CIR NO.720/36/2003-CX, DT. 29/05/2003

Drawing of Wire Rods Does Not Amount to Manufacture

Subject: Central Excise-Whether drawing of wire from wire rod amounts to manufacture under section 2 (f) of Central Excise Act, 1944.

I am directed to invite your kind attention to Circular No. 570/7/2001-CX. dated, 16.2.2001 wherein it was clarified that the drawing of wire from wire rods would amount to manufacture.

2. In this connection, the Hon. Supreme Court has dismissed the review petitions filed by Excise Department in the case of (i) M/s Vishwaman Industries (ii) Hind Enterprises and (iii) M/s Technoweld Industries holding that such process does not amount to manufacture.

3. In view of the above judgements, it has been decided to withdraw the instructions contained in Circular No. 570/7/2001-CX. dated 16.2.2001.

4. Field formations and trade may be informed accordingly.

5. Receipt of the circular may please be acknowledged.

6. Hindi version will follow.

Sd/-
(Lalit Kumar)
For Under Secretary to the Govt. of India

[F. No. 139/3/2001-CX-4]

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