2003 (3) TMI 181

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....had held that the goods viz. precured tread rubber is classifiable under chapter Heading 4008.21 as against the sub-heading No. 4016.99 claimed by the assessee-appellants. 2. After hearing both the sides, the operative portion of the order allowing the appeal was pronounced in the open Court on 3-3-2003. 3. The brief facts of the case are that the appellants are a Small Scale Unit and are manufacturers of Pre-cured synthetic tread rubber. They filed classification List 7/90-91 under sub-heading 4016.99 claiming exemption under Notification No. 175/86, dated 1-3-86. Proceedings were instituted against them by issue of Show Cause Notice proposing to demand duty of Rs. 525/- per kg (BED) as per Notification No. 56/88, dated 1-3-88 and SE....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....etreading of rubber tyres". He submits that their goods are made out of moulding primary forms of unvulcanised rubber and when goods are moulded, they do not remain plates, sheets or strips and cannot be called surface worked or further worked and hence should be rightly classified under sub-heading 4016.99. He submitted that the view taken by the Commissioner that the process of moulding would not alter the identity of the goods from that of plates, sheets or strips is not correct and in support of his plea he also referred to Chapter 40, and Circular No. 1/91, dated 23-10-91 of Trichy Commissionerate and Board's letter F.No. 99/7/91-CX. 3 (Circular 27/92) according to which when the goods are moulded and deeply grooved they do not remain ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....her articles of vulcanised rubber other than hard rubber. He has held that the process of moulding do not alter the identity of the goods from that of plates, sheets and strips. He has also held that Chapter Note 9 specifically says "sub-heading No. 4008.21 shall also apply to plates, sheets and strips, whether or not cut to shape and surface worked or further worked so as to render them fit for reasoning or repairing of retreading of rubber tyres. As against the above view of the Commissioner (Appeals), it is the contention of the assessee-appellants that their goods are made out of moulding primary forms of unvulcanised rubber. It is their further contention that the product is a moulded grooved rubber article, and irrespective of the fac....