2005 (12) TMI 3

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..... ty recognize the same as wall tiles before and after printing and decorating Transformation of product must be such that it becomes commercially different commodity to attract central excise duty unless a new and distinct article known commercially to the market emerges the process will not amount to manufacture. In the present case no distinct comodity comes into being as a result of process carried out by the respondent. Thus the decorated glazed ceramic wall tiles after their decoration did not change their basic character viz., glazed tiles and there fore did not undergo a process of manufacture. Against assessee.
Ashok Bhan and C.K. Thakker, JJ. Ramesh Singh, Ms. Inklee Barooah, Mrs. Rakhi Ray and Ms. Bina Gupta, Advocates, for the .....

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..... of new and distinct commercially known product coming into existence. Relying upon the Judgment of this Court in the case of Union of India and Others v. J.G. Glass Industries Ltd. And Others reported in (1998) 2 SCC 32*, the Tribunal came to the conclusion that the tiles after being decorated did not change their character and remained to be glazed tiles. The glazed tiles did not go under the process of manufacture and therefore it cannot be held that the decorated ceramic glazed wall tiles were a new and distinct commodity. The Tribunal relied upon paragraph 16 of the Judgment in J.G. Glass Industries Ltd.'s case (supra) which reads as under: "16. On an analysis of the aforesaid rulings, a twofold test emerges for deciding whether the pr .....

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..... ore is nec- essary. There must be transformation and a new article must result, having a distinct name, character or use. These conditions are not satisfied in the in stant case because ceramic glazed tiles remain ceramic glazed wall tiles even after process of printing and decorating. Persons dealing in this commodity recognize the same as wall tiles before and after printing and decorating Transformation of product must be such that it becomes conimercially different commodity to attract central excise duty unless a new and distinct article known commercially to the market emerges the process will not amount to manufacture. In the present cuse no distinct conurtodity comes into being as a result of process carried out by the respondent. I .....

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