TMI Blog2023 (9) TMI 714X X X X Extracts X X X X X X X X Extracts X X X X ..... CE, CHANDIGARH, ALLAHABAD [ 2018 (2) TMI 1395 - CESTAT NEW DELHI] where it was held that Noting that the reference is to decide whether these are to be treated as waste for the purpose of exemption Notification No. 89/95-C.E. we note though the excisability of the product itself is seriously in dispute as per the opinion expressed by us, as above, these cannot be considered as anything other than waste and as such will be covered by the exemption Notification No. 89/95-C.E. The said decision has been upheld by the Hon'ble Supreme Court in the case COMMISSIONER OF CENTRAL EXCISE, CHANDIGARH-I VERSUS MARICO LTD. [ 2022 (10) TMI 1174 - SC ORDER] . The Tribunal in the case of M/S. SSD OIL MILLS COMPANY LTD. VERSUS COMMISSIONER OF GST ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd argued for the appellant. The details of the appeals, the period involved and the duty demand is furnished in the table below:- 3.2 It is submitted that as per Notification No. 89/95-CE dated 18.09.1995 when the final product is exempted from duty, the waste product arsing in the course of the manufacture of the final product is also eligible for exemption. For this reason, the appellants are not eligible to pay duty for the Sludge Oil. The very same issue was considered by the Larger Bench of the Tribunal in the case of Ricela Health Foods Ltd. Vs. Commissioner of Central Excise, Chandigarh [2020 (372) ELT 142 (Tri. Chandigarh)] as well as in the case of Commissioner of Central Excise, Chandigarh I Vs. Marico Ltd. [2020 (382) EL ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is the excisability of the product, in question. It is the case of the appellant that if it can be established that these goods are not manufactured goods then the question of levy itself will not arise. It is contended that the product, in question, are unwanted/inevitable waste. The value realized by the appellants on such unintended waste by sale, itself is not a criteria to decide the excisability. The Hon ble Supreme Court in CCE v. Indian Aluminium Company - 2006 (203) E.L.T. 3 (S.C.) held zinc dross and flux skimming are not exigible to central excise duty. Relying on the earlier decisions in Union of India v. Indian Aluminium Company Ltd. - 1995 (77) E.L.T. 268 (S.C.) and CCE, Patna v. Tata Iron Steel Company Ltd. - 2004 (165) E.L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s obtained as a waste. As can be seen the gums, waxes and fatty acid distillate are emerging due to removal/refining process of crude rice bran oil. As already noted the process is to obtain refined rice bran oil by removing these unwanted products along with spent earth, which when present makes the oil as crude refined oil. 11. The thrust of the arguments by the Revenue is that when a product is capable of being sold for a significant consideration the same cannot be considered as waste. We are unable to accept such summary presumption. Admittedly, in chemical and metallurgical industry when the raw materials are processed with an intended purpose of manufacturing certain final products by a chemical reaction, refining, melting etc. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re is for refined rice bran oil. As such, we note that these incidental products are nothing but waste arising during course of refining of rice bran oil and applying the ratio of Apex Court, as discussed above, these cannot be considered as manufactured excisable goods. Noting that the reference is to decide whether these are to be treated as waste for the purpose of exemption Notification No. 89/95-C.E. we note though the excisability of the product itself is seriously in dispute as per the opinion expressed by us, as above, these cannot be considered as anything other than waste and as such will be covered by the exemption Notification No. 89/95-C.E. This has been pleaded as a alternate argument by the appellant/assessee also. 12. A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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