Page 117 - GSTL_ 28th May 2020_Vol 36_Part 4

2020 ] IN RE : RICH DAIRY PRODUCTS (INDIA) PVT. LTD. 563
age with fruit juice’. If that particular quantity was merely
used as a flavouring agent in a beverage, then it would not be
getting such a categorization by FSSAI.
o In the instant case, the products are satisfying the require-
ments of Para 3A of FSSAI Regulation 2.3.30, thus merits cat-
egorization as ‘Carbonated beverage with fruit juice’, under
the principle categorization of ‘Carbonated Fruit Beverages or
Fruit Drinks’ and therefore would be classified under Tariff
Item No. 2202 90 20 as fruit juice based drinks.
 Even otherwise, the products in question are classifiable under Tar-
iff Item 2202 99 20 as ‘Fruit Juice Based Drinks’.
o The products in question is undisputedly covered under
Chapter Heading No. 2202, which deals with non-alcoholic
beverages, other than fruit or vegetable juices, classified un-
der the Chapter Heading No. 2009, which has been accepted
in the impugned Ruling as well.
o Chapter Heading No. 2202 has been divided into two sub-
headings, viz. sub-heading 2202 10 which covers “Waters, in-
cluding mineral waters and aerated waters, containing added
sugar or other sweetening matter or flavoured” and sub-
heading 2202 99 which covers “other non-alcoholic beverag-
es”. Fruit pulp or fruit juice based drinks are specifically cov-
ered under Tariff Item No. 2202 99 20 under the sub-heading
No. 2202 99 as ‘Other non-alcoholic beverages’.
o The organisation and scheme of Customs Chapter Heading
No. 2202 demonstrates that tariff sub-heading No. 2202 10
covers drinks which are predominantly made up of water,
including mineral water and aerated water and are either
sweetened or flavoured or both. Tariff Item No. 2202 99 co-
vers other non-alcoholic beverages. The drinks covered under
this sub-heading would be imparted their essential character
by another substance.
o The goods falling under Tariff Item 2202 10 20/2202 10 90
will cover within its ambit those drinks which are made up of
water and contain lime/orange -flavour added thereto.
o The expression ‘fruit pulp or fruit juice based drinks’ falling
under 2202 99 20 essentially means a drink based on fruit
pulp or fruit juice which gives the overall/essential character
to the drink.
o The products in question are to be prepared with orange/
lime juice as its base, which will be added to the syrupy liq-
uid consisting of water, sugar and other constituents. Thus
the same are active ingredient of the product in question, and
imparts the basic attribute to the drink, including its taste and
characteristics, therefore qualifying as “fruit juice based
drink” under the Tariff Item No. 2202 99 20.
o Reliance is also placed upon D. Hicks(ed.), Production and
Packaging of Non-carbonated Fruit Juices and Fruit Beverag-

GST LAW TIMES  28th May 2020  117