Customs classification of mushroom-based products turns on common parlance and intended use, not Ayurvedic labeling alone.

Imported Reishi Gano Powder and Ganocelium Powder were held not to satisfy the common parlance test for medicaments, because their labels and promotional material showed general health supplementation rather than treatment or prevention of any specific ailment. The Tribunal also held that the description of the goods as Ayurvedic products, the existence of a drug licence, and generic references in Ayurvedic texts were not decisive for customs classification. The preparations were therefore correctly classified as food supplements rather than Ayurvedic Proprietary Medicine, and the importer's classification claim was rejected.

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Issues: Whether the imported bulk Reishi Gano Powder and Ganocelium Powder were classifiable as Ayurvedic Proprietary Medicine under heading 30039011, or as food supplement under heading 21069099, and whether the benefit of Notification No. 53/2011 was available.

Analysis: The product identity before the Tribunal was found to be the same as that examined earlier in the analogous classification dispute. The decisive question was whether the goods satisfied the common parlance test for medicaments and whether their ingredients and marketing supported treatment or prevention of a specific disease. The product labels and promotional material indicated general health supplementation rather than cure of any identified ailment, and the mere description as an Ayurvedic product or possession of a drug licence was held not to control customs classification. The Tribunal also noted that reliance on Ayurvedic texts mentioning mushroom in a generic sense could not establish that the specific mushroom-based preparations were Ayurvedic medicaments for tariff purposes.

Conclusion: The goods were not classifiable as Ayurvedic Proprietary Medicine and were correctly classifiable as food supplement under the competing tariff heading; the Revenue's appeal succeeded and the impugned classification in favour of the importer was set aside.

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