TaxTMI 
TaxTMI 
2023 (1) TMI 296
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....10-11/16-17 dated 24.11.2016 "ORDER i) I reject the classification of 'Silo' under Chapter Subheading 84379090 of the Central Excise Tariff Act, 1985 adopted by M/s. B.G. Shirke Construction Technology Pvt. Ltd. ii) Silos are to be classified under chapter sub-heading 94060099 of the Central Excise Tariff Act, 1985 as is proposed in the subject notices. iii) Invoice value of clearance of Rs. 86,64,10,215/- during the period October, 2010 to March, 2015 as above and Rs. 6,59,87,402/- for the period from April, 2015 to December, 2015 respectively is to be considered as assessable value under Section 4 of the Central Excise Act, 1944 involving Central Excise duty payable amounting to Rs. 10,22,96,115/- and Rs. 82,48,427/- respectively. iv) Extended period has been correctly invoked in the show cause notices for the reasons mentioned above for recovery of duty along with interest and penalty for non payment of duty by availment of nil rate of duty beyond the period of one year. Accordingly, I hold that M/s. B.G. Shirke Construction Technology Pvt. Ltd. are liable for payment of duty, interest and penalty as below- i) Cent....
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.... any other action that may be initiated against the noticee under the Central Excise Act or Rules made there under or any other law for the time being in force in India." B. PUN-EXCUS-001-APP-114/2019-20 dated 30.09.2019 - Commissioner (Appeal) has upheld the order in original No PUN-EXCUS-001-ADC-RKD-0-19/18-19 dated 30.11.2018 holding as follows: "ORDER 21.1 I reject the classification of the subject excisable goods i.e. 'Silo' under Chapter Sub-heading 84379090 of the erstwhile Central Excise Tariff Act, 1985 adopted by M/s. B.G. Shirke Construction Technology Pvt. Ltd., 72-76, Mundhwa, Pune 411036 and hold that Silos are to classified under chapter sub-heading 94060099 of the erstwhile Central Excise Tariff Act, 1985 as is proposed in the subject Statement of demand. 21.2 I confirm the invoice value of clearance of Rs. 15,20,76,461/- (Rupees Fifteen Crore Twenty Lakhs Seventy Six Thousand Four Hundred and Sixty One Only) during the period January, 2016 to June, 2017 is to be considered as assessable value under Section 4 of the erstwhile Central Excise Act, 1944 involving Central Excise 21.3 I confirm and determine the demand of du....
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....normal rate of Central Excise Duty, investigation/ enquiries were initiated. 2.3 On the basis of investigation undertaken revenue was observed that the silos manufactured and cleared by M/s, BGSCTL, Pune have the essential character of prefabricated buildings and has an independent function of storage or housing of grains / other produce / finished product, etc. Hence, in accordance to Rule 2(a) and Rule 3 of the General Rules of Interpretation of the First Schedule to the Central Tariff Act, 1985 and section note 4 of section XX of chapter 94, the silos manufactured and cleared by M/s. BGSCTL, Pune appear to be rightly classifiable under Chapter Sub-heading 94060099 of the first schedule of Central Excise Tariff Act, 1985 and is subjected to normal rate of Central Excise Duty. 2.4 Accordingly show cause notice dated 03.11.2015 was issued by the Additional Director General DGCEI, Bangalore asking the appellants to show cause as to why: (i) The Silos manufactured and cleared by them should not be classified under chapter sub-heading 94060099 of the Central Excise Tariff Act, 1985 and the invoice value of clearance of Rs. 87,17,11,215/- (Rupees eighty seven crore seven....
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....e provisions of the Right to Information Act, 2005 vide letter dated. 08.01.2016. In the said application, the appellant sought the following information: "From 2011 till date, inform if Central Board of Excise and Customs (CBEC) had sought views/comments on classification of grain storage silos; (ii) Inform if the reply was sent to CBEC by the office of the Chief Commissioner of Customs and Central Excise, Pune." • In reply thereto, vide letter dated 19.01.2016 the above information was provided to the appellants along with copies of the communication sought thereof. On perusal of letter F. No. 84/04/2012-CX.I dated 15.10.2012, it is clear that the CBEC had sought the view of the Pune Commissionerate on the issue of classification. The same was sought on a reference made by M/s Fowler Westrup (India) Private Limited vide letter dated 17.09.2012. In reply to the CBEC, the Ld. Chief Commissioner of Central Excise, Pune vide letter F. No. IV/16- 104/CCO/PZ/TECH/2012 dated 09.01.2013 has categorically stated that the silo system manufactured by the appellants would merit classification under chapter 8437. It has also been stated that the same issue has been decided by the....
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....ld provide flexibility in the international trade negotiations along with facilitating collection of specific statistics. A common eight-digit commodity classification code would also facilitate effective computerization of tax administration and electronic data processing. This was the rationale for introduction of eight digit classification. Hence, it is clear that there was no deviation on the classification per se from the six digit classification system. The Commissioner clearly seems to be oblivious of this crucial aspect. • There has been no change in the classification of the product, in question, under the 8 digit classification vide the 2005 amendment. The silos would still be classified under tariff item no. 8437 of the Central Excise tariff. The transition from six digit classification to eight digit classification is only for purposes of alignment and does not call for reclassification of the goods manufactured by the appellants. The issue of classification of "silos" is settled by the judgment of this Hon'ble Tribunal in their own case. • In light of the decision of Hon'ble Bombay High Court in the case of Eco Valley Farms & Foods Lim....
