Scanner-specific accessories treated as components qualify under Open General Licence and are classifiable as parts of the scanner.

Goods specifically designed for use solely or principally with a scanner were treated as accessories and, because the import policy defined "component" to include an accessory, they were eligible for import under Open General Licence unless specifically excluded. On classification, Chapter Note 2(b) supported placement in the heading applicable to scanner-specific parts and accessories rather than the residual heading relied on by the department. The commentary states that the goods were correctly classifiable under Heading 90.27 and not Heading 90.33, and that both disputed questions were resolved in favour of the importer.

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Issues: (i) Whether the imported Camag Linomat IV was eligible for import under Open General Licence as a component or accessory of the scanner; (ii) Whether the goods were classifiable under Heading 90.27 or Heading 90.33.

Issue (i): Whether the imported Camag Linomat IV was eligible for import under Open General Licence as a component or accessory of the scanner.

Analysis: The Import and Export Policy defined "component" to include an accessory and also treated "spare" as including an accessory. Appendix 6 permitted import of components and consumables under Open General Licence, excluding only items specifically covered by the relevant appendices. The goods were treated as accessories used with the scanner and were not shown to fall within the excluded lists.

Conclusion: The import was permissible under Open General Licence and this issue was decided in favour of the assessee.

Issue (ii): Whether the goods were classifiable under Heading 90.27 or Heading 90.33.

Analysis: Chapter Note 2(b) governed parts and accessories suitable for use solely or principally with a particular kind of machine. The goods were specifically used with scanners and were not general-purpose accessories. On that basis, they were held to fall within the heading applicable to scanner-specific parts and accessories rather than the residual heading relied upon by the department.

Conclusion: The goods were correctly classifiable under Heading 90.27 and not under Heading 90.33, and this issue was decided in favour of the assessee.

Final Conclusion: The impugned order was set aside and the appeal succeeded with both disputed questions answered in favour of the importer.

Ratio Decidendi: Goods specifically designed for use solely or principally with a particular machine are classifiable as its parts or accessories, and where the applicable policy defines accessory as a component, such goods may also qualify for import under Open General Licence if not otherwise excluded.

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