TaxTMI 
TaxTMI 
2007 (8) TMI 220
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....ls) examined the issue in threadbare and accepted their contentions. He found that the Chemical Examiner's reports were not dear and were ambiguous in nature. He accepted the evidence produced by the assessees with regard to the nature of the goods. We are reproducing the findings given by the Commissioner (Appeals) in paras 4 to 12. 4. I have gone through the case records and the contentions raised by the appellants at the time of the personal hearing The appellants are manufacturers of Veterinary and Aqua medicines and feed supplements. The appellants have also field declaration as required under the Government of India notification No. 13/1992-CE. (N.T.) dated 14-5-1992. The appellants are an SSI Unit and are eligible for exemption upto an aggregate value of clearances of Rs. 30 lakhs in the years 1996-1997 and 1997-1998 and Rs. 50 lakhs during the years 1998-1999 and 1999 in terms of exemption notifications Nos. 7/97-C.E. dated 1-3-1997, 8/98-C.E. dated 2-6-1998 and 8/99-C.E. dated 28-2-1999 which were in force during the respective years. There is no dispute regarding the value of clearances during the year 1996-1997, the same being within the exemption limit, no duty has b....
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.... — do — Sheltririn - — do — Filter Green -Aqueous preparation containing copper complex Vermicide -Aqueous solution of an organic compound Proteingel Preparation containing mainly Carboxy Methyl Cellulose and small amount of amino acid (protein hydrolysate) and that sample is neither an animal feed for a medicament 8 During the course of the proceedings of the appeal, the labels of the various items involved in the instant appeal were submitted by the appellants. As per the labels, Deevogard, Giltonik, Pearispot. Microbite-20., Microbite are described as feed supplements and Protein-Gel was described as growth promoter and binding agent.' 9 I further find that the Central Board of Excise and Customs New Delhi vide Circular No 1/90 dated 1-1-1990 as modified by Circular No 188/22/96-CX dated 26-3-1996 clarified that while deciding the classification of products claimed to be animal feed supplements, it may be necessary to ensure that the said animal feed supplements are ordinarily or commonly known in the trade as products for a specific use in animal feedi....
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....ding the values of clearances of the aforesaid products, it is just and proper to accept the same. When the values of clearances of the aforesaid products which were exempted as detailed supra are considered, the aggregate value of clearances of dutiable goods gets reduced as indicated below S.NO. Name of the product Year 1997-1998 1998-1999 1999-2000 1. Deevogard 10,109 3,88,226 1,75,902 2. Pearlspot Nil 4,52,769 2,65,038 3. Microbite/Microcide 1,25,569 22,17,454 19,72,558 4. Fitergreen Nil 92,755 18,068 5. Shellrim Nil 1,62,159 2,100 6. Giltonik Nil 2,40,728 36,697 10. Further, I find that the claim of the appellants that the product vernticide forte - by virtue of its composition (Piparazine Adipate) and application/use (deworming product), merits classification as a generic veterninary. medicine falling under Chapter sub-heading No. 3003.32 of the Tariff attracting "nil" rate of duty during the material period of the case and not as an organic compound. The contention of the appellants is legal and proper and hence, the classification of the aforesa....
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....penalties on the unit as well as its proprietor are not maintainable in law, I do not find it necessary to go into other aspects of the case put forth by the appellants and also the various case laws cited by them. Accordingly, I pass the following order ORDER I allow the appeal flied by the appellants and set aside the Order-in-Original No.C.E.-2/ 2004 dated 16-2-2004 passed by the Assistant Commissioner of Central Excise, Vijayawada Division, Vijayawada, with consequential relief. 2. Revenue is contending in this appeal that the Chemical Examiner's Reports should be accepted. It is submitted that mere printing of words 'feed supplement' on the labels is not sufficient to show that the products are classifiable as Feed supplement. In this regard, Revenue has relied on the ruling of Jalani Enterprises v. CCE, Jaipur -2001 (132) E.L.T. 422 (Tri.-Del.) it is submitted that the goods are in the nature of Water Purifiers as per the statement of the Proprietor, 3. The learned JDR argued on the basis of the grounds raised. 4. The learned Counsel submits that the Proprietor had accepted the nature of the feed supplement being soluble in water. In his statement, he meant thi....