CCE v. Ambalal Sarabhai

M/S Bharti Airtel Ltd vs. The Commissioner of Central Excise, Pune III

Bench: HON'BLE MRS. JUSTICE B.V. NAGARATHNA

…applies to such goods as are moveable. The requirement of the goods being brought to the market for being bought and sold has become known as the test of marketability which has been reiterated by this Court in CCE v. Ambalal Sarabhai Enterprises [(1989) 4 SCC 112 : 1989 SCC (Tax) 162 : (1989) 43 ELT 214] . The Court has held in Union Carbide India Ltd. v. Union of India [(1986) 2 SCC 547 : 1986 SCC (Tax) 443] that even if the goods was capable of being brought to the market, it would satisfy the test of marketability. The basic test, therefore, of levying duty under the Act is twofold. One, that any ar…

M/S. Escorts Ltd vs. Commnr. of Central Excise, Faridabad

The appeal is allowed accordingly

…minium cans with rough uneven surface in Union Carbide [(1986) 2 SCC 547 : 1986 SCC (Tax) 443 : (1986) 2 SCR 162] or PVC films in Bhor Industries[(1989) 1 SCC 602 : 1989 SCC (Tax) 98 : (1989) 1 SCR 382] or hydrolysate in Ambalal Sarabhai [(1989) 4 SCC 112 : 1989 SCC (Tax) 584 : (1989) 3 SCR 784] the finding in each case on the basis of the material before the Court was that the articles in question were not marketable and were not known to the market as such. The ‘marketability’ is thus essentially a question of fact to be decided on the facts of each case. There can be no generalisation.…

M/S. Escorts Ltd vs. Commnr. of Central Excise, Faridabad

The appeal is allowed accordingly

…minium cans with rough uneven surface in Union Carbide [(1986) 2 SCC 547 : 1986 SCC (Tax) 443 : (1986) 2 SCR 162] or PVC films in Bhor Industries[(1989) 1 SCC 602 : 1989 SCC (Tax) 98 : (1989) 1 SCR 382] or hydrolysate in Ambalal Sarabhai [(1989) 4 SCC 112 : 1989 SCC (Tax) 584 : (1989) 3 SCR 784] the finding in each case on the basis of the material before the Court was that the articles in question were not marketable and were not known to the market as such. The ‘marketability’ is thus essentially a question of fact to be decided on the facts of each case. There can be no generalisation.…

M/S. Flex Engineering Ltd vs. Commnr. of Central Excise, U.P

The appeals are allowed and the

…er, they are not exhaustive. It is difficult to lay down a precise test to determine marketability of articles. Marketability of goods has certain attributes. The 10 AIR 1963 SC 791 11 AIR 1968 SC 922 12 (1986) 2 SCC 547 13 (1989) 1 SCC 602 14 (1989) 4 SCC 112 1 essence of marketability is neither in the form nor in the shape or condition in which the manufactured articles are to be found, it is the commercial identity of the articles known to the market for being bought and sold. The fact that the product in question is generally not being bought and sold or has no demand in the market w…

Commnr. of Central Excise, Chandigarh vs. M/S. Jagatjit Industries Ltd

…tly relied upon the decision of this Court in Union of India v. Delhi Cloth and General Mills Co. Ltd. [(1997) 5 SCC 767]. The CEGAT has also relied upon the decision in Collector of Central Excise, Baroda v. M/s Ambalal Sarabhai Enterprises (P) Ltd. [(1989) 4 SCC 112] for holding that in such cases the burden is on the Department to prove that such goods were either marketed or were marketable. Further, this Court in Collector of Central Excise, Baroda v. United Phosphorus Ltd. [(2000) 4 SCC 18] observed that though the intermediate goods so coming into existence may be specified in the Schedule as excisable,…