CLA-2-09:OT:RR:NC:232
Ms. Reffin L. Chan
Atlantic USA, Inc.
17 State Street - 23rd Floor
New York, NY 10004
RE: The tariff classification and country of origin of decaffeinated coffee from Nicaragua
Dear Ms. Chan:
In your letter dated March 03, 2011, you requested a classification ruling. The subject merchandise is described as green coffee beans in burlap bags imported from Nicaragua to be decaffeinated in Mexico. The decaffeinated coffee will then be imported into the United States for consumption.
The applicable subheading for the decaffeinated coffee will be 0901.12.0025, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Coffee, whether or not roasted or decaffeinated;…Coffee, not roasted: Decaffeinated…Other. The rate of duty will be free.
In your ruling, you requested a determination of originating goods pursuant to DR-CAFTA and NAFTA. With regard to CAFTA eligibility, it should be noted that once a good undergoes further processing in another country it shall not be considered an originating good and does not qualify for CAFTA as required by General Note 29(c) (iii) (A). The coffee beans do not qualify for preferential treatment under the NAFTA because the non-originating materials will not undergo the change in tariff classification required by General Note 12(t)/09.1, (HTSUS).
Section 134.1(b), Customs Regulations (19 CFR 134.1(b)), defines "country of origin" as: The country of manufacture, production, or growth of any article of foreign origin entering the United States. Further work or material added to an article in another country must effect a substantial transformation in order to render such other country the "country of origin" within the meaning of this part; however for a good of a NAFTA country, the NAFTA Marking Rules will determine the country of origin. Accordingly, the country of origin of an article is the country in which it was wholly grown, or, if processed in several countries, the country in which the last substantial transformation occurred. Based upon the information supplied, the country of origin for the decaffeinated coffee is Nicaragua.
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/.
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 Frank Troise at 646-733-3031.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division