TaxTMI 
TaxTMI 
2000 (6) TMI 52
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....pass and may briefly be detailed as under: 3. The appellants are engaged in the manufacture of AN in the form of fine powder particles. The material used by them for manufacturing this product consists of crude lumps of AN, damaged calcium ammonium nitrate (in short, CAN) and AN melt. All these inputs are firstly mixed up with the water and then aluminium bicarbonate is added in that mixture. Thereafter, the mixture is washed with the water to remove insoluble impurities like mud, etc. The aluminium bicarbonate added in the mixture, helps in removing calcium in the form of calcium carbonate and thereafter it is heated for evaporation of the water. By this process, the crystals of ammonium nitrate (in short, AN) are obtained and then grou....
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.... Act and as such is excisable. 7.On the other hand, the learned JDR while refuting this contention of the counsel, has argued that AN cannot be held to be a manufacture/produce product under the Excise Law as no mechanical process is involved for its production. Therefore, the law laid down in CCE, Aurangabad v. Anil Chemicals Pvt. Ltd., (supra) by the Tribunal is correct one. 8.In order to decide as to whether AN can be said to be a manufactured or produced product keeping in view the inputs used and the process involved in its manufacture/production, it would be beneficial to refer to the definition of the expression "manufacture" as used in Section 2(f) of the Central Excise Act and its scope and interpretation detailed in various ....
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.... doubtless cover the transformation which brings about fundamental change, a new substance brought into existence, a new different article having distinct name, character or use results from a particular process of particular activity." 12.In Hindustan Polymer v. CCE, 1989 (43) E.L.T. 165 the Apex Court has defined the expression 'manufacture' as under- "manufacture" under the Excise Law is the process or activity which brings into being articles which are known in the market as goods and to be goods these must be different, identifiable and distinct articles known to the market as such. It is then and then only that manufacture takes place attracting duty. Keeping in mind the above referred definition of the expression "manufactur....
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....different, identifiable and distinct and is known to the market as such. That being so it satisfies the essentials of expression "manufacture" as used in Section 2(f) of the Central Excise Act and interpreted by the Apex Court in the above referred cases. Therefore, it must be held to be a manufactured/produced product. This product also satisfies the test of marketability as it is independently marketable. 15.Section 3 of the Central Excise Act levies the duty on all excisable goods mentioned in the Schedule when they are produced and manufactured and also satisfy the test of marketability. In this context, reference may be made to the Apex Court judgment in Moti Laminates Ltd. v. CCE, Ahmedabad, 1995 (76) E.L.T. 241 (SC) wherein it has....