Registered manufacturer status survives temporary non-production, preserving exemption eligibility for branded goods under the excise notification.

A registered Central Excise manufacturer does not lose that status merely because no goods were produced during the relevant period. Temporary non-production does not convert the unit into a trader, and registration remained material for determining eligibility under Notification No. 175/86. On that basis, exemption could not be denied merely because the branded goods belonged to such a registered manufacturer, and the assessee remained entitled to the notification benefit.

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Issues: Whether a person registered as a manufacturer ceases to be a manufacturer for the purpose of Notification No. 175/86 merely because no goods were manufactured during the relevant period, and whether the assessee could be denied the exemption on the ground that the branded goods belonged to such a person.

Analysis: The relevant test was whether the other unit retained its character as a manufacturer. Mere non-production for a particular period did not alter its legal status into that of a trader. Registration as a Central Excise manufacturer remained material, and temporary absence of production did not disqualify the assessee from the benefit of the notification in respect of goods bearing that brand name.

Conclusion: The assessee was entitled to the benefit of the notification, and the Revenue's appeal failed.

Ratio Decidendi: A registered manufacturer does not lose that status merely because no manufacture took place during a particular period, and exemption eligibility under the notification cannot be denied on that basis.

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