GOVERNMENT OF PAKISTAN

COLLECTORATE OF CUSTOMS (APPRAISEMENT)

CUSTOM HOUSE, KARACHI.

NO. PCT/CC/03/97-APPG.                                                        Dated:16.08.1997

                                                             (SI/Misc./538/96-l.)                                                                                                  

PUBLIC NOTICE NO: 11/1997-(Appraisement)

SUB:  Classification of an instant drink tang.

A dispute has arisen regarding Tariff classification of an instant drink “TANG” having natural orange flavor. The following ingredients are marked on Jar/Packing i.e. Sugar, Citric Acid, sodium Citrate, Calcium Phosphate, Malodextrin, approved artificial colour, Xanthan gum, natural and approved artificial flavour, Cellulose gum, vitamin A Palmitat, Folic Acid, Butylated hydroxyl anisole, Alphatocepherol, Butylated hydroxyl toluene and sodium benzoate. The product is manufactured by M/s. Karat Food, New York and USA.

Following PCT headings have been considered for determining the appropriate classification:-

PCT HEADING NO. 17.01

The importers claimed that the product TANG contains approximately 92% sugar mixed with flavours and other ingredients as nutrients and preservations and is consumed/used for energy building. It was claimed that the product may be classified under PCT heading 17.01 because it covers sugars in the solid form (including powders) which may contain added flavouring or colouring matter. PCT committee observed that the product cannot be classified under PCT heading 17.01 because of exclusion (b) to the general note of chapter 17 and further that the products is not merely sugar but a food preparation.

HEADING NO:2106.9010

This PCT sub-heading covers beverage concentrates in all forums. The product in question is a prepared drink in power from in which water is to be added in an approximately measured quantity e.g. to make one liter 125 grams of Tang is added, stirred, chilled and served. It is neither a flavoring powder based on sodium bicarbonate and glycyrrhizin or licorice extract or it is a concentrated extract for preparation of food and beverages. As it does not fall within the main sub heading 2106.9010, it can fall within any of its sub-heading viz. 2106.9011 or 2106.9019.

The PCT Committee, therefore, decided that the product in question falls for classification under PCT heading 2106.9019.

Signed by

 (MUHAMMAD RAMZAN)

COLLECTOR

babcdabcdabcdabcd