Case Law Details
In re ADM Agro Industries India Private Limited (CAAR Delhi)
The Customs Authority for Advance Rulings (CAAR), Delhi, examined the classification of the imported product “B-Traxim 2C Mn-220” under the Customs Tariff Act, 1975. The applicant sought an advance ruling contending that the product should be classified under Tariff Item 29224990 as a chemically defined organo-metallic compound and an oxygen-function amino compound falling under Chapter 29. The product was described as a highly concentrated organic trace mineral bound to glycine, manufactured through Iso-Fusion Technology (IFT), having a pure crystalline form, no carriers, full water solubility, homogeneous particle size, and intended for use as a nutritional additive in animal feed. According to the applicant, the product consisted of glycine, manganese, and sulfate in a crystalline polymer structure and qualified as a chemically defined compound classifiable under Heading 2922.
The applicant argued that the product’s chemical structure contained amino-acid and salt characteristics that brought it within the scope of Chapter 29. Relying on Rule 1 of the General Rules for Interpretation (GRI), Chapter Note 3 to Chapter 29, and the HSN Explanatory Notes, the applicant submitted that the product was a chemically defined organo-metallic compound formed through complexation bonds between glycine and manganese. It contended that the product’s composition corresponded to oxygen-function amino compounds and amino-acid salts covered by Heading 2922 and therefore merited classification under Tariff Item 29224990.
The jurisdictional Commissionerate opposed the applicant’s claim and argued that the product was correctly classifiable under Tariff Item 23099090 as a preparation of a kind used in animal feeding. The Commissionerate pointed out that the applicant had previously imported the same product through Mundra Port and consistently cleared it under Heading 23099090 as an animal feed additive. According to the Commissionerate, the product was not a separate chemically defined compound because its composition involved manganese linked to different amino acids represented by a variable formula, lacked a fixed molecular identity, and did not possess a constant ratio of elements. The Commissionerate highlighted the presence of associated counter-ions, a fluctuating molecular weight ranging between 227 and 326 Da, and the absence of a specific IUPAC name or CAS number for the actual imported product. It therefore contended that the goods were a mixture of metal-amino acid complexes and fell outside Chapter 29.
The Commissionerate further submitted that Heading 2309 covers preparations used in animal feeding, including feed additives and premixes containing vitamins, amino acids, trace minerals, and similar substances. It emphasized that the product was specifically engineered for animal nutrition, intended for use through feed premixes, regulated under feed-related frameworks, and marketed exclusively as an animal feed solution. The Commissionerate argued that the product’s formulation, method of application, commercial identity, and trade understanding established its essential character as a preparation used in animal feeding. It also relied on the Supreme Court decision in Commissioner of Customs (NSI) v. Venkateshwara B.V. Bio Corp. Pvt. Ltd., wherein feed-grade additives and premixes used for animal nutrition were held classifiable under Tariff Item 23099090.
In response, the applicant filed a detailed rejoinder. It maintained that the product was produced through a chelation reaction resulting in a distinct organo-metallic coordination compound rather than a mere mixture. The applicant contended that the amino acid used was specifically glycine and not a variable mixture derived from hydrolysed proteins. It argued that Chapter Note 1(a) to Chapter 29 permits impurities and process-related variations and does not require a fixed CAS number or absolute invariability in molecular weight. The applicant also submitted that Heading 2309 applies to preparations involving blending, carriers, or fillers, whereas B-Traxim 2C was imported as a single chemically defined compound. According to the applicant, classification should be determined by objective chemical characteristics rather than intended use or marketing claims. It further argued that the Supreme Court ruling cited by the Commissionerate dealt with feed premixes containing multiple constituents and carriers and therefore did not apply to the present product.
After considering the application, Commissionerate comments, rejoinder submissions, HSN Explanatory Notes, tariff provisions, and judicial precedents, CAAR proceeded to determine the correct classification. The Authority noted that classification under the Customs Tariff must be determined according to Rule 1 of the GRI, the relevant tariff headings, and applicable Chapter Notes. It examined Chapter 29, which applies only to separate chemically defined organic compounds. Referring to the HSN Explanatory Notes, the Authority observed that a separate chemically defined compound must consist of one molecular species, possess a constant ratio of elements, and be capable of representation through a definitive structural diagram.
The Authority found that the technical dossier and product literature showed that B-Traxim 2C did not represent a single molecular species with a constant element ratio. The product’s chemical identity was expressed through a variable formula in which one component represented different amino acids. The Authority noted that the product exhibited fluctuating molecular parameters and a molecular weight ranging between 227 and 326 Da. It held that a product whose ligand composition and molecular characteristics vary cannot be represented by a definitive structural diagram or possess a constant ratio of elements. Consequently, the Authority concluded that the product failed to satisfy the mandatory conditions of Chapter Note 1(a) to Chapter 29.
The Authority rejected the applicant’s contention that the observed variations constituted permissible impurities. It held that the fluctuating molecular weight was not a manufacturing impurity but a fundamental characteristic of the product’s formulation. CAAR also found the applicant’s reliance on Chapter Note 3 to Chapter 29 and Heading 2922 misplaced because those provisions become relevant only after a product qualifies as a separate chemically defined compound under Chapter Note 1(a). Since that threshold requirement was not satisfied, classification under Heading 2922 was held to be unavailable.
The Authority then considered Heading 2309 relating to preparations of a kind used in animal feeding. It observed that Chapter 23 covers products used in animal feeding and that the HSN Explanatory Notes include complete feeds, supplementary feeds, and premixes containing amino acids, trace elements, vitamins, and similar substances. It noted that the product was specifically designed and processed for animal nutrition, optimized for use in premixes, and intended to be incorporated into feed. The Authority further observed that the product was marketed, regulated, and commercially recognized as an animal nutrition solution rather than as a general-purpose chemical.
