Anti Dumping Duty on Parts of CFL – DGAD clarifies but Customs not convinced.
CESTAT convinced
The following is from dated 01.05.2007
We are told of a letter addressed by DGAD to TRU in CBEC on the Anti Dumping duty on the scope of the product CFL imported from China PR and covered under Anti-Dumping Investigation conducted by the Designated Authority.
We understand that DGAD in letter OM No. 162/2006-DGAD dated the 1st May, 2006 has told the Revenue Ministry that
a. | Anti dumping duties were recommended / imposed on the following two types of CFLs : |
i) Complete, ready to use compact fluorescent lamps wherein choke is integrated within the lamp. ii) Complete, ready to use compact fluorescent lamps wherein choke is external. | |
b. | Anti dumping duties were not recommended on parts / components of CFL. |
c. | “CFL with choke” is complete ready to use compact fluorescent lamps wherein choke is an internal part. |
d. | CFL without choke as defined in the final findings is complete ready to use compact fluorescent lamps wherein choke would be external part. |
We are told that Customs Authorities simply refuse to accept the clarification. Fair enough, when they normally do not accept even CBEC clarifications and Supreme Court orders!
We are happy to report that though the Customs Department is not prepared to accept the clarification by the DGAD, the CESTAT was more than willing. After all he was the one who recommended imposition of the duty and his clarification should be more binding than any one else’s.
The Tribunal observed that it can be noticed from the office memorandum the authority that recommends imposition of definitive anti dumping duty, have clearly indicated in the memoranda that the anti dumping duty were recommended on ready to use compact fluorescent lamp, whether chokes are integrated within the lamp or whether the choke is external. It is to be understood that the authority which recommends anti dumping duty has clearly indicated that the anti dumping duty has to be imposed only on ready to use CFL.
But please wait for another day. We will bring this important case to you tomorrow in ANCHOR DAEWOO INDS LTD v CC, KANDLA