In re Daifuku Intralogistics India Pvt. Ltd. (CAAR Mumbai)
Customs Authority for Advance Rulings (CAAR), Mumbai, has issued a ruling clarifying the classification of roller conveyors and sorter conveyors imported by Daifuku Intralogistics India Pvt. Ltd. The ruling, dated July 30, 2025, determined that these items should be classified under Customs Tariff Item (CTI) 84282019, which covers “Other conveyors,” rather than as parts under CTI 84313910. The decision was based on the independent functionality of the conveyors, which were determined to be complete machines rather than mere components of a larger system.
The application for advance ruling was filed by Daifuku Intralogistics, a subsidiary of a global leader in material handling automation, seeking clarity on the classification of its imported conveyors. The company described the roller conveyors as robust systems for transport and accumulation of products, while the sorter conveyors were defined as high-speed, precision-engineered systems for accurately sorting items. Daifuku Intralogistics indicated that these components could potentially fall under two different tariff headings, CTI 84282019 or CTI 84313910, but noted that the customs duty rate remained the same. However, the company sought a formal ruling to eliminate any ambiguity.
During the hearing, the applicant’s representatives emphasized that both types of conveyors are electrically powered, mechanically driven, and complete units. They argued that these conveyors perform distinct functions—transporting and sorting materials—and are not simply passive parts of a larger system. No representative from the customs department appeared for the hearing, and no comments were submitted.