CAAR stated that classification under Heading 2309 is not excluded merely because a product contains a single active substance. The decisive factor is whether the product is specifically processed, formulated, or presented for use in animal feeding. The Authority found that the technical literature expressly stated that the product was engineered for optimal use in premixes and feed and was to be incorporated into feed through a premixture. These features placed the product within the scope of preparations intended for making complete or supplementary animal feed.
The Authority also relied upon the Supreme Court judgment in Venkateshwara B.V. Bio Corp. Pvt. Ltd., which affirmed that feed-grade additives and premixes containing vitamins, minerals, and similar active substances are classifiable under Tariff Item 23099090 when formulated, branded, and traded as animal nutrition products. Applying that principle, CAAR held that B-Traxim 2C derives its essential character from its role as an animal feed additive and not from the chemical constituents considered in isolation.
Accordingly, the Authority ruled that B-Traxim 2C Mn-220 is classifiable under Heading 2309 and specifically under Customs Tariff Item 23099090 as a preparation of a kind used in animal feeding. The claim for classification under Tariff Item 29224990 was rejected.
FULL TEXT OF THE ORDER OF CUSTOMS AUTHORITY OF ADVANCE RULING, DELHI
M/s ADM Agro Industries India Private Limited, 3rd Floor, Vatika Professional Point, Golf Course Extension Road, Sector 66, Gurugram, Haryana, India, 122018, having IEC No. 0509094571 and PAN AAHCA6963E (hereinafter referred as the ‘applicant’) has filed an application dated 25.02.2026, seeking advance ruling under section 28-I-I of the Customs Act, 1962, before the Customs Authority for Advance Rulings, New Delhi (CAAR, New Delhi in short). The application was accordingly registered under Serial No. 203/2025-26 dated 25.02.2026. The applicant proposes to import of goods namely ‘B-Traxim 2C Mn-220’, and requested for ruling on classification of the said imported goods under Customs Tariff Act, 1975.
1.1. The applicant in their application, submitted as follows:
Statements of relevant facts having a bearing on the question(s) raised
1.2. Commercial name: B-Traxim
Composition:
B-TRAXIM 2C is one of the most concentrated organic trace mineral source in the market. It is produced under Iso-Fusion Technology – IFT that ensures purity and homogeneity in each particle for optimal use in premix and utilizing feed:
- Homogenous particle size of 200-300um (average particle size) Dustless and free-flowing
- Pure crystalline form, no carriers
- Fully water soluble
- Neutral odor and taste
- Highly concentrated
- Full stability at different PI I
1.3 Production process
Complex copper glycinate in micro-crystalline particle size. Minerals are essential for most metabolic processes; therefore, even a slight deficiency may cause reduced animal performance and well-being. Supplementation with inorganic sources is known to be inefficient, due to mineral antagonisms, competition, and interaction with feed components. Organically bound mineral sources can improve their bioavailability by preventing some of these negative interactions.
B- TRAXIM 2C is a range of organic trace minerals bound to glycine. Its formulation and well-known chemical crystalline structure ensures high stability and increased bioavailability compared to inorganic sources and other less stable organic mineral sources commonly used in the feed industry
Statement containing the applicant’s interpretation of law and/or facts, as the case may be, in respect of the aforesaid question(s) (i.e. applicants view point and submissions on issues on which the advance ruling is sought)
1.4. The product under consideration, B-Trexim, is a chemically defined compound consisting of a complex of iron glycinate. It is an organic chemical intended for use as a nutritional additive in the formulation of complete animal feeds to provide bioavailable iron.
1.5. Chemical structure contains monocarboxylic acid= amino acid (oxygen-function), amine (nitrogen-function), amine (nitrogen- function), and iron (salt); Classified based on Chapter 29, Note 3; Oxygen-function amino-compound, amino-acid containing only one kind of oxygen function, non-aromatic, salt there of; Confirmed complex formed by complexation bonds between the (carboxyl and the amine groups from glycine, and the atom of iron in a stoichiometric ratio hence, classified as a chemically defined organo-metallic compound of Chapter 29. In accord Note 3 to Chapter 29, this compound is considered a chemically defined oregano metallic compound containing an oxygen-function amino compound derived from amino-acids containing only one kind of oxygen function, non-aromatic, and forming a salt or complex with iron.
1.6. According to General Rule of interpretation 1 (GRI 1) of the Customs Tariff, classification shall be determined according to the terms of the headings and any relevant Section or Chapter Notes.
1.7. The product is intended to be used as a nutritional additive in the formulation of complete animal feeds to provide bioavailable manganese. Having the form of a crystalline polymer, the repeating monomer unit is a structure containing glycine (amino acid), manganese and sulfate (salt). The manganese sulfate and glycine are precisely formulated to provide an exact ratio between each component.
1.8. Although not legally binding, Explanatory Note 29(1) describes a Chemically Defined Compounds as “a substance which consists of one molecular species (e.g., covalent or ionic) whose ( composition is defined by a constant ratio of elements and can be represented by a definitive structural diagram. In a crystal lattice, the molecular species corresponds to the repeating unit cell.”
1.9. Given this composition, the product clearly falls within the scope of HS Code 292249, which covers: “Organic chemicals – Oxygen-function amino-compounds – Amino acids, other than those containing more than one kind of oxygen function, and their esters; salts thereof- Other – Other.’ This heading specifically includes amino-acid derivatives and their salts, which directly describes the chemical nature of B- Traxim 2C Mn-220.
Therefore, under GRI 1, the product is appropriately classifiable under HS Code 29224990 as a salt of the amino acid glycine.
