TMI Blog2019 (3) TMI 1364X X X X Extracts X X X X X X X X Extracts X X X X ..... modhar, Member (Technical) Shri Ajay Kumar Gupta, Consultant for the Appellant Shri A. Cletus, Addl. Commissioner (AR) for the Respondent ORDER Per Bench The facts of the case are that M/s. The KCP Ltd., the appellants herein, are manufacturers and exporters of machinery and parts thereof for sugar and cement industry. They were also involved in fulfilling orders for installation of sugar plants located in Vietnam for which they export machinery and components of the plant manufactured in their factory, along with bought-out machinery, components and assemblies. The appellants had availed CENVAT credit on the bought-out components / assemblies. Department took the view that as the bought-out components are not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the impugned order. 4. Heard both sides. 5. The issue is with regard to the eligibility of credit on certain items which are brought into the factory by the appellant and cleared along with the final product which was exported to Vietnam. The very same issue has been analyzed in the appellant s own case (supra) and the Tribunal has held that the credit to be eligible. The decision in the case of Thermax Ltd. Vs. Commissioner of Central Excise, Pune 2016 (337) ELT 456 (Tri. Mum.) was relied by the Tribunal to decide the eligibility of credit. The relevant portion of the order is extracted below:- 5.12 As per the undisputed facts of the case, the appellant had entered into a contract with the buyers located in Vietnam to supply a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rules, 2002, which made the scope of Rule 16 even wider. xxxx xxxxx xxxx xxxx xxxxx 8.3 The ratio laid down by the Hon ble Supreme Court in their subsequent judgment in Thermax Babcock Wilcox Ltd. (supra), has been followed by the Tribunal in Thermax Ltd. Vs. Commissioner of Central Excise, Pune 2016 (337) E|LT 456 (Tri. Mum.) wherein it has been held that bought out items used in erection of boilers at customer s site are inputs and cannot be distinguished from inputs used in manufacture of components within the factory, as both have gone into manufacture of final product. 6. Following the said decision in the appell ..... X X X X Extracts X X X X X X X X Extracts X X X X
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