2004 (6) TMI 357 - AT - Central Excise

Summary

Issues: Classification of medicaments under Chapter 3003.10 vs. 3003.20, Modvat credit availed, Generic names in prescribed books.

Classification under Chapter 3003.10 vs. 3003.20:
The appellants manufactured medicaments for various loan licensees/companies and filed a claim for classification of specific products under different classification lists. The Revenue appealed for setting aside the approval of these lists under 3003.10 and requested classification under 3003.20 as Generic Medicaments. The Commissioner (Appeals) found that the appellants used a house mark as a brand name on containers labels, leading to upholding the classification under 3003.20 for products sold in generic names. However, specific names like Ampicillin, Cloxacillin, and Lyramycin were deemed non-generic as they were not found in prescribed books. The Tribunal noted that the placing of a house mark/logo alone does not warrant classification under 3003.10, as per the Astra Pharmaceuticals case. The Tribunal directed a reconsideration by the Commissioner (Appeals) for certain entities to determine the exact marks on labels/containers and reclassify accordingly.

Modvat credit availed:
The appellants availed Modvat credit on inputs and utilized it for product clearance. The Revenue appealed to deny the Modvat credit availed. The Tribunal's decision did not specifically address this issue in the summary provided.

Generic names in prescribed books:
The Commissioner (Appeals) concluded that names like Ampicillin, Cloxacillin, and Lyramycin did not fall under generic medicaments as they were not found in prescribed books. The Tribunal directed a reexamination by the Commissioner (Appeals) to determine the exact marks on labels/containers for proper classification. The issue of generic names in prescribed books was crucial in deciding the classification under Chapter 3003.10 or 3003.20.

Conclusion:
The Tribunal upheld the classification under 3003.20 for products sold in generic names, directed a reevaluation for specific entities, and upheld the classification under 3003.20 for Gentamycin Injection. The judgment provided detailed analysis on the classification issues, the use of house marks, and the importance of generic names in prescribed books for accurate classification of medicaments under the relevant chapters.