TMI Blog1994 (1) TMI 107X X X X Extracts X X X X X X X X Extracts X X X X ..... s engaged in the manufacture of fabrics. For that purpose it manufactures yarn. It is stated that the appellant manufactures four types of yarn, viz., cellulosic spun yarn, cotton yarn, woollen yarn, acrylic yarn and non-cellulosic spun yarn. These four (sic five) types of yarn are dutiable under Tariff Items 18III, 18A, 18B and 18E of the Schedule to the Central Excise Act as obtaining at the rel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r by his order dated 10-12-1988. The operative portion of his order reads thus : "The explanation added to Rules 9 and 49 very clearly shows that it is not necessary for the purpose of removal or utilisation that a new or different item should come into existence. There is no doubt about the fact that the excise duty is leviable on product as soon as it is completely manufactured and in the pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of cloth. 4.In this appeal, it is contended by Sri Dave, learned counsel for the appellant that inasmuch as the appellant is paying duty upon the doubled yarn and because doubled yarn and single yarn are one and the same goods, no duty ought to be levied upon the single yarn. He submits that single yarn is obtained at an intermediate stage of the manufacture/production of fabrics and that it i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... observations in the orders of the authorities below to contend that single yarn and doubled/multifolded yarn are one and the same goods and hence duty cannot be levied twice on the same goods. On the other hand, Shri Vellapally, learned counsel for the respondent, submits that the said question was never in issue in these proceedings and, therefore, certain passing observations made in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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