2008 (12) TMI 225

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....nataka High Court which is reported in 1998 (98) E.L.T. 81 (Kar) (Canara Steel Limited v. Union of India) whereas without taking any note of the judgment of this High Court reported in 1993 (66) E.L.T. 594 (Cal.) on the same question of law and further the learned Tribunal has failed to find out that the order so passed by the Hon'ble Calcutta High Court was also followed and referred in the Division Bench of the Karnataka High Court in Escorts Ltd. v. Collector of Central Excise, Bangalore reported in 2000 (120) E.L.T. 75 (Kar.). It would be evident from the said decision that the learned Counsel for the assessee submitted that in accordance with the provisions of Rule 57A of the Central Excise Rules, 1944 have to be interpreted only to ad....

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....ls for the Tribunal to do so, that the market in which articles in question were sold were paper packed and wrapped in paper. Therefore, anything that enters into and forms part of that process must be deemed to be raw materials or component part of the end-product and must be deemed to have been used in completion or manufacture of end product." 2. It is submitted that the explanation to Rule 57A is only inclusive definition of the term input. Reliance is placed on the judgment of the Apex Court in State of Bombay v. Hospital Mazdoor Sabha - AIR 1960 SC 610 where the Court was observed that, "It is obvious that the words used in an inclusive definition denote extension and cannot be treated as restricted in any sense. Where we are de....

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....and also bearing in mind that it is essential to control the acidic vapours generated during the steel manufacturing process, this Bench has held in C.A. No. 6615/2003 (Collector of Central Excise v. Steel Authority of India Limited) that use of such chemicals is essential for the manufacturing process. Specially it was observed that : "As discussed by the concerned authority burnt dolomite is used so as to neutralize the acid which is formed at the time of manufacturing steel. This burnt dolomite is, therefore, used in relation to manufacturing of the final product. It has been rightly pointed out that respondent is using burnt dolomite in relation to manufacture of final product so that it may combine with acid which is formed at the t....