CLA-2-11:OT:RR:NC:N2:237
Ms. Karine Gagiryan
Senior Compliance Analyst
Herbalife International of America, Inc.
990 East 190th Street
Torrance, CA 90502
RE: The tariff classification of chicory powder inulin from Korea.
Dear Ms. Gagiryan:
In your letter dated May 19, 2010, you requested a tariff classification ruling for chicory powder inulin. You submitted a sample, an invoice, product analysis sheet and two manufacturing flow charts for the imported chicory powder inulin and how it is further processed into a chitosan dietary supplement after importation. Your sample is being returned.
Chicory powder inulin (chicory fiber) is a fine, white granulated power. Inulin is a polysaccharide that belongs to a group of naturally occurring carbohydrates containing non-digestible fructooligosaccharides (FOS). Inulin is found naturally in more than 36,000 types of plants, including Jerusalem artichokes, dahlia roots, chicory, asparagus, bananas etc. According to information you provided, the inulin extraction is extracted from the chicory root by a process similar to the extraction of sucrose from sugar beet (diffusion in hot water). You state that the extraction process does not essentially alter the molecular structure or composition of the inulin.
As per the flow chart provided, the raw article will be washed, sliced, diffused in hot water, undergo inulin extraction, filtration, purification, removal of short chains, re-purification, spray drying, re-purification, sterile filtration, additional spray drying, partial enzymatic hydrolysis, re-purification, a final spray drying and blending. Inulin is indigestible by human enzymes ptyalin and amylase that are designed to digest starch; as a result inulin passes through the digestive system intact. The item is a highly effective prebiotic, stimulating the growth of beneficial probiotic bacteria in the gut. Inulin is a dietary fibre and believed to activate beneficial good bacteria in the digestive tract. It is used in low fat products because of its ability to give a creamy smooth texture to products; however, Herbalife International America, Inc., will use Chicory powder inulin specifically in the production of the dietary supplement, Chitosan Plus.
In your letter you suggest possible classification in heading 1702, HTSUS, which provides for other sugars including fructose; heading 1108, HTSUS, which provides for starches and includes inulin; or heading 1212, HTSUS, which provides for other vegetable products including chicory roots.
The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the HTSUS. While not legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of these headings at the international level. See T.D. 89-80, 54 Fed. Reg. 35127 (Aug. 23, 1989). The EN to Chapter 1108 is applicable to your products and provides: the heading also includes inulin; it is extracted from Jerusalem artichokes, dahlia roots and chicory roots. When hydrolised by long boiling in water, it forms fructose (laevulose). Based on your flow chart the chickory roots (1212) are converted into inulin (1108) but not hydrolised to form fructose (1702). The hydrolysis of inulin involves a chemical reaction of inulin with water in the presence of a suitable enzymes or acid catalysts that changes the molecular structure of inulin to form fructose. Based on your flow chart, the extraction process does not change the molecular structure or composition of the inulin.
Therefore, the applicable subheading for the chicory powder inulin will be 1108.20.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for starch: inulin. The rate of duty will be 2.8% ad valorem.
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.
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 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 Cantone at (646) 733-3038.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division