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2015 (8) TMI 297 - AT - Central ExciseClassification of goods - Manufacturing activity or not - Classification of Hajmola, Imli - Classification under Chapter 20 or Chapter 13 - Held that:- Process undertaken to produce tamarind concentrate/paste does not produce any chemical change and the product at the starting point and at the end of the remains the same, but for formation of pulp and removal of added water/moisture. Hence, we find that in the production of tamarind paste/concentrate no process amounting to manufacture is involved. It is pertinent to note that the Department also held the same view in the earlier proceedings as confirmed by the learned Commissioner (Appeals) against which the Revenue is in appeal in two cases. The reason for change in the stand by the Revenue in the subsequent proceedings has not been brought out clearly. There is no change in the process and it is only the change of interpretation without any additional evidence by the Revenue which resulted in confirmation of demands for the later periods. - there is no justification for the change in the Departments view and hold that there is no process amounting to manufacture in this case. Classification of Tamarind Paste/Concentrate - Held that:- It is clear from the flow chart explaining the processed undertaken by M/s Dabur there is no extraction of any material and certainly not from any vegetable source. The raw tamarind purchased is washed and boiled in a tilting pan and thereafter the water is extracted through hydraulic pressure. The resultant product is passed through Film evaporator which gives totally soluble solids. The process undertaken by M/s Dabur apparently cannot be called vegetable extraction. The process involved and the product produced cannot be covered under heading 1302, when examined alongwith Explanatory notes there is no extraction. The water used in washing and boiling the tamarind is in fact removed at thrown away as waste resulting in usable product in the form of pulp. The process thus is more of pulp preparation rather than extraction. These aspects have been examined in detail in the Commissioner (Appeals) order dated 08/05/2006. Here again the change in the view of Revenue for the later period to classify the product as vegetable extract under Heading 1302 is not explained with the reason. With the same set of facts the earlier view of classification was changed - Classification headings and the relevant explanatory notes, we find that the classification adopted prior to change over was correct and sustainable. In other words, the impugned product is correctly classifiable under Chapter 20 rather than Chapter 13 - Decided against Revenue.
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