1995 (10) TMI 144 - AT - Central Excise

Summary

The appeal was against the denial of Modvat credit for argon gas used in welding. The Collector of Central Excise denied the credit, stating that argon gas is a consumable and not used in the manufacture of the final product. However, the Tribunal disagreed, ruling that argon gas is essential for welding, not a machinery part, and should be eligible for Modvat credit. The appeal was allowed, directing the restoration of the credit. (Case: 1995 (10) TMI 144 - CEGAT, BOMBAY)