Drug intermediate exemption applies to Sorbitol imports under successor notifications, following prior High Court classification.

Sorbitol was treated as a drug intermediate eligible for exemption from additional duty under the cited central excise notifications. The Tribunal followed prior Bombay High Court rulings that had already classified Sorbitol within the exemption description, and it applied the same position to the successor notification because it was not materially different from the earlier one. On that basis, the imported goods were held to satisfy the exemption condition and to fall within the covered category for customs duty relief.

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Issues: Whether the imported goods, Sorbitol, qualified as a drug intermediate so as to be eligible for exemption from additional duty under Notification No. 55/75-C.E. dated 01-03-1975, as amended by Notification No. 62/78-C.E. dated 01-03-1978, and the successor Notification No. 234/82-C.E. dated 01-11-1982.

Analysis: The Tribunal accepted the position that the relevant Bombay High Court decisions had already determined Sorbitol to be a drug intermediate eligible for the exemption. It followed those decisions and held that, for the purpose of the exemption, Sorbitol imported by the appellants fell within the covered description. The reasoning proceeded on the basis that the successor notification did not materially differ from the earlier notification and that the goods satisfied the exemption condition.

Conclusion: Sorbitol was held to be a drug intermediate eligible for exemption from additional duty under the notifications in question, in favour of the assessee.

Ratio Decidendi: Where a superior court has treated a product as a drug intermediate covered by an exemption notification, and the later notification is a successor with no material difference, the same exemption is available for the imported goods.

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