Central Excise - Classification of 'Heparin injection' under sub-heading No. 3001.00 or 3003.10 or 3003.20 of the Schedule to the CETA, 1985, Clarification regarding - Central Excise - 17/90-CX.3

Central Excise - Classification of 'Heparin injection' under sub-heading No. 3001.00 or 3003.10 or 3003.20 of the Schedule to the CETA, 1985, Clarification regarding Circular No. 17/90-CX.3 Dated 26-3-1990 [From F. No. 112/26/89-CX.3] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Central Excise - Classification of 'Heparin injection' under sub-heading No. 3001.00 or 3003.10 or 3003.20 of the Schedule to the CETA, 1985, Clarification regarding. A doubt has been expressed as to whether 'Heparin injection' is classifiable as 'Heparin and its salts' falling under sub-heading No. 3001.00 or as a patent or proprietary medicine falling under sub-heading No. 3003.10 or as a medicament falling under sub-heading No. 3003.20 of the Schedule to the Central Excise Tariff Act, 1985. 2. The matter was discussed in the South Zone Tariff Conference of Collectors of Central Excise held at Coimbatore on 9th and 11th September, 1989. It was explained that a unit receives Heparin Sodium I.P. in the form of white powder falling under sub-heading No. 3001.00 which has already suffered duty. A solution of a preservative dissolved in distilled water is obtained and Heparin Sodium I. P. is added to the solution. The resultant concentrate is filled in vials and Heparin injection is sold without any brand name. The Conference observed that Heparin and its salts are specified under sub-heading No. 3001.00. However, a view was expressed that the Heparin injection is patent and proprietary medicine since it bears the address of the manufacturer, even though no brand name is printed on the packing. The other view was that as no brand name was printed on the vial or the packing, the product in question cannot be treated as a patent or proprietary medicine and can only be classified as a medicament under sub-heading No. 3003.20, invoking Chapter Note 2 of the Chapter 30. The conference observed that the issue be further examined in consultation with the Chief Chemist, CRCL, New Delhi and the Drug Controller(India), DGHS, Department of Health. 3. Accordingly, the matter has been got examined by the Dy. Chief Chemist, CRCL, New Delhi. It has been opined by him that the product satisfies the requirement of 'Medicaments' as it is used in prophylax is and treatment of thrombophlebitis, Palmonary embolism, congestive heart failure, etc. He has expressed the view that the products having the character of medicaments are excluded from the heading 30.01 of HSN as per note(e) under heading 30.01 of HSN. The same condition has been conveyed in note 2(i) of the Chapter 30 of the Central Excise Tariff, wherein only products falling under heading 30.02 and 30.04 have been excluded from the scope of 'Medicaments' of heading 30.03 of CET. Thus, the product stands excluded from the heading 30.01 and is covered by the term medicaments under heading 30.03 of CET. Further, the container does not bear any mark, such as symbol, monogram, label, signature or invented words or any writing which is used in relation to that medicine for the purpose of indicating a connection between the medicine and some person. Therefore, the product does not also merit consideration as Patent or Proprietary medicine. It is medicament, other than Patent or proprietary medicament. The drug Controller (India), DGHS, Deptt. of Health, who has also been consulted in this regard, has endorsed the views expressed by the Dy. Chief Chemist, CRCL, New Delhi. (A copy of Dy. Chief Chemist, CRCL's opinion is enclosed). 4. The Board concurs with the aforesaid view of the Dy. Chief Chemist, CRCL as endorsed by the Drug Controller (India), DGHS, Deptt. of Health, New Delhi. Accordingly, the Board is of the view that 'Heparin injection' is appropriately classifiable as a medicament falling under sub-heading No. 3003.20 of the Schedule to the Central Excise Tariff Act, 1985. 5. The above guidelines may be brought to the notice of lower field formations and the trade interests may also be suitably advised. 6. All pending assess merits may be finalised on the above lines.