CLA-2-08:OT:RR:NC:N2:228
Mr. Paul G. Rath
Brighton International Products Corp
36 Tanglewood Drive West
Orchard Park, NY 14127
RE: The tariff classification and GSP eligibility of IQF strawberries from Egypt
Dear Mr. Rath:
In your letter dated September 8, 2022, you requested a binding ruling on the tariff classification and the eligibility for duty free treatment under the Generalized System of Preferences (GSP) trade program for individually quick frozen (IQF) strawberries from Egypt.
An ingredients breakdown, and a narrative description of the manufacturing process were submitted with your letter.
The product is described as IQF strawberries containing 100 percent strawberry with no sugar or additional ingredients or preservatives added. The strawberries are said to be grown, harvested, and processed (cleaning, sorting, and freezing) in Egypt. The IQF strawberries are packed in food-grade plastic bag liners within 10 kg. cardboard boxes and shipped in 40-foot ocean containers.
The applicable subheading for the product will be 0811.10.0070, Harmonized Tariff Schedule of the United States (HTSUS), which provides for fruit and nuts, uncooked or cooked by steaming or boiling in water, frozen, whether or not containing added sugar or other sweetening matter… strawberries… immediate containers each holding more than 1.2 liters… other. The general rate of duty will be 11.2 percent ad valorem.
In your letter, you inquired about the application of GSP. Under 19 U.S.C. 2463, as amended, a GSP eligible article may receive duty-free treatment if it is either wholly the growth, product, or manufacture of a designated beneficiary developing country (BDC) or a new or different article of commerce which has been grown, produced, or manufactured in the BDC. The articles must also be imported directly into the customs territory of the U.S. from the BDC in order to qualify for duty-free treatment under GSP.
Pursuant to General Note 4 (a), Egypt is considered a beneficiary developing country for the purposes of the GSP. However, General Note 4(d) states “articles provided for in a provision for which a rate of duty of "Free" appears in the "Special" sub column of rate of duty column 1 followed by the symbol "A*" in parentheses, if imported from a beneficiary developing country set out opposite the provisions enumerated below, are not eligible for the duty-free treatment provided in subdivision (c) of this note.”
In this case, the IQF strawberries from Egypt are classified in subheading 0811.10.00, where a rate of duty of "Free" appears in the "Special" sub column of rate of duty column 1 followed by the symbol "A*" in parentheses. Articles provided for in subheading 0811.10.00 from Egypt are not specifically enumerated in General Note 4 (d) as articles not eligible for preferential treatment. Accordingly, the IQF strawberries would be eligible for preferential treatment under the GSP upon compliance with all applicable regulations. The GSP is subject to modification and periodic suspension, which may affect the status of your transaction at the time of entry for consumption or withdrawal from warehouse. Please note legal authorization for the GSP program expired on December 31, 2020, and to date it has not been renewed by Congress. As in past GSP renewals, it is likely that if and when Congress reauthorizes GSP renewal, that it will be made retroactive, but we do not know that for sure yet. To obtain current information on GSP, check our Web site at www.cbp.gov and search for the term “GSP.”
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 the World Wide Web at https://hts.usitc.gov/current.
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 177 of the Customs Regulations (19 C.F.R. 177).
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 Timothy Petrulonis at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division