Request for grant of exemption under Section 11C of the Central Excise Act, 1944 to Gums, Waxes, Soap, Stocks and Fatty Acids produced during the course of manufacture of refined vegetable oil. - Central Excise - 01/2014

OFFICE OF THE COMMISSINER OF CUSTOMS, CENTRAL EXCISE, SERVICE TAX VISAKHAPATNAM-I COMMISSIONERATE CENTRAL EXCISE BUILDING, PORT AREA, VISKHAPATNAM-530035. TRADE NOTICE No. 01/2014-CENTRAL EXCISE DATED 29-01-2014 SUB:- Request for grant of exemption under Section 11C of the Central Excise Act, 1944 to Gums, Waxes, Soap, Stocks and Fatty Acids produced during the course of manufacture of refined vegetable oil. Regarding During the Manufacture of refined vegetable oil, which is exempted, certain by products like gums, waxes, soap stocks and Fatty acids emerge. In this regard, M/s Solvent Extractor s Association of India has requested for benefit under Section 11C of the Central Excise Act, 1944 and for issue of an order under section 37B declaring these byproducts as waste. The Central Board of Excise Customs has examined the above issue and rejected the request on the following grounds: a. Survey conducted revealed that a majority of manufacturers were paying duty on these by products. Thus a general practice of non levy of Central Excise duty on these products is not established. b. The Hon ble supreme Court has dismissed the Civil appeals (and also the review petitions) filed by the parties affected by the decision of the CETSTAT in the case of CCE, Jalandhar v/s. A.G. Fats Limited and others reported as 2012(277) ELT 96 (Tribunal ), 2011 (7) TMI 968 - CESTAT, NEW DELHI where it was inter alia held that the by-products like gums, Waxes, Soap stocks and Fatty Acids have not been shown to be of no value negligible value and hence, are not eligible for exemption as waste under notification No. 89/95-CE dated 18.05.1995. 2. All the Tarde Associations/Chamber of Commerce and Member of the RAC are requested to bring this to the notice of their/members/constituents. (C. RAJENDIRAN) Commissioner