Summarize the following court judgment. ivil Appeal No. 3474 of 1988. From the Judgment and Order dated 10.5.1988 of the Customs Excise and Gold (Control) Appellate Tribunal	 New Delhi in Appeal No. E/62/85 C. Harish N. Salve	 Mrs. M. Sud	 Ms. Aruna Jain and Praveen Kumar for the Appellant. B. Dutta	 Additional Solicitor General	 T.V.S.N. Chari and P. Parmeshwaran for the Respondent. 894 The Judgment of the Court was delivered by OJHA	 J. This appeal under section 35L of the (hereinafter referred to as the Act) has been preferred against the order dated June 28	 1988 of the Customs Excise and Gold (Control) Appellate Tribunal	 New Delhi. The appellant carries on the business of manufacture and sale of paper. On the plea that in the manufacture of paper the appellant uses paper cores	 exemp tion from payment of excise on such paper cores was claimed by it on the basis of a Notification No. 201/79 dated June 4	 1979 as amended by Notification No. 105/82 dated February 28	 1982 (hereinafter referred to as the Notification) The Assistant Collector	 Central Excise rejected the claim of the appellant but its claim on appeal as regards exemption from duty on paper cores was allowed by the Appellate Col lector. Aggrieved by that order the Collector of Central Excise	 Meerut	 preferred the appeal in which the order which is the subjectmatter of the present appeal	 was passed. The Notification on the basis of which exemption was claimed by the appellant inter alia provides: "the Central Government hereby exempts all excisable goods (hereinafter referred as "the said goods")	 on which the duty of excise is leviable and in the manufacture of which any goods fall ing under Item No. 68 of the First Schedule to the (1 of 1944) have been used	 as raw materials or component parts (hereinafter referred as "the inputs")	 from so much of the duty of excise leviable thereon as is equivalent to the duty of excise already paid on the inputs." As is apparent even from the order of the Tribunal the details of the use of paper cores in the manufacture of paper as set out by the appellant on the basis whereof the exemption was claimed by it read as hereunder: "Paper cores: Paper cores are used in paper mill on re winding and cutting machines. The full width of paper manufactured on paper machine is cut in different sizes of reel and sheets according to customer 's requirement. To cut the parent roll of paper manufactured on paper machine which is wound on steel shell into small reels suitable for cutter machine	 the paper is re wound on 'paper cores ' fitted on a shaft on re winding machine. The reels thus re winded on paper cores can be easily cut into sheets on cutter machine into re quired size or sent to customers as 895 reels as such	 there is no other use of paper cores except their use in re winding and cutting machine in paper mills". On the basis of the details aforesaid the case of the appel lant was that the paper cores constituted "component parts" within the meaning of the Notification entitling it to the exemption granted by the said Notification. The case of the respondent on the other hand was that paper cores were really used by the appellant as packing material after the paper had already been manufactured for taking it to the market and did not constitute component parts of paper. Before dealing with respective submissions made by learned counsel for the parties it may be pointed out that it is not in dispute that the excise duty was payable at the relevant time separately both on paper and paper core under different tariff items of the First Schedule to the Act and it has also not been disputed by the respondent that if paper core fell under the term "component parts"	 the appellant would be entitled to the exemption as claimed by it and contem plated by the Notification. The short question which	 there fore	 arises for consideration in the instant appeal is whether paper core is used in the manufacture of paper as component part. Even though the term "component parts" has not been defined either by the Act or by the Notification the term "manufacture" has been defined in section 2(f) of the Act. This definition inter alia contemplates that "manufacture" includes any process	 incidental or ancillary to the completion of a manufactured product. Section 3 of the Act which is the charging section contemplates levy and collection of duty of excise on all "excisable goods". The First Schedule to the Act specifies the excisable goods under various tariff items. In the absence of any definition of the term "component parts" it is permissible to refer to the dictionary meaning of the word "component". According to the Webster Comprehensive Dictionary	 International Edition the word "component" inter alia means a constitutent part. The term "manufacture"	 as already indicated above	 accord ing to its definition in the Act includes any process inci dental or ancillary to the completion of manufactured product. In this context what has to be considered is wheth er in the manufacture of