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TMI Blog1992 (10) TMI 194X X X X Extracts X X X X X X X X Extracts X X X X ..... nal Collector of Central Excise, Bhubaneswar holding them to be ineligible for the said benefit and disallowing the credit of Rs. 38,301.92 taken by them during the period July, 1989 to May, 1990. The second appeal registered as E-259/92 is directed against Order-in-Appeal No. 145/BBSR/91 dated 9-10-1991 passed by the Collector of Central Excise (Appeals), Calcutta setting aside the Order dated 14-12-1989 of the Assistant Collector of Central Excise and allowing the appeal of the Department. The Assistant Collector had, by his said Order, granted them Modvat benefit for Printing Ink used for printing of Plastic Films; but it is this order which has been set aside. The Modvat Credit which was granted has been held to be inadmissible and disa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Plastic Films constitutes one stage and only after the same is completed, is the printing job undertaken using a different machine. Since printing is a post-manufacturing stage, the Ink used in that process is not an eligible input for the grant of Modvat benefit. He referred to two decisions of the South Regional Bench where materials used after the completion of manufacture had been denied Modvat benefit. These cases are as follows :- (i) 1988 (38) E.L.T. 36; and (ii) 1991 (52) E.L.T. 592. Shri Dutt Majumder also pointed out that the Bombay-I Collectorate Trade Notice relied upon by the appellants during the proceedings before the lower authorities had been held to be not applicable to them because the same related to labels/namep ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stic Films and the Printing Ink is used to complete the process of manufacture. The definition of manufacture in terms of Section 2(f) takes within its sweep any process incidental or ancillary to the completion of a manufactured product. The cost of the Printing Ink is included in the prices charged by the appellants to their customers and the said cost is the cum-duty cost thereof. Printing Ink is undoubtedly an input in the manufacture of the Printed Plastic Films and is even present thereon as the printed text. The process of printing cannot be taken to be a post-manufacturing sequel. Till the printed products emerge, at their hands, the process of manufacture is not complete. The objections taken by the authorities are unrealistic and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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