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....em supplied by the appellant would merit classification under chapter heading 94060093 which covers "silos for storage of ensilage". Admittedly, the said classification has been ruled out. In such a situation, it is well settled that specific heading has to be preferred over residuary entry. • The Revenue cannot keep raking the same issue over and over again. Once the issue has been decided by the highest appellate authority, the same cannot be re-opened under any new guise or pretext. No fresh facts have come to light. The factual position remains the same. Hence, the rule of constructive res judicata will apply in the facts of the present case. Therefore, the present proceeding is barred by the rule of res judicata. • Reliance placed on the decision in Eminence Equipments Private Limited 2015 (330) ELT 344 is uncalled for. The facts of the said case are totally different and distinguishable from the facts of the present case. • The Ld. Departmental Representative also submitted that there is no estoppel in law. He relied on judgment of the Supreme Court in the case of Dunlop India 1983 (13) ELT 1566 (SC). The said principle was held in the c....
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....he Ld. Commissioner to seek classification of the "silo system" under tariff item no. 9406 0099 consists of structures with exterior walls and roof which is akin to a building. The appellants submit that this finding is completely contrary to factual position as explained above. The appellants submit that there are no walls or four corners in the silo system. The appellants submit that any and every structure cannot be considered as building. • On a plain perusal of the above HSN, it becomes clear that the above chapter heading seeks to cover only prefabricated buildings meant to be used as housing, worksite, accommodation, offices, schools, shops sheds, garages and greenhouses. This is further evident from the fact that the said HSN refers to electrical fittings, heating and air conditioning equipment sanitary equipment, kitchen equipment and items of furniture. Obviously, the silo system, in the instant case, would not have any of the said equipments. Though this specific submission was made, the Ld. Commissioner chooses to conveniently ignore the same. • Most importantly, there is no allegation in the show cause notice that the "silo system" would merit....
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....laiming that the "Silo System" manufactured by them are classifiable under Ch. Sh.84379090. It is a well settled principle of law that the goods are to be assessed in the form in which they are at the time of their clearance as have been held in following cases. • Dynaspede Integrated Systems P. Ltd. [1997 (89) E.L.T. 193 (Tribunal)] ( • Sunil Industries [1999 (113) E.L.T. 931 (Tribunal)] • Sanghi Polyesters Limited [2003 (155) E.L.T. 381 (Tri. - Bang.)] • M.M. Rubber Co. Ltd. [1989 (41) E.L.T. 343 (Tribunal)] • Vardhman Acrylics Ltd. [2002 (146) E.L.T. 604 (Tri. Del.)] • Appellants are not manufacturing "Silos System" in the factory but even as per their own invoices and admission, what they manufacture and clear is "silo" or as per their invoices "Components of Silo System", thus the classification of Silo System, which as per their own admission is immovable property, is not relevant. • Ch. Sh. 8437 is classifying the excisable goods answering to the description of being "Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables; machinery used in the milling ind....
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....oduct "SILO Grain Storage Complex" is not simply a bin for storage but a complex system for scientific grain preservation and handling which is mainly used by various industrial units such as milling plants etc. for storage of purchased grains till it is used. Hence, Heading 84.37 which includes machinery used in the milling industry other than farm type machinery also is appropriate. It may be appreciated that even though the product was different ("SILO Grain Storage Complex" ) from the present product "Components/Accessories of GIC Silo System" of the Assessee/Appellants, nowhere the Tribunal has held that the product was capable of cleaning, sorting or grading seed, grain or dried leguminous vegetables. The Tribunal also observed that "..from the list of customers produced before us, it appears that it is being used mostly by milling industry at present..." • Appellants contend that Silo System has accessories attached for multiple purpose of loading etc. However, this is not relevant as the issue is not of classification of Silo System but the excisable goods cleared as "Components/accessories of Silo System" and whether the same were answering to the requirement ....
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....Silo System" is not a prefabricated building but it is a complex system fitted with accessories/components etc. The classification under issue is not of 'Silo System' but 'Silos' manufactured and cleared by the Appellants in CKD conditions. • The Appellants claim that Chapter Note 4 to Chapter 94 is not applicable as they do not manufacture prefabricated building. The prefabricated buildings are defined under Chapter note/Section note 4. Since their product is squarely falling under the definition as elaborated in the OIO, the same is to be considered for classification under Ch.sh.94060099. • Appellants contend that the silo system has no walls or corners. It is again repeated that the silos manufactured and cleared by the Appellants are only storage devices covered from all the sides and thus are specifically covered under ch.sh.94060099. • The Appellants claim that reliance placed on amendment in 2005 from six digit to eight digit is irrelevant. The dispute is not just arisen due to shifting of six digit Tariff system to eight digit but the wrong classification of Silos in spite of there being a specific entry. The product m....
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....the customer. 93.1.1. Shri. Suresh R. Thakar, General Manager of noticee no. 1 is his statement dated 15.12.2014 has stated that they are manufacturing Silos and clearing the same under Chapter Subheading 84379090 as components/accessories of GIC Silo System; that they are classifying the Silos under the Subheading 8437 by virtue of CEGAT Order No. E-442 and 443/1995-B dated 10-11-1995 in their own case. As regards the description of goods under heading 8437 of the Central Excise Tariff Act 1985 and explanation thereof he stated that the entry in the chapter 8437 is for "Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farm type machinery". Regarding description of goods under the heading 94360093 and 94060099 of the Central Excise Tariff Act. 1985, he has stated that Chapter 94 contains furniture, bedding, mattress supports, cushions and similar stuffed furnishing, lamps and light fittings, not elsewhere specified or included; illuminated signs, illuminated name plates and the like; prefabricated building; as per CETH 94060093....
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..... 1 it can be clearly seen that complete Silos were manufactured and thereafter they were transported in CKD condition and assembled at customer's site. The product catalogue produced by them also shows that it is a complete finished article and not a part. I find that Silos manufactured and cleared by noticee no. 1 (called 'Silo System' by them) by itself is only an equipment which can be used for storage of grains and is not a part of any machinery. The Silos manufactured at the factory are merely dismantled into CKD or SKD condition in order to enable them to be easily transported to the site of installation. It therefore appears that the classification under CETH 84379090 as a 'part/component' is not correct. The detailed discussions in this regard are herein below. 93.3. In common parlance "Silo" is a structure for storing bulk materials. They are used in agriculture to store grain or fermented feed known as silage. Silos are more commonly used for bulk storage of grain, cement, sugar etc. In this regard I find that as per the general rules of interpretation of Schedule to Central Excise Tariff, both prior to eight digit classification and....