2. Comments of the Port Commissionerate:
2.1 The comments of the Jurisdictional port Commissionerate have been received on 20.03.2026 and 02.06.2026 issued by the Assistant Commissioner of Customs, Import Assessment Gr-1, Office of the Principal Commissioner of Customs, Customs House, Mundra, Kutch, Gujarat, and are as follows:
2.1.1 Preliminary: Nature of the Application and Established Import Practice
M/s ADM Agro Industries India Pvt. Ltd. (hereinafter “the applicant”, IEC 0509094571) has filed an application before the Customs Authority for Advance Rulings (CAAR), New Delhi, seeking classification of its product “B-TRAXIM 2C” under Customs Tariff Heading (CTH) 29224990 on the ground that it is a chemically defined organo-metallic compound. As per the application, the product is an organic trace mineral intended for use as a nutritional additive in animal feed.
It is at the outset relevant to note that the applicant has been regularly importing this very product at Mundra Port and has, without objection or dispute, declared and cleared the goods under HS Code 23099090 (“Preparations of a kind used in animal feeding”), with the Bills of Entry consistently describing the product as “B-TRAXIM 2C… ANIMAL FEED ADDITIVES”. The applicant’s contention to the contrary is not tenable in light of multiple consignments cleared under CTH 23099090 at Mundra Port in August 2025 and December 2025 without any dispute at the assessment stage.
2.1.2 The Product is Not a “Separate Chemically Defined Compound” within Chapter 29:
Chapter 29 of the Customs Tariff applies exclusively to “separate chemically defined organic compounds, whether or not containing impurities”. A product that is a mixture cannot constitute a “separate chemically defined compound” consisting of one molecular species as required under Note 1(a) to Chapter 29 and is accordingly excluded from classification thereunder.
The applicant seeks to identify B-TRAXIM 2C with the chemically defined compound manganese (II) bis(glycinate) — CAS No. 6912-28-3, PubChem CID 151440. However, the product for which the ruling is sought is materially distinct from that compound. The product datasheet itself reveals that B-TRAXIM 2C is expressed by the general formula R—NH2—CH—COO—Mn—X, where ‘X” represents different amino acids derived from hydrolysed protein. Manganese is thus bound not to one specific amino acid but to a variable mixture of amino acids. No IUPAC name or CAS number exists for the actual product for which the advance ruling is sought.
The compositional variability is further evidenced by: (i) the presence of associated counter-ions such as sulphate; (ii) a fluctuating molecular weight ranging between 227 and 326 Da; and (iii) a metal-to-amino acid ratio stated only broadly as 1:1. The resulting non-uniform composition is wholly inconsistent with the concept of a “separate chemically defined compound”. B-TRAXIM 2C is, in substance, a mixture of metal-amino acid complexes of variable composition derived from hydrolysed protein, and therefore falls outside the scope of Chapter 29.
2.1.3 The Product Bears the Essential Character of a Preparation for Animal Feeding under Heading 2309:
Heading 2309 covers “preparations of a kind used in animal feeding”. The HSN Explanatory Notes to this Heading clarify that it encompasses not only complete and supplementary animal feed, but also preparations used in making such feed — commonly known as premixes — consisting of active substances such as vitamins, amino acids, trace minerals, and enzymes, with or without carriers, processed to facilitate their use in animal feeding. Critically, even preparations consisting of a single active substance are classifiable under Heading 2309, provided they are of a kind used in animal feeding.
B-TRAXIM 2C squarely satisfies this description on multiple converging indicators:
(i) Product design and application: The product is engineered for stability, homogeneity, and compatibility with feed formulations. Its datasheet prescribes its method of application as “for animal nutrition, into feed via a premixture”.
(ii) Regulatory compliance: The product is declared to conform to feed-specific European regulatory frameworks — Regulation (EC) 178/2002 (General Food Law), Regulation (EC) 183/2005 (Feed Hygiene), and Regulation (EC) 1831/2003 (Feed Additives). Compliance with specialized feed legislation establishes the commercial and regulatory identity of the product as an animal feed additive.
(iii) Manufacturer’s own representation: The manufacturer’s website (,pancosma.com) describes 13-TRAXIM 2C as a range of organic trace minerals with a patented formulation designed for the feed industry, emphasizing superior bioavailability and stability compared to conventional mineral sources used therein — language unmistakably that of a feed product, not a general-purpose chemical.
(iv) Trade parlance: The product is not bought or sold as “zinc glycinate” or “manganese glycinate” in the chemical market. It is sold under the brand name B- TRAXIM® 2C exclusively as a feed solution, having no independent identity in trade as a chemical.
2.1.4 Interpretive Rules Favour Classification under Chapter 23:
Under Rule I of the General Rules for Interpretation (GRI), classification is determined by the terms of the headings and relevant Section or Chapter Notes. Heading 2309 is a use-based, specific heading directed at preparations used in animal feeding, while Heading 2922 is a general heading covering a broad class of amino-acid compounds. In accordance with the settled principle that a specific heading prevails over a general heading, the impugned goods are more appropriately classifiable under Heading 2309.
Chapter 29 applies to compounds that retain the character of separate chemically defined substances used as such. Where such a compound is processed, formulated, or presented for a specific end-use — particularly as a feed additive — it ceases to fall within the ambit of Chapter 29 and is classifiable under the applicable use-based heading. End-use, though not invariably determinative, assumes particular significance where, as in the case of Heading 2309, the tariff entry is itself framed in terms of use.
2.1.5 Judicial Precedent: The legal position is conclusively settled by the Hon ‘ble Supreme Court of India in Commissioner of Customs (NSI) v. Venkateshwara B. V. Bio Corp. Pvt. Ltd. [Civil Appeal Diary No. 57701 of 2024, decided on 07-02- 2025]. The Supreme Court dismissed the Revenue’s appeal and affirmed the CESTAT (Mumbai) order that animal feed additives/premixes containing vitamins, minerals, and other active substances — including those that may in isolation constitute defined compounds under Chapter 29 — are classifiable under Tariff Item 23099090 when formulated, branded, and traded as feed-grade premixes or additives for animal nutrition. The Court held that where goods are commercially known and used as feed premixes/additives, their essential character is that of animal feed preparations, irrespective of their chemical constituents.
