TMI Blog1999 (7) TMI 653X X X X Extracts X X X X X X X X Extracts X X X X ..... red to hopper of the grinding mill through conveyer belts. From here again the pieces are transferred to grinder which grinds them to required meshes and powder is transferred to filter plant through pipe lines and cyclonic fans and then it is bagged and packed. 2.. In this petition the petitioner is challenging the order by which the respondent has refused to grant eligibility certificate for exemption from entry tax and sales tax both on the ground that the industry is not involved in the manufacturing process and is not a manufacturing industry. 3.. The main question for decision in this case is whether the petitioner is entitled to eligibility certificate for availing the sales tax exemption and whether its activities of manufactur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to hold that: converting dolomite into chips and powder which will not mean manufacture within the meaning of section 2(j) of the Act and the return of the respondent is also based on the analogy given in this particular case. 6.. The submission of the learned counsel for the petitioner is that the decision rendered in the case of Bheraghat Mineral Industries [1990] 79 STC 156 (MP) [App]; (1987) 20 VKN 290 was cited before the Full Bench of this Court in the case of Kher Stone Crusher, Jabalpur v. General Manager, District Industries Centre, Jabalpur [1990] 79 STC 149 and the Full Bench of this Court was pleased to distinguish on facts the aforesaid decision of the division Bench on the ground that a definite manufacturing process ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... MP), the petition succeeds and is hereby allowed. Recently the Supreme Court in the case of Ashirwad Ispat Udyog v. State Level Committee [1999] 112 STC 207 has held that: In the special definition of manufacture given in section 2(j) of the M.P. General Sales Tax Act, 1958 manufacture has been defined as including a process or manner of producing, collecting, extracting, preparing or making any goods, there can be no doubt whatsoever that collecting goods does not result in production of a new article. There is, therefore, inherent evidence in the definition itself, that the narrow meaning of the word manufacture was not intended to be applied in the said Act. Again, the definition speaks of the process of lopping the branch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of preparing goods. The preparing of any goods for the market is, therefore, for the purposes of this artificial definition, a process of manufacture. 8.. In view of the aforesaid decisions of the apex Court, it is clear that the making of marble powder by manufacturing process is an activity covered within the special definition of manufacture given in section 2(j) of the M.P. General Sales Tax Act, 1958 and, therefore, the opinion of respondent in impugned order is not correct and is set aside. 9.. In the result, the petition is allowed. Impugned order is quashed and the respondent is directed to grant eligibility certificate to the petitioner for grant of exemption from entry tax and sales tax for which he is entitled in accorda ..... X X X X Extracts X X X X X X X X Extracts X X X X
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