TaxTMI 
TaxTMI 
2019 (8) TMI 391
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....129a) of the Customs Act, 1962. 2. Ld. Counsel pointed out that the appellants are manufacturer of SS Pipes and Tubes and used SS Fold Rolls Coils of prime quality which are imported by them and also procured from domestic market. In case of 5 consignments imported by them they filed 5 bills of entries all dated 07.05.2013 for import of 369.206 MT of prime quality SS CR Coil of grade 201 and 304-Ex-stock of various widths in 14 containers and claimed exemption from duty under Notification 12/2012-Cus dated 17.03.2012 (Sr. No. 330) which exempts prime quality SS CR coils. Revenue alleged that the goods imported by them are not prime quality and denied the exemption and demanded differential duty besides confiscating the provisionally rele....
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....the grounds (Page No. 186 of appeal Para 14) that net weight of each coil was less than 3 MT- Annexure B-2 SCN at Page No. 55 of appeal. 2.1 Ld. Counsel argued that the differences between prime quality and second/ defective is that the prime quality are without any manufacturing defects while the second/ defective goods are produced of non-standard dimensions or are downgraded products like products having some defects. He argued that in their case there are no defects and the goods are not of non-standard dimensions. The goods were of homogenous quality with proper levels of manufacturers showing the quality and dimensions of the manufacturer. He pointed out that it has been alleged that since the weight of each coil is less then 3MT t....
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.... the said notification. 2.2 He argued that demand in respect of past consignments has also been raised. He pointed out that no such demand can be raised as at the material time they had filed bill of entry and the same were assessed after loading the value to the value of the prime materials. He argued that at the material time of import of past consignments also were examined. He argued that there is no evidence that the goods imported by them in the past were of second/ defective quality. 2.3 He further pointed out that a major part of the demand relates to CVD and the same is available as credit to the appellant thus the demand is largely Revenue neutral. 3. Ld. AR relies on the impugned order. He also relied on the decision of ....
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....ock Lot', 'Prime Excess', 'Surplus Stock', 'Mill Excess', 'Over-rolls', 'Left-Overs' etc. 2 Non-Prime 'Seconds & Defective' or 'Seconds', 'Secondary', 'Second Grade', 'Second Choice', 'Third Choice' , 'Defectuous' etc. 2. The first category of 'Prime steel/stainless steel flat product' basically covers prime products except that they are sold by Steel Manufacturers/ Suppliers at lower rates/prices (or on discounts) when compared to prime goods. These goods are generally shipped in varying quality, thickness, width and length. Hence, the goods of same size and thickness or of homogeneous dimensions can not be regarded as "Stock Lot/ Ex-Stock". It, therefore, follows th....
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....scruff beads', 'bran, dirt and excessive oil', 'dents', 'bents', 'pinholes', 'fold edges', 'bent corners', 'mill grease', 'streaks', 'lamination and sand spots', 'scruff beads', 'transit rub marks', 'indentation', 'blisters', 'oil patches' etc. The importers are required to declare or specify, for the examination and assessment purpose on the Bill of Entry, the 'non-prime' nature of the goods as 'seconds or defective' goods. The main types of 'surface defects' are briefly described as under: 1. Blister.......... 2. Split ends/ lamination........... 3. Scabs.......... 4. Craks............ 5. Waviness/ buckling 6. Notched edge/cracked edge/ edge burrs........... 7. Spoilt edge........