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`Monitor use of potassium chlorate in non-mechanised match units'

By Our Staff Reporter

MADURAI, APRIL 7. The Madurai Bench of the Madras High Court today directed the Union Finance Ministry to consider and dispose of a representation made to continue monitoring the consumption of potassium chlorate in non-mechanised match manufacturing units by the Central Excise Department.

According to a public interest litigation moved by the Tiruchi Match Manufacturers' Association, though the representation was made on February 8, the Ministry did not pass any orders till date.

The match units were classified into three categories: mechanised, semi-mechanised and non-mechanised.

While the mechanised sector was permitted to use power in any process without a ceiling on investment on machinery, the semi-mechanised sector was allowed to use power in seven processes, including box-making, dipping in chemicals and filling of dipped match sticks in boxes, with a ceiling on machinery investment up to Rs. 20 lakhs and the non-mechanised sector was not allowed to use power in any of the processes.

Till 2003 all the three sectors were paying excise duty and the Central Excise Department regularly monitored the usage and consumption of potassium chlorate, the prime raw material.

But subsequent to the 2003 budget, when non-mechanised sector was exempted from excise duty, the department restrained itself from monitoring the consumption pattern.

Now that these match industries were not required to maintain any raw material register as required earlier, there was a grave danger of these explosive substances being accessible to anti-social elements, the association alleged.

Though the industries had to obtain a no-objection certificate from the DRO before transporting the substance procured from other States and the revenue and police departments verified the stock position, the Central Excise Range offices would monitor better, the association said.

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