This ratio applies with full force to B-TRAXIM 2C, which is a feed-grade formulation traded exclusively as an animal feed additive.
2.1.6 In view of the foregoing, it is respectfully submitted that:
(a) B-TRAXIM 2C is not a ‘separate chemically defined compound’ within the meaning of Note 1(a) to Chapter 29 — it is a mixture of metal-amino acid complexes of variable composition derived from hydrolysed protein, with no fixed molecular identity or CAS number.
(b) The product’s formulation, method of application, regulatory compliance, manufacturer’s own description, and entire commercial identity establish its essential character as a preparation of a kind used in animal feeding, squarely covered by Heading 2309.
(c) The applicant’s prior and consistent import practice at Mundra Port — clearing the goods under CTH 23099090 without dispute — independently corroborates this classification.
(d) The Supreme Court’s judgment in Venkateshwara B.V. Bio Corp. (supra) authoritatively settles that feed-grade mineral premixes/additives of this nature are classifiable under CTI 23099090.
2.1.7 Accordingly, the classification claimed by the applicant under CTH 29224990 is not legally sustainable. It is humbly submitted that the impugned goods merit classification under CTI 23099090 as “preparations of a kind used in animal feeding”, and the advance ruling sought by the applicant deserves to be rejected.
2.1.8 Eligibility of the applicant, in terms of Section 28-E(c) of the Customs Act, 1962:
M/s ADM Agro Industries India Private Limited is an importer holding a valid 1EC and has filed the present application seeking an advance ruling in relation to the classification of goods proposed to be imported by them. Accordingly, the applicant appears to fall within the ambit of “applicant” as defined under Section 28E(c) of the Customs Act, 1962 and is eligible to seek an advance ruling under the provisions of Chapter V-B of the Customs Act, 1962.
2.1.9 Applicability of proviso to Section 28-1 (2) of the Customs Act, 1962:
As per records available with this Commissionerate, no such case of applicant involving the identical question raised in the present advance ruling application are pending before any officer of Customs, other Appellate Tribunal or any Court as per proviso of Section 28-1(2) of the Customs Act, 1962.
2.1.10 Whether the claim of the applicant regarding the nature of activity (ongoing/proposed) is correct:
Verification of import records indicates that M/s ADM Agro Industries India Private Limited has previously imported the product “B-TRAXIM 2C” through Mundra Port and cleared the same under Customs Tariff Item CUS/APR/MISC/1660/2026-Gr 1-0/o Pr Commr-Cus-Mundra I4225767/2026 23099090 by declaring the goods as animal feed additives. The applicant has, therefore, been engaged in the import of the subject goods prior to filing of the present application. Hence, the activity in respect of the subject goods appears to be an ongoing import activity of the applicant.
2.1.11 Whether the question raised is pending before any officer of Customs, the Appellate Tribunal or any Court
As per records available with this Commissionerate, no such case of the app officer of the Customs, other Appellate Tribunal or any Court.
3. Record of Personal Hearing:
During the course of personal hearings on 29.04.2026 and 14.05.2026, the applicant reiterated the facts already mentioned in the application. They requested to file a rejoinder, which was allowed. Further, they were asked to submit export documents related to the product, which they agreed to submit later.
4. Additional Submission by the Applicant:
4.1 The applicant, vide their email dated 06,05.2026 submitted that:
4.1.1 We, M/s. ADM Agro Industries India Private Limited, respectfully submit this representation in connection with the Customs House Mundra port comments vide File. No. CUS/APR/MISC/1660/2026- Gr- I dated 20.03.2026 on our application for advance ruling no. 202/ 2025-26 dated 17.02.2026 under Section 28H of the Customs Act, 1962 seeking legal certainty on the correct classification under Customs Tariff Heading (CTI-1) 29224990 on the ground that it is a chemically defined organo-metallic compound for the imported product B-Trexim 2C filed before the Customs Authority for Advance Rulings (CAAR), New Delhi.
As department asked and allowed to submit the reply on port comments in our virtual hearing between ADM Agro industries India Pvt. Ltd. and Commissioner of Customs held on 29.04.2026, we would like to submit our reply on the specifically to the conclusions drawn at Para 6(a) to 6(d) thereof for rejection of advance ruling request for B-Trexim 2C.
4.1.2 Para 6 (a): B-TRAXIM 2C is not a ‘separate chemically defined compound’ within the meaning of Note 1(a) to Chapter 29 — it is a mixture of metal-amino acid complexes of variable composition derived from hydrolyzed protein, with no fixed molecular identity or CAS number.
The product is manufactured through a chelation reaction, wherein metal ions form coordinate bonds with amino acid ligands, resulting in a distinct organo-metallic coordination compound. It is not a mere physical mixture. I3-Traxim 2C is a crystalline polymer complex whereby a metal sulfate molecule is bonded to a glycine molecule. In addition, the amino acid used in the B-Traxim 2C product line is not derived from a hydrolyzed protein. The 2C products are made specifically from glycinc as staled in the literature (enclosed).
Chapter Note 1(a) to Chapter 29 expressly permits the presence of impurities and process-related variations. The Customs Tariff does not mandate a fixed CAS number, or absolute invariability in molecular weight as conditions for classification under Chapter 29.
We contend that the reliance on variation in amino acid source or molecular parameters does not preclude the inclusion in Chapter 29. Such permissible variation does not detract from the existence of a chemically defined structure formed through chemical reaction.
Accordingly, the conclusion here in para 6 (a) is incorrect and contrary to chapter 29.
