TMI Blog1997 (11) TMI 376X X X X Extracts X X X X X X X X Extracts X X X X ..... rious items in respect of which different bills of entries were filed by the appellant company are as under :- Vessel Particulars Port of Supplier B/E No. and dated Brief description of the goods 1. M.V. Ostara Singapore 1/96-97 dt. 3-4-86 1(one) OH dredger Anchor handling pontoon type (Coby) 2. Do Line No. 2 Do 2/96-97 dt. 3-4-96 2. One Survey Boot (Hassan) 1. Pipes, bends, waterbox, bolts, nuts etc. 3. Condock IV Rot. No. 60/96 Papendreckt 26/96 dt. 26-4-96 1. One Cutter Suction Dredger (Germini) 2. Various paints. 4. Condock IV Rot. No. 60/96 Do 23/96 dt. 26-4-96 1. Floating Pipe Line. 2. Pontoons. 3. Winch. 4. Bend in the bone joints. 5. Do Do 25/96 dt. 26-4-96 1. Flexible floating pipe line. 6. Do Do 24/96 dt. 26-4-96 1. Submerged Pipe Line. 7. Do Do 27/96 dt. 26-4-96 1. Shore Pipe 2. Valves 3. Bends 4. Various Pipe Line Parts. 3. The appellant firm claimed classification of all the above items under Chapter sub-heading 8905.10 and nil ra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for discharge of the Dredged material. He submitted that the Cutter Suction Dredger imported by the appellant firm was in the form of a Pontoon. The main Pontoon structure contained only Dredge pumps, main engines, drives etc, but the other essential items tacked separately like the Spuds, Cutter Heads, Anchors, Submerged Pipes, Suction Pipes, Off-shore Pipes, Pick Points, Pontoons for holding the Off-shore Pipelines for discharging the dredged materials - Suction Pipe, Submerged Pipe and Shore-line Pipe are essential parts of the Dredger. He pointed out that the function of a Dredger is not only to dredge the material but also to shift the dredged material to a distant place through a continuous pipeline system. He drew the attention of the Bench to the impugned Orders passed by the authorities below and submitted that though they have agreed with the appellants regarding constructional and functional characteristic of the dredger with reference to the dredging and discharge operation, but did not agree to treat the discharge-system as a part of the Dredger. Shri Rawal argued that the classification is to be functional-based and without the discharge system of Dredger, the same ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his above submission, Shri Rawal has relied upon a number of decisions of the Tribunal and the Honourable Supreme Court. 6. Countering the arguments of the appellants, Shri R.K. Roy, learned JDR has submitted that each classification case has to be decided on the facts of each case and no analogy can be permitted. He submitted that as is clear from the Tariff Entry, only Dredger is mentioned and if the pipelines are allowed as a part of the Dredger, the same would amount to a full-fledged dredging system. He, further, submitted that the Commissioner (Appeals) has passed a detailed and reasoned Order, and reiterated the reasonings adopted by the first appellate authority. 7. Learned JDR submitted that the appellants argument that a Dredger cannot work without pipelines and as such, the same should be considered as a part of the Dredger, is not legally sound inasmuch as a generator cannot work without transmission system, but nevertheless, transmission system is not a part of the generator. Going by the definition of the terms, Dredger and Dredging, given in Chambers Dictionary of Science and Technology (revised edition), learned Departmental Representative submitted that excava ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... et ladder dredger , but adopted for use on land. Bucket Ladder Dredger : It is a vessel of small draught having a series of bucket moving in a continuous chain reading down into the material to be dredged and lifting it for discharge into the vessel itself or into an attendant vessel. 10. From the definitions of various Dredgers as extracted above, we find that Dredging, no doubt, means excavation. But there is definitely a need for continuous lifting of the dredged material and dumping the same at some other place. This can be done by a separate disposal system or discharge system can be a part of the Dredger by itself. Referring to the British Standard Specification (BS 6349, Part - 5 : 199), we find that there are various types of Dredgers like Stationary Suction Hopper Dredger, Trailing Suction Hopper Dredger, Cutter Suction Dredger etc. The Dredger in the instant case is a Cutter Suction Dredger in contrast to the Hopper Dredger which keeps the dredged material in its hold (hopper). When the hold is filled up, the said Hopper Dredger moves to the designated area of discharging dredged materials without the assistance of any pipelines. In such type of Hopper Dredgers, neit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Cutter Suction Dredger. The diameter of the pipeline has a direct bearing on the efficiency of the hydrotransport process. Pipelines fall into the following two categories. 11. From the above description of the Cutter Suction Dredger also, we find that Pipelines attached with the Suction Dredger forms an indispensable part of the main mother craft. The cutterhead, which may be electrically or hydraulically driven, encloses the suction intake of a centrifugal dredge pump. The cutterhead is mounted at the extremity of a fabricated steel structure, termed the ladder , which also supports the suction pipe. The technical and practical requirement of disposal of the dredged material makes the Pipelines a part of the main Dredger. We find that the evidence relied upon by the appellant firm in the shape of the British Standard Specification, strongly favour their case. Accordingly, we hold that the various types of Pipelines are a part of the Dredger itself, qualifying for their classification under Chapter 8905.00 as Dredgers and therefore, they are entitled to the exemption Notification No. 133/87-Cus., dated 19-3-87. As we have held Pipelines as a part of the Dredger enjoying ex ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
