9911796707
TMI Blog2002 (7) TMI 308X X X X Extracts X X X X X X X X Extracts X X X X ..... that he is not pressing the issue with reference to the excisability of Soda Ash Solution. Nevertheless, the Department is not justified in denying the eligibility of Soda Ash Solution to the exemption contained in Notfn. No. 217/86. Issue with reference to the similar wordings of Notfn. has already been considered by the Supreme Court in the case of Indian Farmers Fertiliser Co-op Ltd. v. CCE, Ahmedabad reported in 1996 (86) E.L.T. 177 (S.C.). 2. In that case it was held that raw naphtha used to produce ammonia which in turn is used in off-site plants namely water treatment plant, steam generation plant, inert gas generation plant and effluent treatment plant also eligible for such exemption since the said notification does not require ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the exemption in terms of Notfn. 217/86 in the instant case. As per the wordings of Notfn., the assessee must use the item directly in the process of the manufacture of excisable goods. 4. On going through the submissions made by the both sides and case law referred to above, we find that there is strong force in the arguments advanced on behalf of the assessee. Both the notifications dealt with in or in relation to the manufacture of the excisable goods. We are not convinced with the arguments advanced on behalf of the Revenue. But wordings of the said notifications are different. The observations made by the Supreme Court particularly in Paras 9 and 10 of the said decision is relevant in this context and same is as under : - 9. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng the benefit of exemption in terms of Notfn. 217/86. In both the paras it was observed that it is too late in the day to take the view that the treatment of effluents from a plant is not an essential and integral part of the process of manufacture in the plant. The emphasis that has rightly been laid in recent years upon the environment and pollution control requires that all plants which emit effluents should be so equipped as to rid the effluents of dangerous properties. The apparatus used for such treatment of effluents in a plant manufacturing a particular end-product is part and parcel of the manufacturing process of that end-product. The ammonia used in the treatment of effluents from the urea plant of the appellants has, therefore ..... X X X X Extracts X X X X X X X X Extracts X X X X
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