CSMS Message: 94-000206

Title:FACT SHEET 27
Date:1994-03-03
To:abi
Links:previous, next

TO : ALL ABI BROKERS.

FROM : LISA CROSBY

SUBJECT : NAF-FACT SHEET 27

DATE : 03/01/94

4049072
FEBRUARY 18, 1994

CATEGORY: NAF CO:TO:T:T LAC

TO : REGIONAL DIRECTORS FOR COMMERCIAL OPERATIONS, DISTRICT
AND PORT DIRECTORS

FROM : ACTING DIRECTOR, OFFICE OF TRADE OPERATIONS

SUBJECT: FACT SHEET 27: PRODUCE FROM MEXICO

PASS TO: NON-ABI BROKERS, IMPORTERS AND OTHER INTERESTED PARTIES

BACKGROUND:

IN NAFTA FACT SHEET 21, YOU WERE INSTRUCTED TO WITHHOLD
LIQUIDATION OF ENTRY SUMMARIES FOR PRODUCE FROM MEXICO ENTERED
UNDER HTS NUMBERS 0702.00.60, 0709.60.0020, AND 0709.90.20. THIS
WAS BECAUSE THESE GOODS WERE SUPPOSED TO BE ELIGIBLE FOR TARIFF-
RATE QUOTAS UNDER HTS NUMBERS 9906.07.08, 9906.07.42, AND
9906.07.47, RESPECTIVELY, BUT WERE NOT DUE TO AN ERROR IN THE
TARIFF SCHEDULE. THIS ERROR WAS CORRECTED IN PRESIDENTIAL
PROCLAMATION 6650, DATED FEBRUARY 16, 1994. FIELD OFFICES SHOULD
LIQUIDATE THESE ENTRIES IN ACCORDANCE WITH THE INSTRUCTIONS
BELOW.

ACTION:

1. A) EFFECTIVE WITH RESPECT TO GOODS OF MEXICO, UNDER THE
TERMS OF GENERAL NOTE 12 TO THE HTS, ENTERED, OR WITHDRAWN
FROM WAREHOUSE FOR CONSUMPTION, ON OR AFTER JANUARY 1, 1994,
U.S. NOTE 10 TO SUBCHAPTER VI OF CHAPTER 99 IS MODIFIED BY
INSERTING THE FOLLOWING NEW FIRST EFFECTIVE PERIOD FOR
IMPORTS ENTERED UNDER SUBHEADING 9906.07.08:

"ENTERED FROM JANUARY 1, 1994, TO FEBRUARY 28,
1994 NO LIMIT".

B) ENTRY SUMMARIES FOR TOMATOES THAT WOULD HAVE QUALIFIED
FOR ENTRY UNDER HTS 9906.07.08 DURING THIS PERIOD, BUT THAT
WERE ENTERED AT THE MFN RATE UNDER 0702.00.60 ONLY, OR AT
THE HIGH TARIFF RATE BY USING HTS 0702.00.60 IN CONJUNCTION
WITH HTS 9906.07.09, SHALL BE LIQUIDATED UNDER HTS NUMBERS
0702.00.60 AND 9906.07.08 AT 2.9 CENTS/KILOGRAM.

2. A) EFFECTIVE WITH RESPECT TO GOODS OF MEXICO, UNDER THE
TERMS OF GENERAL NOTE 12 TO THE HTS, ENTERED, OR WITHDRAWN
FROM WAREHOUSE FOR CONSUMPTION, ON OR AFTER JANUARY 1, 1994,
U.S. NOTE 13 TO SUBCHAPTER VI OF CHAPTER 99 IS MODIFIED BY
INSERTING THE FOLLOWING NEW FIRST EFFECTIVE PERIOD FOR
IMPORTS ENTERED UNDER SUBHEADING 9906.07.42:

"ENTERED FROM JANUARY 1, 1994, TO JULY 31,
1994 NO LIMIT".

B) ENTRY SUMMARIES FOR CHILI PEPPERS THAT WOULD HAVE
QUALIFIED FOR ENTRY UNDER HTS 9906.07.42 DURING THIS PERIOD,
BUT THAT WERE ENTERED AT THE MFN RATE UNDER 0709.60.0020
ONLY, OR AT THE HIGH TARIFF RATE BY USING HTS 0709.60.0020
IN CONJUNCTION WITH HTS 9906.07.43, SHALL BE LIQUIDATED
UNDER HTS NUMBERS 0709.60.0020 AND 9906.07.42 AT 4.9
CENTS/KILOGRAM.

3. A) EFFECTIVE WITH RESPECT TO GOODS OF MEXICO, UNDER THE
TERMS OF GENERAL NOTE 12 TO THE HTS, ENTERED, OR WITHDRAWN
FROM WAREHOUSE FOR CONSUMPTION, ON OR AFTER JANUARY 1, 1994,
U.S. NOTE 14 TO SUBCHAPTER VI OF CHAPTER 99 IS MODIFIED BY
INSERTING THE FOLLOWING NEW FIRST EFFECTIVE PERIOD FOR
IMPORTS ENTERED UNDER SUBHEADING 9906.07.47:

"ENTERED FROM JANUARY 1, 1994, TO JUNE 30,
1994 NO LIMIT".

