2023 (6) TMI 1361

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....lk Containers (FIBC) bags classifiable under Chapter 3923 in addition to other woven fabric products. Appellants from 1.7.2009 reclassified the above products under Chapter 6305 instead of 3923 as 'Other made-up Textiles Articles'; hence, show-cause notice was issued for classifying the said product under Chapter Heading 3923 as was done earlier. The Commissioner (A) in the impugned order held that the goods are rightly classifiable under Chapter 3923 as 'Articles for Conveyance or packing of goods made by other plastics'. Relying on the Board's Circular No.42/2011 held that the goods are not manmade textile material but are of plastic material, hence classifiable under Chapter 3923. The appellant is in appeal against this impugned order on....

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....le material 6305 32 00 Flexible Intermediate bulk containers (FIBC) 2.1 The learned Chartered Accountant quoting the Chapter Heading 6305 32 submits that this chapter specifically mentions Flexible intermediate bulk containers (FIBC) and relying on the HSN Explanatory Notes under this Chapter have claimed that their goods are rightly classifiable under 6305.32. Reliance is placed on Tribunal's decision in the case of Commissioner of Central Excise, Tiruchirappalli vs. Karur KCP Packaging Pvt Ltd.: 2016 (331) ELT 604 (Tri.-Chennai) wherein FIBC was classified under Chapter heading 6305. The goods FIBC are rightly classifiable under Chapter Heading 6305 32 00 and not under 3923 29 90. 2.2 He also relied on Board's Circular No.42/2....

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....ents are always of cylindrical cross-section. This fact has not been disputed by the adjudicating authority. 4.3 Board Circular No. 42/2011-cus. dated 22.9.2011 vide para 13 reads as follows: "13. There has been a dispute regarding classification of FIBC (Flexible Intermediate Bulk Containers). It has been represented that the field formations are classifying the FIBCs under Chapter 39 whereas the FIBC finds a specific mention under tariff item 6305 02 of the drawback schedule and the exporters are being denied drawback mentioned against the heading 6305 02 in the Drawback Schedule. It is hereby clarified that FIBCs which are made of manmade textile material would be classifiable under drawback tariff item 6305 02. FIBCs which a....

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.... it is not of manmade textile material, the classification cannot be concluded under Chapter 39 as 'Articles for Conveyance or packing of goods made by other plastics'. Both the Board Circular and DGFT have clarified that FIBC is classifiable under 6305 based on the HSN Explanatory Notes to Chapter 39 as seen below: "The heading excludes household articles such as dustbins, and cups which are used as tableware or toilet articles and do not have the character of containers for the packing or conveyance of goods, whether or not sometimes used for such purposes (heading 39.24), containers of heading 42.02 and flexible intermediate bulk containers of heading 63.05." 4.6 Further, we find that in the case of CCE vs. Karur KCP Packagin....