STANDARD MILLS COMPANY LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioners imported potassium chloride Technical Grade during the year 1977-78 under 11 consignments. The petitioners were required to pay countervailing duty in respect of these consignments. According to the petitioners, countervailing duty was not payable and hence they paid countervailing duty under protest and cleared the goods.

(2.) The petitioners, thereafter, filed refund claims for refund of countervailing duty in November 1977 and January 1978. Eleven such refund claims were filed. By a common order dated 1st March 1978, the Assistant Collector of Customs rejected the refund applications.

(3.) Under the Tariff Advice dated 2nd April 1979 bearing No. 10/79 which were issued by the Central Board of Excise and Customs, New Delhi, it was clarified that potassium chloride which is not bought or sold in the market as a fertiliser i.e. potassium chloride of Technical Grade was outside the purview of Tariff Item 14HH and hence would not attract countervailing duty.