Receipt of Domestic Interested Party Petition Concerning the Tariff Classification of Mixtures of Dried Garlic and Dried Onion, 44033-44034 [2021-17140]

Agencies

• DEPARTMENT OF HOMELAND SECURITY
• U.S. Customs and Border Protection

[Federal Register Volume 86, Number 152 (Wednesday, August 11, 2021)]
[Notices]
[Pages 44033-44034]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-17140]


-----------------------------------------------------------------------

DEPARTMENT OF HOMELAND SECURITY

U.S. Customs and Border Protection

[Docket No. USCBP-2020-0023]


Receipt of Domestic Interested Party Petition Concerning the 
Tariff Classification of Mixtures of Dried Garlic and Dried Onion

AGENCY: U.S. Customs and Border Protection, Department of Homeland 
Security.

ACTION: Notice of receipt of domestic interested party petition; 
solicitation of comments.

-----------------------------------------------------------------------

SUMMARY: U.S. Customs and Border Protection (CBP) has received a 
petition submitted on behalf of a domestic interested party requesting 
the reclassification, under the Harmonized Tariff Schedule of the 
United States (HTSUS), of certain dried garlic and dried onion 
mixtures. CBP currently classifies the subject dried garlic and dried 
onion mixtures under subheading 0712.90.85, HTSUS, as mixtures of dried 
vegetables. Petitioner contends that the proper classification for the 
subject dried garlic and dried onion mixtures is under subheading 
0712.90.40, HTSUS, as dried garlic. This document invites comments with 
regard to the correctness of the current classification.

DATES: Comments must be received on or before October 12, 2021.

ADDRESSES: You may submit comments, identified by docket number, by the 
first method listed below:
     Federal eRulemaking Portal: https://www.regulations.gov. 
Follow the instructions for submitting comments via docket number 
USCBP-2020-0023.
     Mail: Due to COVID-19-related restrictions, CBP has 
temporarily suspended its ability to receive public comments by mail.
    Instructions: All submissions received must include the agency name 
and docket number for this notice of domestic interested party petition 
concerning the tariff classification of dried garlic and dried onion 
mixtures. All comments received will be posted without change to https://www.regulations.gov, including any personal information provided.
    Docket: For access to the docket to read background documents, 
exhibits, or comments received, go to https://www.regulations.gov. Due 
to the relevant COVID-19-related restrictions, CBP has temporarily 
suspended on-site public inspection of public comments.

FOR FURTHER INFORMATION CONTACT: Tanya Secor, Food, Textiles and 
Marking Branch, Regulations and Rulings, Office of Trade, U.S. Customs 
and Border Protection, at (202) 325-0062, or by email at 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    A petition has been filed under section 516 of the Tariff Act of 
1930, as amended (19 U.S.C. 1516), on behalf of Olam West Coast Inc. 
(Petitioner or Olam), which is an agri-business and

[[Page 44034]]

supplier of food, ingredients, and raw materials, based in Fresno, 
California. Olam manages a wide range of production, processing, and 
supply of agricultural products in twelve states, with a majority of 
its operations in California. Olam's largest onion and garlic plant is 
in Gilroy, California. Olam meets all of the requirements of a domestic 
interested party set forth in 19 U.S.C. 1516(a)(2) and section 175.3(a) 
in title 19 of the Code of Federal Regulations (19 CFR 175.3(a)).
    In New York Ruling Letter (NY) N276018 (November 23, 2016), NY 
N276015 (November 23, 2016), NY N267292 (August 27, 2015), NY N259557 
(November 28, 2014), and NY N256957 (September 23, 2014), CBP 
classified various mixtures of dried (also referred to as dehydrated) 
garlic and dried onions as mixtures of dried vegetables in subheading 
0712.90.85 of the Harmonized Tariff Schedule of the United States 
(HTSUS), which provides for ``Dried vegetables, whole, cut, sliced, 
broken or in powder, but not further prepared: Other vegetables; 
mixtures of vegetables: Other vegetables; mixtures of vegetables.'' 
Petitioner contends that the proper classification for the dried garlic 
and dried onion mixtures is dried garlic in subheading 0712.90.40, 
HTSUS, which provides for ``Dried vegetables, whole, cut, sliced, 
broken or in powder, but not further prepared: Other vegetables; 
mixtures of vegetables: Garlic.''

Applicable Legal Principles

    Classification under the HTSUS is determined in accordance with the 
General Rules of Interpretation (GRIs) and, in the absence of special 
language or context which otherwise requires, by the Additional U.S. 
Rules of Interpretation (ARIs). GRI 1 provides that the classification 
of goods shall be determined according to the terms of the headings and 
any relative section or chapter notes. In the event that the goods 
cannot be classified solely on the basis of GRI 1, and if the headings 
and legal notes do not otherwise require, GRIs 2 through 6 may be 
applied in order.
    The Explanatory Notes (ENs) to the Harmonized Commodity Description 
and Coding System represent the official interpretation of the tariff 
at the international level. While neither legally binding nor 
dispositive, the ENs provide a commentary on the scope of each heading 
of the HTSUS and are generally indicative of the proper interpretation 
of these headings. See Treasury Decision (T.D.) 89-80, 54 FR 35127, 
35128 (August 23, 1989). The EN for heading 07.12, states, in pertinent 
part, that the heading also covers dried vegetables, broken or 
powdered, such as asparagus, cauliflower, parsley, chervil, onion, 
garlic, celery, generally used either as flavouring materials or in the 
preparation of soups.

