Classification of "Dulce de Leche"

HQ 958036 August 4, 1995 CLA-2 R:C:F 958036K CATEGORY: Classification TARIFF NO.: 1901.90.4200; 1901.90.4300 Mr. Antonio E. Seward Minister Counselor Economic and Commercial Argentine Embassy 1600 New Hampshire Ave., N.W. Washington, D.C. 20009 RE: Classification of "Dulce de Leche" Dear Sir: In your letter of May 26, 1995, you requested a tariff classification ruling for a product from Argentina known as "Dulce de Leche". A submitted sample was examined and disposed of by our New York field office. Our response follows. FACTS: The product is a brown-colored, thick, creamy, food product with a pudding-like consistency. It is packed in a foil-sealed, plastic container with a plastic lid, holding 250 grams, net weight. It is used as a dessert spread, a sweetener for coffee or tea, and in similar uses. The stated ingredients on the product label are sugar, milk, and vanilla. The actual ingredients breakdown was not provided. It is suggested that the product is classified in a basket provision, heading 2106 of the Tariff Schedule of the United States (HTSUS)(1995), as food preparations not elsewhere specified or included. ISSUE: The issue concerns the proper classification of the product "Dulce de Leche" as described above. LAW AND ANALYSIS: Heading 1901, HTSUS, specifically provides for food preparations of goods of headings 0401 to 0404 (milk products), not containing cocoa powder or containing cocoa powder in a proportion by weight of less than 10 percent, not elsewhere specified or included. Customs Headquarters Rulings Letters -2- 084848 dated October 10, 1989, 086428 dated March 8, 1990, 950624 dated February 20, 1992, 952109 dated September 4, 1992, and New York Ruling Letter 859641 dated January 22, 1991, have consistently held that the product known as "Dulce de Leche" was classified in subheading 1901.90, HSTUS, because the milk is the component that provides the predominant characteristics of taste and consistency to the product. The merchandise is classified in subheading 1901.90, HTSUS, and, in accordance with Additional U.S. Note 10, Chapter 4, HTSUS, the merchandise may be subject to a tariff rate quota. HOLDING: If the quantitative limits of Additional Note 10, Chapter 4, HTSUS, have not been reached, the product known as "Dulce de Leche" as described above, is classified in subheading 1901.90.4200, HTSUS (1995), and if the limits have been reached, it is classified in subheading 1901.90.4300, HTSUS. In addition, products classified in subheading 1901.90.4300, HTSUS, are subject to additional duties based on their value, as described in subheadings 9904.04.67 through 9904.04.74, HTSUS (1995). Sincerely, John Durant, Director Commercial Rulings Division