TMI Blog1993 (12) TMI 139X X X X Extracts X X X X X X X X Extracts X X X X ..... Degras is nothing but a bulk drug which is specified in Indian Pharmacopoeia. They have claimed that it is classifiable under sub-heading 2942.00 read with Notification No. 234/86 as an organic compound. According to the report of the Chemical Examiner the product was found to have characteristics of Lanolin Anhydrous (Purified Degras) . According to Hawley s `Condensed Chemical Dictionary `Lanolin Anhydrous is derived from wool grease which is a crude grease obtained by solvent treatment of wool and contains Cholesterol Esters which on purification and refinement give `Lanolin Anhydrous -wool grease is also known as wool fat, wool oil, wool wax. On the grounds that Lanolin Anhydrous arises on further refinement of animal fat, the Assis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t regarded as medicament or cosmetic would be outside the purview of Chapter 15 and therefore, classification of Lanolin Anhydrous I.P. under Chapter 15 was ruled out. (v) According to the reports of two recognised laboratories the specifications of the appellants products compares favourably with the I.P. standards. 3. On behalf of the respondents Shri Somesh Arora the learned JDR stated that according to Hawley s Condensed Chemical Dictionary Lanolin Anhydrous is derived from wool grease by solvent treatment of wool containing Cholesterol Esters which on purification yield `lanolin anhydrous . He added that wool fat grease is also known as wool fat, wool oil and wool wax. He contended that according to the Notes to Chapter 15 of HS ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ght of water without separation. Non-toxic. Derivation : Purification of degras, a crude grease obtained by solvent treatment of wool. Contains Cholesterol Esters of higher fatty acids. Hydrogenated, ethoxylated and acetylated derivatives are available. Grades : Technica; cosmetic; U.S.P. Containers : Drums; tubes. Uses : Ointments; leather finishing; soaps; face creams, facial tissues; hair set and sun-tan preparations." In this regard we find that the following extract from the Note to Heading 15.01 of the Harmonised System (HSN) which has persuasive value for the purposes of classification of goods under the Central Excise Tariff is also relevant :- 15.01 - Lard; Other Pig Fat and Poultry fat, rendered, whether or not press ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the Lanolin (Anhydrous) in question manufactured by them under a Drug Licence, conforms to pharmacopoeial standards and therefore, it will be classifiable either as a medicament under Chapter 30, or as a separate chemically defined organic compound under Chapter 29. In this regard we find that Lanolin (Anhydrous) has numerous uses, one of which is the use as base for ointments. Since it is by itself only a base for ointments and does not have any therapeutic value, in our view its classification as a medicament under Chapter 30 would be ruled out. As regards the appellant s claim that the Lanolin (Anhydrous) would be classifiable under Chapter 30, we find that apart from the fact that the product is more specifically covered by sub ..... X X X X Extracts X X X X X X X X Extracts X X X X
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