Central Excise - Galvanisation - Whether it amounts to manufacture or not - Regarding - Central Excise - 19/19/94-CX

Central Excise - Galvanisation - Whether it amounts to manufacture or not - Regarding Circular No. 19/19/94-CX Dated 9-2-1994 [From F.No. 139/25/92-CX.4] Government of India Ministry of Finance (Department of Revenue), Central Board of Excise and Customs, New Delhi Subject : Central Excise - Galvanisation - Whether it amounts to manufacture or not - Regarding Representations have been received that in certain Collectorates the process of galvanisation has been treated as a manufacturing activity within the meaning of Section 2(f) of the Central Excises and Salt Act, 1944. 2. The Board has issued a Circular No. 25/90-CX.4, dated 11-7-1990 wherein it was clarified that the galvanised pipes and tubes also would be covered by the expression Tubes and Pipes. This Circular was based on Supreme Court judgment in the case of Gujarat Steel Tubes Limited v. The State of Kerala and Others [1989 (23) ECR-161-SC]. CEGAT and Gujarat High Court in the following two decisions have also held that galvanisation does not amount to manufacture. (i) C.C.E. v. Kamani Engineering Corporation Limited - 1989 (39) E.L.T. 437 (Tribunal). (ii) Zaverchand Gaekwad Private Limited v. U.O.I. - 1992 (61) E.L.T. 225 (Gujarat). 3. In view of the above, it is clarified that galvanisation does not amount to manufacture within the meaning of Section 2 (f) of the Central Excises and Salt Act, 1944.