No it does not fall under blocked credit in section 17(5). You can take the credit of the same but there may be an issue regarding allowability of the same if you are dealing in exempted goods only or where you have negligible taxable sale and major sale of exempted sale.
ITC for AC purchased for business purpose is available, however if you deal in exempted goods then same is available proportionately as per Rule 42/43.
Stop repeating your replies, increase your knowledge to reply in one shot @ eshwar Reddy . I think it's easy for Some literate person to understand what is meaning of replying once or single reply or non repeatedly reply. Even after saying on about more than 50 post you are replying again and again like a fool.