TMI Blog2003 (7) TMI 214X X X X Extracts X X X X X X X X Extracts X X X X ..... ted and partly procured indigenously in India. Under the impugned orders, the lower authorities have held that the licence and know-how fee and engineering fee are required to be added to the value of imported machinery, in the ratio between the cost of indigenously procured and imported machinery. This appeal challenges such inclusion. 3. The contention of the appellants is that the licence and know-how fee and engineering fee had no connection to the imported goods and, therefore, those fees did not merit inclusion in the assessable value of the imported goods. It is pointed out that the imports were from parties other than M/s. Atochem. In regard to the licence and know-how fee, it is pointed out that this fee is entirely towards the l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the details as per Annexure 2 of the agreement. The clauses in the agreement also makes it clear that the basic engineering design package made available does not contain the engineering drawing for the equipment to be imported from various parties. Clause 3.4.1 states that Atochem shall review from a process point of view and shall comment for conformity with the Basic Engineering Design Package, detailed design drawings and specifications of the main critical equipment etc. Thus, the learned Counsel pointed out that these detailed engineering drawings were made by the appellant's Indian Consultants and M/s. Atochem was only to review it. The learned Counsel also pointed out that the basic engineering design made available by the foreign ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he case of M/s. Essar Gujarat Ltd. [1996 (88) E.L.T. 609 (S.C.)]. He also pointed out that since the impugned order is an order of remand, the Tribunal may not interfere with the same and may leave it to the adjudicating authority to consider all relevant materials and case law and to pass a fresh order. 5. We have perused the records and considered the submissions made by both sides. The basic issue raised in the appeal is whether the licence and know-how fee and engineering fee are required to be added to the price of the imported goods for determination of the assessable value for the purpose of levying customs duty. The impugned order has held that they are required to be added. Only apportioning them between imported goods and indige ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... machinery for their assessment. This position is also clear from the decisions of this Tribunal under the orders relied upon by the learned Counsel for the appellants. 7. With regard to the inclusion of engineering drawing the relevant legal provision is contained in Rule 9(1)(b)(iv). That rule reads as covers : - "Engineering, development, art work, design work, and plans and sketches undertaken elsewhere than in India and necessary for the production of the imported goods;" 8. A perusal of this rule makes it clear that for adding "engineering....... Design work etc.", it is a condition that the work in question should be undertaken elsewhere than in India and should be necessary for the production of the imported goods. In the pres ..... X X X X Extracts X X X X X X X X Extracts X X X X
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