M/S.TEGA INDIA LTD. vs COMMNR.,CENT.EXCISE,CALCUTTA-II

The Supreme Court held that the process of fixing rubber linings on pipes does not constitute 'manufacture' under the Central Excise Act, as it does not result in the creation of a new and distinct product with a different name, character, and use. The Court referenced the precedent set in U. O. I. vs. D.C.M., emphasizing that mere processing does not equate to manufacture. The appeal against the CEGAT's dismissal was therefore rejected, affirming that the appellants were not liable for excise duty on the services provided.