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TMI Blog1996 (5) TMI 192X X X X Extracts X X X X X X X X Extracts X X X X ..... ulture media were not excisable goods. 2. Before us, the revenue was represented by Shri Singh, the ld. JDR and Shri Willingdon Christian, the ld. Advocate for the respondents. 3. Before going into the issue of excisability of these two products, it would be necessary to outline the process of manufacture of Citric acid from molasses by inoculum (culture) media during the manufacture of these two products. The process, in short, is as follow :- The molasses is collected from sugar factories and brought to the factory through molasses tanker and stored in molasses storage tank. From molasses tanks, molasses is pumped and brought to the plant near fermenters then the molasses solution is prepared by adding necessary water and salts. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mother liquor. The wet crystals are then transferred to hot air drier wherein the citric acid crystals are dried. It is further being cooled in a rotary drum cooler. Then the filtered product is sieved into various sizes and packed in HDPE bag with alkathene liners in 25 kgs bags." 4. Shri Singh, the ld. JDR, arguing from the grounds of appeal filed by the revenue, referred to the report by Chemical Examiner of the Calcium Citrate. He stated that admittedly, the sample contained a number of impurities. However, as per the Chapter Note l(a) of Chapter 29, the existence of impurities does not take out of the ambit of this chapter separate chemically defined organic compounds. He referred to the judgment of the Tribunal in the case of M/s. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion broth. The findings of the Chemical Examiner read as follows: The sample is in the form of heterogenous mixture of brown coloured liquid and white powdery solid settling at the bottom. It contains about 32% of Calcium Citrate. The analysis shows that it is heterogenous mixture at the stage of precipitation containing a certain percentage of calcium citrate, which cannot be held to be calcium citrate containing impurities as is suggested by the ld. DR. The ld. Collector in dealing with this, has relied upon the decision made by the Collector of Central Excise, Vadodara vide his order dated 6-11-1991. This order has been cited by the respondents in the paper book filed by them. In this order, the ld. Collector, Vadodara, on examinat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... event in the case of duties of excises is the manufacture of goods and the duty is not directly on the goods but on the manufacture thereof. Therefore, the essential ingredient is that there should be manufacture of goods. The goods being articles which are known to those who are dealing in the market having their identity as such. Section 3 of the Act enjoins that there shall be levied and collected in such manner as may be prescribed duties of excise on all excisable goods other than salt which are produced or manufactured in India. Excisable goods under Section 2(d) of the Act means goods specified in the Schedule to the Central Excise Tariff Act, 1985 as being subject to a duty of excise and includes salt. Therefore, it is necessary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ading 38.21. The entry reads as follows: Prepared culture media for development of micro-organism . The explanatory notes to H.S.N show that such media is prepared keeping in mind the neutrient requirements of various bacteria. microbes, viruses etc. to be specifically grown. These are stated to be in liquid paste or powder or tablet form and are sterilised and put up in sealed glass bottles; tubes, ampoules or tins. The explanatory note further states that unmixed product specifically not prepared as culture media would not fall under this schedule. 13. In the case before us, the description in the explanatory note itself shows that marketability is essential for attracting the classification under this heading. The ld. Advocate for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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