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TMI Blog2020 (3) TMI 831X X X X Extracts X X X X X X X X Extracts X X X X ..... 2019 - Dated:- 11-12-2019 - HON BLE MR. C. J. MATHEW, MEMBER (TECHNICAL) AND HON BLE MR. P. DINESHA, MEMBER (JUDICIAL) Shri. R. Sai Prashanth, Advocate for the Appellant Ms. Sridevi Taritla, Authorized Representative (A.R.) for the Respondent ORDER Per: Hon ble Mr. P. Dinesha These appeals are filed against the common impugned Orders-in-Original No. 033-034/2017 dated 31.03.2017 and since common issue is involved, both are taken up for common disposal. 2. The only issue to be decided is, whether the activities of opening the imported stock, inspection of the same, quality checks and repacking with affixture of sticker amounts to manufacture within the meaning of Section 2 (f) (iii) of the Central Excise Act, 1944 ? 3. Today, when the matter was taken up for hearing, Shri. R. Sai Prashanth, Learned Advocate, appeared for the assessee-appellant and Ms. Sridevi Taritla, Learned Joint Commissioner (Authorized Representative), appeared for the Revenue. 4. Learned Advocate for the appellant would submit that the very same issue has been decided by this very Bench of the Tribunal in the appellant s own case for a different period, in Excise Appeal N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... definition in Section 2(f)(iii) ibid thus deems the following / processes as amounting to manufacture:- Packing or repacking of the goods in a unit container Labeling or relabeling of containers including the declaration or alteration of retail sale price on it Adoption of any other treatment on the goods to render the product marketable to the consumer 7.4 From the above definition, it becomes evident that even a standalone activity of packing or / repacking of goods in a unit container would be deemed manufacture for the purposes of Section 2(f)(iii). So also, labeling or relabeling of containers would attract mischief; such labeling or relabeling could include the declaration or alteration of the retail sale price. There is yet another interesting other than the above category that would fall within the ambit of deemed manufacture, namely, adoption of any other treatment on the goods to render the product marketable to the consumer . Rendering the product marketable is a catch-all phrase that in our view would include any treatment to make the product attractive to potential buyers and enhance its marketability quotient . This could encompass ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s will amount to manufacture within the meaning of section 2(f)(iii) of the Act. 7.9 In arriving at this conclusion, we are only reiterating the view taken earlier by us in Glovis India P. Ltd. (supra) wherein inter alia, we had held as under:- 14. The above process of labeling and packing explained by the learned Senior Advocate, in our view would satisfy the ingredients of deemed manufacture under Section 2(f)(iii) of Central Excise Act, 1944. The submission of learned AR that such packing is only for the purpose of transportation and that the labeling is only for the purpose of identification are too flimsy and not backed by any legal basis. It appears that the learned AR is confused with the mention of the words 'retail sale price' and 'labeling' in section 2(f)(iii) of the definition of manufacture. It is contended by the learned AR that since the label affixed does not give any information to a consumer and is only to facilitate assembly of vehicle at Hyundai, Turkey, the activity of labeling does not amount to manufacture. This argument does not find favour with us. The Standard of Weights and Measures Act, 1987 though provides for affixing the Ret ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies which would otherwise fall outside the scope of the definition of the said term under Section 2(f) of the said Act. Therefore, the purpose for which the said Chapter Note has been introduced in Chapter 29 is to widen the scope and the meaning of the term 'manufacture' in relation to the products covered by the said Chapter 29 of the Tariff Act. Mere process of labeling or relabelling of the containers and even repacking from bulk to retail pack are described as amounting to manufacture and, therefore, the resultant product would attract the duty under the said Act. Likewise, any process adopted for rendering the product marketable would also amount to manufacture even though such activity may not come within the purview of the definition of the term under Section 2(f). In other words, the Chapter Note attempts to remove any doubt the activity described therein as being manufacture and sufficient to attract duty under the said Act. 6.20 The above paragraph of the order of this Tribunal makes it clear that mere process of labelling or relabeling of container will amount to manufacture. It cannot be held that activity of labelling does not amount to manufacture merel ..... X X X X Extracts X X X X X X X X Extracts X X X X
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