Marketability is essential for excisability; a site-built caisson gate forming part of a dry dock was not dutiable.

A caisson gate constructed at site as part of a dry dock was held not to be excisable goods because it had no independent existence and no evidence showed it was capable of being taken to market and sold. The tribunal applied the settled requirement that excisability depends on both manufacture and marketability, and distinguished an integral civil structure from manufactured goods. As the Revenue failed to prove marketability, central excise duty was not payable.

---

---

Issues: Whether the caisson gate of a dry dock was excisable goods and liable to central excise duty.

Analysis: The caisson gate was constructed at site as part of the dry dock and had no independent existence shown to be capable of being taken to market and sold. The record did not establish that such gates were marketable as such, and the test of excisability required marketability in addition to manufacture. The Tribunal also noted the distinction between construction of an integral civil structure and manufacture of goods, and found the Revenue had not produced evidence to satisfy the marketability requirement.

Conclusion: The caisson gate was not excisable goods, and duty was not payable.

---