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....g 8437 of CETA, 1985, I find that the basic criteria for classifying the goods under Chapter Heading 8437 is that the goods should be a machine which performs the function of cleaning, sorting or grading seed grain or dried leguminous vegetables or machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farm-type machinery. In the said heading I find that there is no specific mention of grain storing machine either singly or in association. with other equipment / machine so as to impute specific heading for the goods viz; Silos for storage as are manufactured/fabricated by the noticee no. 1 and declared in their brochure. In fact, there is no mention of Silos or storage device in said heading. Hence, I find that Silos manufactured by noticee no.1 do not fit the description under Chapter heading 8437 inasmuch as the Silos are used only for storage of grains as stated by the representative of noticee no. 1 in their various statements as also as is stated in their brochure. 93.3.3. On going through the statements of Shri Ajay Das Gupta of M/s. Gujarat Ambuja Exports Ltd., Shri Sanjay Jamdade of M/s. Millenium Starch Indi....
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.... these purchased goods are classified on merits and in certain instances the suppliers have even paid central excise duty on them. I am therefore of the view that when specific machinery performing a particular function that is supplied with Silos is not being classified under 8437 CETA, 1985, mere addition of the same with Silos at the site of customers will not make the Silos a machinery manufactured at the factory of noticee no. 1 that performs function of cleaning, sorting or grading seed, grain or dried leguminous vegetables or machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farm-type machinery. 93.3.5. In this regard, I reproduce below the explanatory notes to Chapter 8437- - MACHINES FOR CLEANING, SORTING OR GRADING SEED, GRAIN OR DRIED LEGUMINOUS VEGETABLES This heading covers machines, whether of horticultural, agricultural or industrial This heading covers machines, whether of horticultural, agricultural or industrial types, of a kind used for cleaning, sorting or grading cereal grains, dried leguminous vegetables, seeds, etc, by winnowing, blowing, sieving, etc. Such machi....
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....ing 84.19 covers such drying or cooling columns, but grain dampening machines with thermal equipment remain in this heading. -Centrifugal dryers (heading 84.21). -Conveyors and elevators (e.g., of the bucket, belt or pneumatic suction types) (heading 84.28) D) Grinding or crushing machinery, e.g.: -Grinding mills. -"Breaking" rolls or mills composed of several sets of grooved rollers, sometimes internally cooled, which crush the grain into middling's, semolina and flour. -Reduction rolls or mills with smoother rollers, specially designed to convert middlings, semolina, etc., into flour. -Disintegrators or impact grinders used to grind down into flour, the meal, etc., which adheres to the mill or converter rollers in the preceding processes. -Feeders, machines designed to ensure a regular and even flow or grain to the crushing rollers. The heading does not include small farm type grinding mills (heading 84.36). - Machinery for the sorting or separation of flour from sharps or middlings. - This group included machines for separating the flour, meal, middlings, sharps, etc., produced by milli....
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.... is evident that the Silos are not covered under Chapter Heading 8437. I also find that none of the activities mentioned in the explanatory notes to Chapter 8437 are performed by the Silo alone without the attachment of accessories/bought out items. On going through the purchase order/contracts for the supply of Silo Systems, I find that noticee no. 1 in most of the cases, have manufactured the bare Silos and supplied the bought out accessories /other machinery with individual functions directly from the seller of accessories to the customer's site for installation. Also noticee no. 1 has not proved with evidence that the Silo manufactured by them performs the functions of cleaning, sorting, grading etc. without fitment of bought out accessories. Hence there cannot be any doubt that Siios are only a storage equipment and after addition of other accessories after installation at the site they do not fall under category of "machinery", but rather can be broadly category as a structure. 93.3.7. From the said facts I am of the view that the classification of Silos under 84379090 is not justified on both counts: that it is not a 'part' of a machinery and it....
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....uilding that is manufactured and constructed using prefabrication. It consists of factory-made components or units that are transported and assembled on-site to form the complete building. On a plain reading and as per dictionary meaning a 'Building' means permanent or temporary structure enclosed with exterior walls and a roof. From the brochure of Silos of noticee no. 1 it is seen that the Silos manufactured by them consist of structures enclosed with exterior walls and roof and thus it can be considered to be a building. On going through the submissions made by them, I find that they themselves have stated that Silos are having side walls and roof and are used for storing. They have also stated that Silos are assembled at the site of customer, with various accessories if required by the customers. Hence Silos are pre-fabricated in their factory premises and are transported in CKD condition and assembled at site of the customer. As per Note 4 to Section XX of Chapter 9406 "prefabricated buildings' means buildings which are finished in the factory or put up as elements, cleared together, to be assembled on site, such as housing or work site accommodation, offi....
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....ted structures/buildings and will rightly be classifiable under CETH 94060099 of CETA, 1985 as alleged in the show cause notices. To elaborate, I find that there is a specific heading for Silos under Chapter 9406, i.e. 94060093 for storage of "ensilage" and 94060099 for "other" under which noticee no. 1 has failed to classify Silos. From the facts discussed in the preceding paras, I find that the Silos have the essential character of prefabricated buildings and an independent function of storage of grains/other product/ finished product, etc. Therefore, in accordance to Rule 2(a) and Rule 3 of the General Rules of Interpretation of the First Schedule to the Central Tariff Act, 1985 and Section Note 4 of section XX of Chapter 94, the Silos manufactured and cleared by noticee no. 1 are rightly classifiable under Chapter Subheading 94060099 of the First Schedule of Central Excise Tariff Act, 1985 and is subjected to normal rate of Central Excise Duty. I rely in the case of Commissioner of C.Ex., Ghaziabad Vs. International Tobacco Ltd-2009- TIOL-11-SC-CX wherein the Apex Court held that "for classification, the basic character, function and use is more important than the name....
