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TMI Blog2003 (12) TMI 191X X X X Extracts X X X X X X X X Extracts X X X X ..... to replenish the input Coking coal by LAM (Low Ash Metallurgical) coke after discharge of export obligation under Notification No. 30/97-Cus. 3. Shri N. Venketaraman, leaned Advocate appeared for the appellants and Smt. Radha Arun, SDR appeared for the Revenue. 4. The appellants were issued Quantity based Advance Licence under DEEC for duty free import of Coking coal or Lam coke under Notification No. 30/97-Cus., dated 1-4-1997 for export of various steel products. During the years 1997 1998, they manufactured the finished goods and exported the products. During the last quarter of 1998, the converter used to convert coking coal into Lam coke developed some problem. Therefore they imported Lam coke for manufacture of iron and steel p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the same was used for the manufacture of export products and not the Lam coke. Therefore, import of Lam coke is contrary to the exemption which was granted under Notification No. 30/97-Cus. 6. Smt. Radha Arun, SDR on behalf of the Revenue pleaded that till the last quarter of the year 1998, the appellants were using Coking coal as input for the manufacture of export products by their own admission. The input used for discharge of export obligation was Coking coal. According to the provision (VII) of the Notification No. 30/97-Cus., "exempted material shall not be disposed off or utilised in any manner except for utilization in discharge of export obligation or replenishment for such material and the material so replenished shall not be so ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g coal free of duty only for replenishment against the exports. We find that this stand of the department is not correct as under standard input-output norms, appellants have been permitted either to import Coking coal or Lam coke. Therefore both of these are covered by the words 'such material' in Para VII of Notification No. 30/97-Cus. These goods were imported under valid licence. There is no allegation that they have violated the standard input-output norms given in Import/Export policy. It is also not alleged that they have diverted the imported Lam coke to somebody else or sold in the market. Since they were continuously manufacturing the export products and utilised the same for the manufacture of export products, the allegation of t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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