Applicability of excise on pulverisation of sugar

[Uttam Jain]

Whether pulverization of sugar amounts to manufacture?
One dealer who is purchasing sugar from manufacturer who is charging excise duty and cess on his sales bill..and dealer is pulverising sugar and packing in the size of 50 and 100kg packs under its own brand and then selling it to other party who's using the same for making cookies and confectionery.
If we want to passed on the excise whether he needs to take registration as a first stage dealer?
And if he is taking registration as a manufacturer then what will be the rate of duty on pulverised sugar..
Please suggest..

AI Summary

Pulverizing Sugar Not Manufacturing Under Excise Law; MRP Printing Requires Manufacturer Registration and Excise Duty Compliance. A query was raised regarding whether pulverization of sugar constitutes manufacturing under Central Excise laws. A dealer purchases sugar, pulverizes it, and sells it under their brand. It was clarified that pulverization does not amount to manufacturing, so no excise duty is required on pulverized sugar. Registration as a first stage dealer is necessary only if the dealer wishes to pass on the excise duty as credit. If the dealer prints the MRP on packets, this is considered manufacturing, requiring registration as a manufacturer. Further clarifications were provided regarding deemed manufacturing and Cenvat Credit.