In re Konet Technology Inc. (CAAR Mumbai)
The Customs Authority for Advance Ruling (CAAR), Mumbai, considered an application filed by M/s. Konet Technology Inc. seeking an advance ruling on the classification of “Roasted Areca Nuts (Whole & Cut)” under the First Schedule of the Customs Tariff Act, 1975. The application was submitted on 07.04.2026 under Section 28-I(1) of the Customs Act, 1962.
The applicant stated that it intended to import roasted areca nuts from countries including Indonesia, Sri Lanka, Myanmar, and Singapore. According to the applicant, such goods should be classified under tariff item 2008 1991, which covers roasted nuts under Chapter Heading 2008 relating to edible fruits, nuts, and other plant parts. The applicant relied on HSN Explanatory Notes, asserting that roasting qualifies the goods for classification under the specified heading. The applicant also cited judicial precedents, including Supreme Court decisions, to emphasize that HSN Explanatory Notes serve as a reliable guide for classification.
Following receipt of the application, CAAR forwarded the matter to multiple jurisdictional Customs Commissionerates, including those at Nhava Sheva, Chennai, Mundra, and Tuticorin, requesting comments and relevant records. A personal hearing was conducted on 27.04.2026, where the applicant’s authorized representative reiterated that roasted areca nuts should be classified under CTI 20081991. The representative relied on prior judicial decisions, including a Madras High Court judgment that had addressed similar classification issues. No representative from the department appeared for the hearing.
