9911796707
TMI Blog2004 (3) TMI 190X X X X Extracts X X X X X X X X Extracts X X X X ..... bles, spares and packaging materials (hereinafter referred to as the goods) when brought in connection with the manufacture and packaging of articles into an undertaking approved by the Board of Approval for hundred per cent Export Oriented Undertakings". Notification also prescribed procedure for obtaining the approval of Excise authorities for duty free procurement of the goods. The appellant has obtained such approvals also for the items. However, subsequently, dispute arose about the eligibility of some of the items for the exemption. Under the impugned order, Commissioner (Appeals), Central Excise, Hyderabad held that following goods were not eligible for exemption : "(i) 96 Kilolitres of HSD oil (high speed diesel oil) (ii ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rposes between the various personnel of the unit as a matter of administrative convenience. Hence, flood lights/street lights/wireless equipment cannot be considered as brought in connection with the manufacture of the goods. Hence, the benefit of exemption under Notification No. 123/81-C.E., dated 2-6-1981 has been rightly denied by the Assistant Commissioner on all these items. (ii) Water pump, motors, base plate have been installed in the pump house near the mouth of the sea which is about 1.5 km. away from the approved bonded area. Pipe line with PSCC pipes has been laid to draw sea water from the pump house near the sea shore for supply to the bonded prawn ponds of the appellants. The PSCC pipes in question lie outside the app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... b) of the Notification]. Learned Counsel emphasised that the goods were procured only after the requirement was approved by the Central Excise authorities. Learned Counsel took us to each of the items and explained that it is required for the business of growing, processing and exporting of shrimps. It has been pointed out that the appellant's unit consists of Hatchery Farms, Process Plant and Feed plant and for the growing of shrimps. Controlled temperature is required for several of the operations. Several inputs like vitamin premix, mineral premix as feed for the shrimps are also required to be kept in low temperature. It is the appellant's submission that all the air-conditioning equipment in question are installed in such areas and tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... each line of business is required to be understood keeping in mind its peculiar needs and the Notification construed accordingly. The submission is that since Notification No. 123/81 is widely comprehensive, all the items should be treated as eligible for the exemption. 3.Learned Counsel has pointed out that the issue raised about the eligibility of HSD oil remains covered by the decisions of this Tribunal in the case of CCE v. Kudrermukh Iron Ore Co. Ltd. - 1988 (36) E.L.T. 626 wherein this Tribunal held that HSD oil used for running special purpose dumper for carrying crude ore to the crusher is eligible under Notification No. 123/81. He has also pointed out that this order of the Tribunal was confirmed by the Apex Court [1997 (89) E.L. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty of water, its temperature are all very important for the survival and healthy growth of shrimps. So is the need for inputs like vitamins premix, feed. Pump and connected items are used for bringing sea water, which is inescapably required for a shrimp farm. The air-conditioning units are used in laboratories and other places directly in connection with farming operations. Appellant has clarified equipment originally installed in the office during the setting up of the unit have all been shifted to the farm, once the same has been established. The unique communication and lighting needs are also to be accepted in the nature of aquaculture business. The appellant is right in its reliance on the decision of this Tribunal in Suvarna Florex L ..... X X X X Extracts X X X X X X X X Extracts X X X X
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