4.1.3 Para 6 (b): The product’s formulation, method of application, regulatory compliance, manufacturer’s own description, and entire commercial identity establish its essential character as a preparation of a kind used in animal feeding, squarely covered by Heading 2309.
It is our view that the Department’s conclusion that the product is classifiable under Heading 2309 based on formulation, application, regulatory compliance, or commercial description is not in accordance with the Chapter heading of 2309.
Chapter Heading 2309 applies to “preparations”, which necessarily involve blending of multiple constituents, and/or use of carriers or fillers.
B-TRAXIM 2C is imported as a single chemically defined compound, not as a premix or formulated feed preparation.
End-use or regulatory classification cannot override chemical identity, particularly when classification The classification of B-Traxim 2C is defined by its objective characteristics which indicate that Chapter 29 is the proper place for this product. We contend that, according to GRIs 1 & 6, heading 2922 accurately and completely describes the product in question.
Furthermore, whilst the application of GRI 3(a) is not, in our view required, the terms of heading 2922 provide a much more specific description of the product rather than a preparation which can cover a host of different mixtures and formulations and one which is ‘of a kind used in animal feeding’. Other
applications are certainly possible for this product.
4.1.4 Para 6 (C): The applicant’s prior and consistent import practice at Mundra Port —clearing the goods under CTH 23099090 without dispute — independently corroborates this classification.
It is a settled principle that there is no preclusion against regulation in matters of tariff classification. Past clearances without dispute do not amount to adjudication on merits and cannot override statutory interpretation and preclude an applicant from seeking an Advance Ruling to determine correct classification.
Our consideration with regard to the classification of this product is part of a standard process of classification review which ADM seeks to drive globally. This has identified that there are a number of different jurisdictions globally that support classification of related items under 2922 and drove us to seek certainty on this point.
As requested, please find some details, in enclosure, of the rulings from around the globe for metal chelates (glycinates) which have resulted in this focus.
4.1.5 Para 6 (D): The Supreme Court’s judgment in Venkateshwara B.V. Bio Corp. (supra) authoritatively settles that feed-grade mineral premixes/additives of this nature are classifiable under CTI 23099090.
The said case concerned feed premixes/additives containing multiple constituents and carriers, whose essential character was derived from formulation and blending.
The Hon’ble Court did not hold that a chemically defined compound, manufactured through chemical reaction and imported as such, must be classified under Heading 2309 merely because of one of its intended uses in animal nutrition.
B-TRAXIM 2C is not a premix, does not contain carriers, and retains its separately specified chemical identity at the time of import. Hence, the rationale of the said judgment does not apply to the present case. B-TRAXIM® 2C is a range of organic trace minerals bound to glycine. Its patented formulation and well known chemical crystalline structure ensure high stability and increased bioavailability compared to inorganic sources and other less stable organic mineral sources commonly used in the feed industry.
The aforesaid judgment rests entirely on circular No. 188/22/96-CX (issued by the Ministry of Finance, Department of Revenue, Central Board of Excise and Customs, New Delhi, 26-3-1996). After careful analysis ADM concludes that the said circular does not state that ALL GOODS “commonly known to the trade as products for a specific use in animal feeding” are to be classified under heading 2309. Such interpretation would lead to the incoherent conclusion that if a company were to market simple wheat flour as an animal feeding product, then, its appropriate classification would be 2309. This is not sustainable.
It does state that “it may be NECESSARY to ensure that the said animal feed supplements are ordinarily or commonly known to the trade as products for a specific use in animal feeding”. But it is clearly being stated that this ‘may be’ a NECESSARY condition, not as a SUFFICIENT condition. In other words, for goods to fall under 2309, they NEED to be marketed as products for a specific use in animal feeding; this is necessary. A product consisting of vitamin B12 with a soja carrier and flavoring may not be classified under heading 2309 if it is not marketed as animal feeding. Conversely, not all products marketed for a specific use in animal feeding fall under 2309, that is not sufficient.
What are then the remaining sufficient conditions? The same circular explicitly sates two important points:
a) “It may however be noted that Heading 23.09 of the HSN EXCLUDES products of Chapter 29 and medicaments of 1-leading 30.03 or 30.04”
b) “The classification of each product being claimed as animal feed supplements may be decided on merits in the light of the above & in accordance with the explanatory notes to Heading 23.09 of the HSN READ WITH CHAPTER NOTE OF CHAPTER 23 OF THE CET.
According to point a), if a product falls under chapter 29, it is explicitly excluded from 2309. This is in line with point b) which emphasizes the applicability of chapter note 1 of chapter 23 which reads: “Heading 23.09 includes products of a kind used in animal feeding, not elsewhere specified or included”. Therefore, heading 2309 is inherently a residual heading. Goods classified under a specific chapter cannot be classified under 2309, even if they are marketed for the animal nutrition industry.
The circular is not seeking to alter the residual nature of heading 2309, it is simply stating that, for goods to fall under heading 2309, they must be marketed as products for a specific use in animal feeding.
The intended use (or marketing claims) for the goods does not generally define their classification. This is subjective and could vary between imports of the same item. In this regard, the European Court of Justice (cited here as an example) has stated that the intended use is only relevant “if it is inherent to the product, and that inherent character must be capable of being assessed on the basis of the product’s objective characteristics and properties” (see Case C-183/06 RUMA [2007] ECR 1-1559, paragraph 36; Olicom, paragraph I 8, and Case C-123/09 Roeckl Sporthandschuhe [2010] ECR 1-4065, paragraph 28). Therefore, a product’s objective characteristics and properties prevail over marketing claims, always. If a product is an oxygen-function amino-compound, it is classified under heading 2922, even if it is marketed for a specific use in animal feeding.
