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2012 (8) TMI 836 - AT - Central ExciseWaiver of pre-deposit - Appellant is engaged in the manufacture of sugar from sugar cane and that, in the process of manufacture, bagasse is generated as waste - Held that:- The bagasse generated in the course of manufacture of sugar by the first unit was disposed of by sale for a consideration and, therefore, (it is argued) the commodity should be deemed to be marketable and hence excisable. Yet another submission made by the learned Superintendent (AR) is that bagasse figures by name in the 1st Schedule to the Central Excise Tariff Act and hence should be held to be excisable. Marketability is not the only criterion for determining excisability. In the first instance, the commodity should be a ‘manufactured product’ in terms of Section 2(f) of the Act. Bagasse is only a waste and not a product consciously manufactured by the appellant. The department has no case that bagasse was also included in the Registration Certificate issued to the appellant. As it was not a manufactured product, it could not be excisable and consequently could not be treated as ‘exempted goods’ for purposes of Rule 6(3) of the CENVAT Credit Rules, 2004. Mere mention of bagasse in the First Schedule to the Central Excise Tariff Act is also of no consequence. - Following decision of Shakumbari Sugar & Allied Industries Ltd. [2003 (9) TMI 268 - CESTAT, NEW DELHI] - Stay granted.
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