TMI Blog2019 (8) TMI 255X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacture of the final products. Appeal allowed - decided in favor of appellant. - Excise Appeal No. 42819 of 2014 - Final Order No. 40971/2019 - Dated:- 30-7-2019 - Shri P. Venkata Subba Rao, Member (Technical) And Shri P. Dinesha, Member (Judicial) Shri D. Santhana Gopalan, Advocate for the Appellant Shri B. Balamurugan, AC (AR) for the Respondent ORDER Per P. Venkata Subba Rao, This appeal is filed against Order-in-Appeal No.33/2014 dated 23.9.2014. 2. The facts of the case in brief are that the appellant herein is a manufacturer of pharmaceutical products and in the process uses various solvents. After manufac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... est of being produced or manufactured in India. It is settled law that excise duty is a duty levied on manufacture of goods. Unless goods are manufactured in India, they cannot be subjected to payment of excise duty. Simply because a particular item is mentioned in the First Schedule, it cannot become exigible to excise duty. [See Hyderabad Industries Ltd. v. Union of India, (1995) 5 SC 338 = 1995 (78) E.L.T. 641 (S.C.), Moti Laminates (P) Ltd v. CCE, (1995) 3 SCC 23 = 1995 (76) E.L.T. 241 (S.C.), CCE v. Wimco Ltd, (2007) 8 SCC 412 = 2007 (217) E.L.T. 3 (S.C.)]. Therefore, both on authority and on principle, for being excisable to excise duty, goods must satisfy the test of being produced or manufactured in India. In our opinion, the chargi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... line of other decisions has explained the meaning of the word manufacture thus: 14. The Act charges duty on manufacture of goods. The word manufacture implies a change but every change in the raw material is not manufacture. There must be such a transformation that a new and different article must emerge having a distinctive name, character or use 6.2 The ratio laid down by the Hon ble Apex Court has been consistently followed in a number of decisions of the Tribunal, including the ones cited by the Ld. Counsel. This being the case, the impugned Orders to the contrary cannot sustain and will have to be set aside, which we hereby do. 4. He asserts that the spent solvents and sludge only arise durin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e trimmings and end-cuts which arose during the course of manufacture of stitch bonded fabrics of glass are chargeable to excise duty. He also relies on the judgment of the Hon'ble High Court of Allahabad in the case of Hindalco Industries Ltd. Vs. Union of India reported in 2009 (243) ELT 481 (All.) in which the Hon'ble High Court has held that aluminium dross and skimmings, though not specifically manufactured are chargeable to excise duty. He, therefore, prays that the impugned order may be upheld and the appeal by the appellant be rejected. 6. We have considered arguments of both sides and perused the records. We find that in respect of the same appellant, on the same issue for a different period, this Bench has ..... X X X X Extracts X X X X X X X X Extracts X X X X
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