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....e classification of the product i.e. Silos cleared by them under Tariff Item 8437 90 90 by Pune Commissionerate, I find that there is no justification to the noticee/s contention that just because classification as wrongly done in the past was not objected to by the department, it should continue forever. It has to be understood that the classification is done by the noticee/s and is not done or approved by the department. I find that it is actually an opportunity for them to bring about a long overdue correction in their books and for the department to pronounce upon the correction of classification since specific heading covering Silos is available in the Central Excise Tariff after 94060019 under the heading of "-Other:" 93.4.8. As regards their contention that classification by suppliers cannot be criteria/basis to change classification in their case, I find that nowhere in the show cause notice it has been alleged that they should have classified their product as per the classification of their inputs. Accordingly, their contention and the case laws relied upon in this context are not relevant in the present case. 93.4.9. As regards their contention that Silo....
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....actured by noticee no. 1 based on the design/ drawings & specifications supplied by the customers. There is no standard specification. or design and no standard product available in the market as "Silo System" for the purposes of cleaning, grading or sorting of food grains or leguminous vegetables. I find that separate machinery for cleaning, grading or sorting of food grains or leguminous vegetables are available and advertised. I find that in some contracts orders are for supply of Silo as well as accessories/machines for material handling equipments such as bucket elevators, chain conveyors, belt conveyers, pre-cleaner, drum sieve, bag filter system, auto weighing machine, bag stitching, dust extraction, diverters which performs the functions of cleaning, grading or sorting of food grains or leguminous vegetables. I therefore find that there was no warrant for declaring Silos manufactured by noticee no. 1 as a "system" since it is only a storage equipment. 95.2. On going through para 12.1 of the show cause notice, I find that though the noticee no. 1 have supplied ladders, sealant, level switches, discharge gates, motorized gate and aeration fans and sweep auger (for fl....
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.... requirement of the customer. There was never any doubt that description of the Silo is "GIC Storage Silo". There was also never any doubt that noticee no.1 are manufacturing only Silo in their factory and accessories mentioned above are not an essential part of the Silo manufactured by them and are only supplied as bought out items on customer's demand. These accessories have their individual functions and their individual classifications cannot be extended to cover the Silos which had a separate and clearly defined essential function of storage. I therefore find that there was no warrant for classifying Silos manufactured by noticee no. 1 as 'part' of machine or as a 'system' to fall under CETH 8437. 95.4. I find that in their statement dated 15.12.2014 Shri. D.B. Ghule, DGM- Productions and Shri. Suresh R. Thakar, General Manager of noticee no. 1, both, have specifically mentioned that Silos manufactured by them are storage equipments. Whereas Shri. Thatte, Vice President (Finance) and Company Secretary (noticee no.2) in his statement dated 08.08.2015 has stated that the Silos System inter-alia performs the functions of cleaning, sorting or ....
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....8 digit classification during 2005 and consequent to introduction of more specific sub headings under CETH 9406, particularly sub headings 94060093 and 94060099 for 'Silo' the noticee/s should have changed the classification of Silo accordingly. However, I find that they deliberately chose not to do so as it was to their advantage to describe the fully finished. Silos as "components/accessories of GIC Silo System" and continued to classify as parts under CEH 84379090 for availing benefit of Nil rate of duty. I also find that the noticee/s have purposely taken shelter of CESTAT order in their own case which was issued prior to the introduction of 8 digit tariff classification. From the said facts, I find that they deliberately did not revise the classification of the Silos and mis-stated the description of Silos with the sole motive of evading payment of appropriate Central Excise duty. Therefore, the case laws cited in this regard are not relevant. Accordingly, I hold that their contention regarding non invocation of extended period is not acceptable and extended period along with penal action and interest is rightly invokable. 95.6. As regards their contention in ....
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....1944. I therefore hold that demand confirmed is recoverable along with interest at appropriate rate in terms of Section 11AA of the Central Excise Act, 1944 as interest is an automatic consequence to demand of duty." 4.3 From the perusal of the impugned order reproduced above it is evident that revenue has sought to classify the impugned goods as prefabricated buildings under the Chapter 94. The main reason for holding that they are classifiable under the said heading is that this heading is specific heading for the classification of 'SILO'. Appellant have claimed the classification under heading 8437 as per the CESTAT order in their own case reported at [1996 (81) ELT 417 (T)] The relevant chapter headings are along with the relevant chapter notes is reproduced below: The relevant entries in the year 1993-94 Section XVI - MACHINERY AND MECHANICAL APPLIANCES; ELECTRICAL EQUIPMENT; PARTS THEREOF; SOUND RECORDERS AND REPRODUCERS, TELEVISION IMAGE AND SOUND RECORDERS AND REPRODUCERS; AND PARTS AND ACCESSORIES OF SUCH ARTICLES 3. Unless the context otherwise requires, composite machines consisting of two or more machines fitted together to form a whole and....
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....omponent or as being that machine which performs the principal function. 4. Where a machine (including a combination of machines) consists of individual components (whether separate or interconnected by piping, by transmission devices, by electric cables or by other devices) intended to contribute together to a clearly defined function covered by one of the headings in Chapter 84 or Chapter 85, then the whole falls to be classified in the heading appropriate to that function. 5. For the purposes of these Notes, the expression "machine" means any machine, machinery, plant, equipment, apparatus or appliance cited in the headings of Chapter 84 or 85. Section XVI - MACHINERY AND MECHANICAL APPLIANCES; ELECTRICAL EQUIPMENT; PARTS THEREOF; SOUND RECORDERS AND REPRODUCERS, TELEVISION IMAGE AND SOUND RECORDERS AND REPRODUCERS; AND PARTS AND ACCESSORIES OF SUCH ARTICLES 8437 Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables; machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farm type machinery 84371000 - Machines for cleaning, sorting or gradin....
