INDIAN RAYON AND INDUSTRIES LIMITED J K WHITE CEMENT WORKS Vs. COLLECTOR OF CENTRAL EXCISE JAIPUR:COLLECTOR OF CENTRAL EXCISE JAIPUR

JUDGEMENT

(1.) M/s. J. K. White Cement Works and M/s. Indian Rayon and Industries Ltd., the two appellants herein, are engaged in the manufacture of rapid hardening white cement. The dispute relates to the classification of white cement produced by these appellants under the Central Excise Tariff in force at the relevant time. In the case of J.K. White Cement Works, the period of disputed classification is 16-2-1985 to 28-2-1986 and 1-3-1986 to 28-2-1992. In the case of Indian Rayon and Industries Ltd. the relevant period is 26-4-1991 to 28-2-1992.

(2.) FOR the period prior to 28-2-1986, the relevant Tariff Entry for cement was Tariff Entry 23. After coming into force of the new Excise Tariff from 28-2-1986, the relevant Entry is 2502. There was a change in the Entry 2502 with which we are concerned, w.e.f. 1-3-1992. The amended Tariff Entry 2502.21 thereafter covered rapid hardening white cement. The relevant Entries for the three periods are as follows : <FRM>JUDGEMENT_58_5_1998Html1.htm</FRM> (b) From 28/2/1986 <FRM>JUDGEMENT_58_5_1998Html2.htm</FRM> (c) From 1/3/1992 <FRM>JUDGEMENT_58_5_1998Html3.htm</FRM>

(3.) ANOTHER report was also obtained by the Department from the National Council for Cement and Building Material, Ballabhgarh testing the physical properties of the white cement manufactured by the appellants. The test report has stated that the compressive stress of cement on one day was 230 kg./CM2 as against "not less than 160 Kg/CM2 per rapid hardening cement". These test results also confirm that the cement produced by the appellants conforms to the ISI specifications for rapid hardening portland cement IS : 8041 : 1978. In fact, the adjudicating officer has held that the white cement manufactured by the appellant thus conforms to the properties of rapid hardening cement. However, because it is white in colour, the Department has held that it will fall under Tariff Entry 23(1) or 2502.20.