2013 (12) TMI 454

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....e Respondent : Shri Ahibaran, Additional Commissioner (AR) PER : P K Jain Heard both sides. 2. Facts of the case are that the appellants are engaged in the manufacture of sugar and availing Cenvat Credit on inputs. During the manufacture of sugar, a residue of manufactured product known as "Brown Sugar" remains. This residue sugar is brown in colour and sucrose content is less than normal....

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.... also to maintain separate account). Department therefore demanded an amount of Rs.93,484/= as 8% of sale price of brown sugar under Rule 6 (3) (b) of Cenvat Credit Rules, 2001. Against the said demand appellants are before us. 4. Ld. Advocate's main argument is that Brown Sugar is a waste product and is not manufactured goods and hence non-excisable and therefore is beyond the scope of Rule 6(....

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....e circumstances it cannot be considered as waste or unmanufactured product, it is residue of manufactured product and can be reprocessed to manufactured product viz. sugar 8% amount is correctly demanded under Rule 6 (3) (b) of Cenvat Credit Rule, 2001. 7. We have gone through various case laws cited by the appellants. Most of these case laws are in respect of Baggage (sic) and press mud, which....