Important Definitions

Important Definitions:

(i) Narcotic: It means coca leaf and its derivatives or opium and its derivative or Indian hemp and any other substance capable of causing or producing in human being dependence, tolerance and withdrawal syndromes.

(ii) Toilet Preparation: It means any preparation used in the toilet of the human body or in perfuming apparel of any description. It also covers substances used to cleanse, improve or alter the complexion, teeth, skin or hair and includes perfumes and deodorants.

(iii) Absolute Alcohol: It is alcohol conforming to the British Pharmacopoeial specification for dehydrated alcohol.

(iv) Bonded Manufactory or Laboratory: It is the premises approved and licensed for the manufacturing and storage of medicinal and toilet preparations containing alcohol, opium, Indian hemp and other narcotic drugs on which duty has not been paid.

Non-bonded Manufactory or Laboratory

It is the premises approved and licensed for manufacture and storage of preparations containing alcohol, opium and Indian hemp and other narcotic drugs on which duty has been paid.

Denatured Spirit or Denatured Alcohol

Means alcohol of any strength which has been rendered unfit for human consumption by addition of substances, approved by Central Government or by State Government with the approval of Central Government.

Excise Commissioner

He /She is the Head ofthe Excise Commission of a State and includes a Prohibition Commissioner or an officer designated in any State for the purpose.

Finished Store

It is portion of non-bonded or bonded laboratory which is set apart for the storage of finished preparations.

Spirit Store

Means that portion of bonded or non-bonded laboratory which is set apart for storage of alcohol, opium, Indian hemp and other narcotics or narcotic drugs purchased free of duty or at prescribed rates of duty specified in the Schedule to the Act.

[The definitions of coca derivatives, coca leaf, opium and opium derivatives and cannabis (Indian Hemp) are as given under the Narcotic Drugs and Psychotropic Substances Act, 1985 under Section 6 of the Act.]

The Central Government may, by notification in the Official Gazette, provide that from such date as may be specified, no person shall engage in the production or manufacture of any dutiable goods or their ingredients or specified container or labels for such goods except, under the authority and in accordance with the terms and conditions of a licence granted under this Act. Every licence ~hall be granted for specific area and period subject to prescribed conditions and restrictions.

No licence for alcoholic medicinals is given unless there is a licence issued under Drugs and Cosmetics Act (DCA). A licensee/under DCA can only approach to the Excise Commissioner for issue of alcohol, if

the formulations containing alcohol are being manufactured. The licence on payment of specified fee can be obtained subject to fulfillment of conditions for manufacture in bond and outside bond of medicinal and toilet preparation, ayurvedic, homoepathic and unani medicines, as well as, for bonded warehouse.

This Act covers manufacturing in bond, manufacturing outside bond, manufacturing of homoepathic, unani and ayurvedic preparations containing alcohol, issue of preparations from bonded laboratory, and their interstate movements and responsibilities of the officers.

The Section 3 of the Act stipulates the duties of excise to be paid and collected at the rates spe<;:ified in the Schedule on all dutiable goods manufactured in India both of bond and non-bond categories.