The tariff classification and status under the North American Free Trade Agreement (NAFTA), of Gloria Jean’s Lite Hot Chocolate Mix from Canada; Article 509

NY I81747 May 31, 2002 CLA-2-18:RR:NC:SP:232 I81747 CATEGORY: Classification TARIFF NO.: 1806.90.0500; 1806.90.1000 Ms. Jennifer L. Cope Willson International, Inc. 2808 Fort Street, Suite 104 Detroit, Michigan 48216 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of Gloria Jean’s Lite Hot Chocolate Mix from Canada; Article 509 Dear Ms. Cope: In your letter dated April 22, 2002, on behalf of Kingsmill Foods Company Ltd., you requested a ruling on the status of Gloria Jean’s Lite Hot Chocolate Mix from Canada under the NAFTA. Information is submitted with your attached letter dated August 13, 2001. The subject merchandise is stated to contain 45 percent whey powder, 23 percent non-dairy creamer, 22 percent cocoa, 8 percent skim milk powder, and small quantities of salt, aspartame and flavor. The cocoa is produced in Singapore, and the aspartame originates in the Netherlands. The balance of the ingredients are from Canada. All of the ingredients are blended together in Canada and packaged in a cardboard box holding 12 X 1 pound paper/poly bags. The product will be used at Gloria Jean’s Gourmet Coffee franchises. It will be mixed with hot milk or hot water and served as a hot chocolate drink. It will also be mixed with coffee or expresso to produce hot gourmet drinks. The applicable subheading for the Gloria Jean’s Lite Hot Chocolate Mix, if imported in quantities that fall within the limits described in additional U.S. note 10 to chapter 4, will be 1806.90.0500, Harmonized Tariff Schedule of the United States (HTS), which provides for chocolate and other food preparations containing cocoa...other...other...described in additional U.S. note 1 to chapter 4...described in additional U.S. note 10 to chapter 4 and entered pursuant to its provisions. The general rate of duty will be 3.5 percent ad valorem. If the quantitative limits of additional U.S. note 10 to chapter 4 have been reached, and the product contains 21 percent or more by weight of milk solids, the product will be classified in subheading 1806.90.1000, HTS, and dutiable at the rate of 52.8 cents per kilogram plus 6 percent ad valorem. Each of the non-originating materials used to make the Gloria Jean’s Lite Hot Chocolate Mix has satisfied the changes in tariff classification required under HTSUSA General Note 12(t)/18. When classified under subheading 1806.90.0500, the product will be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party. 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 John Maria at 646-733-3031. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division