B) ENTRY SUMMARIES FOR SQUASH THAT WOULD HAVE QUALIFIED FOR
ENTRY UNDER HTS 9906.07.47 DURING THIS PERIOD, BUT THAT WERE
ENTERED AT THE MFN RATE UNDER 0709.90.20 ONLY, OR AT THE
HIGH TARIFF RATE BY USING HTS 0709.90.20 IN CONJUNCTION WITH
HTS 9906.07.48, SHALL BE LIQUIDATED UNDER HTS NUMBERS
0709.90.20 AND 9906.07.47 AT 2.1 CENTS/KILOGRAM.

4. IN SOME CASES, THESE PRODUCTS WERE ENTERED OFF-LINE AT THE
LOW TARIFF RATE UNDER HTS NUMBERS 9906.07.08, 9906.07.42, OR
9906.07.47. IN THESE CIRCUMSTANCES, NO CHANGE IS REQUIRED
UPON LIQUIDATION NOR ARE CORRECTIONS TO STATISTICAL DATA
REQUIRED. IF, HOWEVER, THE PRODUCE WAS ENTERED AT THE MFN
RATE OR THE HIGH-TARIFF RATE, STATISTICAL CORRECTIONS FOR
LINE ITEMS VALUED AT OVER US$10,000 MUST BE MADE, IN
ACCORDANCE WITH INSTRUCTIONS CONTAINED IN THE CUSTOMS
STATISTICAL HANDBOOK (SINCE THIS AMOUNTS TO A CHANGE IN
TARIFF CLASSIFICATION).

5. BECAUSE THERE ARE NO LIMITS ON THE QUANTITIES OF THESE
PRODUCTS THAT MAY BE ENTERED DURING THESE NEWLY-ADDED
PERIODS, AFFECTED LINE ITEMS SHOULD NOT BE INPUT INTO THE
ACS QUOTA MODULE. TARIFF NUMBERS 9906.07.08, 9906.07.42 AND
9906.07.47 WILL, HOWEVER, BE SUBJECT TO QUOTA RESTRAINTS AND
PROCESSING FOR OTHER PERIODS. ACS WILL GENERATE A QUOTA
FLAG DURING PERIODS WHEN THESE TARIFF NUMBERS ARE SUBJECT TO
QUOTA RESTRAINTS.

6. SOME ENTRY SUMMARIES WERE PROCESSED FOR LIQUIDATION AND HAD
A FUTURE SCHEDULED LIQUIDATION DATE BY THE TIME THE ERROR IN
THE TARIFF WAS DISCOVERED. MANY OF THESE ENTRY SUMMARIES
WERE PAPERLESS. BECAUSE THE LIQUIDATION OF THESE ENTRY
SUMMARIES IS NOT BEING WITHHELD BY CUSTOMS, IT IS INCUMBENT
UPON THE IMPORTER TO IDENTIFY THESE ENTRY SUMMARIES, AND THE
APPROPRIATE LINE ITEMS, IN A LETTER TO THE DISTRICT DIRECTOR
AND TO REQUEST THAT THE LIQUIDATION BE UNSET AND THE ERROR
CORRECTED. TO ENSURE THAT ALL AFFECTED ENTRY SUMMARIES ARE
CORRECTED, IMPORTERS MAY WISH TO SUBMIT A COMPLETE LIST OF
ALL ENTRIES (BOTH THOSE WITH A SCHEDULED LIQUIDATION DATE
AND THOSE WHOSE LIQUIDATIONS APPEAR TO HAVE BEEN WITHHELD)
TO THE APPROPRIATE CUSTOMS DISTRICT DIRECTOR.

FOR PAPERLESS SUMMARIES, CUSTOMS PERSONNEL SHALL COMPARE THE
LINE ITEM DATA INDICATED IN THE LETTER WITH THAT CONTAINED
IN ACS TO ENSURE A CORRECTION IS IN ORDER. IF IT IS, THE
LIQUIDATION SHALL BE UNSET AND THE SUMMARY LIQUIDATED WITH A
REFUND. THE LETTER REQUESTING THE REFUND (OR A COPY OF IT
IN THE CASE OF LETTERS COVERING MULTIPLE ENTRY SUMMARIES)
SHALL BE PLACED IN THE BATCH FILE LOCATION ASSIGNED BY ACS.
THERE IS NO NEED TO MAKE SCREEN COPIES OF THE SUMMARY HEADER
DATA, ELECTRONIC INVOICE DATA OR LINE ITEM DATA. IF THERE
ARE ANY DISCREPANCIES BETWEEN THE REFUND REQUEST AND THE
LINE ITEM DATA IN ACS, CUSTOMS PERSONNEL SHALL CONTACT THE
FILER TO RESOLVE THE DIFFERENCES. IF THE DISCREPANCY IS IN
THE CF 7501, CUSTOMS MAY REQUIRE PAPER SUBMISSION OF THE
ORIGINAL AND THE CORRECTED CF 7501, AS IT DEEMS APPROPRIATE,
IN ORDER TO PRESERVE THE AUDIT TRAIL.

7. IMPORTERS ARE ENCOURAGED TO CAREFULLY MONITOR THE
LIQUIDATION OF AFFECTED ENTRY SUMMARIES AND TO FILE A
PROTEST UNDER 19 U.S.C. 1514 IF AN ENTRY SUMMARY LIQUIDATES
INCORRECTLY.

8. FUTURE ENTRIES FOR THESE GOODS MAY BE ENTERED IN ACCORDANCE
WITH THESE CORRECTED GENERAL NOTES TO SUBCHAPTER VI OF
CHAPTER 99.

QUESTIONS REGARDING THIS MESSAGE MAY BE DIRECTED TO THE
NAFTA HELP DESK AT (202)927-0066.

JANET L. LABUDA