2017 (1) TMI 342

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....Aggrieved by the impugned order the appellant filed this appeal. 2. Shri. S.N. Kantawala, Ld. Counsel for the appellant submits that Boric Acid imported by the appellant is classifiable under Chapter 2810 and not under 3808 therefore Circular No. 61/2004 dated 28/10/2004 is not applicable. He submits that as per Foreign Trade Policy, 2004 under the transitional arrangement in para 1.5, if the import is freely permitted and subsequently subjected to any restriction or regulation, such exports and import will ordinarily be permitted not withstanding such instruction or regulation, provided that shipment of the export and import is made within the original validity of an irrevocable letter of credit established before the date of imposition of such restriction. Therefore in the present case applying the para 1.5 of Chapter 1A of Foreign Trade Policy since the shipment was made prior to issue of instruction under Circular No. 61/2004 dated 28/ 10/2004, the same is not applicable in the present case. He further submits that in case of Union of India Vs. Maliakkal Industries Enterprises [2015(330)ELT 924(Ker.)], it was held that Circular being executive order could not have imposed rest....

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....orate esters, boron carbide, and metal alloys such as ferroboron (11108-67-1). (iii)    Boric acid catalyses the air oxidation of hydrocarbons and increases the yield of alcohols by forming esters that prevent further oxidation of hydroxyl groups to ketones and carboxylic acids (see HYDROCARBON OXIDATION). The bacteriostatic fungicidal properties of boric acid have led to its use as a preservative in natural products such as lumber, rubber latex emulsions, leather, and starch products. (iv)    NF-grade boric acid serves as a mild, monirritating antiseptic in mouthwashes, hair rinse, talcum powder, eyewashes, and protective ointments (see DISINFECTANTS). Although relatively non-toxic to mammals (58), boric acid powders are quite poisonous to some insects. With the addition of an anticaking agent, they have been used to control cockroaches and to protect wood against insect damage (see INSECT CONTROL TECHNOLOGY). (v)     Inorganic boron compounds are generally good fire retardants (59). Boric acid, alone or in mixtures with sodium borates, is particularly effective in reducing the flammability of cellulosic materials. Applicat....

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....dominantly used as raw material. 11. The Supreme Court in the following cases has held that HSN Explanatory Notes are safe guide for interpreting the Tariff Entries (both under the Central Excise Tariff and Customs Tariff): (a)     CCE, Shillong v. Wood Craft Products Ltd. - 1995 (77) E.L.T. 23 (S.C.) (b)     CC, Bombay v. Business Forms Ltd. - 2002 (142) E.L.T. 18 (S.C.) (c)     CCE, Hyderabad v. Bakelite Hylam Ltd. - 1997 (91) E.L.T. 13 (S.C.) 12. The General Rules for the Interpretation of the Custom Tariff or Excise Tariff provide as under : "Classification of goods in this Schedule shall be governed by the following principles: "l. The titles of Sections, Chapters and sub-chapters are "1. provided for ease of reference only; for legal purpose, classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes and, provided such headings or Notes do not otherwise require." 13. Since Heading 28.10 specifically covers boric acid by name, irrespective of the end-use, the imported boric acid will fall under Heading 28.10 only. 14. There is n....

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.....08. First of all, we have to state that the Boric Acid is normally used as raw material in the industry. Heading No. 38.08 covers those goods which are insecticides. The Boric Acid imported in the form is incapable of killing pests. The authorities below have failed to consider the contentions put forth in the right prospective. They ought to have considered the contents of the letter dated 20-12-2004 and should not have insisted upon the formal registration by the appellants and production of end-use certificate. Therefore, we find the impugned order is erroneous and liable to be set aside. Accordingly, the same is set aside. 22. In the result, appeal is allowed with consequential reliefs." It is seen that in the above decision, in para 14, it has been clearly held that Boric Acid as specified in the Schedule to the Insecticide Act, 1968 and for the purpose of Insecticide Act, boric acid is an insecticide. Thus, the import of boric acid would be governed in terms of Insecticide Act, 1968 and consequently, it follows that import of boric acid would require registration with the concerned authorities. 5.1 It is seen that on 8.11.2004, the meeting of the Registration Commi....