In re Classic Enterprises (CAAR Mumbai)
The Customs Authority for Advance Ruling (CAAR), Mumbai considered an application filed by M/s. Classic Enterprises seeking an advance ruling on the classification of “Roasted Areca Nuts/Roasted Betel Nuts” under the First Schedule of the Customs Tariff Act, 1975. The application was received on 01.04.2026 under Section 28F1(1) of the Customs Act, 1962.
The applicant stated that it intended to import roasted areca nuts or roasted betel nuts from suppliers in Indonesia through Tuticorin Port. According to the applicant, edible nuts and similar plant products fall under Chapter Heading 2008 of the Customs Tariff Act, 1975, and roasted nuts are specifically classifiable under Tariff Item 2008 1991. The applicant contended that the goods proposed to be imported would fall under HS Code 2008 1991 because roasting changes the product classification, as reflected in the HSN Explanatory Notes. The applicant also relied on judicial precedents holding that HSN Explanatory Notes are dependable guides for tariff classification.
The CAAR office forwarded the application to the jurisdictional Customs Commissionerate at Thoothukudi, Tamil Nadu, seeking comments and records in relation to the application. However, no response was received from the Commissionerate.
During the personal hearing held on 28.04.2026, the applicant’s advocate reiterated that the imported goods were roasted areca nuts with moisture content below 6% and subjected to roasting at temperatures between 130°C and 150°C. The applicant argued that the issue stood settled by the Madras High Court judgment in Commissioner of Customs, Chennai-II Commissionerate versus Shahnaz Commodities International Pvt. Ltd., Neena Enterprises and Universal Impex, which had upheld earlier advance rulings on the matter. The applicant further submitted that the goods merited classification under Customs Tariff Item 2008 1991 and sought exemption of duty under Notification No. 46/2011. No representative appeared on behalf of the department during the hearing.
