COMMNR.,CENTRAL EXCISE & CUSTOMS, INDORE vs M/S. PARENTERAL DRUGS (I) LTD.

The Supreme Court held that the definition of 'Intravenous Fluids' under Notification No.3/2001 is restricted to those used for sugar, electrolyte, or fluid replenishment, and products with added therapeutic properties fall outside this exemption. The Court emphasized that exemption notifications must be interpreted strictly and the burden of proof lies with the assessee to demonstrate compliance with the exemption criteria. The matter was remitted to the Tribunal for fresh consideration regarding the implications of the 2001-2002 Budget and the classification of the products as Schedule-H drugs.