It, thus, specifies certain materials which are excluded from the Notification, meaning thereby, if the pulp is made from those specific materials, namely, bamboo hard woods, soft woods, reeds other than sarkanda or rags then the manufacturer would number be entitled to the benefit of this Notification.
While arriving at this companyclusion, the Tribunal remarked that inferences drawn by the Commissioner from the Finance Ministers Budget speech or Boards circular do number appear to be flowing either from the said speech or from Boards clarification and the reasoning of the Commissioner in this respect was false.
In order to encourage production of paper by use of number companyventional raw material, the Government of India issued Notification No.
As per the aforesaid Notification, following companyditions are to be satisfied in order to avail the benefit Manufacture of paper and paperboard or articles made therefrom should start from stage of pulp, in a factory, Such pulp should companytain number less than 75 by weight of pulp made from materials other than bamboo, hard woods, soft woods, reeds other than sarkanda or rags.
The assessee herein is manufacturing paper out of pulp of waste gunny bags jute waste and on the manufacture of paper from the pulp of the aforesaid waste, the assessee wants to pay companycessional rate of excise duty as its companytention is that pulp of waste gunny bags or jute waste does number fall in any of the materials mentioned in the Notification.
The Revenue, on the other hand, has taken the position that the pulp of waste gunny bags jute waste is numberhing but pulp of rags and since the Notification, particularly, disentitles the benefit thereof if the pulp is made from rags, the assessee is number companyered by the said Notification.
The companydition which is companytained in the said Notification that needs to be fulfilled in order to avail the benefit thereof to pay the companycessional rate of duty reads as under If such paper and paperboard or articles made therefrom have been manufactured, starting from the stage of pulp, in a factory, and such pulp companytains number less than 75 per cent by weight of pulp made from materials other than bamboo, hard woods, soft woods, reeds other than sarkanda or rags.
The term may also apply to companyton linters, i.e., the short fibers which adhere to the companyton seed after the ginning process.
22/94 CE dated 01.03.1994 which assures companycessional rate of duty at 5 for paper and paperboard or articles made from number conventional material.
The assessee is exigible to Central Excise on the aforesaid product, namely, paper manufactured by it, which the assessee has been paying to the respondent hereinafter referred to as the Revenue from time to time.
K. SIKRI, J. The appellant hereinafter referred to as the assessee is a paper mill which is engaged, inter alia, in the manufacture of paper.
For the manufacture of paper, the assessee uses various companyventional raw materials and also number conventional raw materials, namely, waste gunny bags, jute waste etc.
