2004 (1) TMI 148

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..... or manufacture of Refined Glycerine. In transit, the impurity contained in Crude Glycerine settles down as insoluble residue is washed out of the tanker inside the factory. The issue is whether the Modvat credit on Crude Glycerine is required to be proportionately reduced, in view of the fact that the insoluble residue is washed away and not used in the manufacturing process of the finished goods. .....

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..... eight of input due to drying in transit :- (a) M/s. P.K.P.N. Spinning Mills Ltd., v. Commissioner of Central Excise, Coimbatore [1997 (89) E.L.T. 588 (T)] (b) Commissioner of Central Excise, Rajkot v. M/s. Bombay Dyeing & Mfg. Co. Ltd., [1998 (97) E.L.T. 101 (T)] 2. Shri B. Chandra, ld. DR justifies the orders passed by the lower authorities on the ground that the finished goods are Refined Gly .....

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..... y waste, refuse or that inputs have become waste during the course of manufacture of the final products. The Apex Court's decision cited by the appellants also holds that the process of handling/pumping/transfer/transportation of raw materials is a process in or in relation to manufacture. As such, the impugned order is set aside and the appeal is allowed with consequential benefits to the appella .....

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