4.1.6 Conclusion:
In view of the foregoing submissions, it is respectfully requested that the Hon’ble Authority may he pleased to:
a) Disregard the Departmental Comments;
b) Hold that 13-‘MAXIM 2C is a separate chemically defined compound;
c) Glassily the product under Chapter 29, specifically under CH 1 29224990 (or appropriate heading under 2922);
In case your good self requires any further information/ clarifications in this regard, we would be glad to provide the same. Lastly, request you to acknowledge the receipt of this letter and take this letter on record.
5. Findings, Discussion & Conclusion:
5.1 Having examined the CAA R-1 application, the comments received from the jurisdictional Customs Commissionerate, the record of personal hearing and the applicable legal framework, I find the application to be valid in terms of the Customs Act, 1962 and the CAAR Regulations, 2021. I, therefore, allow the application and proceed to determine the classification of the proposed imports on the basis of the information on record.
Product Description
5.2 As per the applicant’s submission, B-TRAXIM® 2C Mn (specifically B-Traxim 2C Mn-220) is a highly concentrated, feed-grade organo-metallic coordination compound engineered via advanced (so-Fusion Technology (IFT) as a nutritional additive to provide highly bioavailable manganese across all animal species. Structurally defined as an oxygen-function amino-compound, it consists of a pure crystalline polymer complex without carriers or fillers, featuring a stoichiometric repeating monomer unit of glycine (a monocarboxylic amino acid), manganese, and sulfate with a guaranteed minimum manganese concentration of 22%. This dustless, free-flowing, and fully water-soluble powder has a homogenous particle size of 200-300 pm and a neutral dour and taste. By utilizing a stable crystalline structure that holds up across various pH levels, the product effectively prevents miner antagonisms , competition, and negative interactions with other feed components. This chemical protection a 24.9% increase in manganese bioavailability compared to traditional inorganic sulfates, translating to superior trace mineral absorbability, enhanced metabolic and animal performance, and optimized farm profitability when incorporated into complete animal feed via a premix.
Issue of classification:
5.3 The applicant has sought an advance ruling on the classification of “B-Traxim 2C Mn-220”
(hereinafter referred to as the “subject goods”) and contended that the impugned goods merit classification under Tariff Item 29224990 of the First Schedule to the Customs Tariff Act, 1975.
5.4 However, I note that the jurisdictional Commissionerate, in its comments has contended that the most appropriate classification for the impugned goods i.e. B-Traxim 2C Mn-220 is under Tariff item 23099090.
5.5 I have examined the submissions made by the applicant, comments of the jurisdictional Commissionerate and have also considered the applicable statutory provisions, Explanatory Notes to the Harmonized System and relevant judicial precedents.
5.6 It is a well-settled principle of law that the classification of goods under the Customs Tariff Act, 1975 is governed by the General Rules for the Interpretation of the Import Tariff (GRI). Rule 1 of the GRI mandates that “classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes”. Only where the terms of the headings or the relevant Notes do not determine the classification, recourse is taken to the subsequent Rules. Accordingly, to determine the correct classification of the impugned goods, it is necessary to examine Tariff Headings 2922 and 2309 read with the relevant Section Notes, Chapter Notes, and Explanatory Notes.
5.7 The relevant tariff entries read as under:
| 2309 | PREPARATIONS OF A KIND USED IN ANIMAL FEEDING | |
| 2309 10 00 | – | Dog or cat food, put up for retail sale |
| 2309 90 | – | Other : |
| 2309 90 10 | — | Compounded animal feed |
| 2309 90 20 | — | Concentrates for compound animal feed |
| — | Feeds for fish (prawn, etc.) : | |
| 2309 90 31 | —- | Prawn and shrimps feed |
| 2309 90 32 | —- | Fish feed in powdered form |
| 2309 90 39 | —- | Other |
| 2309 90 90 | — | Other |
| 2922 | OXYGEN-FUNCTION AMINO-COMPOUNDS | |
| – | Amino-acids, other than those containing more than one kind of oxygen function, and their esters; salts there of : | |
| 2922 11 | — | Monoethanolamide and its salts: |
| 2922 12 | — | Triethanolamine and its salts: |
| 2922 17 | — | Methyl diethanolamine and ethyl diethanolamine: |
| 2922 19 | — | Other: |
| 2922 21 | — | Amino hydroxynaphthalene sulphonic acids and their salts : |
| 2922 29 | — | Other: |
| 2-amino 4-nitrophen le/ meta aminophenol, para | ||
| aminophenol, Meta diethyl aminophenol: | ||
| 2922 31 00 | — | Amfepramone (INN), methadone (INN) and normethadone (INN); salts thereof |
| 2922 39 00 | — | Other |
| – | Amino-acids, other than those containing more than one kind of oxygen function, and their esters; salts thereof : | |
| 2922 41 00 | — | Lysine and its esters; salts thereof |
| 2922 42 | — | Glutamic acid and its salts : |
| 2922 43 00 | — | Anthranilic acid and its salts |
| 2922 44 00 | — | Tolidine (INN) and its salts |
| 2922 49 | — | Other : |
| 2922 49 10 | — | Amino acetic acid (glycine) |
| 2922 49 20 | — | N-methyl taurine |
| 2922 49 90 | — | Other |
5.8 I note that Chapter 29 of the Customs Tariff covers organic chemicals. Note 1 to Chapter 29 states “Except where the context otherwise requires, the headings of this Chapter apply only to : (a) separate chemically defined organic compounds, whether or not containing impurities; “.
5.9 Chemically defined compound is defined under the HSN Explanatory Notes to Chapter 29 as “a separate chemically defined compound is a substance which consists of one molecular species (e.g. covalent or ionic) whose composition is defined by a constant ratio of elements and can be represented by a definitive structural diagram. In a crystal lattice, the molecular species corresponds to the repeating unit cell–.