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....isputes comes down very sharply. There is transparency and there is reduction in the number of disputes. All these will facilitate trade. .." 4.5 India is signatory HSN Convention and Article 3 of the Convention provides as under: "Article 3 Obligations of Contracting Parties 1. Subject to the exceptions enumerated in Article 4 : (a) Each Contracting Party undertakes, except as provided in subparagraph (c) of this paragraph that from the date on which this Convention enters into force in respect of it, its Customs tariff and statistical nomenclatures shall be in conformity with the Harmonized System. It thus undertakes that, in respect of its Customs tariff and statistical nomenclatures: (i) it shall use all the headings and subheadings of the Harmonized System without addition or modification, together with their related numerical codes; (ii) it shall apply the General Rules for the interpretation of the Harmonized System and all the Section, Chapter and Subheading Notes, and shall not modify the scope of the Sections, Chapters, headings or subheadings of the Harmonized System; and (iii) it shall follow the numerica....
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....icated building has been defined by the Chapter Note 4. Chapter Note 4 was not amended as result of introduction of Eight Digit Classification Code. Further it is to be noted that the term "pre fabricated building" has been defined using the word "mean", and as per the principles of interpretation, a definition using the word mean is restrictive in nature and limited to what has been stated therein. The HSN Explanatory Notes to chapter heading 9406 reads as under: "This heading covers, "prefabricated buildings", also known as "industrialized buildings" of all materials. These buildings, which can be designed for a variety of uses, such as housing, worksite, accommodation, offices, schools, shops sheds, garages and greenhouses, are generally presented in the form of: • Complete buildings, fully assembled, ready for use; • Complete buildings, unassembled; • Incomplete buildings, whether or not assembled, having the essential character of prefabricated buildings. In the case of buildings presented unassembled, the necessary elements may be presented partially assembled (for example, walls, trusses) or cut to size (beams, joists,....
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...."pre fabricated buildings". If that was the case then even prior to introduction of the Eight Digit Classification code, also the said goods would have merited classification under the Heading 940600. This was not even the argument ever before tribunal in the case of Thermax, decided earlier. Tribunal has in that case held as under: "5. It was their contention that it is classifiable as Agricultural machinery for storage of grains and oil seeds as it is intended for use by farmers and farmers' cooperatives. It has devices for grain handling, loading and unloading and (sic) and safeguards grains against rains, rodents, insects and fungi so that they can be stored for a longer duration with no deterioration in quality. 6. The Silos are supplied with standard accessories as well as optional ones including a temperature sensing device and level indicator, ....... grain cleaner and begging system etc. 7. In this connection, he would also like to mention that the agricultural machinery can be broadly classified into three types, (i) meant for soil preparation or cultivation (84.34), (ii) harvest or threshing machinery (84.33) and (iii....
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....produce as for example, those having Soyabean or Mustard Oil plants or Barley Milling plants or Palm Kernel mill or Cattle feed milling plant, Sugar Mills or Grain Milling plants for distillary etc. 14. It was, therefore, his contention that their complex system was usable by farmers and agricultural cooperatives as well as by milling industry, and their main customers have been the later ones. 15. Therefore, it was their contention that their plant is classifiable under 84.37 and in the alternative under 84.36. 16. Learned counsel Shri Lakshmi Kumaran also stated that although their prayer is for classification under 84.36 but he has no objection if their product is held to be classifiable under 84.37 because it was usable by milling industry as well. 17. It was also the contention of both the ld. counsels that whether it is classified under 84.36 or 84.37 in either case the product will be eligible for the benefit of exemption Notification No. 111/88, dated 1-3-1988 which covers both these headings. 18. Learned D.R. opposed the prayer. He drew attention to the order-in-original passed by the Additional Collector and emphasised that the....
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....accessories. In America, this type of machinery is used by individual farmers also but in India, from the list of customers produced before us, it appears that it is being used mostly by milling industry at present. Hence, in our opinion, it will be more appropriate to classify it under Heading 84.37. 24. Headings [84.78] and 84.79 are residuary entries which can be considered only if a product could not be classified in any of the more specific headings. Since in our opinion, these plants are classifiable under 84.37, both 84.78 and 84.79 go out of picture." 4.10 In case of Quality Steel Products Pvt. Ltd [1993 (65) ELT 513 (T)] affirmed by the Hon'ble Supreme Court as reported at [1996 (83) ELT A 106 (SC)], following was observed: "Further, change in tariff does not change the nature of goods. It is true that 26AA (iv) of erstwhile Central Excise Tariff was wide compared to 7306.90 of the new Tariff and there was only one single entry covering all sorts of tubes and pipes as against number of sub-headings in the new Tariff as it was argued by the D.R. But mere change in tariff or incorporating number of headings and sub-headings will not take away the nature ....
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....2004 amendment and continue to be excisable subsequent to the 2004 amendment and, therefore, the decision rendered by the Commissioner of Central Excise (Appeals) on 27th May 2004 prior to the 2004 amendment was binding on the adjudicating authorities including the Commissioner of Central Excise even after the 2004 amendment to the 1985 Act." 4.12 In case of Amiya Corporation after referring to the HSN Explanatory Note for Heading 9406, Tribunal has observed as follows: "3. Revenue's case in the impugned orders is that since the appellants have supplied prefabricated structures, therefore, the prefabricated buildings are classified under Heading 94.06. We observe that every structure is not necessarily a building. The building must have a wall as is apparent from the HSN Explanatory Notes. We observe that there is no allegation whatsoever in all the impugned orders nor in the customers orders relied upon by the Revenue that the appellants herein have supplied panels for walls and roof. Therefore, in our considered opinion, the structure supplied by the appellants in unassembled form as mentioned above cannot be treated as prefabricated buildings under Tariff Heading 94.....
