Export valuation based on contract invoice cannot be enhanced by CRCL moisture findings absent proof of extra consideration.

Export valuation could not be enhanced by substituting CRCL moisture findings for the final invoice where the parties' written contract fixed the price, Fe content, moisture content and tolerance limits, and the declared consideration was fully reflected in the invoice and BRC. On those facts, the Tribunal held that recomputation of duty on the basis of lower moisture content was improper because there was no proof of any additional consideration beyond the contractual invoice value. Final assessment was therefore required to follow the final invoice supported by BRC, and the assessees' position was upheld.

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Issues: Whether the duty payable on finalization of the shipping bill could be recomputed on the basis of moisture content determined by CRCL instead of the final invoice supported by BRC and the written contract terms.

Analysis: The appeal concerned export of iron ore fines where the declared value had been provisionally assessed and later finalized. The finalization was based on a recalculation linked to lower moisture content reported by CRCL, which increased the duty payable and reduced the refund. The Tribunal noted that the export was governed by a written contract containing agreed terms on price, Fe content, moisture content and tolerance limits, and that no additional consideration had been received beyond the BRC amount and the final invoice value. On these facts, the method of recomputing duty solely on the basis of CRCL moisture findings was held to be improper, and the final assessment was required to follow the final invoice duly supported by BRC.

Conclusion: The recomputation based on CRCL moisture content was rejected and the final assessment was directed to be made on the basis of the final invoice supported by BRC, in favour of the assessee.

Ratio Decidendi: Where export consideration is fixed by a written contract and is fully reflected in the final invoice and BRC, final assessment cannot be enhanced merely by substituting an alternate valuation based on moisture-content verification absent proof of additional consideration.

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