CHAPTER 71
Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal, and articles thereof; imitation jewellery; coin
NOTES
1. Subject to Note 1 (a) to Section VI and except as provided below, all articles consisting wholly or partly:
(a) of natural or cultured pearls or of precious or semi-precious stones (natural,synthetic or reconstructed); or
(b) of precious metal or of metal clad with precious metal, are to be classified in this Chapter.
2. (A) Headings 7113, 7114 and 7115 do not cover articles in which precious metal or metal clad with precious metal is present as minor constituents only, such as minor fittings or minor ornamentation (for example, monograms, ferrules and rims) and paragraph (B) of the foregoing Note does not apply to such articles.
(B) Heading 7116 does not cover articles containing precious metal or metal clad with precious metal (other than as minor constituents).
(In Note 2 the brackets and letters (A) & (B) has been substituted vide Union Budget 2006-2007 -Finance Bill - With effect from the 01/01/2007)
3. This Chapter does not cover:
(a) amalgams of precious metal, or colloidal precious metal (heading 2843);
(b) sterile surgical suture materials, dental fillings or other goods of Chapter 30;
(c) goods of Chapter 32 (for example, lusters);
(d) supported catalysts (heading 3815);
(e) articles of heading 4202 or 4203 referred to in Note 2 (B) to Chapter 42;
(f) articles of heading 4303 or 4304;
(g) goods of Section XI (textiles and textile articles);
(h) footwear, headgear or other articles of Chapter 64 or 65;
(ij) umbrellas, walking-sticks or other articles of Chapter 66;
(k) abrasive goods of heading 6804 or 6805 or Chapter 82, containing dust or powder of precious or semi-precious stones (natural or synthetic); articles of Chapter 82 with a working part of precious or semi-precious stones (natural, synthetic or reconstructed); machinery, mechanical appliances or electrical goods, or parts thereof, of Section XVI. However, articles and parts thereof, wholly of precious or semi-precious stones (natural, synthetic or reconstructed) remain classified in this Chapter, except unmounted worked sapphires and diamonds for styli (heading 8522);
(l) articles of Chapter 90, 91 or 92 (scientific instruments, clocks and watches, musical instruments);
(m) arms or parts thereof (Chapter 93);
(n) articles covered by Note 2 to Chapter 95; or
(o) articles classified in Chapter 96 by virtue of Note 4 to that Chapter.
4. (A) The expression “precious metal” means silver, gold and platinum.
(B) The expression “platinum” means platinum, iridium, osmium, palladium, rhodium and ruthenium.
(C) The expression “precious or semi-precious stones” does not include any of the substances specified in Note 2(b) to Chapter 96.
(In Note 4 the brackets and letters (A),(B) & (C) has been substituted vide Union Budget 2006-2007 -Finance Bill - With effect from the 01/01/2007)
5. For the purposes of this Chapter, any alloy (including a sintered mixture and an inter-metallic compound) containing precious metal is to be treated as an alloy of precious metal if any one precious metal constitutes as much as 2% by weight, of the alloy. Alloys of precious metal are to be classified according to the following rules:
(a) an alloy containing 2% or more, by weight, of platinum is to be treated as an alloy of platinum;
(b) an alloy containing 2% or more, by weight, of gold but not platinum, or less than 2% by weight, of platinum, is to be treated as an alloy of gold;
(c) other alloys containing 2% or more, by weight, of silver are to be treated as alloys of silver.
6. Except where the context otherwise requires, any reference in this Schedule to precious metal or to any particular precious metal includes a reference to alloys treated as alloys of precious metal or of the particular metal in accordance with the rules in Note 5 above, but not to metal clad with precious metal or to base metal or non-metals plated with precious metal.
7. Throughout this Schedule, the expression ‘‘metal clad with precious metal” means material made with a base of metal upon one or more surfaces of which there is affixed by soldering, brazing, welding, hot-rolling or similar mechanical means a covering of precious metal. Except where the context otherwise requires, the expression also covers base metal inlaid with precious metal.
8. Subject to Note 1 (a) to Section VI, goods answering to a description in heading 7112 are to be classified in that heading and in no other heading of this Schedule.
9. For the purposes of heading 7113, the expression "articles of jewellery" means:
(a) any small objects of personal adornment (for example, rings, bracelets, necklaces, brooches, ear-rings, watchchains, fobs, pendants, tie-pins, cuff-links, dress-studs, religious or other medals and insignia); and
(b) articles of personal use of a kind normally carried in the pocket, in the handbag or on the person (for example, cigar or cigarette cases, snuff boxes, cachou or pill boxes, powder boxes, chain purses or prayer beads).
These articles may be combined or set, for example, with natural or cultured pearls, precious or semi-precious stones, synthetic or reconstructed precious or semi-precious stones, tortoise shell, mother-of-pearl, ivory, natural or reconstituted amber, jet or coral.
(Note 9. has been substituted vide Union Budget 2006-2007 -Finance Bill - With effect from the 01/01/2007)
[OLD-9. For the purposes of heading 7113, the expression “articles of jewellery” means:
(a) any small objects of personal adornment (gem-set or not) (for example,rings, bracelets, necklaces, broaches, ear-rings, watch-chains, fobs, pendants, tie-pins, cuff-links, dress-studs, religious or other medals and insignia); and
(b) articles of personal use of a kind normally carried in the pocket, in the hand-bag or on the person (such as cigarette cases, powder boxes, chain purses, catechu boxes). ]
10. For the purposes of heading 7114, the expression “articles of goldsmiths’ or silversmiths’ wares” includes such articles as ornaments, table-ware, toilet-ware, smokers’ requisites and other articles of household, office or religious use.
11. For the purposes of heading 7117, the expression “imitation jewellery” means articles of jewellery within the meaning of paragraph (a) of Note 9 above (but not including buttons or other articles of heading 9606, or dress-combs, hair-slides or the like, or hairpins, of heading 9615), not incorporating natural or cultured pearls, precious or semi-precious stones (natural, synthetic or reconstructed) nor (except as plating or as minor constituents) precious metal or metal clad with precious metal.
12. In this Chapter, “brand name” or “trade name” means a brand name or trade name, whether registered or not, that is to say, a name or a mark, such as symbol, monogram, label, signature or invented words or any writing which is used in relation to a product, for the purpose of indicating, or so as to indicate, a connection in the course of trade between theproduct and some person using such name or mark with or without any indication of the identity of that person.
13. For the purposes of heading 7113, the processes of affixing or embossing trade name or brand name on articles of jewellery shall amount to ‘manufacture’.
(Note 12. & 13. has been inserted vide Finance Bill 2005-2006)SUB-HEADING NOTES1. For the purposes of sub-headings 7106 10, 7108 11, 7110 11, 7110 21, 7110 31 and 7110 41, the expressions “powder” and “in powder form” mean products of which 90% or more by weight passes through a sieve having a mesh aperture of 0.5 mm.
2. Notwithstanding the provisions of Chapter Note 4(B), for the purposes of sub-headings 7110 11 and 7110 19, the expression “platinum” does not include iridium, osmium, palladium, rhodium or ruthenium.
(In sub-heading note 2 the figure, brackets and letter "4(B)" has been substituted vide Union Budget 2006-2007 -Finance Bill - With effect from the 01/01/2007)
3. For the classification of alloys in the sub-headings of heading 7110, each alloy is to be classified with that metal, platinum, palladium, rhodium, iridium, osmium or ruthenium which predominates by weight over each other of these metals.