CLA-2-08:OT:RR:NC:N2:228
Mr. Luis Escobar
Takay Foods LLC
1402 Columbus Boulevard
Coral Gables, FL 33134
RE: The tariff classification, country of origin, and application of a trade program for smoothie fruit mixes from Ecuador
Dear Mr. Escobar:
In your letter, dated February 15, 2020, you requested a tariff classification ruling of ready to blend smoothies made of individually quick frozen (IQF) fruit, vegetables, herbs, seeds, nuts and spices from Ecuador.
Ingredients breakdowns, a manufacturing narrative description, a manufacturing workflow chart, samples, and copies of container labels accompanied your inquiry. The samples were examined and disposed of.
The “Cacao Pleasure” smoothie mix is said to contain approximately 50 percent banana slices, 17 percent strawberry dices, 12 percent avocado dices, 7 percent cocoa powder, 5 percent dates, 5 percent Andean lupin powder, 3 percent hazelnuts, and trace amounts of borojo, maca root powder, and sea salt. The “Green Vibe” smoothie mix is said to contain approximately 40 percent banana slices, 23 percent pineapple dices, 12 percent avocado dices, 9 percent zucchini, 5 percent gluten free oat, 5 percent Andean lupin, 3 percent moringa powder, and trace amounts of spearmint leaves, guayusa powder, and flax seeds. The “Mint Cacao Nib” smoothie mix is said to contain approximately 43 percent banana slices, 26 percent pineapple dices, 12 percent avocado dices, 4 percent babaco dices, 4 percent gluten free rolled oats, 4 percent Andean lupin, 3 percent moringa, 3 percent cacao nibs and a trace amount of mint leaf. The “Jungle Coffee” smoothie mix is said to contain approximately 44 percent banana slices, 17 percent cauliflower, 12 percent coconut slices, 3 percent almonds, 7 percent dragon fruit, 3 percent dates, 8 percent gluten free rolled oats, 4 percent Andean lupin and trace amounts of coffee, chia seeds and sea salt. The “Stay Golden” smoothie mix is said to contain approximately 39 percent mango slices, 20 percent lulo slices, 19 percent banana slices, 8 percent gluten free oats, 6 percent goldenberries, 4 percent Andean lupin powder, 4 percent avocado and trace amounts of quinoa powder and flax seeds.
In your letter, you suggested a tariff classification for the products under subheading 2008.99.91, Harmonized Tariff Schedule of the United States (HTSUS), which provides for fruit, nuts and other edible parts of plants, otherwise prepared or preserved . . . . The five smoothie fruit mixes are not prepared or preserved, therefore they will be classified elsewhere.
The applicable subheading for the five smoothie fruit mixes will be 0811.90.8095, 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 . . . other . . . other . . . other. The general duty rate will be 14.5 percent.
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.
Articles classifiable under subheading 0811.90.8095, HTSUS, from Ecuador are not entitled to duty free treatment under the Generalized System of Preferences (GSP). Further, we note that the country of origin marking on the labels are not readable. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the United States the English name of the country of origin of the article. As provided in section 134.41(b), Customs Regulations (19 CFR 134.41(b)), the country of origin marking is considered conspicuous if the ultimate purchaser in the U.S. is able to find the marking easily and read it without strain.
Pursuant to 19 CFR Section 134.1(b), the country of origin is the country of manufacture, production or growth of any article of foreign origin entering the U.S. Further work or material added to an article in another country must effect a substantial transformation in order to render such country the country of origin within the meaning of Part 134 of the regulations.
Fruits and all the other ingredients are harvested in Ecuador. The exceptions in the mixtures are the almonds, hazelnuts, dates, oats and macadamias are harvested in the U.S. and Chile and then imported to Ecuador through an importer.
A substantial transformation occurs when a new and different article of commerce emerges from a process with a new name, character or use different from that possessed by the article prior to processing. See United States v. Gibson-Thomsen Co., 27 C.C.P.A. 267 (C.A.D. 98) (1940).
In the present case, the mixing, freezing and packing in Ecuador does not effect a substantial transformation. Accordingly, we find that the goods currently under discussion retain their initial country-of-origin status as products of Ecuador, U.S., or Chile for CBP marking purposes.
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 Bruce N. Hadley, Jr. at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division