TaxTMI 
TaxTMI 
2024 (12) TMI 618
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....s (Bes). Appellant have claimed classification of their imported goods, which are "Quick Lime", under Chapter sub-heading 25221000. Imported "Quick Lime" is having more than 90% (Calcium Oxide) and ranging between 90-92% and being obtained by calcination process of Lime stone. Department contested that the imported "Quick Lime" is classifiable under Chapter sub-heading 28259090 under "Metallic Oxide" and attract applicable rate of duty, which is higher to the rate claimed by the appellant. The appellants were served various show cause notices demanding differential duties to the Customs. The appellant have submitted that the goods imported by them is "Quick Lime (Burnt Lime)" which is obtained by calcining industrial grade lime. Chapter sub-heading 25221000 specifically covers "Quick Lime" irrespective of the content of Calcium Oxide contained in "Quick Lime" even lime is subjected to the process of calcinations. "Quick Lime (Burnt Lime)" does not merit classification under Chapter sub-heading 28259090 as the product is not purified calcium oxide. 4. Learned Assistant Commissioner passed the impugned Order-in- Original No. 264/2018 dated 26.12.2018 and rejected the classificatio....
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....nder Chapter 25, they resorted to reclassification of the goods. Further, the Department claimed that the Hi Cal Quicklime was a manufactured product, obtained by calcinations and did not merit classification under CTH 25221000. 8. Learned AR also stated that that the chemical name of Quick lime is Calcium Oxide (CaO). Quicklime is a metal oxide and thus is an inorganic compound. The purity percentage or CaO content of quicklime depends on source material from which it has been mined. Quicklime, also referred to as CaO, is usually made by the thermal decomposition of materials, such as limestone or seashells, that contain calcium carbonate (CaCO3) mineral calcite) in a lime kiln. This is accomplished by heating the material to above 825 °C in a process called calcination to liberate a molecule of carbon dioxide (CO2), leaving quicklime. In terms of the HSN Explanatory notes and Chapter Heading Notes, quicklime in crude state is classifiable in CTH 2522 whereas Calcium Oxide is classifiable in the CTH 2825 and stated that CaO content in quicklime is determining factor of classification of quicklime. Since the CaO content is higher in the imported products, they are classifiab....
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....urposes, classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes and, provided such headings or Notes do not otherwise require, according to the following provisions: 2. (a) Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as presented, the incomplete or unfinished articles has the essential character of the complete or finished article. It shall also be taken to include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), presented unassembled or disassembled. (b) Any reference in a heading to a material or substance shall be taken to include a reference to mixtures or combinations of that material or substance with other materials or substances. Any reference to goods of a given material or substance shall be taken to include a reference to goods consisting wholly or partly of such material or substance. The classification of goods consisting of more than one material or substance shall be according to the principles of rule 3. 3. When ....
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.... Rate of Duty Stand ard Preferential Areas (1) (2) (3) (4) (5) 2522 - QUICKLIME, SLAKED LIME AND HYDRAULIC LIME, OTHER THAN CALCIUM OXIDE AND HYDROXIDE OF HEADING 2825 2522 10 00 Quicklime kg. 10% - 2522 20 00 Slaked lime kg. 10% - 2522 30 00 Hydraulic lime kg. 10% -" "Tariff Item Description of goods Unit Rate of Duty Stand ard Preferential Areas (1) (2) (3) (4) (5) "Hydrazine and hydroxylamine and their inorganic salts; other inorganic bases; other metal oxides, hydroxides and peroxides 2825 10 - Hydrazine and hydroxylamine and their inorganic salts: kg. 10% - 2825 ....
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....anic chemicals; organic or inorganic compounds of precious metals, of rare-earth metals, of radioactive elements of isotopes which are products of chemical or allied industries falling under Section VI of the said Schedule. Further, it can be said that Chapter heading 2522, clearly provides that quicklime, slaked lime and hydraulic lime are classifiable under specific tariff items provided for therein; however, calcium oxide and hydroxide of Chapter heading 2825 are excluded from the scope of coverage under the heading 2522. Similarly, the description of the Chapter heading 2825 provide for coverage of the goods under its scope which are specifically mentioned as Hydrazine and hydroxylamine and their inorganic salts; other inorganic bases; other metal oxides, hydroxides and peroxides. However, if any inorganic basis or metal oxides, hydroxides and peroxides which are not specifically mentioned therein by a specific tariff entry, then they will be classified under "other" category in sub-heading 28259090. 17. We find that Heading 25221000 covers within its scope and ambit, mainly of three specific goods such as the following: (i) first one i.e., "quicklime"; (ii) the second one, ....
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....(c) classification of the product would be decided to bring it under the heading that occur last in the numerical order among those which equally merit consideration. In the present case, the facts reveal that the imported goods are quicklime. There is no case of mixture of different material or substance to merit application of GIR 2 or 3. Thus, the Revenue's argument for classification of quick lime under heading 2825 as it occurs last among other classification under heading 2522 is not legally sustainable. 20. Thus, we find that there is no case for application of Rule 3 of GIR in this case. In view of the above, we are of the view that the imported goods are appropriately classifiable under CTH 25221000. 21. Further, we also note that in Appeal No. C/51224/2019, Principal Bench, New Delhi, in the case of M/s Jindal Stainless (Hisar) Ltd., Vs The Commissioner of Customs, New Delhi vide Final Order No. A/50751/2020 dated 25.08.2020, of the very same appellant decided that "Quick Lime" is covered under the Heading 25221000. In Appeal No. C/75029/2020 of M/s Jindal Stainless Ltd., vide Final Order No. A/76970/2024 dated 09.09.2024 with regard to same appellant CESTAT, Kolkat....