COMMISSIONER OF C. EX., HYDERABAD Vs. RAVILEELA GRANITES

JUDGEMENT

(1.) THE revenue is seeking stay of operation of Order -in -Appeal No. 26/2006 -C.E. dated 26 -7 -2006 by which the Commissioner (A) has accepted the assessees plea that epoxy resin and ager applied on the slaps in the process of manufacture, which is ultimately exported are consumables. Revenue has contended that both these items are not consumables but raw materials and they are required to discharge duty.

(2.) THE learned JDR argues on the basis of the grounds of appeal.

(3.) THE learned Representative submits his written submission and relies on two rulings namely Kilburn Chemicals Ltd. v. CCE as reported in 1996 (88) E.L.T. 598 and CCE, Ahmedabad v. Melamine and Fibre Boards Ltd. as reported in 2002 (147) E.L.T. 1128 (T) wherein it has been held respectively that polyester resins are consumables and synthetic of unstable nature having short shelf life were not marketable and not excisable. He also refers to the letter dated 25 -3 -2003 issued by the Asst. Development Commissioner, Visakhapatnam, Special Economic Zone to M/s. Vajra Granites Ltd., Hyderabad holding both the items to be consumables. The Commissioner (A) has examined the issue in detail and has also applied the Board Circular dated 20 -3 -2002 to take a view that both these items are consumables. In view of this position, we are of the considered opinion that Revenue has not made out a prima facie case in their favour for grant of stay. The order given by the Commissioner (A) is a detailing speaking order, hence the stay application is rejected. Appeal to come up in its turn.