Per Shri V.P. Gulati :

The issue in the appeal relates to the levy of CV Duty in case of rubber blankets which have been imported for the printing industry and carried no metal hooks attached to it. The appellants have sought for the classification for CV Duty purposes under Tariff Heading 4008. The plea is that in the absence of any evidence that the rubber sheets had been further worked as per Chapter Note 9 of Chapter 40, the goods will remain classified under Tariff Heading 4008.

2. Heard the learned SDR for the department.

3. The learned Consultant has brought to our notice the decision of this Tribunal in the case of M/s. Kerala Books and Publication Society Vs. CC reported in 1992 (61) ELT 686 in which the Tribunal has ruled out the classification of the rubber blankets attached with the metal hooks/strips under Tariff Heading 4008 by holding that by fitment of the metal strips the rubber sheets can be taken to have been further worked.

4. We have considered the pleas made by both the sides. We observe that in the learned lower authority's order lot of stress has been placed on the "ready to use" condition of the blankets for printing purpose and for that reason he has held that the goods could not be classified under Tariff Heading 4008. We observe that Chapter Note 9 to Chapter 40 reads as under:

9. In headings Nos. 40.01, 40.02, 40.03, 40.05 and 40.08, the expressions "plates", "sheets" and "strip" apply only to plates, sheets and strip and to blocks of regular geometric shape, uncut or simply cut to rectangular (including square) shape, whether or not having the character of articles and whether or not printed or otherwise suface-worked, but not otherwise cut to shape or further worked.

5. It is seen that the rubber sheets if they are simply cut and are not further worked even if the same have the character of an article would be still classifiable under Tariff Heading 4008. In the present case no evidence has been brought on record to say that the goods in question were not simply cut or had been further worked. The ready to use concept has been brought in by the learned lower appellate authority only to highlight that the goods could be fitted as such. That would mean that the learned lower authority feels that the goods could be considered as an article and, therefore, the same will come out of the purview of the Tariff Heading 4008. This position is contrary to the Chapter Note 9 to Chapter 40 which clearly envisages that even if the rubber sheets are simply cut and have the character of an article, the same would remain to be classified under Tariff Heading 4008. The learned lower authority has not appreciated the position with reference to the wording of Chapter Note 9 and has mis-directed himself by relying on 'the ready to use' condition of the goods in question.

6. We in the circumstances hold that in the facts and circumstances of the case the goods have to be classified for CV Duty purposes under Tariff Heading 4008. The appeal is, therefore, allowed with consequential relief.