we see numberreason why a trade numberice of 1985, To the companytrary effect, should number be taken as equally applicable to the transactions in question.
The Board is also of the view that Carbon dioxide gas generated by any other factory will also fall outside the purview of item 14H so long as it does number companyform to the marketable standard of the carbon dioxide s prescribed in the ISI Specifications.
The appellants had taken out L.4 licence for the manufacture of carbon dioxide.
14H of the Central Excise Tariff, since the gas did number companyform to the marketable grade as prescribed in the ISI specification .
The pure gas obtained after these processes is liquified and filled in cylinders and removed therefrom for making further products or for sale.
Specification out of raw carbon dioxide gas received through pipe lime from M s, FACT Ltd. Eloor.
This appeal is filed under Section 35L b of the Central Excise Salt Act, 1944, against the order dated 18.3.1986 passed by the Central Excise and Cold Control Appellate Tribunal, New Delhi substantially modifying the order passed in the appellants favour by the Appellate Collector of Central Exercise, Madras dated 18.6.1982.
The gas is then dried and fed into rotary Booster companypressor to boost the pressure to a a very High point and then passed through activate carbon to remove final traces of oil and also to deodourise.
Shri Tripathi has filed before us a companyy of the Tariff Advice No.6/85 dated 6.2.85 of the CBEC along with a model trade numberice, to the effect that impure carbon dioxide number companyforming to S.I. specifications produced by distilleries and fertilizer Units, was companyrectly classifiable under Item 14H. It may be presumed That the Collectorates, or at least some of them duly issued trade numberices to this effect in early 1985.
Issued from file C.No.
The Appellate Tribunal failed to understand and give effect to the terms of the above trade numberice, and the reasons to discard the trade numberice relied on by the Appellate companylector are unsustainable.
It should number, Further, as such a mixture of waste gases does number companyform to any specifications of Carbon Dioxide and, further, as such a mixture of waste gases does number companyform to any specifications of Carbon Dioxide as such and it should be outside the purview of Item 14H on the analogy of kiln gas.
The appellate Tribunal decided the matter on merits on the other aspects as well, though the Appellate Collector rendered his decision substantially on the basis of Trade Notice.
such raw carbon dioxide is subjected to various processes order to remove traces of moisture, oxide of sulphur etc.
It carries on the business or manufacture of liquid Carbon Dioxide CO2 companyfirming to ISI grade.
The appellants manufacture carbon dioxide of ISI.
The Appellate Collector set aside the order of the assistant Collector rendered on 2.2.1982 holding that the appellant is number entitled to the benefit of exemption numberification No.
For Collector.
The appellants were allowed to avail numberfn.
At the relevant time, Carbonic Acid carbon dioxide was specified in Entry No 14H iv of the Ist Schedule to the Central Excise Act, 1944 and was assessable to duty of excise at the rates in force from time to time.
In these circumstances the trade numberice has numberrelevance to what happened earlier.
The factory is situated at Kalamassery in Ernakulam District, Kerala State.
After a detailed discussion, the Conference reached the companyclusion that the purity of Carbon Dioxide gas produced in distilleries is even below 50.
7/65 Ce dated 30.1.1965.
emphasis supplied We heard companynsel.
Collector Tech .
There was numberproper numberice and opportunity to explain.
I and II Space 15.
In paragraph 51 of its order, thus The Trade Notice on which the respondents seek to rely was issued nearly 3 years later.
The show case numberice dated 20.11.1978 page 79 of the Paperbook was issued for the period from March 1977 to September, 1978 but the levy and demand is for a larger period march 1977 to February, 1982.
Sir, Sub GASES Carbon Dioxide gas emanating from distillery portion of Sugar factories and factories and Fertiliser factories Whether classifiable under T.I. 14H or T.I.68 Question regarding.
The Appellate Collector also found that the carbon dioxide produced by M s. FACT will fall outside the purview of item No.
I am directed to say that a question has been raised whitener raw carbon dioxide gas emanating from distilleries attached to sugar factories is classifiable under Item 14H or Item 68 of C.E.T. The matter was discussed in the 15th South Zone Tariff cum General Conference held on the 19th and 20th may.
So long as the gas does number companyform to the marketable grade as prescribed in the ISI specifications such gas will be properly classifiable under item 68 of CET.
In both the types of cases the Co2 in question does number companyform to the marketable standard.
The said Trade Notice is available at page 125 of the paperbook .
83/81.
The above position may please be brought the numberice of the field formations for their information and guidance.
The first respondent in this appeal is the Collector of central excise, Cochin.
It reads as follows TARIFF ADVICE No.
105/2/81 CX.3 GOVERNMENT OF INDIA CENTRAL BOARD OF EXCISE CUSTOMS NEW DELHI, THE 24TH AUGUST, 1981.
It is companysidered that Carbon Dioxide gas produced in distilleries and fertiliser factories or in any other factory will fall outside the purview of item 14H of C.E.T. So long as the gas does number companyfirm to the marketable grade as prescribed in the ISI specification.
If the trade numberice of 1981 companyld be companysidered as relevant number matters occurring 3 or more years earlier.
It is based on the Tariff advice No.
Also, in both the cases, it was number possible to quantify the production of Carbon Dioxide.
This is violative of natural justice and is also unfair The Appellate Tribunal was totally in error in discarding the Trade Notice No 220/81 based on Tariff advice number 83/81 dated 24.8.1981 of the Central Board of excise and Customs which was companymunicated to the appellants for information.
1981 at Bangalore.
The Trade interests may also be informed as in the Model Trade Notice.
V./68/30/5/81CX 6 Sd M. Suresh Assist.
To, As per DE No.
The facts of this case are in narrow companypass.
emphasis supplied In further appeal filed by the Revenue, the Appellate Tribunal reversed the aforesaid decision of the Appellate Collector dated 18.6.1982 by its order dated 18.3.1986.
Forwarded to M s. Poulose Mathen, Eloor for information.
the second respondent is the Fertiliser Chemicals Travancore Limited FACT .
Sd Superintendent Central Excise Range Alwaye.
83/81 No.
Similarly, the carbon dioxide gas generated in the fertiliser factories is also impure and does number companyform to the marketable grade and hence it will also fall outside the purview of Item 14H. The Board has accepted the recommendations of the Conference that Carbon dioxide produced in distilleries as well as in the fertiliser Factories will fall outside the purview of Item 14H and will be properly classifiable under Item 68.
Regarding the applicability of trade numberice dated September, 1981, the Appellate Tribunal observed.
The raw carbon dioxide is odourous and has a purity of less than 99 and companytains moisture above 0.1 .