Separate chemically defined compounds containing other substances deliberately added during or alter their manufacture (including purification) are excluded .from this Chapter. Accordingly, a product consisting of saccharin mixed with lactose, for example, to render the product suitable fbr use as a sweetening agent is excluded (see Explanatory Note to heading 29.25).
The separable chemically defined copulins of this Chapter “ay contain impurities. (Note I (a)). An exception to this rule is created by the wording of heading 29.40 which, with regard to sugars, restricts the scope oldie heading to chemically pure sugars.”
5.10 From the Explanatory Notes, it can be made out that a separate chemically defined compound is a substance: (i) which consists of one molecular species (e.g. covalent or ionic), (ii) whose composition is defined by a constant ratio of elements and (iii) can be represented by a definitive structural diagram.
5.11 The Explanatory note (D) to Heading 2922 states as follows:-
(D) AMINO-ACIDS AND THEIR ESTERS; SALTS THEREOF
These compounds contain one or more carboxylic acid flute/ions and one or more amine functions. Anhydrides, halides, peroxides and phenoxyacids of carboxylic acids are regarded as acid Auctions.
These compounds conical, as oxygen functions only acids, their esters or their anhydrhles, halides, peroxides and peroxyacidv or a combination of these ‘Unction’s. Any oxygen function .found in a nonpareil’ segment attached to a parent amino-acid is. disregarded ‘Or classification purposes.
The amino-acids classified under this heading with their esters, valts and substitution derivatives include :
(1) Lysine (diamino-n-hexanoic acid). Colorless crystals. A cleavage product other proteins.
(2) Glutamic acid. Cleavage product of proteins. Obtained from gluten. Crystals used in medicine or in food industries.
(3) Glycine (aminoacetic acid; glycocoll) (H2NCH2COOH). Large, colourless, regularly shaped crystals. Used in organic synthesis, etc.
(4) Sarcosine (CH3-NH-CH2-COOH). Methyl derivative of glycine; crystallises in prisms.
(5) Alanine (2-aminopropionic acid). Hard needles.
(6) B-Alanine (3-aminopropionic acid). Crystalline.
(7) Phenylalanine.
(8) Valine (a-aminoisovaleric acid). Crystals.
(9) Leucine (a-aminoisocaproic acid). Obtained by hydrolysis of proteins; white opalescent crystals. Isoleucine.
(10) Aspartic acid. Crystalline.
(11) o-Aminobenzoic acid (anthranilic acid). Obtained synthetically; used for the manufacture of synthetic indigo. Among its derivatives is methyl anthranilate.
(12) m-Aminobenzoic acid.
(13) p-Aminobenzoic acid. Used in the preparation of dyestuffs, artificial perfumes and anaesthetics.; also in medicine for its vitamin activity. Its derivatives include ethyl and butyl p-aminobenzoates. Procaine hydrochloride (diethylaminoethyl p-aminobenzoate hydrochloride),small colourless and odourless crystals, is a local anaesthetic used by oculists and dentists.
(14) Phenylglycine.
(15) Lisadimate.
5.12 I note that the foundational gateway for entry into Chapter 29 is governed by Chapter Note 1(a), which mandates that headings apply only to “separate chemically defined organic compounds, whether or not containing impurities.” As clarified by the HSN General Explanatory Notes, this requires a substance to consist of one molecular species whose composition is defined by a constant ratio of elements and can be represented by a definitive structural diagram. The technical dossier and product data sheet for B-TRAXIM 2C show that it does not represent a single molecular species with a constant element ratio. Instead, the compound’s chemical identity is expressed by the variable formula: R—NH2—CH—COO—Mn—X. In this structural matrix, “X” represents different amino acids derived from hydrolysed protein. Rather than a pure manganese glycinate complex with an unvarying, stoichiometric molecular weight, the product exhibits a fluctuating molecular weight ranging between 227 and 326 Da. A molecule whose ligand composition varies and whose molecular parameters fluctuate cannot be represented by a definitive structural diagram or a constant ratio of elements. Consequently, the product fails the mandatory criteria of Chapter Note 1(a) to Chapter 29.
5.13 The applicant claims that Iso-Fusion Technology creates a “pure crystalline form with no carriers” and argues that any structural or molecular weight fluctuations are just “permissible process-related variations or impurities” under Note 1(a). However, a fluctuating molecular weight (227 to 326 Da) caused by an intentional mixture of variable amino acids from hydrolysed proteins is not a mere “manufacturing impurity”. It is a fundamental characteristic of the product’s formulation, which disqualifies it from Chapter 29.
5.14 I find that the applicant’s reliance on Chapter Note 3 to Chapter 29 and Part (D) of the HSN Explanatory Notes to Heading 29.22 is legally untenable and misplaced. While Chapter Note 3 provides the statutory mechanism for classifying organo-metallic compounds within Chapter 29 based on their organic structure, and Part (D) of Heading 2922 explicitly encompasses pure amino-acids and their uniform salts, both provisions operate on the absolute, non-negotiable condition that the underlying product first satisfies the threshold gateway of Note 1(a) to Chapter 29. Because the objective technical data establishes that the impugned goods possess a variable amino-acid ligand structure and fluctuating molecular parameters (227 to 326 Da), they cannot be defined by a constant ratio of elements or represented by a definitive structural diagram. A chemical process involving chelation or coordinate bonding during manufacture does not automatically transform a variable commercial mixture into a single, isolated chemical entity. Consequently, since the product fails to qualify as a ‘separate chemically defined organic compound,’ it is structurally disqualified from ent r 29, 22 entirely inapplicable.
