2016 (6) TMI 1171

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....r the respondent. [Order per: Sulekha Beevi, C.S.] The appellants are engaged in manufacture of cement and clinker. They were availing the facility of CENVAT credit of duty paid on inputs and capital goods. During the period December 2009 to September 2010, they availed credit of duty amount to Rs. 36,89,517/- paid on MS angles, MS plates, MS channels, MS beams, HR coils/sheets etc. A show-c....

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....tatic precipitator, structural support for conveyor belt, fan chutes conveyor etc. The components/parts/accessories such as chutes, ducts, conveyor belts are not readily available to be purchases in market. They have to be fabricated suiting to the requirement of the cement plant. The subject items were also used for repair and maintenance of capital goods. Without periodical repair of plant & mac....

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.... that the subject items were used for repair and maintenance of plant and machinery and not for manufacture of final product. Credit has been availed on MS items as inputs. As per the definition of inputs, the goods are to be used directly or indirectly in the manufacture of final products. In Sree Rayalseema Hi-Strength Hypo Ltd. [2012(278) ELT 167 (AP)], it was held, the credit is not admissible....

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....nue has placed reliance on the judgment rendered in the case of Sree Rayalseema Hi-Strength Hypo Ltd. In the said case, the issue was whether credit on welding electrodes used for repair & maintenance is admissible as inputs. The jurisdictional High Court in the case of CCE&C, Visakhapatnam Vs. Rashtriya Ispat Nigam Ltd. [2011(271) ELT 338 (AP)] held that credit on steel sheets & coal used in repa....