TaxTMI 
TaxTMI 
1989 (8) TMI 182
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....ase is that the respondents are the manufacturers of leather articles. They filed classification lists for the product (1) Dot straps (2) Chrome straps (3) Leather straps and (4) Soft leather straps. The Assistant Collector of Central Excise approved the said products under sub-heading 4201.90 attracting Central Excise duty at, 12% ad valorem as articles of leather which are also being used as industrial product. The respondents being aggrieved by the said order of the Assistant Collector of Central Excise, Division II, filed an appeal before the Collector of Customs & Central Excise (Appeals) Bombay who allowed the appeal by order dated 27-10-1988 with consequential relief holding that the goods manufactured by the appellants are entitled ....
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....the C.E.T. Act, 1986 manufactured in Schedule annexed to the notification are exempted from the whole of duty of excise leviable thereof. Tanning industry is covered in the said notification. The respondents had produced a certificate issued by D.G.T.D. The appellants had also produced a copy of classification list No. 70/111/H/8 wherein the Assistant Collector had granted exemption under Notification No. 115/75, dated 30-4-1975. The respondents further contended that their industry is a tanning industry and that all similar industries doing similar activities have been extended with the benefit of Notification No. 115/75, dated 30-4-1975, as amended by Notification No. 80/76, dated 10-2-1976 and No. 127/88, dated 1-3-1988 and that the Coll....
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....ese cases, the products underwent change resulting in change in character. While in the case of the goods of the respondents, the tanned leather was simply cut to the size of the customers requirement. It continued to be tanned leather as no shape or change has been brought about nor such cut strap of leather could be termed as of specific character to resemble any product. It remained as simple strapped of tanned leather of six different sizes. The customers would make products from these tanned cut leather. The processing is not done by respondents to attract Section 2(f) of the Act. That there is no manufacture at all and hence sought for dismissal of the appeal. 7. We have heard both the sides, examined the various contentions, perus....
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.... per orders of customers and selling them. The contention of the Revenue is that the mere fact of cutting the tanned leather is itself a process of manufacture and the cut leather can be distinguished and identified into as a separate product. 9. Smt. Vijay Zutshi contended that in the instance case, the respondents are cutting the leather for a specific purpose of making a product and such an activity is a manufacture. In this connection, she referred to the citation cited supra and drew an analogy from their citations to consider the instant case as also coming within the ambit of the rulings cited above. The learned S.D.R. referred to the case of Ramsay India Pvt. Ltd., NewDelhi v. Collector of Central Excise, New Delhi [1985 (19) ELT....