Roasting ores into concentrate is manufacture, so concentrates fall outside an exemption limited to ores.

Roasting ores into concentrate is treated as manufacture under Chapter Note 4 of Chapter 26, because the deeming provision converts the ore into a distinct product in law. On that construction, the resulting concentrate is liable to central excise, and the broad definition of ores in Chapter Note 2 cannot override the specific fiction in Chapter Note 4. Notification No. 4/2006-C.E., which exempts ores, cannot be extended to concentrates, as exemption notifications are construed strictly. The stated conclusion is that the Revenue's appeal succeeded and the assessee was not entitled to the claimed exemption.

---

---

Issues: Whether roasting of ores into concentrate amounts to manufacture under Chapter Note 4 of Chapter 26 of the Central Excise Tariff Act, 1985, and whether the resulting concentrate remains covered by Notification No. 4/2006-C.E. exempting ores.

Analysis: Chapter Note 4 expressly deems the process of converting ores into concentrates as manufacture. Once this deeming provision applies, concentrate is treated in law as a distinct product from ore, and the consequence of manufacture is that the resulting product becomes liable to central excise levy. Chapter Note 2, which defines ores broadly, must be read harmoniously with Chapter Note 4; it cannot be used to nullify the later specific deeming fiction. On that construction, the exemption notification, which extends only to ores, cannot be enlarged to include concentrates. Exemption notifications are also to be construed strictly.

Conclusion: The process of roasting ores into concentrate is manufacture, and concentrate does not fall within Notification No. 4/2006-C.E.; the finding below was therefore correct in law.

Final Conclusion: The Revenue's appeal succeeded and the order of the Commissioner (Appeals) was set aside in effect, leaving the assessee without the claimed exemption.

Ratio Decidendi: Where a tariff note deems conversion of ores into concentrates to be manufacture, the resulting concentrate is a different commodity and cannot be brought within a notification exempting only ores, which must be construed strictly.

---