9911796707
TMI Blog1997 (11) TMI 304X X X X Extracts X X X X X X X X Extracts X X X X ..... ff entry 15A(1). 2. Original authority, namely, Collector of Central Excise, Calcutta-II has held that the solution of Araldite , in the above circumstances is not liable to duty again. It held that the process does not amount to manufacture of another commodity. Araldite resin in cake-form is converted to another form i.e. solution without bringing into existence another commodity known to the trade having a different name, character and use. The said authority, in coming to the aforesaid conclusion, has relied on several judgments of Courts and the Tribunal which are as follows :- (1) M/s. Coromandal Prodorite (P) Ltd. v. Government of India [1985 (20) E.L.T. 257 (Mad.)] (2) State of Tamil Nadu v. Pyarelal Malhotra [1983 (13) E.L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts to manufacture under Section 2(f) of Central Excises Salt Act, 1944. (b) Epoxy medium (Resin Solution), before use in the manufacture of paints, is tested at the Research Development Laboratory to certify its quality for use in the paints industry. (c) The argument that the product is not known in the market is not substantiated. It is obviously a product which have been manufactured as a distinct commercial value. (d) The processes of manufacture of Araldite and the Resin Solution are different. When the processes of manufacture are different which result in bringing into existence of different and distinct articles each of the processes will amount to manufacture. Duty is to be paid at each stage of manufacture. (e) The as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and plastic materials; and other materials specified below - (1) ........... (2) ........... (3) ........... (4) ........... [There is no dispute that araldite resins in cake-form fell under sub-item (1) above] Thereafter, there are three Explanations. Explanation III is relevant for our purpose which is reproduced below : Explanation III : Sub-item (1) is to be taken to apply to materials in the following forms only : (a) Liquid or pasty (including emulsions, dispersions and solutions); (b) blocks, lumps, powders (including moulding powders) granules, flakes and similar bulk forms; (c) waste and scrap." 4.2 Plain reading of the tariff entry makes it clear that artificial or synthetic resins and plastic materials i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oration of India Ltd. v. U.O.I. [1983 (13) E.L.T. 1542 (S.C.)], relevant extracts of which are quoted in para 4 of the report 1995 (78) E.L.T. 641. It has been observed therein : The separating of wolfram ore from the rock to make it usable ore is a process of selective mining. It is not a manufacturing process. The important test is that the chemical structure of the one should remain the same. Whether the ore imported is in powder or granule form is wholly immaterial..... (emphasis supplied) 4.5 Foregoing view was again confirmed by the Apex Court when it held that pulverisation of rock phosphate is not a process of manufacture [1997 (94) E.L.T. 6 (S.C.). 4.6 We are further of the view that judgment of Madras High Court in the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
