TaxTMI 
TaxTMI 
1987 (5) TMI 263
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.... them is used for mass colouration of phenolic and Urea Resin moulding powders, Melamine Resin powders and carbon papers and is not used in any dyeing process as required under T.I.14D for an item to be assessed thereunder and pleaded that the goods should be assessed under T.I. 68 CET. 2. The learned counsel for the appellants, Shri B.V. Desai, has stressed that for any goods to be covered under 14D on the condition precedent for assessment under this is that these should be used in dyeing process. He read out the Tariff Item which is reproduced as under : "Synthetic organic dyestuffs (including pigment dyestuffs) and synthetic organic derivatives used in any dyeing process." He pleaded that the word "used in dyeing process" quali....
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....adopted the reasoning given in the Order-in-Appeal. She pleaded that the goods are synthetic organic dyestuff falling under 14D CET. 4. We observe that the Tribunal examined in depth the scope of the T.I. 14D in the case of Devarsons Private Limited v. Collector of Central Excise, Ahmedabad 1984 (17) E.L.T. 135 and further amplified the scope of the entry in the later judgment reported in 1985 (19) E.L.T. 151 referred to above. In their decision in the case cited above, we observe that the Tribunal in their judgment have clearly held that the word "used in any dyeing process" qualify only synthetic organic derivatives and not other items covered under Tariff. Relevant para 14 of the judgment is reproduced below for ready reference. "1....
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....rinted hydrocarbons as I, I, I-trichloroethylene, trichloroethylene, and perchloroethylene. Use of solvent dyes avoids the necessity of fine-grinding and gives ideal dispersion. The term 'solvent dye' is somewhat misleading, as it would apply equally well to dyes that are soluble in water." In para 16.5 in the same context they have stated as under : "Now, let us look at the other authorities cited. These authorities "Thorpe's Dictionary of Applied Chemistry" - page 156 of the paper book; Kirk-Othme's 'Encyclopaedia of Chemical Technology' - page 157 of the paper book, etc. no doubt say that the term 'dyeing' is used, in the main, with reference to textiles, paper and leather and that in textile dyeing is not the only kind of dyeing r....
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....elamine Resin powders and for carbon papers and that it is not used in any dyeing process. 5. It is clear that the goods of the type we are concerned with in the present case are recognised and described in the technical books as solvent dyes and since these are admittedly synthetic organic dyestuffs, they are, in our view, synthetic organic dyes. The fact that the goods are not used for dyeing of textile etc., is not material as the dyeing process as set out in the technical book embraces large spectrums of processes like dyeing of plastic moulding powders etc. We also observe that the T.I. 14D has been worded on the heading given in CCCN and the same wording, as in Heading 32.05(1)(6), and Nigrosine is covered by this heading, being tr....
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....is not maintainable. In view of this, we do not find it necessary to go into other points raised. The appeal, therefore, is rejected. 6. [Order per: S.D. Jha, Vice-President (J)]. - While I have some reservations about use of Explanatory notes to CCCN in interpreting the Central Excise Tariff, I find that a Three Member Special Bench of the Tribunal in Devarsons Pvt. Ltd. case which has already been referred to by brother Gulati, in paras 19.1 and 23 held as under :- "19.1. We have already shown dyes used not only in textile dyeing but also those used in colouring petroleum products, soap, plastics, etc. fall within the expression 'S.O dyestuffs' and, therefore, they fall under Item 14D. It is not necessary that a product should be ca....