2004 (2) TMI 400

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....ess of manufacture carried out in their factory and hence, the question of discharging duty does not arise. In this regard, he has relied upon a large number of judgments to come to the conclusion that the process of packing of 3 items does not bring back into existence of a new commodity and no duty is required to be discharged by them, as the items had already duty paid. The Revenue is contesting the issue. 2. Ld. Counsel Shri Subhash Chander submits that the Revenue had appealed against the respondents in Appeal No. E/4396/90/31, dated 7-4-1998 which came up for consideration before the Bench (B.I), New Delhi. After detailed examination, the Commissioner's finding that the activity of putting 3 duty paid products in pack has been....

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.... such cases the transaction is on a principal to principal basis. In the ordinary course of business, in such cases, the actual manufacturer was engaged in the manufacturing activity 'on his own' since he manufactures the goods according to his own schedule, budget, capacity, availability of raw-materials, etc. In Jagjivan Das & Co. v. CCE, 1985 (19) E.L.T. 41, the Tribunal held that occasional use of machinery of one firm by another did not go to show that the latter was manufacturing the goods for or on behalf of the former. The Tribunal had in Taggas Industrial Development Ltd. v. Collection of Central Excise, Kanpur [1989 (39) E.L.T. 151 (T)] held that goods produced under agreement providing for goods to be of quality and specification....