under sub-heading 4408.90 as 'plywood veneered panels and similar laminated wood.' The Tribunal reasoned that since the items involved veneer and lamination with fiberglass cloth, they align more with the description under 4408.90 than 4410.90.5. Explanatory Notes: The Tribunal also referenced the HSN heading 44.12 and its explanatory notes, which cover veneered panels affixed to a base sheet of wood under pressure. Given that the manufacturing process of the goods involved affixing veneer to wooden doors and panels, the Tribunal affirmed the classification under sub-heading 4408.90.6. Conclusion: Consequently, the Tribunal dismissed the appeal, upholding the classification of the goods under sub-heading 4408.90 of the Central Excise Tariff. The decision was pronounced on 8-6-2011, affirming the department's classification and rejecting the appellant's claims.