5.15 1 find that the jurisdictional Commissionerate has urged that the impugned goods merit classification under CT1 23099090. 1-leading 2309 of the First Schedule to the Customs Tariff Act, 1975 covers “preparations of a kind used in animal feeding” Note 1 to Chapter 23 states that “Heading 2309 includes products of a kind used in animal feeding, not elsewhere specified or included, obtained by processing vegetable or animal materials to such an extent that they have lost the essential characteristics of the original material, other than vegetable waste, vegetable residues and by-products of such processing”. This chapter note is inclusive in nature and it is clear that the heading covers other items and also includes products obtained by processing vegetable or animal material, not elsewhere specified or included.
5.16 The HSN Explanatory Notes to Heading 2309 covers “sweetened forage and prepared animal feeding stuffs consisting of a mixture of several nutrients designed : (I) to provide the animal with a rational and balanced daily diet (complete feed); (2) to achieve a suitable daily diet by supplementing the basic farm-produced feed with organic or inorganic substances (supplemeniaryfeed); or (3) for use in making complete or supplementary feeds.” It is clear that the first type of animal feed i.e. complete feed contains energy nutrients, body building protein nutrients or minerals and function nutrients. Supplementary feed is the preparations devised to compensate for deficiencies, to ensure a well balanced animal diet, consisting of proteins, minerals or vitamins plus additional-energy feeds. The preparations of the third category are also known as premixes and are used in making the complete feed or supplementary feed.
5.17 The I-ISN explanatory Note II (C) to heading 2309 further elaborates on premixes as below:-
These preparations, known in trade as premixes”, are, generally speaking, compound compositions consisting of a number of substances (sometimes called additives) the nature and proportions of which vary discording to the animal production required. These substances are of three types:
(1) Those which improve digestion and, more generally, ensure Hall the animal makes good use of the Jeeds and safeguard its health : vitamins or provilamins, amino•acids., antibiotics, coccidiostats, trace elements, emulsifiers, flavorings and appetisers, etc.
(2) Those designed to preserve the Jeeding stufiv (particularly the.fattv components) wail consunqnion by the animrl : stabilisers, anti oxidants, etc.
(3) Those which serve as carriers and which may consist either of one or more organic nutritive substances (manioc or soyajlour or meal, mickllings, yeast, various residues of the/bod industries, etc.) or of inorganic substances (e.g., magnesite, chalk, kaolin, salt, phosphates).
(4) The concentration of the substances described in (I) above and the nature of the carrier are determined so as to ensure, in particular, homogeneous dispersion and mixing of these substances in the compound feeds to which the preparations are added.
5.18 I find that Note 1 to Chapter 23 is inherently residual in nature. The statutory phrase ‘not elsewhere specified or included’ dictates that Heading 2309 functions as a terminal entry for products used in animal feeding, provided they are not more specifically covered under any other chapter of the Tariff. While the use of the word ‘includes’ clarifies that the heading extends beyond basic vegetable or animal residues to cover advanced formulations processed for animal nutrition, this entry cannot absorb a commodity that maintains a distinct, independent classification elsewhere. Therefore, if a synthesized organic chemical complex or trace mineral is objectively and separately chemically defined under another heading, it is legally excluded from Chapter 23 by virtue of this restrictive statutory limitation.
5.19 The applicant’s contention is that 13-TRAXIM 2C is imported as a single, highly concentrated organic trace mineral complex bound to glycine, and not as a multi-component blended premix containing inactive carriers, thereby seeking exclusion from Chapter 23. However, HSN Explanatory Note 11 (C) to Heading 2309 explicitly includes ‘amino-acids’ and ‘trace elements’ as core a substances designed to safeguard animal health and improve feed utilization. The classification preparation under heading 2309 is not precluded simply because it consists of a single active substance rather, the determining factor is whether the product is specifically processed, formulated, or presented for the purpose of animal feeding. Furthermore, the objective commercial and regulatory profile of the goods indicates that B-TRAXIM 2C is not traded or utilized as a raw, general-purpose chemical in standard industrial trade. Rather, it is a patented, specialized trace mineral matrix manufactured, branded, and strictly regulated under international feed compliance frameworks [such as Regulation (EC) 1831/2003] exclusively as an animal nutrition solution. Consequently, where a product’s objective characteristics and specialized preparation alienate it from standard chemical trade, the use-based, specific text of Heading 2309 appropriately encompasses the goods.
5.20 The technical literature, provided by the applicant, for B-TRAXIM 2C, explicitly states that it is engineered using Iso-Fusion Technology (1FT) to achieve a dustless, free-flowing, homogenous particle size (200-300p.m) specifically optimized ‘for optimal use in premix and utilizing feed.” Its data sheet further prescribes its application “into feed via a premixture.” Consequently, the product’s design fits perfectly into the third category as a preparation intended for making complete or supplementary animal feeds. Accordingly, by combining the inclusive architecture of Note 1 to Chapter 23 with the explicit functional definitions in Explanatory Note II (C), the impugned goods lose any claim to Chapter 29 and are correctly classifiable under Tariff Item 2309 90 90 as preparations of a kind used in animal feeding.
5.21 This view finds support from judicial precedent also. In Commissioner of Customs (NS1) v. Venkateshwara B.V. Bio Corp. Pvt. Ltd. [2025 (31) Centax 40 (S.C)], the Supreme Court dismissed the Revenue’s appeal and affirmed the CESTAT (Mumbai) order that animal feed additives/premixes containing vitamins, minerals, and other active substances, including those that may in isolation constitute defined compounds under Chapter 29, are classifiable under Tariff Item 23099090 when formulated, branded, and traded as feed-grade premixes or additives for animal nutrition. The Court held that where goods are commercially known and used as feed premixes/additives, their essential character is that of animal feed preparations, irrespective of their chemical constituents.
5.22 In view of above, I hold that the product i.e. B-Traxim 2C Mn-220 merits classification under Heading 2309 and specifically under CTI 2309 9090 of the First Schedule of Customs Tarif Act, 1975.
6. I, rule accordingly.
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