2008 (1) TMI 113

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....s against a demand of duty on 'scented supari' for the period 1-4-1995 to 25-9-1995. The above product resulted from the activity of cracking of betelnut followed by roasting, coating with oil and addition of sweetening and flavouring agents. This activity was undertaken by one M/s. ARR Enterprises, from whom the assessee purchased the product in bulk and repacked and marketed. The assessee consid....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Court in Crane Betel Nut Powder Works v. Commissioner of Customs & Central Excise, Tirupathi [2007 (210) E.L.T. 171 (S.C.)]. In that case, the question considered by the Apex Court was whether mechanical crushing of betelnuts into smaller pieces and passing them through different sizes of sieves to obtain different sizes/grades followed by sweetening amounted to 'manufacture' or not. The issue wa....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....process involved in the manufacture of sweetened betel nut pieces does not result in the manufacture of a new product as the end product continues to retain its original character though in a modified form. 31. In our view, the Commissioner of Customs and Central Excise (Appeals) has correctly analysed the factual as well as the legal situation in arriving at the conclusion that the process of cu....