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....g the features of the complete machine (see Part (IV) above), presented unassembled (see also in this connection the General Explanatory Notes to Chapters 84 and 85). However, unassembled components in excess of the number required for a complete machine or for an incomplete machine having the characteristics of a complete machine, are classified in their own appropriate heading. (VII) FUNCTIONAL UNITS (Section Note 4) This Note applies when a machine (including a combination of machines) consists of separate components which are intended to contribute together to a clearly defined function covered by one of the headings in Chapter 84 or, more frequently, Chapter 85. The whole then falls to be classified in the heading appropriate to that function, whether the various components (for convenience or other reasons) remain separate or are interconnected by piping (carrying air, compressed gas, oil, etc.), by devices used to transmit power, by electric cables or by other devices. For the purposes of this Note, the expression " intended to contribute together to a clearly defined function covers only machines and combinations of machines essential to the perfo....
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.... (11) Radar apparatus with the associated power packs, amplifiers, etc. (heading 85.26). (12) Satellite television reception systems consisting of a receiver, a parabolic aerial reflector dish, a control rotator for the reflector dish, a feed horn (wave guide), a polarizer, a low-noise-block (LNB) down converter and an infra-red remote control (heading 85.28). (13) Burglar alarms, comprising, e.g., an infra-red lamp, a photoelectric cell and a bell (heading 85.31). It should be noted that component parts not complying with the terms of Note 4 to Section XVI fall in their own appropriate headings. This applies, for example, to closed circuit video-surveillance systems, consisting of a combination of a variable number of television cameras and video monitors connected by coaxial cables to a controller, switchers, audio board/receivers and possibly automatic data processing machines (for saving data) and/or video recorders (for recording pictures). (IV) INCOMPLETE MACHINES (See General Interpretative Rule 2 (a)) Throughout the Section any reference to a machine or apparatus covers not only the complete machine, but also a....
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....t digit classification code introduced by the Central excise Tariff Amendment Act, 2004. We also take note of the Shipping Bills field by the appellant classifying the same goods under CTH 843709090 and assessed by the Custom Authorities at Nhava Sheva under the said heading. 4.19 In view of the discussions as above we do not find any merits in the impugned order classifying the impugned goods cleared by the appellant under CETH 94060099 and demanding the duty accordingly. 4.20 When the issue was taken up and decided upto tribunal in 1995, all the facts were in the knowledge of the revenue since then. The amendment scheme of classification from 6 digit to 8 digit was introduced in 1995 and the Office of Chief Commissioner has rendered the opinion after examination of the issue on 9th January 2013, then it is not understood just for the change of opinion how can appellant be charged for suppression with intent to evade payment of duty subsequently for invoking extended period of limitation and for imposition of penalty under Section 11AC. 4.21 Since we are unable to sustain the order of demand of duty, the order for demand of interest too can't be sustained. 5.1 Appeals ....
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....ated) silo storage systems and post-harvest equipment including grain cleaners, batch dryers, conveyors and elevators for grain handling. Leading food industries across the country have installed our silo system and are benefitting from improved plant profitability. APPLICATIONS SOLVENT EXTRACTION PLANTS OIL MILLS STARCH PLANTS GRAIN BASED DISTILLERIES FLOUR MILLS We offer GIC Flat Bottom Silos in capacities ranging from 100 MT to 6000 MT each, to store oil seeds, maize, cereals, etc. Higher capacities are available on request. The Silo system includes ancillary equipment such as Elevators. Conveyors, Cleaners etc. BREWERIES GIC Hopper Bottom silos are available in capacities ranging from 100 MT to 500 MT each. for storage of barley malt. Elevators and Conveyors can be tailor-engineered to suit specific requirements. CATTLE FEED/ POULTRY FEED PLANTS We offer Hopper Bottom or Flat Bottom silos in various capacities to store raw ingredients of cattle and poultry feed. Shirke also offers a modern feeding system with GIC bins for poultry farms. Typical system for a brewery. Silo system for a cattle feed plant SUGAR FA....
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....ne 411 036. 020-2681 3077, 2687 0151, 152, 232 NEW DELHI MUMBAI BANGALORE HYDERABAD Fax: +91-20-26871612 E-mail: [email protected] BRANCH OFFICES 1308, Hemkunt Towers, Nehru Place, New Delhi-110 019. PHONE: (011) 26464076. FAX: (011) 26462308 Near Parsi Well, Cross Maidan, Churchgate (East), Opp. C.TO., Mumbai-400 020. PHONE: (022) 22624574, FAX: (022) 22624894, E-mail: [email protected] 303 & 304 , 3rd Floor, Brigade Towers, 135 Brigade Road, Bangalore-560 025. PHONE: (080) 22277360/1, FAX: (080) 22277362, E-mail: [email protected] : Surya Towers, 7th Floor, H Block, 1-7-4 to 19, S. P. Road, Secunderabad-500 003. PHONE: ( 040) 27841738, FAX: (040) 27846508, E-mail: [email protected] 1 Document 5 SHIRKE 9999 7779 88 1111 88 60 Hardwares GIC SILO GRAIN STORAGE SYSTEM For grain based industries, Starch Plants, Solvent Extraction Plants. Flour Mills, Rice and Oil Mills, Breweries, Grains based Distilleries, Cattle Feed Poultry Feed Plants. Silo capacity from 5 MT to 10000 MT each. MECHANISED SUGAR HANDLING SYSTEM WITH GIC SILOS System comprises Bucket elevators, GIC sil....
