2017 (1) TMI 833

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....s (supra). As per Customs Notification No.32/1997 the goods imported into India are exempted from whole of the Customs duty and CVD subject to the following (applicable) conditions: i) That the goods are imported for execution of an export order placed on the importer by the supplier of the goods for jobbing; ii) That the goods so imported, including resultant products, are re-exported to the supplier of the goods or to any other person which the said supplier may specify within six months from the date of clearance or within such extended period as the Assistant Commissioner of Customs may allow; iii) That the goods are utilized only for the discharge of export obligation and no part thereof shall be sold, transf....

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.... 7. The field formations may finalise the pending assessment, if any, accordingly". 3. The benefit was sought to be denied on the ground that major quantity of raw materials used was indigenous and not imported and thus, the respondents could not be said to be job-workers. The Assistant Commissioner in his order noted that the major quantity of raw-materials used in the process was purchased by the respondents themselves, though in value terms it was very small as compared to the value of imported goods. The Assistant Commissioner, therefore, allowed the exemption to the appellants. The matter was agitated by the Revenue before the Commissioner (Appeals) who rejected the Revenue appeal on the following grounds: "I have care....

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....erms of value the indigenous raw material is only 8% of the total value, which cannot be considered as substantial quality. While saying that no produced 1 Kg of alcohol, imported raw material weighing about 2.33 kg is used whereas indigenous raw material weighing about 8.5 kg, nearly 3.5 times of the imported goods is used, department has not taken into consideration that in terms of value indigenous raw material contributed only 8% of the value of then imported raw material in such a situation it is not correct to say their case does not fall under the definition of job work. Keeping in view that appellant is manufacturing high valued item, where job work should be determined on the basis of the value of the inputs not on the bas....