CLA-2-04:RR:NC:2:231 G86672
Mr. Steven Homokay
PBB Global Logistics
Division of PBB USA, Inc.
434 Delaware Avenue
Buffalo, NY 14202-1515
RE: The tariff classification of a dairy product from Canada.
Dear Mr. Homokay:
In your letter, dated January 26, 2001, you have requested a tariff classification ruling on behalf of your client, Dairytown Products Ltd, Sussex, New Brunswick.
The merchandise is said to be a low fat butter substitute. The ingredients are 93-95 percent cream, 5-6 percent evaporated skim milk, 0.1 percent salt, 0.04-0.06 percent stabilizer, and 0.001 percent flavoring. A sample of the product consisted of a fluid, cream colored liquid. In its condition, as imported, this product is said to contain 48 to 52 percent by weight of water, 39 to 45 percent by weight of butterfat, about 5.5 to 9 percent serum solids and the minute amount of additives indicated above.
During the manufacturing process fresh milk is received at the plant where it is stored in a milk silo. Then the milk is separated and the cream is pasteurized, cooled, and stored in a refrigerated storage tank. The skim portion from the separation process is concentrated in an evaporator and taken from a skim milk of 9 percent solids to a skim milk with 45 percent solids. This evaporated skim milk is added The solids are added directly to the cream, along with the salt, stabilizer, and flavoring, and the product is mixed by agitation. Finally, the product is loaded into a 1,000 liter storage tank or a 21,000 liter storage tank and is ready for shipping.
The applicable subheading for the low fat butter substitute, if entered under quota, will be 0401.30.0500, Harmonized Tariff Schedule of the United States (HTS), which provides for milk and cream, not concentrated nor containing added sugar or other sweetening matter, of a fat content, by weight, exceeding 6 percent, of a fat content, by weight, not exceeding 45 percent, described in additional U.S. note 5 to chapter 4 and entered pursuant to its provisions. The rate of duty will be 3.2 cents per liter.
The applicable subheading for the low fat butter substitute, if entered outside the quota, will be 0401.30.2500, HTS, which provides for milk and cream, not concentrated nor containing added sugar or other sweetening matter, of a fat content, by weight, exceeding 6 percent, of a fat content, by weight, not exceeding 45 percent, other. The rate of duty will be 77.2 cents per liter. In addition, products classified in subheading 0401.30.2500, HTS, will be subject to additional safeguard duties based on their value, as described in subheadings 9904.04.01 – 9904.04.08.
Importations of milk and milk products are subject to import regulations administered by various U.S. agencies. Requests for information regarding applicable regulations administered by the U.S. Food and Drug Administration may be addressed to that agency at the following location:
U.S. Food and Drug Administration
CFSAN:OPDFB:DDES:JFS-306
200 C Street, S.W.
Washington, DC 20204
Attention: Ms Esther Z. Lazar, Staff Fellow
Requests for information regarding applicable regulations administered by the U.S. Department of Agriculture may be addressed to that agency at the following location:
A.P.H.I.S. Veterinary Services
Federal Building, Room 756
6505 Belcrest Road
Hyattsville, MD 20782
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR 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 Thomas Brady at 212-637-7064.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division