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TMI Blog1987 (1) TMI 252X X X X Extracts X X X X X X X X Extracts X X X X ..... payable only on the amount charged by them for the job work and not on the full value of the goods including the value of the raw materials. The Assistant Collector of Central Excise, Eluru, by his adjudication order No. 63/81 dated 20-11-1981 decided that they were not entitled to charge duty only on the job work charges. Therefore, he directed them to pay duty of Rs. 75,396.68 on the total value of goods of Rs. 942,458.55 as they were not entitled to the benefit of exemption under notification No. 119/75-C.E. The Appellate Collector of Central Excise, Madras in his order No. 146/82(G), dated 3-5-1982 agreed with this assessment. 2. M/s. Andhra Sugars appeal was called on 7-1-1987, but the Bench was shown a telegram received on 6th Jan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... For this, they quoted a letter of the Central Board of Excise and Customs, No. 15/26/68-Cus. I dated 13th September, 1968. They explained further that bought out articles were not worked but used only as such in fabrication of the goods. 5. But the error in M/s. Andhra Sugars interpretation is that the works of shaping, perforating, channeling and ribbing are the very works that are necessary to create the new goods, the tanks, dust catchers etc. etc. It is perhaps quite true that the purchased articles are not worked, but they became fittings, fixtures and attachments for the new products, tanks, in order to complete the manufacture of such tanks etc. It is impossible to define precisely the meaning of manufacture. But whenever a new ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... heets, which are shaped in similar ways or in other ways. But all the sheets together form a new commodity. The sheet that has been formed, shaped and worked upon will never be a steel sheet again to be used as such, but has become a tank or a part of a tank. 7. The amount of work bestowed on the sheet may not be much, so that it can be said that there has been little or no manufacture as far as that sheet is concerned. But when that sheet, however, little the working it received, forms, in confederation with other sheets, materials, parts, a new product, then the meagerness of the work bestowed on it (sheet) will not prevent the new product from acquiring a new personality, a new utility, a new title; a product of the working the sheet r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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