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TMI Blog1987 (3) TMI 367X X X X Extracts X X X X X X X X Extracts X X X X ..... e bare wires have already borne duty and after covering with cotton or fibre glass or paper, they remain conductors in the same Tariff Item. 2. A good deal of arguments was presented by the two learned Counsels before us. 3. The counsel for the appellant, Collector of Central Excise, said that they want to charge duty under Item 33-B of the Central Excise Tariff. He said that in accordance with 1986 (24) E.L.T. 542 re : Garden Plastico, the coating with glass fabric or paper or cotton fabric would be a manufacture and would attract duty again to the wire, because after the coating/covering, they become insulated wires of copper or aluminium. He also read paragraph 7 from 1987 (27) E.L.T. 567. He pointed out that 1982 E.L.T. J10 re : Sha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der that item. There is no answer from the Assistant Collector to this. Evidently, the bare wires fell under Item 33-B(ii), and clearly the work consisted only of insulating them with cotton or fibre glass, and did not involve redrawing. It is clear also that the goods cannot fall under Item 33-B(i) since their cross sections are greater than the cross sections specified in the sub-item. 7. In his arguments under FINDINGS, the Assistant Collector gives a few reasoning. He says that the process of covering with cotton or glass fibre brings into existence a new and a different item viz. insulated wire, and that the insulated electrical wires are themselves complete manufactured product. But this does not permit him to charge duty again unde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d only one bears the same name, whatever that may mean. 9. The Assistant Collector sees in this process of covering the wires as amounting to a process incidental or ancillary to the process of bringing into existence a new product and, therefore, this process is a manufacturing process within the meaning of Section 2(f) of the Central Excises and Salt Act. The Assistant Collector has not understood the meaning of the section and what it refers to. The section speaks of any process incidental or ancillary to the completion of a manufactured product. It does not give independent status and character to any process which might appear to be incidental or ancillary. Indeed, the Assistant Collector does not say what these processes are inciden ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... but main. This is what the Assistant Collector failed to distinguish and he is clearly wrong; his action cannot be supported. 11. This action is not even comparable to the practice of the department of assessing a paper after colour printing, even though the paper remained in the same sub-heading and has already paid the same duty as a plain paper. In those paper sub-items, there is at least the doubtful merit of the plain paper, printed paper, coated paper etc. etc. being named and listed in the same heading. The heading for these goods has only one entry all other , under Item 33-B(ii). 12. The Assistant Collector says that insulated electric wires and cables have been separately specified, which makes it clear that the intention of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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