New Delhi, June 30: The government today approved a bill to introduce an eight-digit classification code for central excise to eliminate problems arising from different kinds of classification and facilitate the move to electronic data processing.

The Central Excise Tariff (Amendment) Bill, 2004, to be tabled during the forthcoming session of Parliament, will have a common harmonised system of nomenclature based on an 8-digit classification code for central excise.

An official spokesperson said the classification will be in line with the existing 8-digit code for customs and exim policy.

He said one of the objectives is to have a common classification code for both customs and central excise in alignment with that followed by the directorate general of foreign trade (DGFT) and directorate general of customs and intelligence. The cabinet also gave its approval to repeal five obsolete laws administered by the finance ministry.

According to an official press-note, the new 8-digit classification for excise will also enable collecting more specific data on commodities of special significance like spices, sarees and dhotis and sharing them with other government agencies.