Tariff classification of edible grade coconut oil depends on product character, not smaller pack size, under Chapter 15

Edible grade coconut oil packed in 200 ml and below remains classifiable under Chapter 15 when its labels describe it as premium edible oil and no evidence shows any change in composition or use. Smaller pack size by itself does not convert the product into a preparation for hair under Chapter 33. The earlier tribunal view on repacked edible grade coconut oil in small sachets was applied on the same reasoning, confirming that tariff classification depends on the product's character and representation, not packaging alone.

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Issues: Whether edible grade coconut oil cleared in packs of 200 ml and below was classifiable under Chapter 15 of the Central Excise Tariff or under Chapter 33 as preparation for use on the hair.

Analysis: The dispute turned on whether the smaller pack size by itself changed the character of the product. The product descriptions on the labels indicated that the goods were premium edible oil and edible grade coconut oil. There was no evidence that the composition of the coconut oil in smaller packs differed from the oil cleared in larger packs, which was accepted as falling under Chapter 15. The earlier tribunal view, which had considered the Board circular and held that edible grade coconut oil repacked in smaller sachets remained classifiable under Chapter 15, was found fully applicable to the present facts.

Conclusion: Edible grade coconut oil packed in 200 ml and below was not classifiable under Chapter 33 as preparation for hair. It was classifiable under Chapter 15, in favour of the assessee.

Ratio Decidendi: Mere packing of edible coconut oil in smaller quantities does not alter its tariff classification when the product remains represented and sold as edible grade coconut oil and no contrary evidence shows a different composition or use.

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