Ayurvedic medicine classification prevails for Brahmi oils manufactured to traditional formulas and used for therapeutic purposes.

Brahmi Oil Herbs and Brahmi Amla Oil Herbs were treated as Ayurvedic medicine because they were manufactured from ingredients found in authoritative Ayurvedic texts, followed the prescribed formula, carried an Ayurvedic medicine label, and were produced under a drug licence. Expert opinions also supported their medicinal character. On that basis, the products were classified under Heading 3003.30 rather than as hair preparations under Heading 3305.99, and the exemption notification applied. The principle noted was that a product made under a drug licence and used for therapeutic purposes may retain the character of a medicament even when sold over the counter.

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Issues: Whether the product "Brahmi Oil Herbs" and "Brahmi Amla Oil Herbs" was classifiable as Ayurvedic medicine under Heading 3003.30, and therefore eligible for exemption, or as a hair preparation under Heading 3305.99.

Analysis: The goods were found to be manufactured from ingredients mentioned in authoritative Ayurvedic texts and in accordance with the formula prescribed therein. The product label described it as Ayurvedic medicine, and the goods were manufactured under a drug licence. The record also contained expert opinions supporting the medicinal value of the oil. In the absence of any dispute that the product was prepared in accordance with Ayurvedic formulations, it was held that the product answered the description of Ayurvedic medicine. Support was drawn from the principle that a product manufactured under a drug licence and used for therapeutic purposes remains a medicament even if sold over the counter.

Conclusion: The product was classifiable under Heading 3003.30 as Ayurvedic medicine and not under Heading 3305.99; the exemption notification was applicable and the assessee's claim succeeded.

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