K.L. Rekhi, Member (T)

1. A common issue is involved in these 8 appeals and they were heard by us together. This common order will dispose of all of them.

2. The short point in dispute is whether the cost of gunny bags should be included while determining the value of cement packed therein for the purpose of assessment of Central Excise Duty.

3. Before we start the discussion, it would be helpful to state the background of the problem. In regard to determination of value for purposes of assessment of Central Excise Duty, Section 4(4)(d)(1) of the Central Excises and Salt Act, 1944 lays down as under :

"(d) "value", in relation to any excisable goods - (i) where the goods are delivered at the time of removal in a packed condition, includes the cost of such packing except the cost of the packing which is of a durable nature and is returnable by the buyer to the assessee"

There is no dispute between the appellants and the department that gunny bag was a durable packing since it was capable of being re-used. The dispute is on the point whether it was returnable by the buyer to the appellants.

4. The period to which the controversy before us relates is from 1-10-1975 to 8-1-1976. During