Broken glazed tiles not excisable: saleability alone does not make manufacturing waste dutiable under the tariff.

Broken glazed tiles arising during manufacture were treated as not excisable goods, because prior Tribunal rulings had already settled that such waste is not exigible to duty. The fact that broken tiles could be sold in the market did not by itself make them dutiable or justify classification as other goods under Heading 6906.90. The earlier ratio in the assessee's own matter and in Somany Pilkingtons Pvt. Ltd. was applied, and the departmental classification was rejected.

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Issues: Whether broken glazed tiles arising in the course of manufacture of glazed tiles are excisable goods and classifiable under Heading 6906.10, or fall under Heading 6906.90 as other.

Analysis: The issue was treated as settled by prior Tribunal decisions, including the decision in the assessee's own case and the earlier ruling in Somany Pilkingtons Pvt. Ltd., which had held that broken glazed tiles are not exigible to duty. It was also noted that mere sale of waste tiles in the market does not by itself make them excisable goods. The earlier ratio was applied to the present facts.

Conclusion: The broken glazed tiles were held not to be excisable goods, and the departmental classification under Heading 6906.90 was rejected.

Final Conclusion: The order of the Collector (Appeals) was upheld and the departmental appeals failed.

Ratio Decidendi: Broken glazed tiles emerging during manufacture are not excisable merely because they are saleable in the market; their classification and duty liability must follow the settled position that such waste is not exigible to duty.

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