EXCISE CIRCULAR No. 675/66/2002-CX, Dt. 15/11/2002.

Classification of Di-calcium phosphate - regarding

I am directed to invite your attention to Board"s 37B order No. 47/1/97-CX dated 3.3.1997 which interalia clarifies that the Di-Calcium Phosphate (IS:5740-1969) should be classified under sub-heading 2835.00 of the Central Excise Tariff.

2. The Gujarat High court vide order dated 17.3.99 in the case of M/s. Raymon Glues & Chemicals & Nagpur Bench of Mumbai High Court vide order dated 23.8.99 in the case of M/s. Bamni Proteins quashed the impugned order of the Board under rule 37B. CEGAT in the case of M/s. Kerala Chemicals & Proteins Ltd. has also decided the matter against the Department. The SLPs and CA filed by the Department in the Hon"ble Supreme Court against the above mentioned orders were dismissed by the Apex Court. The reports from all Chief Commissioners also indicate that there is divergence of practice of assessment of the product in different Commissionerates after Supreme Court judgement in the matter.

3. In view of the Apex Court decisions against the Department"s 37B order, the instructions contained in 37B order dated 3.3.1997 would no longer be valid in their entirety. These instructions may, therefore, be treated as withdrawn.

4. Trade and field formations may be suitably informed.

Sd/-
(R. N. Kirtinia)
Under Secretary

F. No. 120/2/98-CX.3

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