1997 (3) TMI 120 - SC - Central Excise

Summary

The Supreme Court addressed whether the processing of brake lining blanks-specifically drilling, trimming, and chamfering-constitutes "manufacturing" under Section 2(f) of the Central Excises and Salt Act, 1944. Citing the High Court's analysis, the Court emphasized that manufacturing involves a process effecting a change that "facilitates the utility of the product" and imparts a "character and use of its own" to the product, even if the product retains its original name. The Court agreed with the Single Judge's finding that brake lining blanks are unusable without these processes and that such processing renders them fit for use by automobile manufacturers. Consequently, the Court held that the process amounts to manufacture within the meaning of Section 2(f) and dismissed the appeals, affirming the lower courts' reasoning.