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TMI Blog2015 (4) TMI 357X X X X Extracts X X X X X X X X Extracts X X X X ..... missioner, Central Excise, by an order dated 01.01.2002 agreed with the Department's classification and classified the said goods under Tariff entry 39.19. An appeal to the Customs, Excise & Service Tax Appellate Tribunal (hereinafter referred to as 'CESTAT') by the appellant was dismissed. The Tribunal by the impugned judgment dated 19.12.2003, agreed with the learned Commissioner and added reasoning of its own to which we shall advert to later. At this stage, it is important to set out the relevant tariff entries: - "39.19 3919.00 Self-adhesive plates, sheets, film, foil, tape, strip and other flat shapes, of plastics, whether or not in rolls. 39.20 Other plates, sheets, film, foil and strip, of plastics, non-cellular, whether lacquered or metallised or laminated, supported or similarly combined with other materials or not. - Of polymers of vinyl chloride: 3920.11 - - Rigid, plain 3920.12 - - Flexible, plain 3920.13 - - Rigid, lacquered 3920.14 - - Flexible, lacquered 3920.15 - - Rigid, metallised 3920.16 - - Flexible, metallised 3920.17 - - Rigid, laminated 3920.18 - - Flexible, laminated 3920.19 - - Other - Of regenerated cellulose: 3920.21 - - Film, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e us to maintain the classification post entry 39.20 under entry 39.19 and not under entry 49.01. We have heard learned counsel for the parties. The first important thing to notice is that the original coated metallised film that has been used by the appellant has already been classified under sub-Heading 3920.36 as a flexible metallised film of plastic. The fact that it got laminated later would not take it out of this particular sub-Heading. The only question which arises is, after such classification, which is not disputed by the appellant, whether the relevant tariff entry would be 39.19 or 49.01. On a cursory reading of entry 39.19, it becomes clear that it is part of a general scheme dealing with various items of plastics and must be read together with 39.20 as 39.20 begins with the expression "Other plates....". So read, it is clear that what is important is that various sheets, films, etc. of plastic should become "self adhesive" in order to attract 39.19. If, in addition, there is printed matter on such sheets, films etc., the question is whether the end product is properly classifiable under 49.01 which refers to other products of the printing industry or whether it fall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rge number of products which have absolutely nothing to do with disseminating knowledge. The other argument of Shri Radhakrishnan is that the expression "other products of the printing industry" should be read ejusdem generis with the three expressions preceding these words, namely, "printed books, newspapers, pictures". We do not find any genus in any of these expressions. Indeed, it is clear that the expressions "manuscripts, typescripts and plans" which are also part of the Heading also do not reveal that there is any one genus to which all these items can be attributed. All these expressions speak of printed matter. The other argument, namely, that the expression "printing industry" that is referred to hereinabove, which would refer to an industry which includes printing presses and nothing beyond, is also in our opinion not correct. A simple example will suffice. Newspapers, which are included within entry 49.01 are obviously products of the newspaper industry and not of the printing industry as is contended by Shri Radhakrishnan in the narrow sense noted above. The printing industry would therefore, refer to products of various industries other than the printing industry s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s expressly stated, in the Statement of Objects and Reasons, that the Central Excise Tariffs are based on the HSN and the internationally accepted nomenclature was taken into account to "reduce disputes on account of tariff classification". Accordingly, for resolving any dispute relating to tariff classification, a safe guide is the internationally accepted nomenclature emerging from the HSN. This being the expressly acknowledged basis of the structure of Central Excise Tariff in the Act and the tariff classification made therein, in case of any doubt the HSN is a safe guide for ascertaining the true meaning of any expression used in the Act. The ISI Glossary of Terms has a different purpose and, therefore, the specific purpose of tariff classification for which the internationally accepted nomenclature in HSN has been adopted, for enacting the Central Excise Tariff Act, 1985, must be preferred, in case of any difference between the meaning of the expression given in the HSN and the meaning of that term given in the Glossary of Terms of the ISI." When one goes to the HSN Explanatory Notes to 'other printed matter', Item No. 10 which has already been referred to hereinabove ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . On the other hand, Chapter Note (2) of Chapter 49 states that printing also means reproduced by means of a duplicating machine, produced under the control of a computer, embossed, photographed, photo-copied, thermocopied or typewritten. Further, as per general explanatory notes to HSN - page 691, with the few exceptions as referred to in these notes, Chapter 49 covers all printed matter of which the essential nature and use is determined by the fact of its being printed with motifs, characters or pictorial representations. 6. Keeping in view the distinctive character, process of manufacture, relevant tariff headings, Section notes, Chapter notes and HSN notes, the Board is of the view that photoidentity cards and holograms merit classification under sub-heading 4901.90 of the Schedule to the Central Excise & Tariff Act, 1985. 7. All pending disputes may be finalized in view of the above guidelines. Field formations and trade may be informed accordingly." Circular No. 35/96-Cus., dated 21.06.1996 Subject : Classification of holograms under First Schedule, CTA 1975 - Regarding. "Doubts have been raised regarding classification of "embossed holograms" under First Schedule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... main classifiable under Heading 39.19 and will not be regarded as "a product of printing industry". This view is further strengthened by the Explanatory Notes of HSN below Heading 39.19 which reads as under: "It should be noted that this heading includes articles printed with motifs, character or pictorial representations which are not merely incidental to the primary use of the goods (See Note 2 to Section VII)". General Explanatory Notes of HSN below Chapter 49 clearly mentions that "Goods of Heading 39.18, 39.19, 48.14 or 48.21 are also excluded from this Chapter, even if they are printed with motifs, characters or pictorial representations, which are merely incidental to the primary use of the goods." For this reason "self-adhesive printed stickers designed to be used, for example, for publicity, advertising or mere decoration, eg. "comic stickers" and "window stickers" mention in HSN Notes below Heading 49.11 would not cover the products of Heading 39.19. In view of this, the decisions relied upon by the learned Advocate are not applicable to the facts of the present matters. In Holographic Security Marking Systems case the product involved was "stamping foils" falling under ..... X X X X Extracts X X X X X X X X Extracts X X X X
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