The Excise authorities sought to treat the process of separation of caprolactam from the waste as an independent manufacturing process, and subjected it to duty.
Waste in solid form companytaining poly caprolactam is obtained at various stages of the process of manufacture.
The claim of the appellants for refund of such duty was rejected.
The raw material is subjected to polymerisation.
Hence this appeal.
To fully use caprolactam, which is expensive and duty paid, the appellants have installed equipment by which caprolactam is recovered from the aforementioned waste and re cycled into the process.
This is a reversible process.
The Collector Appeals upheld the rejection, as did the Customs, Excise Gold Control Appellate Tribunal.
WITH Civil Appeal Nos.
After polymerisation the resultant poly caprolactam is spun to obtain nylon yarn.
3262 66/88 1587 90/90 J U D G M E N T BHARUCHA, J. The appellants manufacture nylon yarn using a raw material known as caprolactam.
Caprolactam in flakes is used as the original raw material.
