Page 122 - GSTL_27th August 2020_Vol 39_Part 4

448 GST LAW TIMES [ Vol. 39
3.6 Bacteria Enzymes are mixed in to soyabean meal & left for fermen-
tation for 60 to 72 hours (approx.). During this time following changes takes
place in the meal.

S. Properties Soyabean meal Bio-Processed Soyabean meal
No.
1 Anti-nutritional factor.
a. Glycinin 4-6 <0.5
b. B. Conglycinin 2-3 <0.2
2 P.H. 6.5-7 4.5-5.0
3 Lactic Acid 0.03-0.05 3-4

3.7 The Applicant has provided the following points in support of his
claim that the their end product will be used only Animal Feed :
(i) The raw material for the preparation of Bio-Processed meal is soya-
bean meal feed grade falling under HS Code 2304 00 30.
(ii) The protein content of the feed grade is less that 50% and not fit for
human consumption. During the manufacturing process soya meal
undergoes through fermentation process.
(iii) The process uses biotechnology to convert protein structure to
smaller molecular weight to increase efficiency digestion and
absorption.
(iv) It also breaks down and reduce antigens or anti-nutrient substance
due to fermentation.
(v) It is a high quality soya protein source of animal such as your ani-
mals in Aquatic feed including shrimp feed, poultry feed, Cattle
feed & Pig feed.
(vi) It focuses on the use of protein sources in animal feed by replacing
fish meal, skim milk, milk replacer.
(vii) Fermented soya protein can be use in the various kind of feeds, such
as Poultry, Aqua, cattle, Pig feed etc.
3.8 The appellant has cited that Notification No. 2/2017-C.T. (Rate),
dated 28-6-2017 where it is mentioned that Aquatic feed including shrimp feed
and prawn feed, poultry feed, cattle feed & Pig feed, including grass, hay &
straw, supplement & husk of pulses, concentrates & additives, wheat bran & de-
oiled cake (other than rice bran) falling under Heading 2309 of GST Tariff attracts
nil rate of GST.
3.9 The Appellant has also cited that explanatory Note to Heading
23.09 applies, mutatis mutandis, to this heading.

23.09 - Preparations of a kind used in animal feeding.
2309.10 - Dog or cat food, put up for retail sale
2309.90 - Other

This heading covers sweetened forage and prepared animal feeding stuffs
consisting of a mixture of several nutrients designed :
(1) to provide the animal with a rational and balanced daily diet
(complete feed);
GST LAW TIMES  27th August 2020  122