Page 131 - GSTL_27th August 2020_Vol 39_Part 4

2020 ] IN RE : VIPPY INDUSTRIES LTD. 457
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” fall-
ing under 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 a detailed process starting from pro-
curement of the raw material to the manufacture of finished product. During the
manufacturing process soya meal undergoes through fermentation process. The
process uses biotechnology to convert protein structure to smaller molecular
weight to increase efficiency digestion and absorption. It also breaks down and
reduces antigens or anti-nutrient substance due to fermentation.
11.6 We further notice that the application dated 25-7-2019 read with
amended application dated 18-11-2019 categorically indicates that the content of
the protein content the feed grade is less than 52% exists in the raw material i.e.
meal of soyabean.
11.7 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 product 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 characteristic of
the original material, other than vegetable waste, vegetable residues and by
products of the 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
2309.90 Others
2309 90 10 Compounded animal feed
2309 90 20 Concentrates for compound animal feed
Feed for fish (prawn etc.)
2309 90 31 Prawn and shrimps feed
2309 90 32 Fish meal in powdered form
2309 90 39 Others
2309 90 90 Others

Further, the Notification No. 2/2017-C.T. (Rate), dated 28-6-2017 and corre-
sponding notification issued under MPGST Act has exempted intra-State sup-
plies of goods, the description of which is specified in column (3) of the Schedule
appended to the said notification, falling under the tariff item, sub-heading,
heading or Chapter, as the case may be, as specified in the corresponding entry :

Sl. Chapter heading/ Description of goods
No. sub-heading/
tariff item
102. 2302, 2304, 2305, Aquatic feed including shrimp feed and prawn
2306, 2308, 2309 feed, poultry feed & cattle feed, including grass,
hay & straw, supplement & husk of pulses, con-
centrates & additives, wheat bran & de-oiled cake

11.8 From above it is derived that the Chapter Heading 2309 90 90 is
exclusively meant for animal feed. We find that the applicant has started their
GST LAW TIMES  27th August 2020  131