Mere Crushing of Coal does not amount to manufacture: AAR

Brief Facts

The applicant herein M/s. Dhunseri Petrochem Limited, Kolkata is a public limited company. It is engaged in the manufacture and sale of PET Chips. The applicant now intends to start a new business whereby the applicant intends to import coal from outside India of various size and all that It intends to do is to crush the same and thereafter supply it to the customers as per their demand. In this, the applicant seeks to recover the crushing charges from those parties who require the crushed coal.

Held by AAR

The only question which is asked in respect of the Central Excise Act is as to whether the process of crushing of coal would amount to manufacturing activity as understood in the context of Central Excise Act, 1944.

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