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TMI Blog2015 (11) TMI 660X X X X Extracts X X X X X X X X Extracts X X X X ..... they have registration as a registered dealer. The duty-paid goods are unloaded into carboys of 90 litres and carboys of different capacity. On these carboys name of the manufacturer, quantity, batch number, etc. are labeled and thereafter kept in warehouse and sold to the customers. Normally, these goods are sold at the same value at which goods are cleared from factory. In case, goods are sold at higher value, differential duty is deposited to the jurisdictional excise authority at the manufacturing unit. 2. Case of the Revenue is that labelling and packing from bulk container to carboys amounts to manufacture as per Note 5 to Chapter Note 38 and, therefore, the appellants are required to pay duty in Mumbai on the repacked goods. 3. Lea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be packed in pre-determined manner, purchaser being not present at the time of packing, packages are marked to show details such as name of manufacturer, name of product, gross weight, batch No. etc.; batch numbers are allotted by the dealer and not by the manufacturer. He submitted that in view of these activities read with Note 5 of Chapter 38, the activities carried out in Seweree, Mumbai would amount to manufacture and therefore, duty is payable. Learned AR also submitted that it is with these processes that goods have become marketable. In support of the contention, learned AR rely on the following case laws: (a) Air Liquide North India Pvt. Ltd. vs. Commissioner of Central Excise, Jaipur I 2011 (271) ELT 321 (SC); (b) Surya Air P ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... drums of 200ltrs for subsequent marketing of these materials to customers. Doubts have been raised as to whether such activity would amount to manufacture in terms of Chapter Note 10 to Chapter 29. As the said Chapter Note has been amended in 2008 budget, it has been contested that the said activity is covered by the present wordings of the Chapter note. The relevant portions of the chapter note reads as under: Before Amendment (1.03.2008) 10. In relation to products of this Chapter, labelling or relabelling of containers and repacking from bulk packs to retail packs or the adoption of any other treatment to render the product marketable to the consumer, shall amount to 'manufacture'. After amendment (1.03.2008) 10. In rela ..... X X X X Extracts X X X X X X X X Extracts X X X X
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