In Brief
The Central Excise Commissioner sought to recover differential excise duty from Vadilal Gases Ltd., alleging that receiving liquefied nitrogen and argon in bulk, re-gasifying, and filling them into smaller cylinders with labels amounted to 'manufacture' under the Central Excise Tariff Act. The Supreme Court upheld the Tribunal's decision that this process does not constitute manufacture. Receiving gases in tankers is not 'repacking from bulk packs,' and mixing chemically inert gases does not create a new marketable product since the gases retain their individual properties. The appeal was dismissed and the Tribunal's order affirmed."
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