JUDGMENT

RANGANATHAN, J.:- The respondent manufactures electrical insulation tapes. According to the respondent, the goods manufactured by it fall under tariff heading 85.47 of the schedule to the Central Excise Tariff Act, 1985. On the other hand, according to the petitioner, the goods fall under heading 39.19 of the same schedule. The Assistant Collector of Central Excise, therefore, gave notice to the respondent to show cause why the product should not be classified under heading 39.19. The assessee, in reply, pointed out that, in respect of its factory at Borivili, its claim that the goods were classifiable under heading 85.46 and that heading 39.19 had no application had been accepted by the Collector of Appeals. The Assistant Collector, however, did not accept the assessees contention. He distinguished the order in respect of the Borivili plant on the ground that there the assessees claim was for classification under heading 85.46 and not 85.47. He held, by his order dated 4-1-1988, that the products in question fell under heading 39.19.

2. The assessee preferred an appeal to the Collector (Appeals), who set aside the order of the Assistant Collector. He observed that reason gi