1987 (8) TMI 302 - AT - Central Excise

Summary

The appeal filed by the Collector of Central Excise, Belgaum, regarding the inclusion of the cost of gunny bags for packing cement in determining the assessable value of cement for excise duty was dismissed by the Appellate Tribunal CEGAT, New Delhi. The Tribunal relied on the judgment in the case of Associated Cement Companies Ltd., which held that the statutory binding for return of gunny bags under the Cement Control Order must be treated as an arrangement between the seller and the buyer, making the bags returnable and not includible in the assessable value of cement. The appeal was dismissed based on this reasoning.