CLA-2-20:OT:RR:NC:N2:231

Mr. Gustavo A. Llano Dominguez
Manitoba Ltda.
Cra 8 No. 34-56
Cali
Valle del Cauca 579986
Colombia

RE: The tariff classification and status under the United States-Colombia Trade Promotion Agreement of prepared pistachio nuts from Colombia.

Dear Mr. Llano Dominguez:

In your letter dated May 14, 2014 you requested a ruling on the status of prepared pistachio nuts from Colombia under the U.S.-Colombia TPA.

You have outlined a scenario in which your company will import U.S.-origin pistachios into Colombia, where they will be processed and combined with Colombian-origin salt to produce dry-roasted (toasted), salted pistachios put up in retail packages. The finished goods will then be imported into the United States.

As you noted in your letter, this office previously issued New York Ruling N238150, dated February 20, 2013, in which we provided a merchandise description, tariff classification and general rate of duty applicable to the finished pistachios when imported into the U.S. The following two paragraphs are excerpted from that ruling: The goods in question are “toasted, salted pistachios” put up for retail sale in sealed, 35-gram metallized-plastic pouches. The ingredients are dry-roasted pistachios and salt. The pistachios are in the form of whole, in-shell nuts, but the shells are partially split open.

The applicable subheading for the “toasted, salted pistachios” will be 2008.19.3020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for fruit, nuts and other edible parts of plants, otherwise prepared or preserved, whether or not containing added sugar or other sweetening matter or spirit, not elsewhere specified or included: nuts, peanuts (ground-nuts) and other seeds, whether or not mixed together: other, including mixtures: pistachios. The general rate of duty will be 1 cent per kilogram.

General Note 34(b), HTSUS, sets forth the criteria for determining whether a good is originating under the U.S.-Colombia TPA, as follows: For the purposes of this note, subject to the provisions of subdivisions (c), (d), (n) and (o) thereof, a good imported into the customs territory of the United States is eligible for treatment as an originating good of Colombia or of the United States under the terms of this note if–

(i) the good is wholly obtained or produced entirely in the territory of Colombia or of the United States, or both;

(ii) the good is produced entirely in the territory of Colombia or of the United States, or both, and--

(A) each of the nonoriginating materials used in the production of the good undergoes an applicable change in tariff classification specified in subdivision (o) of this note; or

(B) the good otherwise satisfies any applicable regional value-content or other requirements set forth in such subdivision (o); and

satisfies all other applicable requirements of this note and of applicable regulations; or

(iii) the good is produced entirely in the territory of Colombia or of the United States, or both, exclusively from materials described in subdivisions (i) or (ii), above.

For the purposes of subdivision (b)(ii)A), the term “used” means utilized or consumed in the production of the goods.

Based on the facts provided, the finished prepared pistachios qualify for preferential treatment under the U.S.-Colombia TPA because they will meet the requirements of HTSUS General Note 34(b)(i). Therefore, they will be entitled to a preferential free rate of duty under the U.S.-Colombia TPA upon compliance with all applicable laws, regulations and agreements.

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 Nathan Rosenstein at the email address [email protected].

Sincerely,

Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division