h q555982- u. s. customsand border protection（h q555982——美国customsand边境保护）.doc

HQ 555982 August 2, 1991 CLA-2 CO:R:C:S 555982 WAW CATEGORY: Classification Mr. Robert J. Karpiuk Southside Foods 632 Northside Street Ann Arbor, MI 48105 RE: Eligibility of orange juice and grapefruit juice concentrate from Belize for duty-free treatment under the CBERA; substantial transformation; 554486 Dear Mr. Karpiuk: This is in response to your letters dated March 21, and July 2, 1991, requesting a ruling on the eligibility of frozen orange juice and grapefruit juice concentrate from Belize for duty-free treatment under the Caribbean Basin Economic Recovery Act (CBERA) (19 U.S.C. 2701-2706). FACTS: You state that you plan to produce frozen orange juice and grapefruit juice concentrate in Belize from raw fruit and/or juice originating in Belize as well as other countries in the surrounding area. In Belize, the juice will be extracted from the fruit, Belizian juice and non-BC juice will be combined, water will be evaporated from the juice at a rate of approximately 10,000 pounds per hour, the juice concentrate will be frozen to 20 degrees Fahrenheit, and finally the frozen juice concentrate will be packaged in retail and bulk containers for exportation to the U.S. and Great Britain. It is your position that the processes performed in Belize (evaporation of water and the freezing process) are legitimate manufacturing processes which would render your product eligible for duty-free treatment under the CBERA. ISSUE: Whether the frozen juice concentrate produced in Belize is entitled to duty-free treatment under the CBERA when imported into the U.S. LAW AND ANALYSIS: Under the CBERA, eligible articles the growth, product or manufacture of designated beneficiary countries (BCs) may receive duty-free treatment if such articles are imported directly to the U.S. from a BC, and if the sum of (1) the cost or value of the materials produced in a B