CLA-2-21:OT:RR:NC:N2:228
Ms. Tanis Johnson
Newly Weds Foods Co.
450 Superior Blvd.
Mississauga, Ontario L5T 2R9 Canada
RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a food ingredient from Canada; Article 509
Dear Ms. Johnson:
In your letters dated April 10, 2008 and April 17, 2008 you requested a ruling on the status of a human food ingredient from Canada under the NAFTA.
A sample, submitted with your second letter, was forwarded to the U.S. Customs and Border Protection laboratory for analysis. The product, “fruit flavored powdered dessert raspberry,” is a red-colored powder said to be composed of approximately 64 percent sugar, 12 percent citric acid, 10 percent raspberry flavor, 9 percent sodium citrate, 4 percent salt, and less than one percent color. Laboratory analysis of the sample found the product contained 60.5 percent sucrose, by dry weight. The powder will be imported in bags containing approximately 8 kilograms, net weight.
The sugar and salt will be products of Canada, the flavor, color, and sodium citrate will be goods of the United States, and the citric acid will be a product of China. In Canada, the ingredients will be blended in the prescribed formula, and packed for export to the United States.
The applicable subheading for this product, if imported in quantities that fall within the limits described in additional U.S. note 8 to chapter 17, will be 2106.90.9500 Harmonized Tariff Schedules of the United States (HTS), which provides for food preparations not elsewhere specified or included…other…other… articles containing over 10 percent by dry weight of sugar described in additional U.S. note 3 to chapter 17… described in additional U.S. note 8 to chapter 17 and entered pursuant to its provisions. The rate of duty will be 10 percent ad valorem. If the quantitative limits of additional U.S. note 8 to chapter 17 have been reached, the product will be classified in subheading 2106.90.9700, HTS, and dutiable at the rate of 28.8 cents per kilogram plus 8.5 percent ad valorem.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that
For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if--
(i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or
(ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that--
(A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein, …
Based on the facts provided, the good, when classified in subheading 2106.90.9500, qualifies for NAFTA preferential treatment, because it will meet the requirements of HTSUS General Note 12(b)(ii)(A) and 12(t)/21.14. The good will therefore be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.
This merchandise is subject to The Public Health Security and Bioterrorism Preparedness and Response Act of 2002 (The Bioterrorism Act), which is regulated by the Food and Drug Administration (FDA). Information on the Bioterrorism Act can be obtained by calling FDA at 301-575-0156, or at the Web site www.fda.gov/oc/bioterrorism/bioact.html.
This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181).
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 Stanley Hopard at 646-733-3029.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division