1 BY ORDER DATED 28 MARCH 1973, FILED AT THE REGISTRY ON 20 APRIL 1973, THE FINANZGERICHT OF BADEN-WUERTTEMBERG REFERRED TO THE COURT FOR A PRELIMINARY RULING THE INTERPRETATION OF SUBHEADINGS 41.03 B I, " SHEEP AND LAMB SKIN LEATHER NOT FURTHER PREPARED THAN TANNED ", AND 41.03 B II, " OTHER ", OF THE COMMON CUSTOMS TARIFF .
2 MORE PRECISELY THE QUESTION IS WHETHER " CHROME-TANNED SKIN IS NO LONGER A SKIN " NOT FURTHER PREPARED THAN TANNED " WHEN FAT HAS BEEN ADDED IN TANNING ".
3 THE DECISIVE CRITERION FOR THE CUSTOMS CLASSIFICATION OF GOODS MUST GENERALLY BE LOOKED FOR IN THE OBJECTIVE CHARACTERISTICS AND PROPERTIES OF PRODUCTS . ACCORDING TO THE EXPLANATORY NOTES OF THE BRUSSELS NOMENCLATURE RELATING TO TARIFF HEADING 41.02, AND APPLICABLE LIKEWISE TO TARIFF HEADING 41.03, TANNING RENDERS HIDES AND SKINS RESISTANT TO DECAY AND INCREASES THEIR PHYSICAL STRENGTH AND IMPERMEABILITY TO WATER .
4 THE NOTES SPECIFY THAT HIDES AND SKINS WHICH HAVE HAD FURTHER TREATMENT GOING BEYOND TANNING, AIMED AT RENDERING THEM READY FOR USE BY, IN PARTICULAR, MAKING THEM MORE SUPPLE, COME UNDER SUBHEADING 41.03 B II . ACCORDING TO THE EXPLANATORY NOTES OF THE COMMON CUSTOMS TARIFF, PROCESSES INTENDED TO COMPLETE THE TANNING, E.G . DRYING THE SKINS, DO NOT ALTER THEIR CLASSIFICATION AS HIDES AND SKINS " NOT FURTHER PREPARED THAN TANNED ".
5 WHILST, ACCORDING TO THE NOTES, THE ADDITION OF FAT NORMALLY COMES WITHIN THE FRAMEWORK OF PROCESSES WHICH FOLLOW TANNING, IT IS CONCEIVABLE THAT, FOR TECHNICAL REASONS, IN PARTICULAR TO AVOID DETERIORATION OF THE FIBRES RESULTING FROM A DRIED SKIN, THE ADDITION OF FAT TO THE TANNING LIQUIDS IS INDISPENSABLE IN ORDER TO PROCEED TO THE SECOND PHASE OF THE TREATMENT IN THE IMPORTING COUNTRY . THIS INTERPRETATION IS NOT INVALIDATED BY THE OPINION GIVEN BY THE COMMITTEE ON CUSTOMS NOMENCLATURE AT ITS 67TH MEETING IN SEPTEMBER 1972, WHICH, WHILE ACCEPTING THAT THE ADDITION OF FAT GENERALLY WENT BEYOND TANNING, CONSIDERS THAT THE WORKING PARTY CHARGED WITH DEFINING THIS POSITION IN AN EXPLANATORY NOTE, SHOULD TAKE INTO ACCOUNT THE TECHNOLOGICAL EVOLUTION IN TANNING LIQUIDS .
6 CONSEQUENTLY WHILE THE FACT THAT A HIDE OR SKIN HAS RECEIVED AN ADDITION OF FAT WILL NORMALLY INVOLVE ITS CLASSIFICATION UNDER SUBHEADING 41.03 B II, THE COMPETENT NATIONAL AUTHORITIES MUST JUDGE WHETHER THE ADDITION IN QUESTION CONSTITUTES AN ESSENTIAL PROCESS IN TANNING BY REASON OF ITS FUNCTION OF PRESERVING THE LEATHER WITHOUT RENDERING IT READY FOR USE .