2003 (11) TMI 516

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....espondent. [Order]. -  The question for consideration is the eligibility to Modvat credit by the appellant of the duty paid on organic surface active agents which it received and utilised by it in the cleaning of machinery that it employed in the process of manufacture of frozen desserts. In the order impugned in the appeal, the Commissioner (Appeals) has confirmed the denial of credit ....

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....e contends that the use of these chemicals is too remote from the manufacture of the final product in order to be able to say that they are used in relation to the manufacture. He relies upon the decision of the Tribunal in Orient Paper Mills v. CCE - 1997 (93) E.L.T. 501. 4. During the relevant time 1994, Rule 57A provided for Modvat credit of the duty paid on goods "used in or in relatio....

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....caustic soda used for cleaning glass bottle which are used to contain beverages to be inputs. If materials used to clean the container is input, there is no reason why similar material used to clean machinery has also not considered to be input. In fact this is the view in the third decision in which it has been held that trichloethylene used to clean filters, used in the manufacture of nylon yarn....