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TMI Blog2017 (3) TMI 847X X X X Extracts X X X X X X X X Extracts X X X X ..... ds, it is considered redundant to make further exercise on the valuation of the non-exicisable goods - appeal allowed - decided in favor of appellant. - E/1105/2005-DB - Final Order No. 40095/2017 - Dated:- 5-1-2017 - Shri D.N. Panda, Judicial Member Shri Madhu Mohan Damodhar, Technical Member Appearance: For the Appellant: Shri V. Raghuraman, Adv. For the Respondent: Shri S. Nagalingam, AC (AR) Per D.N. Panda: Appellant says that it is manufacturer of welding rod and to manufacture that, wire/coils drawn as well MS cuts of wire and blended, flux are used as intermediates. To complete the manufacture of welding rod, it draws wire and blends flux. Revenue alleged that these two products captively consumed were un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the meaning of the Tariff Act. The twin requirements of 'goods' under the Tariff Act are: (a) manufacture and (b) marketability. Insofar as the first requirement is concerned, there is no dispute that plastic body is being manufactured by the respondents. The germane question is whether it has marketability. The plastic body is being manufactured to suit the requirements of the EMR of the respondents and is not available in the market for being bought and sold It is not a standarised item or goods known and generally dealt with in the market. It is being manufactured by the respondents for its captive consumption. It is not a product known in the market with any commercial name. [Emphasis supplied] 3. On the other hand, Revenu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, 1944. But that is not the case of Revenue. 4.2. Having noticed that Revenue has not met the above twin test in the adjudication as well as satisfied the requirement of law, before issuance of show-cause notice, it is impracticable to invoke Rule 8 of Valuation Rules. Rule 8 deals with determination of value of captively consumable goods which are excisable in nature. But the goods manufactured by the appellant having consumed captively failing the test of excisability and marketability by Revenue, invoking of Rule 8 is inconceivable. Having noticed the non-excisability character of the aforesaid two goods, it is considered redundant to make further exercise on the valuation of the non-exicisable goods. Accordingly, appeal is allowe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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