Elaboration of the Petitioner's Views

    Petitioner contends that the proper classification for the subject 
dried garlic and dried onion mixtures is subheading 0712.90.40, HTSUS, 
which provides for ``Dried vegetables, whole, cut, sliced, broken or in 
powder, but not further prepared: Other vegetables; mixtures of 
vegetables: Garlic.'' Petitioner contends that the subject dried garlic 
and dried onion mixtures are not ``mixtures of vegetables'' because 
they are ``overwhelmingly composed of dried garlic'' and therefore are 
``appropriately classified as dried garlic under'' subheading 
0712.90.40, HTSUS, pursuant to GRI 3(b).
    Petitioner argues that whether a given product is to be considered 
a ``mixture of vegetables'' depends on the specific vegetables included 
in the mixture, the relative quantities of such vegetables, and the 
impact that the non-predominant vegetables have on the product's 
essential character. Petitioner also urges CBP to consider how a given 
product is marketed to determine whether industry standards and/or 
consumers consider the product in question to be a ``mixture of 
vegetables.'' Based on these factors, Petitioner urges CBP to find that 
the subject dried garlic and dried onion mixtures are not ``mixtures of 
vegetables,'' but rather dried garlic products. It is Petitioner's view 
that dried garlic imparts the essential character. In support of its 
argument, Petitioner relies on a ruling where dried garlic mixed with 
chemical substances is classified as ``dried garlic'' in subheading 
0712.90.40, HTSUS. See, e.g., NY N270709 (December 15, 2015) (dried 
garlic mixed with calcium stearate and dried garlic mixed with silicon 
dioxide).

Analysis Used by CBP in Prior Rulings

    Subheading 0712.90.85, HTSUS, provides for ``Dried vegetables, 
whole, cut, sliced, broken or in powder, but not further prepared: 
Other vegetables; mixtures of vegetables: Other vegetables; mixtures of 
vegetables.'' There are no specifications or requirements to qualify as 
a mixture in the section notes, chapter notes, or ENs. The EN for 
heading 07.12 provides guidance that both garlic and onion are 
vegetables. ``Mixture'' is not defined in the HTSUS.
    In the rulings at issue, the mixtures of dried vegetables are 
comprised of varying combinations of the components dried garlic and 
dried onion. Specifically, NY N256957 classifies a mixture of 50 
percent dried garlic and 50 percent dried onion; NY N259557 also 
classifies a 50-50 percent dried garlic and dried onion mixture; NY 
N267292 classifies three dried garlic and dried onion mixtures covering 
90 percent dried garlic and 10 percent dried onion, 95 percent dried 
garlic and 5 percent dried onion, 99 percent dried garlic and 1 percent 
dried onion; NY N276015 also classifies three vegetable mixtures, one 
of 64 percent dried garlic and 36 percent dried onion, one of 87 
percent dried garlic and 13 percent dried tomatoes, one of 80 percent 
dried onion and 20 percent dried celery; NY N276018 classifies two 
dried garlic and dried onion mixtures, one of 99 percent dried garlic 
and 1 percent dried onion and the other of 1 percent dried garlic and 
the 99 percent dried onion. All of these various dried vegetable 
mixtures are classified in subheading 0712.90.85, HTSUS, as mixtures of 
dried vegetables, notwithstanding the amount of the component dried 
garlic. These rulings classified the mixtures of dried garlic and dried 
onion under GRIs 1 and 6, because the subject merchandise are all 
mixtures of dried vegetables and there are no requisite amounts to 
qualify as a mixture.

Comments

    Pursuant to section 175.21 of the CBP Regulations (19 CFR 175.21), 
before making a determination on this matter, CBP invites written 
comments on the petition from interested parties.
    The domestic interested party petition concerning the tariff 
classification of certain dried garlic and dried onion mixtures, as 
well as all comments received in response to this notice, will be 
available for public inspection on the docket at www.regulations.gov.
    Authority: This notice is published in accordance with 19 U.S.C. 
1516 and section 175.21 of the CBP Regulations (19 CFR 175.21).
    Troy A. Miller, the Acting Commissioner, having reviewed and 
approved this document, is delegating the authority to electronically 
sign this document to Robert F. Altneu, who is the Director of the 
Regulations and Disclosure Law Division for CBP, for purposes of 
publication in the Federal Register.

    Dated: August 6, 2021.
Robert F. Altneu,
Director, Regulations & Disclosure Law Division, Regulations & Rulings, 
Office of Trade, U.S. Customs and Border Protection.
[FR Doc. 2021-17140 Filed 8-10-21; 8:45 am]
BILLING CODE 9111-14-P