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TMI Blog2024 (12) TMI 1296X X X X Extracts X X X X X X X X Extracts X X X X ..... goods in question should be generally available in the market. The marketability of articles does not depend neither upon the number of purchasers nor is the market confined to the territorial limits of this country.' Thus, the original authority had sufficiently established the test of marketability. Extended period of limitation - HELD THAT:- The sugar syrup manufactured by the appellant, during the course of manufacture of exempted product namely, biscuits, is stable and marketable; hence, liable to duty being an excisable goods - the issue relates to interpretation of law, therefore, invoking of extended period of limitation cannot be sustained and the demand be restricted to the normal period of limitation. Conclusion - Revenue s appeal is partly allowed to the extent of confirming excisability of sugar syrup manufactured at the intermediate stage of manufacture of biscuits, an exempted product, and the demand be limited to the normal period of limitation. No penalty is imposable on the appellant. Appeal is disposed of. - HON'BLE DR. D. M. MISRA , MEMBER ( JUDICIAL ) And HON'BLE MRS R BHAGYA DEVI , MEMBER ( TECHNICAL ) Mr. Sanjay Venkat , Superintendent ( AR ) f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itted that the original authority in the order at para 9, 10, 11 and 12 had given a detailed finding and recorded reasons as to why sugar syrup manufactured by the assessee is dutiable as the same is stable product and capable of being marketable. It is submitted that in terms of Explanation to Section 2(d) of Central Excise Act, 1944, capability of being bought and sold was sufficient to render a product excisable and the original authority has categorically held that the sugar syrup manufactured by the respondent satisfied the said condition and capable of being bought and sold in the market. In support, he has referred to the judgment of this Tribunal in the case of Homemade Bakers (India) Ltd. vs. CCE, Rotak: 2012 (280) E.L.T. 429 (Tri.-Del.). Further, he has referred to the judgment of this Tribunal in the case of Pomsy Food Products (P) Ltd. vs. CCE : 2024 (4) TMI 4 ( CESTAT - Bang. ) wherein it is held that sugar syrup when stable it is marketable. In the present case, since the original authority had already recorded his findings to hold that it is stable and having the sugar content of 78.2% by weight, hence, it is marketable. Therefore, Revenue s appeal deserves to be all ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 406 (S.C.), this Court has held that for excise duty to be chargeable under the constitutional entry read with Section 3 of the Central Excise Act, two pre-requisites are necessary. First, there must be manufacture which is understood to mean the bringing into existence of a new substance. And secondly, the word goods necessarily means that such manufacture must bring into existence a new substance known to the market as such which brings in the concept of marketability in addition to manufacture. Marketability is thus essentially a question of fact to be decided on the facts of each case. There can be no generalisation. The fact that goods are not in fact marketed is of no relevance. So long as the goods are marketable, they are goods for the purposes of Section 3 of the Act. It is also not necessary that the goods in question should be generally available in the market. The marketability of articles does not depend neither upon the number of purchasers nor is the market confined to the territorial limits of this country. 8. Also in Escorts Ltd. (supra) case, their Lordship observed as follows : 14. From this judgment, Shri Lakshmikumaran wished to emphasise that, as in the said ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ese cases, the matter was remanded for de novo to ascertain the percentage of sugar concentration in the syrup. In the present case, the Revenue has not taken samples to find out the percentage of sugar syrup. It was an important characteristic for determining the solution as sugar syrup or not. 10. Similar view has also been expressed by this Tribunal in Pomsy Food Products (P) Ltd. (supra) following the earlier precedents that test of marketability to be ascertained referring to the Board Circular, which clarifies it is to be on the basis of sugar content in the sample. 11. From the records, we find that the adjudicating authority referring to the Board s Circular No.780/13/2004-CX dated 12.03.2004 and the test report observed as follows: 9. The letter from Central Revenues Control Laboratory (CRCL) has been enclosed along with the circular. This letter from the CRCL (C. No. 21 EX.0.195, dated the 15th May. 1996) to the Deputy Secretary (C.EX.I), unambiguously clarifies following in response to the query as to whether sugar syrup will have shelf life without adding citric acid in it, that in concentration of 65% by weight or more the solution of sugars such as sucrose in water or ..... X X X X Extracts X X X X X X X X Extracts X X X X
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