2022 (1) TMI 723

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....enses blanks required for the manufacture of ophthalmic lenses were imported by the appellants without payment of duty of Customs in terms of Notification No. 52/2003-Cus dated 31.03.2003, which exempts, inter alia, raw materials imported by the EOU for use in the manufacture of export goods; Revenue alleged that breakage, wastage and scrap of the lenses generated by the appellant were more than 9.09% provided for in the SION; show cause notices were issued and were confirmed by the Original Authority as well as first Appellate Authority; being aggrieved by the order, appeal s were preferred before the Hon'ble Tribunal, which vide order dated 13.09.2017 & 14.09.2017 confirmed that duty was recoverable as the wastage permitted was more than ....

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....DES-IV/2830 dated 26/11/2008 informed that the wastage norms fixed are to be given retrospective effect. 3. Learned Counsel for the appellants submits that the wastage norm fixed for their product by the NORM COMMITTEE was 15% and that too with a retrospective effect and thus, no demand is sustainable. Learned Counsel for the appellants also submits that as the wastage is admittedly still lying in the factory premises (as per Para 7 of the Notice); no custom duty can be demanded while the goods are still within the warehouse; as per 1989(44) ELT 598(SC), in case of imported goods cleared in to bond and placed in a warehouse, the duty is to be recovered on only expiry of bond period i.e. de-bonding or the clearances for home consumption w....

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.... 7. The appellants approached the Hon'ble High Court of Goa who vide order dated 20/2/2020 remand at the matter with a direction that Tribunal will have to address these two main grounds as also consider the appellant's contention based upon the Ministry's decision dated 23/9/20018 and 26/11/2008 8. The twin issues that required consideration in this case are that as to whether the appellants would be eligible for the higher norms fixed by Ministry in respect of wastage/ loss/ breakage of raw materials and as to whether the demand is premature. On going through the records of the case, we find that the appellants have represented to the Ministry to revise the SION norms in blanks imported by them. Ministry after considering the request o....