I.V. Cannula not eligible for exemption – Dr. CBEC to issue circular
As per Notification No. 6/2006 CE “Disposable and non-disposable cannula for aorta, vena cavae and similar veins and blood vessels and cannula for intra-corporal spaces” are exempted. Incidentally if you search for this in the Notification No. 6/2006, you may not find it there. Sl. No. 61 of the table in the notification directs you to List 37 in the Customs Notification No. 21/2002.
Board is faced with a problem. Is this exemption available to I.V. cannulas? That is whether IV cannulas are covered under the description "Disposable and non-disposable cannula for aorta, vena cavae and similar veins and blood vessels and cannula for intra corporal spaces.
Board observes,
(i) IV cannulas are primarily used in the peripheral veins and arteries for purpose of blood sampling, blood transfusion, single and multiple drug infusion, arterial pressure monitoring etc.
(ii) Aorta and venaecavae are not similar to peripheral veins and arteries as there are various anatomical and physiological differentials which distinguish between (a) aorta and venae cava and (b) peripheral veins and arteries.
(iii) In exigencies, where specific catheter is not available, IV cannulas are rarely used in abdominal /pleural cavities but this does not justify their use and they are not recommended by standard medical text-books for use as cannula for intra-corporal spaces.
Board proposes to issue a circular that
IV cannula, which is primarily used in the peripheral veins and arteries, is not covered by the description "Disposable and non-disposable cannula for aorta, vena cavae and similar veins and blood vessels and cannula for intra-corporal spaces" and exemption under notification No. 6/2006-CE dated 1.3.2006 [earlier notification No. 6/2002-CE dated 1.3.2002 ] would not be available to such IV cannulas.
If you don’t like the circular, you can tell the Board at dscx4cbec@yahoo.com by 28.02.2007.
Now as usual all the questions will crop up. From which date is the clarification applicable? Will Show Cause Notices be issued for the past five years alleging suppression and collusion? The Tribunal had in many cases held that such I.V. cannulas are eligible for the exemption. Can Board over-rule the Tribunal by a circular?
And then what happens in the Customs side? Will this clarification apply to Customs also?
Hopefully Board will clarify the issues before the circular is finally issued.