Manufacturing Activity

[RAJESH MANGAL AGRAWAL]

Dear All, Pl share your expert opinion regarding the fact that 'whether the processing of CPC (Calcined Petroleum Coke) Tariff heading 27131200 from large size to smaller size falls under the Manufacturing activity ??? To my view the same is not a manufacturing activity,since the raw material & finished goods are of same nature & falls under the same Tariff Headings. Further suppose the answer is in negative (i.e.the above process is not a manufacturing activity) can it be possible for a person to obtain a Central Excise regd. number for the above activity. Pl. share your expert opinion along with the case laws (if any). Regards CA RAJESH MANGAL AGRAWAL.

[Sailapati Bhattacharyya]

PRIMA FACIE YOUR VIEW APPEARS TO BE CORRECT, IT WOULD HAVE BEEN BETTER HAD YOU STATED ABOUT THE PROCESS UNDERTAKEN TO CONVERT LARGER SIZE TO SMALLER SIZE WITH THE EQIPMENT.MACHINERIES, TOOLS USED. ISTHE SMALLER SIZE KNOWN IN THE MARKET IN ANY OTHER NAME?  AT LAST WHAT IS THE ACTUAL USE OF THE SMALLER SIZE?

AI Summary

Manufacturing activity: size reduction of calcined petroleum coke may not be manufacturing; classification depends on process and market use. Whether reducing the physical size of calcined petroleum coke (CPC) under tariff heading 27131200 is manufacturing activity depends on whether the process changes the goods' essential character or classification; the questioner argues it does not because raw material and product remain of the same nature and tariff heading, while the reply requests details of the process, equipment, market name and end use as determinative factors for classification and central excise registration.