2017 (3) TMI 1601 - AT - Central Excise

Dutiability of Di-Calcium Phosphate (animal feed grade) manufactured from Rock Phosphate - Held that - Di-Calcium Phosphate (animal feed grade) manufactured from Rock Phosphate and cleared during the period from April 2008 to December 2012 is prima facie covered by the N/N. 04/2016-CX (N.T), dated 12-2-2016 issued under Section 11C of CEA, 1944; thereafter exemption N/N. 03/2014 CE, dated 3-2-2014 has been issued for the subsequent period allowing exemption to said product - appeal allowed.

Summary

Issues:
Appeals against orders-in-original regarding duty on clearance of Di-Calcium Phosphate (animal feed grade) manufactured from Rock Phosphate.

Analysis:
The appeals were filed against orders-in-original passed by the Commissioner of Central Excise & Customs, Vadodara-I, related to the duty on the clearance of Di-Calcium Phosphate (animal feed grade) manufactured from Rock Phosphate. The issue in both appeals was common, so they were taken up together for disposal.

During the period from April 2008 to December 2012, the appellants had cleared the mentioned product without discharging the appropriate duty. Demand notices were issued for duty recovery, and upon adjudication, the demand was confirmed with interest and penalty.

The appellant's advocate argued that the dutiability of the product was a nationwide issue, leading to the issuance of a Notification under Section 11C of the Central Excise Act, 1944, bearing No. 04/2016-CX (N.T) dated 12-2-2016, covering the relevant period. The Revenue's representative did not dispute the issuance of this Notification.

After hearing both parties and examining the records, it was found that the Di-Calcium Phosphate (animal feed grade) manufactured from Rock Phosphate and cleared during the period in question was prima facie covered by Notification No. 04/2016-CX (N.T) dated 12-2-2016 issued under Section 11C of the Central Excise Act, 1944. Subsequently, an exemption Notification No. 03/2014 CE dated 3-2-2014 was issued for the following period, providing exemption for the said product. As a result, the impugned orders were set aside, and the appeals were allowed with any consequential relief as per law.