TMI Blog2003 (12) TMI 247X X X X Extracts X X X X X X X X Extracts X X X X ..... ded and before they are cooled, their external diameter is maintained by passing them through a piercing die. The internal surface of the piercing die is in contact with the external surface of the tubes which had been heated for being extruded and suffers from pitting as a result. Welding electrodes are used to repair the pitting and restore the surface to its original state. The appellant took c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on merits by the Supreme Court reported in 2001 (132) E.L.T. 3. 3. The departmental representative relies upon the decision of the Larger Bench of the Tribunal in Jaypee Rewa Plant v. CCE, Jaipur - 2003 (159) E.L.T. 553 (Tri. - LB) = 2003 (57) RLT 739 which specifically considered eligibility to credit under Rule 57A (as it stood in 2000) of the duty paid on welding electrodes and held that suc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A, on the ground that it had not been shown that they were electrodes in that matter were used to maintain capital goods." 5. With greatest possible respect, I find myself unable to agree with the views expressed by this Bench. The sole ground for holding welding electrodes not to be capital goods is that welding electrodes used to repair or maintenance of the capital goods is that the repair an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot be able to produce the final product. By extending the life of the plant, and preventing its breakdown, the welding electrodes were, though not directly used in relation to the manufacture of final product, were certainly in my view indirectly used in relation to such manufacture. Even on the assumption that the Bench makes that repair and maintenance of machinery does not take place when such ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1999 (108) E.L.T. 47 has held welding electrodes to be capital goods and this judgment has been confirmed in appeal by the Supreme Court. The departmental representative's contention that welding electrodes, since they are consumed, cannot be capital goods is not of significance. He may be right when he refers to capital goods as distinct from consumer goods. Ultimately every machinery or plant do ..... X X X X Extracts X X X X X X X X Extracts X X X X
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