1. In this appeal filed by the Revenue, being aggrieved with the Order-in-Appeal dated 31-8-1987, passed by the Collector of Central Excise (Appeals), Madras, the matter relates to the classification of (1) Thrust roller bearing disc and (2) Rail for Mini Remotely Piloted Vehicle (RPV). The respondent M/s. Mcnally Bharat Engineering Co. Ltd., Bangalore had classified their products as other articles of iron and steel, under sub-heading No. 7308.90 of the Schedule to the Central Excise Tariff Act, t 1985 (hereinafter referred to as the 'Tariff'), while the Revenue had sought to classify the same under sub-heading No.8483.00 of the Tariff on the ground that the said goods were specifically described in the Tariff under the said sub-heading No.8483.00 of the Tariff. The Collector of Central Excise (Appeals), Madras upheld the claim of the respondents (appellants before him) for classification of both the products under sub-heading No. 7308.90 of the Tariff.
2. The respondents have filed written submissions and have prayed for decision on merits. In their written submissions, they have stated as under :- (1) Thrust roller bearing disc - this cannot be classified under sub-heading No. 8483.00 as it is not covered by the sub-heading No. 8483.00 and accordingly, it is rightly classified under sub-heading No. 7308.00.
(2) Rail for Mini RPV - This is fabricated out of steel and supplied in two-halves and hence does not merit classification under sub-heading No. 8483.00 and hence rightly classified under sub-heading No. 7308.90 as held by the Collector (Appeals).
3. Shri M. Jayaraman, JDR appearing for the respondents/Revenue submitted that the Tariff Entry No. 8483.00 was specific to the goods in question and Tariff Entry No. 7308.00 is not applicable to the goods of the nature which are under consideration in this appeal. He reiterated the grounds taken by the adjudicating authority and submitted that the adjudicating authority had rightly classified the goods in question under sub-heading No. 8483.00.
4. We have carefully considered the matter. The thrust roller bearing disc was a fabricated product as per design, drawing and the requirements of Indian Space Research Organisation (ISRO). It was a part of an assembly, for ISRO, who were engaged in Space application programme. The product Rail for Mini Remotely Piloted Vehicle was used also for launching of the space vehicle. This product acted as a guide.
It was supplied in two-halves. Both the products were used for Space Research and for launching the space vehicles. They were specific products made to order and had no general application. They were manufactured as per the design, drawing and the specific requirements of the Indian Space Agency under pre-arranged contract. These items were suitable only as a part of specific equipment classifiable under Chapter 84 of the Tariff. They were not meant for general use. They were not parts of general use as defined in Note 2 to Section XV of base metal (which were excluded from the coverage of Section XVI of the Tariff, vide Note 1(g) of Section XVI).
5. The Collector (Appeals), Central Excise had classified the above products under subheading No. 7308.90 of the Tariff. Heading No. 73.08 of the Tariff is extracted below :----------------------------------------------------------------------------Heading No. Description of Goods---------------------------------------------------------------------------73.08 Structures (excluding pre-fabricated buildings of heading No. 94.06) and parts of structures (for example, bridges and bridge-sections, lock-gates, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and thresholds for doors, shutters, balustrades, pillars and columns), of iron or steel; plates, rods, angles, shapes, sections, tubes and the like, prepared for use in structures of iron or steel.
7308.30 Doors, windows and their frames and thresholds for doors 7308.40 Props and similar equipment for scaffolding, shuttering or pit-propping The goods in question were not usable in any of the structures or other products referred to in Heading No. 73.08 of the Tariff.
6. The Revenue had sought to classify the goods in question under Heading No. 84.83 of the Tariff. The Heading No. 84.83 covered the following :----------------------------------------------------------------------------Heading No. Description of Goods---------------------------------------------------------------------------84.83 Transmission shafts (including cam shafts and crank shafts) and cranks; bearing housings and plain shaft bearings; gears and gearing; ball screws; gear boxes and other speed changers, including torque converters; flywheels and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints).
By virtue of Section Note 2(b) of Section XVI, parts, if suitable for use solely or principally with a particular kind of machine or with a number of machines of the same heading (including a machine of Heading No. 84.79 or Heading No. 85.43) were to be classified with the machine of that kind. For the purposes of Chapter 84 of the Tariff, the expression 'machine' had a wide meaning as per Section Note 5 of Section XVI. In the corresponding Heading "No. 84.83 of the Customs Tariff parts of, among others, (i) bearing housings, incorporating ball or roller bearings and (ii) bearing housings not incorporating ball or roller bearings; plain shaft bearings, are specifically included in sub-heading No. 8483.90.
7. Under Heading No. 73.08, the sub-heading No. 7308.90 would cover only those structures and parts, which were not otherwise classifiable under sub-heading Nos. 7308.10, 7308.20, 7308.30 and 7308.40. The nature of the goods under these headings/sub-headings could not cover such specific products as are the subject-matter of this appeal, and which are used for launching the space vehicle and for space application programme.
8. Keeping in view the nature of the products, their use and the relevant tariff entries, we consider that the view taken by the ld.Collector of Central Excise (Appeals), Madras was not correct. We set aside the impugned order-in-appeal insofar as the above products are concerned and restore the order passed by the Assistant Collector of Central Excise, Bangalore.
9. Thus, the appeal filed by the Revenue is allowed. Ordered accordingly.