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....el Road, Secunderabad - 500003. TEL.: (040) 27841738 FAX: 27846508 E-Mail: [email protected] Nagpur : Akar Builder Colony, Bldg. No-4, Flat No.-5, Chitnwis Layout, Bairamji Town, Nagpur - 440013 TEL: (0712) 2594519. FAX: 0712-2594468 E-Mail: [email protected] Document 7 ANNEXURE- GUJARAT AMBUJA EXPORTS LTD. "Ambuja Tower", Opp. Memnagar Fire Station, Post-Navjivan, Navrangpura, Ahmedabad 380 014 (India). Phone 079-2642 3316 (5 Lines) Fax: +91 079 26440776/2642 3079 Email: [email protected]. Visit us at: www. ambujagroup.com GAEL HO19099-HUBU|13-14| March 24, 2014 To, M/s B.G. SHIRKE CONSTRUCTION TECHNOLOGY P. LTD (POST HARVEST EQUIPMENT DIVISON) 72-76, MUNDHWA, PUNE- 411 036 (INDIA) Tel.: 020-26708245, 26708246, Direct: 26824047/Fax: 020-25871612/Email: [email protected] Mr. A.S.Sable-IG.M.-PHEDI 090490 04154.] Dear Sirs, This has reference to your offer no. PHED/VMK/00154/151213/RO dated 18.12.2013 and subsequent discussion we had with you, we are pleased to place our order on you for supply of GIC FLAT BOTTOM SILO of 10,000 MT x 1 No with accessories for Maize storage with B.D. 750 KG/M' Compaction factor @5% on ....
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....ll have the jurisdiction. If, however, so desired, such disputes can be taken up to the arbitrators appointed mutually for settlement There will not be any escalation of the price till commissioning of equipment DESTINATION & CONTACT PERSON AT SITE Delivery & Billing Address for KARNATAKA Gujarat Ambuja Exports Ltd Survey No 153 & 154, Maldi Cross P.B.ROAD, 37 KM From Hubli Towards Banglore, AT-Hulesoggi, Shiggoan, Dist-Haveri, Karnataka Tin No.-29680 895530/CSTNO-29530 785275 Contact Person Mr. Paresh Upadhyay Mr. Umesh Pandey Mr. Vaibhav Patil Mr. Mathod 099245 01607 H.O. 090999 76335-Plant -094808 27002-Plant -094808 27005 - Plant Please return the duplicate copy of this Purchase Order duly signed by you as a token of your acceptance Thanking you, Yours ithfully, For, GUJARAT AMBUJA EXPORTS LIMITED MANISH GUPTA MANAGING DIRECTOR ated Annexure-I for Technical Specification of Silo-10000 Tons 1 No.) Document 9 213 GUJARAT AMBUJA EXPORTS LTD. "Ambuja Tower, Opp. Memnagar Fire Station, Post-Navjivan, Navrangpura, Ahmedabad-380 014 (India). Phone-079-2642 33 16 (5 Lines) Fax: +91 079 26440776/....
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.... and Vertical supports made up of standard structural steel are provided for supporting the overhead conveyer. Basic Amount in INR 104,20,000.00 BCS SELL- Supply 100) Tant No] Hald Document 10 214 101 GUJARAT AMBUJA EXPORTS LTD. "Ambuja Tower", Opp. Memnagar Fire Station, Post-Navjivan, Navrangpura, Ahmedabad-380 014 (India). Phone-079-2642 3316 (5 Lines) Fax: +91 079 26440776/2642 3079 Email: [email protected]. Visit us at: www.ambujagroup.com ANNEXURE-II TECHNICAL SPECIFICATIONS & SCOPE OF SUPPLY 1. GIC FLAT BOTTOM SILO Flat bottom type, sidewall made of Galvanized Iron Corrugated (GIC) sheets, shell wall strengthened by using splices, stiffeners of suitable size & thickness, ladder with cage Roof made of Galvanized Plane (G.P.) sheets, supported with rafters of suitable size, manhole on the roof. Silo is provided with unloading gates at the bottom. Silo construction is of bolted type. ASTM A653 CLASS 1 G.P SHEETS G.P SHEETS LF.Q. 450 G.S.M Hot dip galvanized Fe410 grade 1 Shell wall SHEETS 2 Roof Sheet 3 Structural 4 Roof angle 28 Degree S Hard wares 6 Galvanizing 7 Sealant 8 H.T. 8.8 ....
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....R NUTRIENTS PRIVATE LIMITED Corporate Office: 9, A. J. C. BOSE ROAD, IDEAL CENTRE 5TH FLOOR, KOLKATA-700 017 PHONE: +91 33 4023 9000 FAX +91 33 4023 9011 BI COMMERCIAL: BASIC PRICE BREAK UP SILO AND SILO ACCESSORIES FBT 10000 MT X 4 NOS GIC SILO SYSTEM SL Model Description ety Basic Price (INR) in Lakhs- Negotiated 2. GIC FLAT BOTTOM SILO: 10000 MT FOR STORING SOYABEAN (BULK DENSITY: 740 Kg/m3). Model diameter Eave Height Overall Height 28 46x 16 Rneak volume $3057 m 16.01 meter 27.87mneter from GL The externally stiffened grain silo includes: a) Exterior ladder with safety cage b) Intenor ladder package c) Rung ladder top of the roof d) Sealant and hardware. e) Grain spreader SILO ACCESSORIES a) Sweep Auger - 1 No / Silo This is required to remove the left out grain from the silo after gravity unloading Made from structural steel (MS). bolted in construction with pivot assembly, screw with trough assembly traction and wheel Flame proof geared motor of suitable HP for screw main drive and geared motor for fraction wheel are provided. b) Level Switches -2 Nos/Silo Two numbers ....
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....structural tower support suitable for elevator (EL2) of height 36 meters, feeding grain to the SILO SUPPORTING STRUCTURE FOR PRECLEANER 7.09 1 No 2.20 3. Precleaner maintenance and supporting structure / platform is provided. 1 Set CHUTES & DUCTS 1.56 4 Made up of MS plates. The chutes and ducting are provided at all transferi discharge points of the grain handling equipments and SILO's 1 Set 11.65 TOTAL BASIC PRICE (INR) IN LAKHS Registered Office: 17A, BC, EVEREST, 46C, CHOWRINGHEE ROAD. KOLKATA-700 071 Phone 91 33 2288 6439, 4017 9000 Fax: 01 33 2288 2490 E-mail [email protected] - Document 14 2J SHALIMAR NUTRIENTS PRIVATE LIMITED Corporate Office : 9. A. J. C. BOSE ROAD, IDEAL CENTRE, 5TH FLOOR, KOLKATA-700 017 PHONE +91 33 4023 5000 X 91 33 402 9011 MATERIAL HANDLING EQUIPMENTS 1. 2. 2. a) SL Model Description BUCKET ELEVATORS (EL) EL1 X 100 TPH X 15.00 Meter EL2 X 100 TPH X 36 Meter CC1 X 100 TPH X18.00 Meter CC2 X 100 TPH X 48.0 Meter b) a) b) CHAIN CONVEYERS (CC) c) CC3 X 100 TPH X 48.00 Meter d) BELT CONVEYERS (BC) a) BC1 X 100 TPH X 19.00 Me....
