1985 (3) TMI 258

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....under Heading 71.04 of the C.T.A. on the ground that the goods were of very small size-less than 500 microns (30 mesh) and, therefore, they answered the description of dust and powder of natural or synthetic precious or semi-precious stones. The lower authorities also observed that the goods have been used for manufacture of industrial abrasives, a use to which dust and powder of precious or semi-precious stones were put to. The appellants are in appeal against this order. 2. For ready reference, we reproduce below the relevant headings of the Tariff : "71.02. Precious and semi-precious stones, unworked, cut or otherwise worked, but not mounted, set or strung (except ungraded stones temporarily strung for convenience of transport): (1) E....

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....y them. They added that the intention of the Legislature in charging a lower rate of customs duty on industrial diamonds was evident from the fact that such diamonds enjoyed a concessional rate of duty prior to 2-8-76 as well as after 24-5-77. The only gap, when the concession was not available, was during the period from 2-8-76 to 24-5-77 and this happened because of the switch over to the CCCN-based Tariff. The concession was restored under an exemption notification issued on 25-5-77. Finally, they pleaded that if there was any doubt in the matter, the benefit thereof should be given to the appellants. 4. The Department's representative stated that the exemption notification issued on 25-5-77 was effective only from that date and could n....