2009 (9) TMI 750

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..... on. 2. The applicant is a 100% EOU, inter alia, permitted to export yarn. They have cleared into the DTA some quantity of contamination free cotton sliver. The original authority held that for the purpose of extending various benefits to 100% EOU the term manufacture is to be liberally construed and the benefits like duty free import of capital goods and inputs to be allowed and on the same gr .....

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..... duty demand will be only Rs. 3,75,544/-. He also relies on the decision of the Tribunal in the case of Shilpa Copper Wire Industries v. CCE, Surat-I reported in 2008 (230) E.L.T. 537 (Tri.-Ahmd.), wherein in the context of clearance from 100% EOU, it has been held that conversion of copper rods into wire did not amount to manufacture in terms of Section 2(f) of the Central Excise Act, 1944 and th .....

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..... the submissions from both sides. 6. Prima facie, we find that 100% EOU is aimed at providing several benefits to the manufactures by granting exemption on capital goods and inputs and other benefits to enable export of the goods to earn foreign exchange. In the present case, the cotton sliver is not the one of the product meant for export in terms of LOP. They have also not exported sliver. Any .....

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