TaxTMI 
TaxTMI 
2022 (3) TMI 1002
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....f Customs, Custom House, Mundra vide Letter No. VIII/48-2083/Unibourne/Gr.I/MCH/2021-22 dated 16.02.2022, rejecting the claim for duty free benefits for their imported goods of Vital Wheat Gluten Flour under Custom Notification No. 19 of 2015. 1.1. The brief facts of the case is that the appellant has imported Vital Wheat Gluten classifiable under CTH 11090000 and claimed exemption from Basic Customs Duty (BCD) by producing a Transferable DFIA License No. 0311010834 dated 24.01.2022 issued against Export of Biscuits as per SION E-5. The appellant sought duty free benefits for their imported goods of vital wheat gluten against the description of Wheat Flour (CTH 11010000) as mentioned in the DFIA. The case of the department is that the appe....
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....ansferable DFIA No. 031011010834 dated 24.01.2022 which clearly mentions 'Wheat Gluten Flour' under the description of Wheat Flour in the said authorisation. It is submitted that Vital Wheat Gluten is well covered by description, quantity & within the value of the DFIA produced by the appellant. 2.4. It is submitted that the decision to reject the claim was contrary to the binding judicial precedents on the same issue. It is submitted that DFIA produced by the appellant clearly mentions Wheat Gluten Flour under the description of Wheat Flour , which itself is an evidence to show that Wheat Gluten flour and wheat flour are actually used in the Export Goods. As regards the contention, that the ITC (HS) No of Wheat Gluten Flour is not mention....
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....overed by description of Wheat Flour under Transferable DFIAs. Reliance has been placed on the following orders:- * Unibourne Food Ingredients LLP Vs. Commissioner of Customs, Jamnagar (Preventive) - Final order No. A/11366/2020 dated 08.12.2020 ; * Uni colloide Impex Vs. Commissioner of Customs, Mumbai- A/85672-85676/2020 dated 11.06.2020; * Uni Colloide Impex Vs. Commissioner of Customs, Ahmedabad- 2014(310) ELT 583 (Tri-Ahd). It is submitted that the order was subsequently accepted by the department and allowed DFIA benefits for the import of Wheat Gluten covered by the description of Wheat flour 2.7. It is submitted that under post transferability of DFIA, there is no actual user condition exists in the DFIA License issued under....
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....n. In the present case, the appellant has failed to satisfy the description of goods and therefore the benefits of notification no. 19 of 2015 has been correctly denied. 4. We have heard both the sides and perused the records. By the impugned decision dated 16.02.2012, Commissioner of Customs has denied the DFIA exemption benefit under notification no. 19 of 2015 to the appellant. The appellant has imported Vital Wheat Gluten and claimed Basic Customs Duty Exemption against the product description Wheat Flour (ITC HS No. 11010000), which is appearing under serial no.1 of the list of import goods against Export of Biscuits as per SION E-5. DFIA produced by the appellant before the customs is a transferable license issued against Export of B....
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..... 19 of 2015 which stipulates that ITC (HS) No. is a criteria for claiming DFIA benefits as held by this Tribunal in the case of USMS Saffron Co. Inc Vs. Commissioner of Customs, ACC, Mumbai vide Final Order No. A/3627/15/CB dated 30.09.2015. Under Exemption Notification No. 19 of 2015, "Materials" has been defined as "raw materials, components, intermediates, consumable, catalysts and parts which are required for manufacture of resultant product" . The Hon'ble Supreme Court in the case of Commissioner of Customs, Kolkota Vs. G.C.Jain - 2011(269) ELT 307 (SC) has inter alia held that 'the term used as 'material" required for manufacture of export products would encompass such entities also which are not only directly used or usable as such ....