KARACHI: Collectorate of Customs Appraisement East has issued correct classification of the goods declared as “Tang Flavour”.
According to the details, M/s Mondelez Pakistan Limited (NTN# 1758043) imported goods as “Tang Flavour” and claimed clearance of the same under PCT 3303.1090. The Collectorate of Appraisement Port Mohammad Bin Qasim changed the classification of goods from 3302.1090 to 2106.9090 on the ground that the goods are food preparation. The importer contested the change of classification and the matter was referred to the Classification Committee by the Collectorate. The Directorate of Intelligence and Investigation, Karachi also intercepted a similar consignment and contended that same is classificable under PCT heading 2106.9030.
Meeting of the classification committee was held on 12.11.2021. The representatives of importer and department were present and submitted their arguments. The importer also submitted written reply.
The importer argued that, as per report of HEJ Laboratory No IAC/TR/1759-1 dated 24.7.2021, the given sample titled “Lemon PEP” on analysis through Fourier Transform Infra-red spectroscopy contains flavouring compounds, gum dextrin, inorganic salt, and dyes. Flavoring compounds impart characteristic of odor in products. The importer further argued, that as per literature and laboratory test reports, subject flavoring powders are odoriferous and contain the aroma of organic fruit; hence, classifiable under PCT heading 33.02 in light of terms of the said heading. Importer further argued that impugned product is pre-mix flavor which will be further processed to manufacture a powdered beverage. Therefore, importer argued that, in terms of heading 33.3 instant imported item is appropriately classifiable under sub-heading 3303.1090.
The Directorate of Intelligence and Investigation, Karachi contended that Customs House Laboratory vide its test report No CE/R/783/21 dated 25.3.2021 has confirmed that “the sample is found to be reparation consisting of natural extract, flavoring substances heading 33.02.
The Collectorate of Appraisement, PMBQ on the other hand, is of the view that as per test report TEC-QF-30 dated 24.7.2021 conduct by HEJ the goods consist of dyes, salt flavoring compounds and that such food preparations are therefore, classifiable under PCT heading 2106.9090 instead of PCT heading 2106.9030.
The Classification Committee has examined the relevant documents/literature (including test reports) and arguments advanced by both the importer and the department are heard/examined. The committee has considered HS code i.e. 3303.1090 and 2106.9090 as potential headings for classification of the impugned product.
Keeping in view of the above sated facts, Committee is of considered opinion that the impugned product declared as assorted Tang Flavors falls appropriately under PCT heading 2106.9090 in terms of Rule 1 of General Rules of Interpretation of the first schedule to the Customs Act, 1969.
The Ruling is issued in terms of Chapter-II (classification) of CGP 12/2003 dated 16.6.2002.
