COLLECTOR OF CENTRAL EXCISE, MADRAS ETC. versus M/S. I.T.C. LTD., BIHAR ETC.

Citation: [2003] 1 S.C.R. 934 · Decided: 06-02-2003 · Supreme Court of India · Bench: M.B. SHAH · Disposal: Appeal(s) allowed

Judgment (excerpt)

A 
B 
c 
COLLECTOR OF CENTRAL EXCISE, MADRAS ETC. 
v. 
MIS. 1.T.C. LTD., BIHAR ETC. 
FEBRUARY 6, 2003 
[M.B. SHAH AND ARUN KUMAR, JJ.] 
Central Excise Tariff Act, 1985; Item No.17/Central Excise and Salt 
Act, 1944; Rule 8(1): 
Exemption Notification-Cigarette packet-Levy of excise duty-
Exemption from-Held, A cigarette packet containing shell and the slides 
covering all sides could appropriately be classified as box and not container-
Container is also analogous to box, however, it is generally used for 
transportation and storage of articles-Exemption Notification not attracted-
D Hence, excise duty was rightly levied on printed cigarette packets by the 
Revenue-Central Excise Rules; Rules 71, 72, 74 and 93-Exemption 
Notification No.66182. 
Words & Phrases: 
E 
'Container' and 'Box '-Meaning of and distinction between in the context 
, of Central Excise Tariff Act. 
The question which arose in these appeals was whether cigarette 
packets would be other packing container or boxes within the meaning of 
Tariff Item No.17 of Central Excise Tariff Act. The Central Government 
F issued the Exemption Notification under the provision of the Central 
Excise Rules, exempting articles of paper or paper board falling under 
the description of Boxes, cartons, bags and other packaging containers, 
from levying of excise duty provided no such exemption was applicable 
to printed boxes or printed cartons. 
G 
It was contended for the Revenue that since cigarette packets were 
printed boxes, exemption notification was inapplicable. 
On behalf of assessee, it was submitted that cigarette packets 
conform the description of packaging container; thus exemption 
H notification applicable. 
934 
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C.C.E. v. l.T.C. LTD. 
935 
Answering the question in favour of Revenue, the Court 
HELD: I. I. 'other packing container' is a residuary term in the 
context of 'box, carton or bag'. If the container is a box, carton or a bag 
then it would not be other packing container. The word 'container' is used 
A 
in a broad sense. Because in one sense, boxes, ~artons or bags are also 
containers. The phrase 'other packing containers' is to be understood in B 
the context of previous words and on the basis of well accepted canons of 
statutory construction that when two or more words which are susceptible 
of analogous meaning are coupled together they are understood to be used 
in their cognate sense and the more general is restricted to a sense 
analogous to a less general. Normally, 'container' would mean a receptacle C 
or a flexible covering for shipment of goods. As such 'packing containers' 
are analogous to boxes and5artons, that is, an enclosed receptacle which 
can be used for storage ifnd transportation of articles. That means, 
'container' would contain smaller boxes inside and thereafter goods will 
be transported and would normally be reusable. Cigarette packets are not 
used for transporting and there is no question of reusing the same. In this D 
context, cigarette packet would be a small box. This interpretation would 
be in conformity with the Central Excise Rules (Rules 71, 72, 74 and 93). 
[938-F, G; 941-G, H; 942-A-BI 
G. Claridge & Company ltd. v. Collector of Central Excise, [1991 (52) E 
ELT 341[, referred to. 
Collins Dictionary of the English language and New Shorter Oxford 
English Dictionary, referred to. 
1.2. Rule 93(d)(2) of Central Excise Rules specifically provides that F 
each packet containing cigarettes consists of wooden, tin or cardboard box 
opening only at the top or of a paper wrapper top completely closed on 
all sides. So cigarette packet would be a part of the box which may be 
wooden, tin or cardboard box or of a paper wrapper. A cigarette packet 
may contain 5, 10, 25, 50 or more cigarettes. That cigarette packet would 
be packed into a wooden, tin or cardboard box opening only at the top. G 
In the instant case, it is to be understood that in context, cigarette packet 
~ cannot be termed as 'container' but it can be considered as small packet 
or a box containing cigarettes. [944-A, F; 945-G, HI 
1..3 Trade meaning as well as dictionary meaning is also required 
to be considered to reconcile and harmonise the tariff entry. In the instant H 
936 
SUPREME COURT REPORTS 
(2003] I S.C.R. 
A case, meaning of the word 'box' for the purpose of interpreting the tariff 
item would be - a case or receptacle usually rectangular or cylindrical and • 
+ 
with a lid of wooden, metal, card etc. Hence, the descript

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