2011 (4) TMI 839 - AT - Central Excise

Manufacture - activity of bending of pipes - Held that - As decided in assessee s own case 2007 (12) TMI 56 - CESTAT AHMEDABAD that the activity undertaken by the appellant does not amount to manufacture - Decided in favour of assessee.

Summary

Issues:
- Determination of whether bending of pipes constitutes a process of manufacture.

Analysis:
The judgment by the Appellate Tribunal CESTAT, Ahmedabad, involved the consideration of whether the activity of bending pipes by the appellant amounts to a process of manufacture. The appeals were consolidated as they stemmed from the same impugned order by the Commissioner (Appeals). The pivotal issue was to ascertain the manufacturing aspect of the bending process carried out by the appellant.

The Commissioner (Appeals) had ruled against the appellant, citing a previous order by the Commissioner, Central Excise and Customs, Rajkot, which deemed the appellant's processes as manufacturing activities. However, the Tribunal referred to its own prior decision in the appellant's case, where it was concluded that the bending activity did not amount to manufacture. The Tribunal, in line with its earlier ruling, set aside the impugned order and allowed both appeals in favor of the appellant, granting consequential relief.

The Tribunal's decision was based on the precedent set by its own earlier ruling, which established that the bending of pipes by the appellant did not constitute a manufacturing process. This ruling contradicted the Commissioner (Appeals)'s reliance on a previous order that deemed the appellant's activities as manufacturing under the Central Excise Act, 1944. The Tribunal's alignment with its previous decision highlights the consistency in its interpretation of whether the bending activity qualifies as a manufacturing process, ultimately benefiting the appellant in this case.