TMI Blog2017 (5) TMI 1327X X X X Extracts X X X X X X X X Extracts X X X X ..... barges, these vessels do not have the engines necessary for self-propulsion and are required to be pulled by means of a tug. Consequently, it does not have the prime requirement of having ability for classifiable under Heading 8901 - Only with the capacity to navigate, the barges can be described as vessels for the transport of persons or goods. Consequently, the classification goes out of the purview of Heading 8901. Heading 8905 covers vessels of various types whose navigability is subsidiary to their main function. Such vessels need not have the capability of navigation on their own. The imported vessels have cranes on board and can move cargo from ship to shore and vice versa. The purpose of such vessel is to load/unload cargo from s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uty at 5% in terms of Sl. No.353 of Notification No.21/2002-Cus. When the issue was carried to Commissioner (A), he upheld the orders of the lower authority classifying the same under 8905. Aggrieved by the decision, the present appeal has been filed. 2. With the above background, we heard Shri Jitan Motwani, learned advocate for the appellant and Dr. Ezhilmathi, learned DR for the Revenue. 3. The learned advocate advanced the following main arguments in support of their appeals. (i) The vessel is described as barge and is squarely covered within the CTH 8901 10 40 which covers barges. Moreover, in terms of HSN Explanatory Notes also, barges of various kinds are covered under Heading 8901. Barges, whether they are towed or self- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 139 (Tri.-Mumbai) maintained in 2008 (221) ELT A151 (Guj.) b. Raj Shipping Agency vs. CC (Import), Mumbai: 2015 (329) ELT 913 (Tri.-Mumbai) 4. The learned DR supported the impugned order. She argued that the vessel imported, though described as dumb barge , is not self-propelled. The vessels classifiable under 8901 10 are all designed for navigating i.e., to move under its own steam. Since the imported vessel is not self-propelled, the same is not classifiable under 8901. 4.1 The learned DR also argued that the Heading 8905 covers vessels, the navigability of which is subsidiary to their main function. Since the imported vessel is not navigable, its function cannot be considered as for transportation of goods. Consequently, it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing to Revenue, they will not be classifiable under 8901. Revenue has classified the vessels under 8905 as floating cranes. The reasons cited by Revenue are that the imported vessels are of that type for which the navigability is subsidiary to their main function. Since the vessels are not navigable on their own, they are required to be classifiable under Heading 8905 as floating cranes, since they are equipped with cranes on board. 5.1 The appellant pursues his argument for classification under 8901 10 40 by claiming that this is a specific entry for barges . In terms of the General Rules for Interpretation of Customs Tariff, a specific entry is to be preferred to a more general entry. According to them, the vessels described as barges ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not clear whether the barges in question in the Arcadia Shipping Ltd. (supra), are capable of sailing under its own power, we are of the view that the decision may not be relevant to finalize the classification in the present case. 5.4 Revenue has also relied upon the case of L T Sapura Shipping P. Ltd. (supra) in which the Mumbai Bench of the Tribunal ordered for classification of self-propelled ship imported for conducting petroleum operation under Heading 8901 after ruling out the classification of such vessel under Heading 8905. The Tribunal took the view that the vessel imported in that case had the capacity to navigate by self-propulsion and held that navigability is the prime function for classification of a vessel in a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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