LHOIST INDIA PRIVATE LIMITED Vs. COMMISSIONER OF CUSTOMS AND CENTRAL EXCISE

JUDGEMENT

(1.) IN the Application filed under Section 23C of the Central Excise Act, 1944, the Applicant M/s Lhoist INdia Pvt. Ltd., Mumbai, has sought an advance ruling on the following question:

(2.) The applicant has submitted in Annexure I that high purity lime stone, i.e. calcium carbonate (CaCo₃) is proposed to be imported. This lime stone would be crushed and heated to high temperatures. During the heating the calcium carbonate would decompose into carbon dioxide (CO₂) and calcium oxide (CaO). The carbon dioxide contained in the lime stone would escape leaving behind calcium oxide. This calcium oxide, referred to as lime or quick lime or burnt lime would be further crushed to smaller sizes as per customers' requirements. Apart from calcium oxide, the finished product, i.e. burnt lime would also have traces of certain impurities. While calcium oxide would comprise 94 to 96% of the product, the other elements/compounds present in it would be magnesium oxide (MgO constituting less than 1.5%), silicon oxide (SiO₂ accounting for less than 1%), sulphur (S which would be less than 0.05%) and R₂O₃ which has been clarified by the applicant, in the course of the hearing, to be aluminum oxide (Al₂O₃) which would constitute less than 0.5%.

(3.) IT is the applicant's submission that since the burnt lime is obtained by heating, i.e. calcining the raw material, lime stone, the finished product, i.e. burnt lime, gets excluded from Chapter 25 by virtue of Note 1. The applicant further states that classification of burnt lime under Chapter 25 is also ruled out as 2522 specifically excludes calcium oxide and hydroxide of heading 2825.