KARACHI: Deciding an appeal against classification of chips as crisp savoury food products, Customs Appellate Tribunal rejected the appeal filed by M/s IBL Operations which imports Pringles Snacks (chips).
The importer challenged the classification made under HS Code/ PCT Heading 1905.9000 by the assessment authority claiming that previously the identical imported goods were assessed under HS Code 2004.1000 and thus benefit of Free Trade Agreement (FTA) between Pakistan and Malaysia was attracted.
Importer challenged the assessment order before the Collector (Appeals), Karachi under PCT Heading 1905.9000 as being erroneous.
The Director Customs Appeals held that as per documents including Commercial invoice, Certificate issued by the Ministry of International Trade, Malaysia shows that the goods were transacted under HS Code 2005-2002 and that importer changed the HS Code to 2004-1000 to avail FTA benefit. Collector Appeals rejected the petition.
The importer then approached the appellate tribunal, which considered the grievance of the importer in the light of descriptions provided under the three HS Codes /PCT heading viz 2004.1000, 2005.2000 and 1905.9000 .
After due deliberation, the tribunal agreed with the classification made by the Assistant Collector MCC Appraisement-West and while rejecting the appeal ordered that no reason was found to interfere with the assessment order.