CLA-2-17:RR:NC:2:232 A89697

Mr. Byron Faretis

Redpath Sugars

5855 Garner Road

Niagara Falls, Ontario

Canada L2E 6S4

RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of an Artificially Flavored Drink Mix from Canada; Article 509

Dear Mr. Faretis:

In your letter dated November 18, 1996 you requested a ruling on the status of an Artificially Flavored Drink Mix from Canada under the NAFTA.

A sample was included with your request. The subject merchandise is stated to contain 95 percent sugar from Mexico, 3 percent citric acid and 2 percent premix from the United States. The premix contains artificial flavors, tricalcium phosphate, ascorbic acid and coloring. The ingredients are blended into a flavored drink mix in Canada, and then shipped to The United States in one metric ton tote bags. After importation, the product is repackaged into retail canisters for sale to the end consumer.

The applicable tariff provision for the artificially flavored drink mixes will be 1701.91.5800, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for cane or beet sugar and chemically pure sucrose, in solid form... containing added flavoring matter whether or not containing added coloring...articles containing over 10 percent by dry weight of sugar described in additional U.S. note 3 to chapter 17...other. The general rate of duty will be 37.9 cents per kilogram plus 5.7 percent ad valorem.

The artificially flavored drink mixes, being wholly obtained or produced entirely in the territory of Mexico, the United States, and Canada will meet the requirements of HTSUSA General Note 12(b)(i), and will therefore be entitled to a free rate of duty if entered under the terms of general note 12 of the Harmonized Tariff Schedule of the United States, and imported in quantities that fall within the quantitative limits for Mexico described in U.S. note 20 to subchapter 6 of chapter 99 HTS pursuant to subheading 9906.17.39. If the quantitative limits of U.S. note 20 to subchapter 6 of chapter 99 have been reached, and if the product is valued not over 31.5 cents per kilogram, it will be dutiable at the rate of 26.5 cents per kilogram in subheading 9906.17.40, HTS. If valued over 31.5 cents per kilogram, the rate of duty will be 84.2 percent ad valorem, pursuant to subheading 9906.17.41, HTS, upon compliance with all applicable laws, regulations, and agreements.

This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181).

This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party.

A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist John Maria at 212-466-5730.

Sincerely,

Roger J. Silvestri

Director,

National Commodity

Specialist Division