1996 (10) TMI 170

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..... for the Respondent. [Order per : Jyoti Balasundaram, Member (J)]. - The facts of the case in brief, as set out in the impugned order of the Collector of Central Excise (Appeals), Chandigarh are, that the appellants are engaged in the manufacture of goods falling under Chapters 25, 28, 29 and 31 of the Schedule to the Central Excise Tariff Act, 1985, the main product being fertilizers. They hold .....

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..... authority was upheld by the lower Appellate authority and hence this appeal. 2. We have heard Shri D.C. Mandal, learned Consultant for the appellants, who after explaining the facts of the case, states that the issue is squarely covered in favour of the appellants by the judgment of the Apex Court in the case of Steel Authority of India Limited v. Collector of Central Excise - 1996 (88) E.L. .....

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..... ure of fertilizer, was extended even to that quantity of ammonia which had not been used for manufacture of heavy water as heavy water plant had not yet been commissioned and the ammonia had been put through trial runs prior to commissioning of the heavy water plant. There are other decisions which the learned Counsel has cited including the Neyveli Lignite Corporation Ltd. v. Collector of Central .....

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..... fication was different and the conditions contained therein were different from the condition contained in the present Notification namely, 75/84. 4. On a careful consideration of the submissions made by both the sides, we agree with the appellants that the raw naphtha used during trial runs of the plant for manufacture of fertilizer is entitled to the benefit of concessional rate of duty in .....

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..... ation No. 191/79 even though the ammonia did not result in the manufacture of fertilizers as the ammonia was used during pre-commissioning trial runs. In the light of the above discussion and respectfully following the ratio of the judgment of the Hon'ble Supreme Court in the case of Steel Authority of India, we hold that the appellants are entitled to the benefit of concessional rate of duty on r .....

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