paper	 paper core is used as a constituent part and is necessary to be used in "any process incidental or ancillary to the completion of a manufactured product" namely paper in the instant case. In M/s J.K. Cotton Spinning & Weaving Mills Co. Ltd. vs Sales Tax Officer	 Kanpur and Another	 [1965] 1 S.C.R. Page 900 while dealing with the expression "in the manufacture of goods" used in section 8(3)(b) of the Central Sales Tax Act	 1965 and Rule 13 framed 896 under the Act it was held that the said expression "would normally encompass the entire process carried on by the dealer of converting raw materials into finished goods. Where any particular process is so integrally connected with the ultimate production of goods that but for that process	 manufacture or processing of goods would be commercially inexpedient	 goods required in that process would	 in our judgment	 fall Within the expression. " It was further held: "In our judgment if a process or activity is so integrally related to the ultimate manufacture of goods so that without that process or activity manufacture may	 even if theoreti cally possible	 be commercially inexpedient	 goods intended for use in the process or activity as specified in Rule 13 will qualify for special treatment." (Emphasis supplied) In Bhor Industries Ltd.	 Bombay vs Collector of Central Excise	 Bombay	 [1989] 1 S.C.C. Page 602 while dealing with excise duty it was held: "Therefore	 the first principle that emerges is that excise was a duty on goods as speci fied in the schedule. In order to be goods an article must be something which can ordinarily come to the market and is brought for sale and must be known to the market as such. There fore	 the marketability in the sense that the goods are known in the market or are capable of being sold and purchased in the market is essential. " It is in this background that the use of paper core in the process of manufacture of paper has to be considered. If it is found that the use of paper core is necessary in "any process incidental or ancillary to the completion of" paper as marketable goods and it would consequently be commercial ly inexpedient to sell paper without the use of paper core	 it would certainly be a constituent part of paper and would thus fall within the purview of the term "component parts" used in the Notification. This takes us to the process of manufacture of paper. The process of paper manufacture is to be found at pages 230 to 235 of Part 17 of Encyclopaedia Britannica. The process of paper manufacture by paper making machine is contained at pages 232 onwards. After referring to the various stages of manufacture of paper it is stated: "After the drying comes the calendering and there are usually two or more sets or stacks of calendering rolls	 according to the grade of surface required. These calenders consist of vertical stacks of chilled iron rolls	 generally five 897 in a stack	 which revolve on one another and some of which are bored for heating by steam; pressure is applied to them at will	 by ad justing levers at the top of each stack. Finally the paper passes to cooling rolls	 where the paper can be cooled by water spray if necessary and is then wound on to a reel. " Thereafter at page 234 it is stated: "Paper	 though made in the roll on the ma chine	 is usually sold in the form of sheets. A number of reels of paper	 on their spindles	 mounted in a stack	 are fed	 as a pile of webs	 between two rollers: a series of revolv ing knives slits them longitudinally as they emerge from between the rollers	 in effect into strips which are cut again transversely by the scissors action of a movable upper knife	 working periodically against a lower fixed knife. The cut sheets fall on 'to an endless felt for stacking. " At the bottom of the same page it is stated: "Paper is sold in sheets of different sizes and is made up into reams containing from 480 to 5 16 sheets in Great Britain	 500 in the United States; these sizes correspond to different trade names	 as foolscap	 demy	 royal	 etc. " It is thus apparent that paper is made (1) in the form of rolls and (2) in the form of sheets and the paper which is sold in the form of sheets is cut in desired sizes by taking recourse to the process referred to above. Chapter XIII of the Story of Papermaking by Edwin Suter meister 1954 Edition contains the process known as calender ing and finishing. At pages 183 and 184 it is stated: "The paper from the machine	 no matter what its finish	 goes next to the reels which form large rolls the full width of the machine. The reels are so arranged that when one cylinder is full another can take its place while the paper machine is running continuously. The full cylinder is then rewound at higher speed so that it may again be ready when needed by the paper machine. On rewinding the paper is trimmed on the edges and if desired is slit into any number 898 of narrower rolls . The cores on which the paper is wound will depend to some extent on what happens to the paper next. If it is delivered to the