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TMI Blog1994 (12) TMI 77X X X X Extracts X X X X X X X X Extracts X X X X ..... and proprietary medicines were classified in relevant period in two broad categories - one, which were dutiable under Tariff Item 14E and other which fell under the residuary Item 68. The latter were wholly exempt from duty under Notification No. 55/75, dated 1-3-1975. The appellant manufactured pharmacopoeial and non-pharmacopoeial medicines. One of the items manufactured by the appellant was 20% Dextrose injection. It is a trade name in the Indian pharmacopoeia. It being one of the medicines specified in pharmacopoeia it was wholly exempt from duty. An item which fell under Tariff Item 68 and was wholly exempt from duty was further exempted from operation of Rule 174 and no central excise licence to manufacture it was required to be taken ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ial Gazette, or which is a brand name, that is a name or a registered trade mark under the Trade and Merchandise Marks Act, 1958 (43 of 1958) or any other mark such as a symbol, monogram, label, signature or invented words or any writing which is used in relation to that medicine for the purpose of indicating or so as to indicate a connection in the course of trade between the medicine and some person, having the right either as proprietor or otherwise to use the name or mark with or without any indication of the identity of that person. Explanation : II `Alcohol', `Opium', `Indian Hemp', `Narcotic Drugs' and `Narcotics' have the meanings respectively assigned to them in Section 2 of the Medicinal and Toilet Preparations (Excise Duties) A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ne would be covered in it. The purpose appears to be that if a manufacturer manufactures medicines which were mentioned in Pharmacopoeia then it was not liable to pay any duty. But if it produced a medicine which carries its own name which was not mentioned in the Pharmacopoeia, then it was liable to pay duty under this item. That is, a patent or proprietary medicine to attract levy under this tariff item must either be a medicine which was not specified in a Pharmacopoeia or other publication and carried on it or its container name of the produce by symbol or invented name etc. A medicine of which the producer is the proprietor and it is known by its name would be covered in this clause. The other class of patent or proprietary medicines t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the medicine manufactured by the appellant as a patent or proprietary medicine attracting central excise duty under Tariff Item 14E. 6. As has been explained earlier the first part of the Explanation widens the ambit of the entry by extending it to any drug or medicinal preparation for use in internal or external administration for prevention of ailments in human beings or animals. But then it narrows it by restricting the applicability of the tariff item to only such medicines which bear either on itself or on its container or both a name which is not specified in a monograph in a Pharmacopoeia. This obviously is not applicable to the appellant as the injections manufactured by the appellant are specified in a Pharmacopoeia. The other cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ufacturer generally." The `AP' or `Astra' on the container or packing was used to project the image of manufacturer generally. It did not establish any relationship between the mark and the medicine. For instance, if the appellant instead of using Dextrose injections would have described it as Astra injections or Astra Dextrose injections then it could be said that a relationship between the monograph and the medicine was established. In the case of appellant it was only a monograph to identify the manufacturer. 7. In M/s. Indo French Pharmaceutical Co., Madras v. Union of India and Others - 1978 (2) E.L.T. (J 478) a learned Single Judge of the Madras High Court while construing Tariff Item 14E observed, "a close reading of the Explanati ..... X X X X Extracts X X X X X X X X Extracts X X X X
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