Starch classification depends on empirical testing and manufacturing process review, not a bare departmental opinion.

Maize starch powder classification depended on whether the manufacturing process converted starch slurry into modified starch under Chapter Heading 3505 or left it classifiable as starch under Chapter Sub-Heading 11081200. The Tribunal treated empirical testing of the goods and proper examination of the manufacturing process as necessary, and not mere reliance on a departmental Chemical Examiner's opinion. Following its earlier decision on identical facts, it found the classification under Chapter Heading 3505 unsustainable and the consequential duty demand and penalty could not be maintained, with consequential relief granted to the assessee.

---

---

Issues: Whether the maize starch powder manufactured in different forms was classifiable under Chapter Heading 3505 as modified starch or under Chapter Sub-Heading 11081200 as starch, and whether the duty demand and penalty could be sustained.

Analysis: The classification dispute turned on whether the processing carried out on starch slurry brought the product within the scope of modified starch under Chapter Heading 3505 or left it as starch under Chapter Sub-Heading 11081200. The Tribunal followed its earlier decision in the appellant's own case, holding that classification could not rest solely on the personal opinion of the departmental Chemical Examiner without empirical testing of the goods or proper study of the manufacturing process. It was necessary to examine the actual process and the relevant expert material before rejecting the assessee's stand. Since the same issue had already been decided in favour of the appellant on identical facts, the impugned classification and the consequential demand and penalty could not be upheld.

Conclusion: The classification under Chapter Heading 3505 was unsustainable, and the appeal succeeded in favour of the assessee with setting aside of the impugned order and grant of consequential relief.

Ratio Decidendi: Classification of starch-based goods as modified starch cannot be sustained on the basis of a departmental expert's bare opinion alone and must rest on empirical testing and a proper appreciation of the manufacturing process.

---