2019 (12) TMI 332

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....e manufacture of pig iron falling under Chapter 72011000 of Central Excise Tariff Act, 1985. For charging the basic inputs namely, dolomite, manganese, quartzite, limestone etc. to blast furnace, the raw materials iron ore and coke are reduced to desired size so as to fit it to furnace. Before charging it into the blast furnace, the process of screening iron ore generates waste which is called 'iron fines' and the coke generates wastes, called as 'coke breeze'. These 'fines' and 'breezes' are generated before the raw materials are fed into the blast furnace. Since these are waste and of no use in the hands of the appellant, they are subsequently disposed off. The appellant availed CENVAT Credit on various other inputs such as furnace oil, o....

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....f CENVAT Credit Rules, 2004 byproducts/waste products which emerges during the process of manufacture of finished goods is no more res integra. The Hon'ble Supreme Court taking the meaning and the scope of the amended definition of excisable goods under Section 2(d) of the Central Excise Act, 1994 held that 'bagasse' which emerges as the waste and residue as a result of the process carried out on the raw material cannot be considered to fall under the scope of definition of 'manufacture' under Section 2(f) and accordingly, Rule 6 of CENVAT Credit Rules, 2004 shall not apply. Their Lordships observed as follows: - "6. The aforesaid judgment was pronounced by this Court related to the period before 2008. In the year 2008 there was an a....

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.... (iii) which in relation to the goods specified in the Third Schedule, involves packing or repacking of such goods in a unit container or labelling or re-labelling of containers including the declaration or alteration of retail sale price on it or adoption of any other treatment on the goods to render the product marketable to the consumer; and the word "manufacture" shall be construed accordingly and shall include not only a person who employs hired labour in the production or manufacture of excisable goods, but also any person who engages in their production of manufacture on his own account;" 9. The Revenue sought to cover the case under sub-clause (ii) as per which the process which is satisfied in relation to any goods in the S....