TaxTMI 
TaxTMI 
2019 (2) TMI 147
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....10 of CTA '75 being Raw Jute @5% under Notification No. 21/2002 Cus dated 1.3.2000 50% off on production of SAPTA Certificate in terms of Notification No. 105/99-Cus dated 10.08.1999. Along with the Bills of Entry the appellant submitted Invoice, Packing List etc. Sl. No. 000015/16/06 dated 02.01.2006 and 003855/16/2005 dated 03.12.2005. 3. Subsequent to the clearance of this goods, a Show Cause Notice dated 26.05.2006 was issued proposing to classify the raw jute cutting under sub heading No. 5303.9010 of Customs Tariff Act, 1975 and to recover duty under Section 28 (2) of the Customs Act, 1962. After due process of adjudication, a demand of Rs. 1,11,335/- was confirmed. 4. Against this order, the appellant filed appeal before the Commissioner (Appeals). The Ld. Commissioner (Appeals) upheld the Order-in-Original and rejected the appeal. Hence, the present appeal before the Tribunal. 5. The ld. Advocate appearing on behalf of the appellant, apart from various other submissions, draws our attention to the order passed by the Tribunal in the case of Naffar Chandra Jute Mills Ltd. Vs. CC (Preventive), Kolkata reported in 2014 (310) ELT 177 (Tri.-Kolkata) on the very same issue i.....
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....ing 5303.10 under six digit code of classification. Regarding the issue of determination of assessable value and benefit of exemption Notification No. 105/99-Cus., dated 10-8-1999, the ld. Commissioner has rightly remanded the matter for reverification to the adjudicating authority, as he has power to modify/annul the order of the lower authority in the manner he likes. 6.1 Heard both sides and perused the records. The principal question for determination is: whether the imported goods described as 'raw jute (BWCB/BTCA)' in the respective Bills of entry are classifiable under chapter subheading 5303 10 10 or under chapter sub-heading 5303 90 10 of the Customs Tariff Act, 1975 and consequently eligible to the benefit of Notification 21/2002-Cus., dated 1-3-2002 read with SAPTA Notification No. 105/99-Cus., dated 10-8-1999. 6.2 It is not in dispute that after import of the said goods through patrapole land Customs station, the Department has raised objection on its classification under the sub-heading as 5303 10 10, as declared in the respect bills of entry; the appellants herein had replied to the said objection submitting that the goods imported by them were raw jute of cutting....
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....orted raw jute, under the new eight digit tariff entry, it is necessary for a better understanding, to compare the old and new tariff entry. The old Tariff entry reads as below : "Heading Sub-heading Description of article Rate of duty Standard Preferential Areas 53.03 Jute and other textile bast Fibres (excluding flax, true Hemp and ramie), raw or Processed but not spun; tow and waste of these fibres (including yarn waste and Garneted stock) 5303.10 Jute and other textile bast fibres, raw or retted 30% ------ 5303.90 Other 30% ------ 6.6 The changed new eight digit tariff entry introduced with effect from 18-5-2003 reads as follows : Tariff Item Description of goods Unit Rate of duty 5303 Jute and other textile bast fibres (excluding flax, True hemp and raraic), processed but not spun Tow and waste of these fibres (including yarn Waste and garneted stock) 5303 10 Jute and other textile bast fibres, raw or retted 5303 10 10 Jute, raw or retted Kg. 15% 5303 10 90 Other Kg. 15% 5303 90 Other 5303 90 10 Jute cutting Kg. 15% 5303 90 90....
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....ed or stripped) : retted fibres; stripped fibres (extracted by machine), i.e. the fibres, sometime 2 m or more in length, as extracted from the plant by retting and stripping : "cutting" (the butt ends of the fibres which are cut off and marketed separately). However, vegetable materials, which when raw or in certain forms fall in Chapter 14 (for example, stalks of broom), are classified here only when they have undergone treatment indicating their use as textile materials (e.g. when they have been crushed, carded or combed in preparation for spinning). (II) Fibres carded or combed or otherwise prepared for spinning, usually in the form of slivers. (III) Fibrous tow and waste obtained mainly during the carding or combing of bast fibres; bast fibre yarn waste left during spinning, weaving etc. and garneted stock obtained from rags or scrap rope or cordage. Tow and waste are classified here whether suitable for spinning into yarns (whether or not in the form of slivers) or suitable only for use as caulking materials, padding or stuffing or in felt-making, paper-making, etc. Bleaching or dyeing does not affect the classification of the products covered by this Heading. 6.12 We f....
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....of different grades. No contrary evidence has been produced by the Revenue to establish that what the Appellant had imported, were not raw jute of cutting grades, but processed 'jute cuttings'. 6.16 In view of above, we have no hesitation to arrive at the conclusion, keeping in view the legislative history and practice of assessment under the old tariff entry, that under the restructured eight digit new tariff entry, the raw jute of cutting grades are not classifiable under CSH 5303 90 10, as the 'jute cuttings' mentioned in the said entry does not refer to raw jute of cutting grade. On the other hand, in view of the items covered under the broad Heading 53.03, along with the explanation of inclusion of various items covered under the said heading as mentioned in the HSN, undoubtedly, the inference goes in favour of the assessee that what they had imported, were raw jute of cutting grade and correctly classifiable under sub-heading 5303 10 10 of CTA, 1975. 6.17 Regarding the other argument of the Appellants that they were enjoying the benefit of exemption Notification No. 21/2002-Cus., dated 1-3-2002 under Serial No. 170, being applicable to 'raw jute' under the six digit code ....