customer in rolls as it comes from the rewinder the cores are apt to be of heavy board stock	 wound and pasted on a mandrel: if the rolls of paper pass to another part of the same plant for further treatment the cores are likely to be of iron pipe	 which can be used over and over. " With regard to the use of roll paper it is stated at page 185: "Roll paper is very widely used in many lines of work. Newspapers are printed	 cut and folded direct from rolls	 each of which may weigh 1400 pounds or more; much craft paper is sold to be used directly from the roll in wrapping goods	 while tremendous quantities are used to feed the machines making paper bags. Paper for the conventional coating operations is delivered to the coating plant in roll form; and considerable quantities of white paper are printed continuously from rolls. These are only a few of the more obvi ous uses of roll paper. All roll paper must reach the consumer in perfect condition if it is to be of the great est use. It must be carefully wrapped and the ends of the rolls protected by stout heads to keep edges of the paper from being injured. " As regards paper which is to be used in sheet form it is stated at pages 190 and 191: "Paper which is to be used in sheet form may be so prepared by passing directly from the reel stand of the paper machine to a cutter	 layboy and sheet counter in line with the machine and attended by the paper machine crew. This system is used for coarse papers which do not need sorting	 and it is common on machines which run off pulp for chemical or papermaking use. As a more common alternative the rolls go to independent cutters from the rewinders or the supercalenders	 according to the finish the final paper is to have. The rolls are placed on reel stands which are constructed to hold up to twelve or more. Any one of these may be cut singly	 or all may be cut together as desired. From the reels the paper passes through a cutter 899 which has a knife on a revolving drum acting in a shearing manner against a fixed bed knife. Each time the drum revolves the knife cuts a sheet from the web of paper being fed continuously at constant speed	 and the length of the sheet cut is regulated by altering the speed at which the revolving knife tums. Cutters are also designed to split the paper into the right width of roll	 and to trim the edges	 if this has not already been done at the rewinder. The paper leaves the cutter on trav eling tapes and goes to a layboy which auto matically jogs the sheets into uniform piles. These layboys take the place of operatives who formerly did the same work	 and enable higher cutter speeds to be employed. " In the Dictionary of Paper (Fourth Edi tion	 published under the Auspices and Direc tion of the American Paper Institute	 Inc.) the purpose of rewinding is stated thus at page 346: "Rewinding: The operation of winding the paper accumulated on the reel of a paper machine onto a core to a tightly wound roll suitable for shipping or for use in the finishing or converting department. During rewinding	 defective paper in the reel is usually removed and breaks in the sheet are spliced and marked. " In Pulp & Paper Science & Technology (Vol. 2	 edited by C. Earl Libby) it is stated at page 271. "The prime purpose of the paper machine re winder is to split the sheet into the required widths	 to provide rolls of paper having the correct diameter	 and to produce firm	 tightly wound rolls of paper that can be unwound into highspeed printing presses with few tension problems. " What becomes obvious from the processes referred to above	 therefore	 is that even though rewinding has to be done both for manufacturing roll paper as well as sheet paper	 use of paper core in rewinding is necessary only with regard to manufacture of roll paper	 inasmuch as it is the paper as rolled on paper core which is delivered to the customer in the form of rolls and unless in the process of rewinding paper core is used	 paper cannot come cut of the machine in rolls so as to be sold as a marketable commodity known as roll paper. The use of 900 paper core	 however	 is not 'necessary for the manufacture of paper sheets. As stated at page 184 of the Story of Papermaking (supra)	 the core on which the paper is wound will depend to some extent on what happens to the paper next. If it is delivered to the customer in rolls as it comes from the rewinder the core is apt to be of heavy board stock wound and pasted at mandrel. If	 however	 the rolls of paper are not be delivered to the customer in the form of rolls as such and the rolls of paper are to pass to another part of the same plant for further treatment the core is likely to be of iron pipe which can be used over and over. Consequently core of iron pipe is more likely to be used in the normal course for further treatment in the plant which will include the process of cutting the paper into sheets. Inasmuch as core of iron pipe can be used over and over	 it cannot be said that the use of paper core is necessary for the rewinding of paper meant