Marketability of captive jute yarn established through assessee's own declaration, making it excisable

Single ply jute yarn manufactured captively was treated as marketable and therefore excisable where the assessee itself had filed a classification list showing the product as goods intended to be cleared and that declaration was not disputed. Actual sale was not necessary; marketability was established from the assessee's own declaration and surrounding facts. On that basis, the product was liable to excise duty and the demand was sustainable.

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Issues: Whether single ply jute yarn manufactured captively by the assessee was marketable and therefore excisable.

Analysis: The assessee had itself filed a classification list showing single ply jute yarn as goods intended to be cleared. That declaration was not disputed. On that basis, the product was treated as capable of being marketed, even though no actual sale was shown. Marketability was therefore established for excise purposes.

Conclusion: The single ply jute yarn was marketable and excisable, and the demand of duty was sustainable.

Ratio Decidendi: A goods product is excisable when the assessee's own declaration and surrounding facts establish that it is capable of being marketed, even if it is captively consumed and not actually sold.

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