GOVERNMENT OF PAKISTAN

MODEL CUSTOMS COLLECTORATE OF APPRAISEMENT

CUSTOM HOUSE, KARACHI.

No. SI/Misc/358/2004-ll                                                                   Dated: 29-07-2009

PUBLIC NOTICE NO.06/2009

SUB:  CLASSIFICATION OF THE PRODUCT NAMELY LYOPRINT PTRV, (ALCOPRINT PTRV) SUPPLIED BY M/S. HUNTSMAN ADVANCED MATERIALS ………………….……SWITZERLAND.

A dispute has arisen regarding classification of the product namely "Lyoprint PTRV" (Alcoprint PTRV) pigment printing thickener. The importers claimed classification under PCT heading 3906.9030 whereas, assessing staff of the Collectorate recommended classification under PCT heading 3906.9040.

2.         Impugned goods were tested in Custom House Laboratory, The Laboratory vide Test Report Nos. Imp-6544/07 dated 19.06.2004, Imp-2913 dated 23.01.2008 and Imp- 1999 dated 28.11.2008 concluded as under:-

“The sample on test is found to consist of emulsified synthetic polymer (Acrylic Type) put up in aqueous/ mineral medium. It forms smooth paste with water. It is in the form of white emulsion. It is likely to be used as thickener for pigment printing for textile.”

3.         The literature provided by the importers reveals that the product is acrylic polymer dispersion. It is stable in hard water and neutral to alkaline PH values. It may be precipitated in strongly acid conditions. It is compatible with all ionic and non-ionic auxiliaries and pigments. It is normally used in pigment printing.

4.         The goods being acrylic polymer dispersion attract classification under PCT heading 39.06 and to this extent there is no dispute. However, the dispute lies in determination of Classification at sub-heading level. The heading 3906 has been sub­divided in the Pakistan Customs Tariff as follows:-

Acrylic Polymers in Primary Forms

3906.1000                 -           Poly (methyl methacrylate)

-           Other

3906.9010                 ---        Cyanocrylate

3906.9020                 ---        Acrylic Binders

3906.9030                 ---        Pigment Thickener

3906.9040                 ---        Dispersing Agent and Acrylic

---        Thickeners

3906.9090                   -           Other

5.         The importers contended that the product is "pigment thickener" and classifiable under heading 3906.9030, According to them the “Pigment thickener" are used for pigment printing in textile industry. There are thickeners (e.g. Guar Gum) which are not used with "pigments" but used with reactive /acid/ disperse dyes. They were of the view that the impugned goods should be classified under PCT heading 3906.9030 being thickener for printing with pigments in textile industry.

6.         On the other hand, the assessing Group invited attention towards heading 3906.9040 which deals with dispersing agent and acrylic thickeners). The literature describes that the product is acrylic polymer dispersion used as thickener in stocks containing no pigments or in print formulations containing pigments. The goods on the strength of literature qualify for classification under PCT heading 3906.9040 by application of Rule-1 of the General Interpretation Rule (GIR) to the Pakistan Customs Tariff. The assessing staff further invited attention that even by application of Rule 3-C of the GIR (Later heading) to the Pakistan Customs Tariff, the goods qualify classification under heading 3906.3040.

7.         After examining all the facts of the case, the Committee unanimously agreed the classification of "Lyoprint PTRV" under PCT heading 3906.9040 by application of Rule-1 of GIR.

Signed by

(Gul Rehman)

Additional Collector/

Chairman Classification Committee 

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