Retail sale price exemption for free cement clearances was not made out, leading to partial pre-deposit relief.

Cement cleared free of cost for construction within the factory premises was held, on a prima facie basis, not to fall within the concessional duty notification applicable to packaged cement assessed with reference to retail sale price. The expression "retail sale price" was treated as referring to goods capable of sale to the ultimate consumer, whereas these clearances were not sales. As the exemption claim was not established at the interim stage, waiver of pre-deposit was declined in part and a pre-deposit was directed, with the balance duty, interest, and recovery stayed on compliance.

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Issues: Whether the appellant had made out a prima facie case for waiver of pre-deposit on the claim that cement cleared free of cost for construction within the factory premises was covered by Notification No. 4/2006-CE.

Analysis: The notification relied on concessional duty for packaged cement cleared with reference to retail sale price. On a prima facie reading, the expression "retail sale price" contemplated goods that may be sold to the ultimate consumer, whereas the present clearances were not sales. The claim for exemption was therefore not established at the interim stage.

Conclusion: The issue was decided against the assessee and a pre-deposit of Rs. 5,00,000 was directed, with waiver of the balance duty, interest, and stay of recovery upon compliance.

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