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TMI Blog2008 (7) TMI 400X X X X Extracts X X X X X X X X Extracts X X X X ..... e dependence of the end product for its essential presence at the delivery end of the process. The ingredient goes into the making of the end product in the sense that without its absence the presence of the end product, as such, is rendered impossible. This quality should coalesce with the requirement that its utilization is in the manufacturing process as distinct from the manufacturing apparatus. Since the CESTAT has not considered the materials on record in the above perspective, the impugned judgments are set aside. The matter is remitted to the CESTAT in each case for dealing with the matter afresh in accordance with law. - 5842-5843 of 2004 - - - Dated:- 7-7-2008 - Dr. Arijit Pasayat, P. Sathasivam and Aftab Alam, JJ. [J ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on No. 8/97 in respect of several raw materials (11 in number). The revenue preferred appeals before the CESTAT. By the impugned order in each case CESTAT accepted the stand of the revenue. It was held that the respondent was not entitled to the benefit of Notification No. 8/97. 4. It held that in Commissioner of Central Excise Customs, Indore v. Century Denim - 2001 (129) E.L.T. 657 (T) the Tribunal applied the tests enunciated by this Court namely, whether it is an ingredient which goes into the making of the end product in the sense that without its presence the end product, as such is rendered impossible and took the view that indigo pure dye. lycra and other important fixing agents utilized in the manufacture of denim fabrics are r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the end product; those which, as a result of interaction with other chemicals or ingredients might themselves undergo chemical or qualitative changes and in such altered form find themselves in the end product; those which, like catalytic agents, while influencing and accelerating the chemical reactions, however, may themselves remain uninfluenced and unaltered and remain independent of and outside the end products and those, as here, which might be burnt up or consumed in the chemical reactions. The question in the present case is whether the ingredients of the last mentioned class qualify themselves as and are eligible to be called "raw material" for the end product. One of the valid tests, in our opinion, could be that the ingredient sho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e view expressed in Deputy Commissioner of Sales Tax (Law), Board of Revenue (Taxes), Ernakulam v. M/s Thomas Stephen Co. Ltd., Quilon (1988 (2) SCC 264) and Coastal Chemicals Ltd. v. Commercial Tax Officer, A.P. and Ors. (1999 (8) SCC 465). In the cases at hand "consumable" are treated differently from "raw materials". 8. Since the CESTAT has not considered the materials on record in the above perspective, the impugned judgments are set aside. The matter is remitted to the CESTAT in each case for dealing with the matter afresh in accordance with law. The CESTAT while doing so shall keep in view the decision of this Court in Vanasthali Textiles Industries Ltd. v. Commissioner of C. Ex., Jaipur, Rajasthan [2007 (218) E.L.T. 3 (S.C.)]. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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