2003 (6) TMI 302

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....ent. [Order]. - Both appeals involve common issue and are hence heard together and disposed off by this common order. 2. M/s. Standard Industries Limited is engaged in the manufacture of cotton yarn, man-made fabrics, embroidered fabrics, etc., while M/s. Khatau Makanji Spinning and Weaving Company Limited is the manufacturer of polyester staple fibre yarn of different blends. Both the re....

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....short point for consideration is whether or not the waste that come into existence in the process of manufacture of blended yarn from the fibres would amount to manufacture. Chapter Heading 55.01 deals with synthetic staple fibre and tow, including tops thereof whereas waste (including noils, waste yarn and garnetted stock) of man made fibres are classifiable under Heading 55.03. Both hard waste a....

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....ng 55.03. The appellants are not manufacturing staple fibres and read with Note 3 to the Chapter since the waste of blended yarn arises prior to the manufacture, Heading 55.03 is not attracted. Since Chapter Heading 55.01 does not cover waste, the classification of the waste that arise prior to or in the manufacture of blended yarn from the polyester/viscose fibres, by the Assistant Commissioner u....