2003 (1) TMI 361

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....cate, for the Appellant. Shri S.M. Tata, SDR, for the Respondent. [Order per : C.N.B. Nair, Member (T)].  Both the appeals are directed against the same order. Therefore, they were taken up together for consideration and are disposed of under this common order. The first appellant, M/s. Nicholas Piramal India Limited is a manufacturer of several varities of medicines. Some of these m....

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.... inflation adjustment etc. The impugned order has held that the contract price cannot be the basis for assessment of the medicines in question inasmuch as it does not include the correct element of profit of the appellant manufacturer, i.e. M/s. Nicholas Piramal India Ltd. The impugned order has accordingly revised the assessable value by making an addition of the overall profit (in % terms) earne....

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....ch item is required to be assessed at its normal price without regard to other items. During the hearing of the case, learned Counsel for the appellants submitted that the valuation ordered under the impugned order is contrary to the Larger Bench decision of this Tribunal in the case of Raymond Industries v. Commr. of Central Excise, Aurangabad - 2001 (129) E.L.T. 327 (T) wherein the Tribunal had ....

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....e parties according to a detailed formula. This formula covers all the elements of cost like cost of raw-material, packing material, filter cost, Conversion cost (direct labour, direct and indirect overheads) and margin of profit. No extra consideration has influenced the prices. In such a case, the contracted price merits acceptance as the normal price of the goods. In the valuation of a particul....