2007 (8) TMI 28 - SCH - Central Excise

Manufacture - Department undertaken by appellant that the process to which the raw asafoetida (hing) is subjected to resulting in the formation of compounded asafoetida constitutes manufacture - Held that department contention is not correct and set aside

Summary

The Supreme Court of India ruled that the process of converting raw asafoetida into compounded asafoetida does not constitute "manufacture" under the Central Excise Act, 1944. The product remains the same throughout the process, so there is no manufacture involved. Therefore, compounded asafoetida is not subject to excise duty. The civil appeals were dismissed with no costs.