TMI Blog2001 (6) TMI 342X X X X Extracts X X X X X X X X Extracts X X X X ..... oice, bill of entry and packing list relating to the said import described the goods as Wood-in-rough/roughly squared (HSN 44.03) . He also draws our attention to the Phytosanitary Certificate dated 2-1-1998 issued by the Department of Agriculture, Sarawak, Malaysia in accordance with the provisions of Plant Quarantine Regulations, 1981 certifying the goods to be 746 bundles - Wood in rough/roughly squared (HSN 44.03) . Similarly, in the Certificate of Origin dated 5-1-1998 issued by Kuching Chinese General Chamber of Commerce Industry the goods were certified to be Wood-in-rough/roughly squared (HSN 44.03) . He also submits that before the shipment the goods were also check-graded by M/s. PUSAKA (Sarawak Timber Industry Development Corporation) and were found to be Wood-in-rough/roughly squared as certified in their certificate dated 12-1-1998. He submits that even the Customs Officers duly examined the goods in original and found the same to be as per declaration filed by the appellants. The endorsement on the back of the bill of entry made on 16-1-1998 reads as under : Seen in the goods for Appt. Checked declaration and found in order w.r.t. B/L, Invoice, P/L, PQ Cft.. A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... und on the representative sample. (iii) It was also found specifically that the representative sample had the rough surfaces and that the surfaces were neither straight nor to accurate dimension. (iv) It was specifically stated by the officers that their first report dated 27-1-1998 relating to the goods in question was correct and that the said report was given after inspection of the goods and that they stand by the same. (v) In case of sawn wood, the wood is sawn to an accurate dimension whereas in case of wood roughly squared, the wood is not sawn to an accurate dimension but is only roughly sawn or chopped. Sawn wood is sawn by use of sawing machine to accurate dimensions and straight grains. Depending on the size of the log, the wood-in-rough can be made into more than one piece. 3. He submits that in the show cause notice only the relied upon report dated 5-2-1998 given by Shri R.K. Bose who during cross-examination has admitted that his first report dated 27-1-1998 was correct and was given after inspection of the goods. The contradiction between the two reports was also explained by the officers. He submits that even if the two reports are contradictory ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e description and characteristics of sawn timber falling under Heading No. 44.07 must be satisfied. When the goods are wood-in-rough/roughly squared, the same are specifically covered by Heading No. 44.03 and have to be classified thereunder and this position is clear from the said explanatory notes in HSN itself both below Heading No. 44.03 and 44.07. Classification of wood-in-rough/roughly squared under Heading No. 44.07 will be contrary to the specific description of Heading No. 44.03. There is no restriction or condition in Heading No. 44.03 save and except that the goods in question must be wood-in-rough/roughly squared. Such wood-in-rough/roughly squared, even though roughly resembling the shape of a beam, can never be treated or regarded as sawn beams and the question of their classification under Heading No. 44.07 obviously does not and cannot arise. In so far as beams are concerned, these are totally different products. Wood-in-rough/roughly squared having bark traces, sap wood, hand-sawing marks etc. can never be treated as regarded as sawn beams , simply because such wood is in the form of long pieces. Even from ISI Publication named, Handbook on Timber Engineering ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... den is upon the Revenue, which has not been discharged in the present case. Accordingly, he submits that there was no occasion for the Revenue to confiscate the goods and impose personal penalty upon the appellants. 7. Shri V.K. Chaturvedi, learned SDR appeared for the Revenue. 8. We have heard the submissions of both sides and have also gone through the impugned order-in-original. The first question required to be decided is as to whether the wood in question was sawn wood so as to classify the same under Heading 44.07 or the same was wood in rough so as to fall under Heading 44.03. The evidence relied upon by the Revenue in the show cause notice for holding that the wood in question was wood sawn was the report dated 5-2-1998 of Shri R.K. Bose, Range Officer. However, as in contra distinction of the said report there was an earlier report of the Forest Officer which is to the effect that the wood in question was wood sawn, Shri R.K. Bose was cross-examined. During the cross-examination the reference was made to the first report of Shri R.K. Bose given on 27-1-1998 where it was mentioned that bark was present in most of the case. Shri Bose during his cross-examination admitt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The said sap wood unless treated, it gets decayed and for the purpose of transportation of the wood logs to the saw mills, the sap wood and the outer chips are removed either by sawing by means of axe or adze, or by coarse sawing to form wood of roughly rectangular (including square, cross section). The HSN Explanatory Notes further state that roughly squared wood is characterised by the presence of rough areas or bark traces. While the explanatory notes for wood sawn under sub-heading 44.07 as noted above, has clearly stated that the wood and timber falling under this heading would have been sawn or chipped along with the general direction of the grain or cut by slicing or peeling. The wood is obtained by the use of chipping machines and which has been chipped to extremely accurate dimensions - a process which results in a surface better than that obtained by sawing and thereby renders subsequent planning unnecessary. Therefore, it has to be seen whether the impugned goods have fulfilled the specified criteria laid down under the HSN Explanatory Notes for sawn wood which has got the persuassive value for the purpose of classification. 10. It is seen that the shape of the wood i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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