QuestionsQuestions (BOC CUSTOMS TARIFF CIRCULAR NO. 2-2003)
It is issued to help customs officers distinguish between ice cream mixes/bases classifiable under HS 19.01.90.90 (7%) and those classifiable under HS 21.06.90.90 (7%) and HS 04.02.21.00 or 04.02.29.00 (3%), so importers can estimate landed costs even before importation.
The product is the “Frosty Boy” Soft Serve Base, described as an ice cream base containing 4.4% milk fat, made from specially instantized ingredients, available in powder or liquid form, in different flavors (vanilla, chocolate, yoghurt), and suitable for self-pasteurizing machines.
It is imported in 8 x 1.5 kg bags per carton.
It was classified under HS subheading 1901.90.90, with a duty rate of 7% ad valorem.
The Circular explained that Chapter 19 includes preparations made from goods of headings 04.01 to 04.04, and the Harmonized System groups this type of food preparation under heading 19.01.
It states that heading 19.01 includes mixes and bases (e.g., powders) for making ice cream, while excluding ice cream and other edible ice based on milk constituents classifiable under heading 21.05.
It cited that the explanatory notes to heading 21.06 include powders for table creams, jellies, ice cream or similar preparations, whether or not sweetened, but then distinguished which powders fall under other headings based on composition (e.g., cocoa content and base ingredients).
They were used to support that certain powders based on those ingredients (whether or not containing cocoa) fall in heading 18.06 or 19.01 depending on cocoa content—reinforcing classification under 19.01 for this product.
It referenced that heading 04.04 does not cover food preparations based on natural milk constituents but containing other substances not allowed in that chapter, particularly pointing to heading 19.01 as the proper classification for such preparations.
It aligned with the Explanatory Notes by classifying 'mixes and bases' (e.g., powders) under heading 19.01, while treating finished ice cream and edible ice (based on milk constituents) as excluded and classifiable under heading 21.05.
It ordered for guidance and immediate implementation by customs officers.
It was adopted on 03 October 2003 and signed by the Commissioner (Antonio M. Bernardo), reflecting BOC authority to issue tariff classification guidance for uniform implementation.
Because classification hinges on whether the product is a 'mix/base' versus finished ice cream and on which headings include preparations made from milk constituents under specified rules; the Circular used milk fat content and ingredient preparation to support that it is a base for ice cream under heading 19.01.
Heading 19.01 includes ice cream mixes/bases made from goods of headings 04.01–04.04; however, it excludes finished ice cream/edible ice under heading 21.05. The Circular used explanatory note distinctions (including cocoa/content and composition limitations) to confirm the product fits 19.01 and not the alternative headings.
It allows importers to approximate customs duties and total landed cost before actual importation by correctly identifying whether their product base falls under the 7% or 3% duty classifications mentioned in the Circular.