The tariff classification of Panax Ginseng Extract 80%, in powder form, from China

NY L80246 November 1, 2004 CLA-2-29:RR:NC:2:238 L80246 CATEGORY: Classification TARIFF NO.: 2938.90.0000 Mr. Denni Awana Inter-Orient Services 1455 Monterey Pass Road, Suite #205 Monterey, CA 91754 RE: The tariff classification of Panax Ginseng Extract 80%, in powder form, from China Dear Mr. Awana: In your letter dated October 8, 2004, on behalf of your client, G & G Industries, Inc., you requested a tariff classification ruling. The subject product, Panax Ginseng Extract 80% powder, is a fine, beige-colored powder extracted from ginseng leaves. The extract contains no added inert substances. The Certificate of Analysis submitted indicates a total ginsenoside content of 81.16%, by weight. According to the flow chart submitted, the extract is produced as follows: selected panax ginseng leaves > clean by water > extract in hot water > column chromatography > elute with ethanol/water > purification > “still and sink” > filtration and sterilization > concentration > vacuum drying > milling, testing & packed in drums.” The product is imported in bulk form, for manufacture into tablets and capsules marketed as dietary supplements. Explanatory Note 13.02(A), HTS, states that vegetable extracts can only be classified under heading 1302, HTS, if they are not specified or included in more specific headings of the Tariff Schedule. However, in this regard, we note that the explanatory notes to heading 2938, HTS (glycosides), clearly indicate that heading 2938, HTS, in addition to separate chemically defined glycosides, also covers natural mixtures of glycosides and of their derivatives. It is, therefore, our determination that, based on the chemical composition of the subject product (i.e., 81.16% total ginsenosides); E.N. 13.02(A), HTS; and the explanatory notes to heading 2938, HTS, the subject product is properly classifiable under heading 2938, HTS. The applicable subheading for the subject product will be 2938.90.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for “Glycosides, natural or reproduced by synthesis, and their salts, ethers, esters and other derivatives: Other.” The rate of duty will be 3.7% ad valorem. This merchandise may be subject to the requirements of the Federal Food, Drug, and Cosmetic Act, which is administered by the U.S. Food and Drug Administration. You may contact them at 5600 Fishers Lane, Rockville, Maryland 20857, telephone number 1-888-443-6332. 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 Harvey Kuperstein at 646-733-3033. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division