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....ion Technology Pvt. Ltd., 72-76, Mundhwa, PUNE 411 036. Sir, - Kind Attn: A. S. Sable, G. M. (PHED) Sub: Work order for Erection & Commissioning of Sugar Silo System in our Sugar Mill. Ref: 1. Your proposal No: PHED/VVR/398/130411/RO dtd: 13-04-2011. 2. Negotiation held at factory site with your representative Mr. Vijay Rasal on 01-06-2011. 3. Our provisional order no: BSML/Pur/Tech/Ord/2011-12/333 dtd: 01-06-2011. IMITED BILAGI SUGAR MILL LIMITED With reference to the subject & references cited above, we are pleased to entrust the work of erection of entire sugar storage, Weighment, stitching & conveying system to be installed in our sugar plant. A) Scope of Work: 1. Erection of Silos 3 Nos. with entire structure, equipments & all accessories. 2. Erection of: a) Auto weighing machine - 3 nos b) Bag stitching machine - 3 Nos c) Bag conveyor (slat type) - 3 Nos d) Sugar elevator - 3 Nos e) Belt conveyor (from size to elevators). 3. All accessories piping, control units, drives chutes, liner connection for above equipments. ..2. Document 17 BADAGANDI 587 116 Dist . Bagalko Di....
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....ted before end of Sept 2011 in all respect to commission sugar plant in first week of Oct 2011. f) Guarantee: - Two crushing scasons. If any defects in erection are noticed during working of equipments, the same are to be rectified free of cost. ..4.. Document 19 g) Performance: 257115 Dist.Bagaficol :( 08425) 200244 LTD 22305 After commissioning of total system you will have to demonstrate and prove that system works satisfactorily on full production capacity as given above. K) Other Terms & Conditions: 1. You should engage sufficient skilled staff to complete the work as per schedule. 2. Bar chart to be provided to review periodic work progress. 3. Experienced engineer to be engaged to supervise erection 8 commissioning of the equipments. 4. Free lodging, boarding and local conveyance will be provided to your site supervisory staff. Free accommodation only will be provided to your workers. L Exclusion: 1) Civil foundations. 2) All clectrical cabling work and Panel erection (Except Auto weighing. machine). 3) Shifting of graders or grader staging modification. 4) Stamping and approval....
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.... showing following details. a) Equipment floor plan. b) Material movement path. c) Operation area and operators accessibility. d) Control panel and electrical layout. e) Safety system and inter locks. f) Expected operator allocation in each shift and material flow logic. g) Three sets of all drawings to be submitted for approval of BSML within one week from receipt of this order. h) After receipt of approved G. A. layout drawings, foundation drawings of each equipment to be given for casting foundations. i) Air, Power and Manpower requirement to be given to see their availability and to make arrangement for additional requirement. j) Project schedule to be given based on the available time limit (as agreed in the meeting for material supply). k) Layout and design of equipment should be such that they are maintenance free easy for operation and easy accessibility especially those parts which require frequent attention. ..3. Document 22 D) Specification of Equipments: 1) Sugar Silos: 3 226 BADAGANO 587 116 Dist. Bagalkot : ( 08425) Dist Bagalkot * -The silos to be designed considering all suga....
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....ure will be preferred. The system shall have consistent accuracy level in the range given. Under no circumstances. Accuracy limit of +/- 20gms should not exceed. The weight output to be digitally displayed lasting till the next drop. Machine shall have following facilities. a) Auto fall correction device. b) Auto zero c) Upper & lower limit alarm / display. d) Automatic checking tare weight. e) Customized dust proof control panel with display of no. of bags produced and inter lock for operation to be provided. f) Machine shall have Pneumatic bag clamping arrangement. All pneumatic cylinders, valves of rugged construction and of reputed make. ..5. Document 24 P 2002 LTD. MILL LY alkot Machine to be provided with adequate structure (to with stand vibration), platform, stair case, railing, etc., The design shall be of superior quality. Weighing machine should be approved by weight & measurement department in Karnataka, necessary documents for getting stamping done to be submitted with supply. 3) Stitching Machines -3 nos. 6 Mv Och To stitch 100/50Kgs filled jute & P.P. bags at the rate of minimum ....
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....f food grade quality with minimum 450mm width and length to suit location of 3 nos of elevator to transport 3 grades of sugar from 2 nos of sizers to be provided. Suitable screw type take up unit to be provided for tensioning belts at one end. Conveyers shall be complete with sturdy structure, drives etc., 7) All hardwares, jointing, chute equipments for inter connections - one lot. E) Terms and conditions: 1) Price: Rs, 72,00,000/- (Rupees Seventy two lakhs) for supply of entire Sugar Silo System. 2) F. O. R Ex works, Pune. 3) P & F : Nil. 4) Excise Duty : Nil. 5) Taxes : 2% CST, against "C" form. ..7. Document 26 7 *BIL 230 UGAR M BADAGANDI (08425) 200244 galkot 6) Payment terms a) 25% advance alongwith order. 017 7) Guarantee 8) Delivery b) 65% against proforma at the time of delivery c) Remaining 10% one month after satisfactory commissioning against Performance Bank Guarantee for two crushing seasons. : If workmanship found faulty or defective, the faulty Equipment to be repaired or replaced free of cost durir the Guarantee period. : Supply should be made in such a ....