to be cut into sheets. It may be that for the sake of convenience paper core may be used by some manufacturer even for rewinding of such paper as is meant to be cut in sheets but in that case it would at best provide more convenience to such manufacturer but for that reason paper core will not become a constitutent part of paper manufactured in sheets. In view of the foregoing discussion	 we are of the opinion that use of paper core is necessary for rewinding of paper if it is delivered to the customer in rolls and would come within the purview of the expression "any process incidental or ancillary to the completion of a manufactured product" used in the definition of the term "manufacture" in section 2(f) of the Act and for the same reason paper core would also be constituent part of paper and would thus fall within the term "component parts" used in the Notification in so far as manufacture of paper in rolls is concerned. Paper core	 however	 cannot be said to be used in the manu facture of paper in sheets as component part. We are con scious that the relevant tariff item uses the word "paper" but since paper in rolls and paper in sheets are nothing but different forms of paper	 both of them would be excisable goods as paper under the relevant tariff item. In the result	 this appeal succeeds and is allowed to this extent that it is held that in the manufacture of paper rolls delivered to the customers for use as roll paper	 paper core is used as component part. The orders of the authorities below are modified to this extent. In the cir cumstances of the case	 however	 the parties shall bear their own costs. R.S.S. Appeal allowed.

The appellant company carried on the business of manu facture and sale of paper. It claimed exemption from payment of excise on paper core which	 accordingly to the appellant	 was used in the manufacture of paper. The case of the appel lant was that the paper cores used in the manufacture of paper constituted "component parts" within the meaning of Notification No. 201/79 dated June 4	 1979 as amended. The case of the respondent on the other hand was that the paper cores were really used by the appellant as packing material after the paper had already been manufactured for taking it to the market and did not constitute "component parts" of paper. The Assistant Collector	 Central Excise	 rejected the claim of the appellant but its claim on appeal as regards exemption from duty on paper cores was allowed by the Appel late Collector. The Customs	 Excise and Gold (Control) Appellate Tribunal however allowed the appeal of the Reve nue. Partly allowing the appeal	 this Court	 HELD: 1. Even though the term "component parts" has not been defined either by the Act or by the Notification	 the term "manufacture" has been defined in section 2(f) of the . This definition contem plates that "manufacture" includes any process	 incidental or ancillary to the completion of a manufactured product. [895D] 2. In the absence of any definition of the term "compo nent partS" it is permissible to refer to the dictionary meaning of the word "component". Accordingly to the diction ary meaning	 the word "component" inter alia means a con stituent part. [895F] 3. If the use of paper core is necessary in "any process incidental 893 or ancillary to the completion of" paper as marketable goods and it would consequently be commercially inexpedient to sell paper without the use of paper core	 it would certainly be a constituent part of paper and would thus fall within the purview of the term "component parts" used in the Noti fication. [896F] M/s J.K. Cotton Spinning & Weaving Mills vs Sales Tax Officer	 Nagpur and another	 [1965] 1 S.C.R. Page 900 and Bhor Industries Ltd. Bombay vs Collector of Central Excise	 Bombay	 ; 	 referred to. Paper is made (1) in the form of rolls and (2) in the form of sheets and the paper which is sold in the form of sheets is cut in desired sizes. Even though rewinding has to be done both for manufacturing roll paper as well as sheet paper	 use of paper core in rewinding is necessary only with regard to manufacture of roll paper	 inasmuch as it is the paper as rolled on paper core which is delivered to the customer in the form of rolls and unless in the process of rewinding paper core is used	 paper cannot come out of the machine in rolls so as to be sold as a marketable commodity known as roll paper. The use of paper core	 however	 is not necessary for the manufacture of paper sheets. [897E	 899G 900A] 5. Use of paper core would come within the purview of the expression "any process incidental or ancillary to the completion of manufactured products" used in the definition of the term "manufacture" in section 2(f) of the Act and for the same reason paper core would also be constituent part of paper and would thus fail within the term "component parts" used in the Notification in so far as manufacture of paper in rolls is concerned. Paper core	 however	 cannot be said to be used in the manufacture of paper in sheets as compo nent parts. [900E F]