Collector Of C. Ex., Bangalore vs Balakrishna Perfumary Works

The Supreme Court held that the classification of products under Tariff Item 69 depends on whether the main part of the manufacturing process is done with the aid of power, referencing the precedent set in Padmini Products v. Collector of Central Excise (43 E.L.T. 195). The Court found that the Tribunal failed to apply its mind to this critical aspect and thus restored the appeal to the Tribunal for reconsideration of the facts regarding the manufacture of the products in question. The outcome was a remand to the Tribunal without any order as to costs.