9911796707
TMI Blog1987 (3) TMI 255X X X X Extracts X X X X X X X X Extracts X X X X ..... der Item 20 of the Central Excise Tariff. They were exempt from payment of duty. During the later half of 1980, they started on experimental basis hand printing of viscose sarees without the aid of any machine operated by power of steam. Man-made fabrics fall under Item 22. The appellants submit that they were not using any machine in the printing of these sarees and they were not liable to pay the additional duty of excise in terms of Notification No 179/72, dated 24-4-1972 as amended by Notification No, 298/79, dated 24-11-1979. On 28-11-1980, the Central Excise officers visited the premises of the appellants and seized 107 art silk sarees valued at Rs. 8,560.00. The appellants explained to the Assistant Collector and the Collector of Cen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lator, was also considered as a machine. The electrically operated stirrer was held to be a machine. Hence the present appeal. 3. Shri M.D. Choudhary, Advocate, for the appellants, submitted that the Notification contemplated processing which was ordinarily conducted with the aid of machines whether operated with or without the aid of power or steam. He argued that no machine was used for the printing. Stirring the colours with gum and other chemicals, would not change the situation and cannot be considered as a process of manufacture. There was no heat setting arrangement nor was there any control provision. He argued that the Board had clarified in Circular Letter A.S.F./2/64, page No. 110, C.B.R. Bulletin, Central Excise Technical Jan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... int for determination in this appeal is whether the appellants are entitled to the benefit of Notification No. 179/72 as amended by subsequent notifications and ultimately by Notification No. 298/79, dated 24-11-1979. For the purpose of clarity the relevant portion of the notification is extracted below : In exercise of the powers conferred by Rule 8(1) of the Central Excise Rules, 1944, read with Section 3(3) of the Additional Duties of Excise (Goods of Special Importance) Act, 1975 (58 of 1975), the Central Government hereby exempts processed man-made fabrics falling under Sub-item (1) of Item No. 22 of the First Schedule to the Central Excises and Salt Act, 1944 (1 of 1944), and specified in Column (1) of the Table hereto annexed from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cess which is ordinarily conducted with the aid of machines. If machines are used, then the source of the energy, namely, power of steam would not be material. If any process is not conducted with the aid of machine, then the benefit of the notification cannot be denied. It is significant to note that the main part of the notification refers to processed man-made fabrics. In regard to textile fabrics the term manufacture in relation to goods in Item 22(1) of the First Schedule includes bleaching, dyeing, printing, shrink-proofing, stentering, heat-setting, crease resistant processing or any other process or any two or more of these processes. In the show cause notice the charge against the appellants is that they were using machine, power a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with gums and other chemicals and the stirrer is used for this purpose. The stirrer is used to give better quality solution which could be used for the printing of art silk fabrics. Both the Assistant Collector and the Appellate Collector have held that this is a machine. In order to appreciate the objections raised by the appellants one has to consider the process of hand-printing. According to the appellants, they mainly hand print the fabrics and no machinery is used for the process of printing. The printing of fabrics has existed since long. The use of wooden or metal blocks in the use of printing is well-known. In fact, hand-made batik printing is still considered fabrics of art and sophistication. The production in the case of hand-p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Dictionary defines a machine as a combination of rigid or resistant bodies having definite motions and capable of performing useful work. Hence it is reasonable to conclude that a machine is a device for the transformation of energy. In this case, the mere activity of stirring does not involve any transformation or modification of the energy. The stirring operation could at least be termed as an activity for the preparation of the dye. It would be far-fetched to say that mere stirring of chemicals would be a process of printing. 8. The lower authorities have proceeded merely on the basis that the baby boiler, the table and the stirrer appliances are machines for the purpose of printing. But the concept of machine printing as stated earl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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