Page 158 - GSTL_26th March 2020_Vol 34_Part 4

668 GST LAW TIMES [ Vol. 34
plicability of a cited Notification. The applicant have complied with the all the
requirements for filing this application as laid down under the law. We therefore
admit the application for consideration on merits.
7.2 Going through the application of the party, it is found that the ap-
plicant has sought confirmation of classification of their product to whom they
term it “Preparation of a kind used in Animal Feeding - Bio Processed Meal” and also
informed that the said product falls under the HS Code 2309 90 90. Further, it is
noted that the main raw material for the said preparation is ‘Meal of Soyabean’.
Further, the applicant has provided the following reasoning to establish
that the said product is meant for Animal Feeding :
“The protein content of the feed grade is less than 50% and not fit for human con-
sumption. During the manufacturing process soya meal undergoes through
fermentation process. The process uses biotechnology to convert protein struc-
ture to smaller molecular weight to increase efficiency digestion and absorption. It
also breaks down and reduce antigens or anti-nutrient substance due to
fermentation”.
7.3 We further notice that the applicant vide their letter dated 18-11-
2019 has submitted an additional reply acknowledging a typographical error in
Para 15F of their advance reply application submitting therein the following :
“In continuation of our application dated 25-7-2019 and hearing on 14-10-
2019 for classifying our product under Heading 23099090 ‘Preparation of a
kind used in animal feeding - bio processed meal’ the applicant wish to fur-
ther inform that in place of statement as mentioned in 15(f) of our advance
Ruling Application “The Protein content of the feed grade is less than 50% and
not fit for human consumption” should be read as “The Protein content is up to
52%”.
7.4 It is noted that the applicant is renowned manufacturer of soya
based products used for the consumption of general public namely Soya
Flakes/Grits, Soya Flour, Soya lecithin, Soya Protein/TVP etc. They are also en-
gaged in the manufacturing of various products meant for animal feeding name-
ly GMO Soyabean meal, non GMO Soya Grits etc. They are also manufacturing
soya products for industrial use. The products meant for industrial use and for
consumption of general public are leviable to various rates of GST whereas the
applicant has claimed the Chapter Heading of 2309 90 90 which is exclusively
meant for animal feed and attracts Nil rate of duty. In such a situation, a critical
analysis is required to establish that the said product is meant only for animal
feed.
7.5 The applicant has claimed the classification under HSN Code 2309
90 90 which is exclusively meant for animal feed and attracts Nil rate of GST. The
Chapter Note 2309 reads as under :
“Note : Heading 2309 includes products of a kind used in animal feeding, not else-
where specified or included, obtained by processing vegetable or animal mate-
rials to such an extent that they have lost the essential characteristic of the
original material, other than vegetable waste, vegetable residues and by -
products of such processing.
Further the Tariff Heading 2309 90 90 is detailed as under :

23.09 Preparations of a kind used in animal feeding.
2309.10 Dog or cat food, put up for retail sale

GST LAW TIMES  26th March 2020  254