CLA-2-04:S:N:N7:231 898213

9904.10.03

Mr. Roger Steinkamp
La Paysanne, Inc.
Rt 3 Box 10
Hinkley, MN 55037

RE: The tariff classification of whole sheep's milk from Canada.

Dear Mr. Steinkamp:

In your letter dated May 12, 1994 you requested a tariff classification ruling.

The product is described as whole sheep's milk with a butterfat content of 4.5 to 9 percent. It will be imported frozen, in 4 gallon lined buckets. The applicable subheading for the sheep's milk will be 0401.20, Harmonized Tariff Schedule of the United States (HTS), which provides for milk and cream, not concentrated nor containing added sugar or other sweetening matter:...of a fat content by weight, exceeding 1 percent but not exceeding 6 percent. For not over 11,356,234 liters entered in any calendar year, this sheep's milk is classifiable in subheading 0401.20.2000, HTS. The general rate of duty will be 0.5 cents per liter. When 11,356,236 liters of milk have been entered in any calendar year, sheep's milk is classifiable in subheading 0401.20.4000, HTS, as other milk entered outside the tariff rate quota. The general rate of duty will be 1.7 cents per liter.

Alternatively, the applicable subheading for sheep's milk with a fat content, by weight, exceeding 6 percent will be 0401.30, (HTS), which provides for milk and cream, not concentrated nor containing added sugar or other sweetening matter:...of a fat content, by weight, exceeding 6 percent: of a fat content, by weight, not exceeding 45 percent. The rates of duty set forth in subheading 0401.30.10 and 0403.90.10 apply to the first 5,678,118 liters of fluid milk and sweet or sour cream, of a fat content by weight exceeding 6 percent but not exceeding 45 percent, entered under both subheadings combined in any calendar year. For not over 5,678,118 liters entered in any calendar year, this sheep's milk is classifiable in subheading 0401.30.1000, HTS. The general rate of duty will be 3.2 cents per liter. When 5,678,118 liters of milk have been entered in any calendar year, sheep's milk is classifiable in subheading 0403.30.3000, HTS, as other milk entered outside the tariff rate quota. The general rate of duty will be 15 cents per liter.

Articles classifiable in HTS subheading 0401.30.1000, HTS are subject to the quota quantity restrictions listed in subchapter IV of Chapter 99 in HTS subheading 9904.10.03, which limit the amount of such milk which may be imported each year into the United States. Milk and cream, fluid or frozen, fresh or sour, containing over 6 percent but not over 45 percent by weight of butterfat may be imported into the United States only from New Zealand. This ruling is being issued under the provisions of Section 177 of the Customs Regulations (19 C.F.R. 177).

A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is imported. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.


Sincerely,

Jean F. Maguire
Area Director
New York Seaport