9911796707
TMI Blog2002 (10) TMI 144X X X X Extracts X X X X X X X X Extracts X X X X ..... g a product known as "Rice Spice"(Ready Mix) under the brand name "Super Kohinoor"; that the impugned product is prepared by mixing raw rice, de-hydrated vegetables and spices which are packed in pouches and sold in the domestic market; that the Additional Commissioner, under Adjudication Order No. 13/99, dated 17-3-99, demanded duty of excise and imposed penalty holding that the impugned product is a distinct preparation manufactured by under going certain processes which amounts to manufacture; that the Additional Commissioner also classified the product in question under sub-heading No. 2108.99 of the Schedule to the Central Excise Tariff Act with effect from 23-7-96 and prior to this date under sub-heading 2108.90; that the Commission ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to excise duty as similar other products were sold in the market without payment of duty and moreover all the ingredients used by them were exempted from payment of duty; that penalty under Section 11AC of the Central Excise Act cannot be imposed for the period prior to the insertion of the said Section. She relied upon the judgment in CCE, Coimbatore v. Elgi Equipments Ltd., 2001 (128) E.L.T. 52 (S.C.). 3. Countering of the arguments, Shri Atul Dixit, ld. SDR, submitted that the Appellants are manufacturing a new product; that rice and dehydrated vegetable alongwith a small quantity of spices are mixed together in the mixer blender and the product is thereafter packed in vacuum sealed pouches; that de-hydrated vegetables are purchased se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Taxable event under the Excise Law is 'manufacture'. The moment there is transformation into a new commodity commercially known as a distinct and separate commodity having its own character, use and name, whether be it the result of one process or several processes 'manufacture' takes place and liability to duty is attracted". We, therefore, hold that the processes employed by the Appellant amounts to manufacture as a new commodity commercially known as a distinct and separate commodity having its own character, use and name emerges. We also agree with both the lower Authorities that the impugned product is classifiable under Heading 21.08 as it is an edible preparation which is not specified anywhere in the Tariff. The product in questio ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
