TMI Blog2004 (4) TMI 366X X X X Extracts X X X X X X X X Extracts X X X X ..... Picture of Bypass stack in question with individual shell marked is reproduced below for the case of discussion :- Stack ring section final positioning. 2. The processes involved in the fabrication of individual shells are that the steel plates are bend into half rounds. Those rounds are joined to make a circle. The circles so formed from steel plates are sand blasted. The individual shells are then carried to the platforms for the construction of the stacks by placing the shells one over the other on pre-constructed platform. 3. Under the impugned order Commissioner of Central Excise has held that shells are marketable and therefore meet the requirement for Central Excise levy. The Commissioner has observed that in the insta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /s. Artson, themselves admitted in their reply to the show cause notice that they are awarded this work as their offer was found competitive. There is scope of selection to the customer from the offers offered by the experts in that trade to choose the competent price for the fabricated items of his choice and design. An item could be considered as marketable if it had a shelf life for marketing and fetched the price to the seller. Just because their might have been no ready buyer for the same goods, it does not mean that product was not marketable. Similar items would be purchased by others had they been made as per their designs and specifications. The customer and option reject the goods, if they do not withstand to the test conducted th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itted that all intermediate parts go into the products and the final structure is emanating; each part is easily identifiable as they are made-up of all raw materials and though the final product consisting of all raw materials, which becomes an immovable property, is not liable for duty; the other identifiable part that goes to make the final product is liable to duty and this aspect has not been considered by either the Division Bench of this Court or the Supreme Court. We are unable to agree with this submission. In our opinion, both this Court and the Supreme Court have considered the position of the intermediate parts end also the final product and they have laid down a clear dictum that they would be excisable goods as defined in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of Aruna Industries Vishakhapatnam and Others v. Collector of Central Excise, Guntur [1986 (25) E.L.T. 580] also related to the excisability of fabricated items. The Tribunal took the view that fabrication activity is in the nature of preparing materials for use in structures and materials so modified or prepared cannot be called marketable goods. 6. We have perused the records and have considered the submissions made by both sides. The shells in question have been fabricated according to the specific engineering design. They are thereafter used for construction of stacks, which are civil structures (immovable property). There is no evidence that the shells are marketable goods as such. They are fabricated depending upon the specific ..... X X X X Extracts X X X X X X X X Extracts X X X X
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