HQ 958779: Decision on Application for Further Review of ProtestNo.2304-95-100171, on the Classification of Soy Oil Distillates.See also PFR 2304-95-100172 (958780).

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 958779

                          June 26, 1996

CLA-2 RR:TC:FC  958779 JGH

CATEGORY:  Classification

TARIFF NO.:  1519.20.40

Port Director
U.S. Customs Service
P.O. Box 3130
Laredo, Texas  78044

RE: Decision on Application for Further Review of Protest
No.2304-95-100171, on the Classification of Soy Oil Distillates.
See also PFR 2304-95-100172 (958780).

Dear Sir:

     This protest was filed at your port on an entry of soy oil
distillates from Mexico made on April 11, 1995, liquidated on
July 14, 1995, with the protest being filed on September 15,
1995.  

FACTS:

     The merchandise is described as a soy deodorized oil
distillate; a mixture which typically includes monocarboxylic
fatty acids (free fatty acids), carotenes, ketones, aldehydes,
tocopherols, (natural antioxidants).  The product is said to be
obtained during the refining of soy bean oil and results from
high vacuum steam distillation of soy bean oil.  The standard
specifications report, dated April 3, 1995, for the "deodorized
distillate" listed:
    
          Free fatty acids -       70 - 80 percent
          Neutral acids    -       25 - 30 percent
          Total fatty acids -      85 - 95 percent
          Water             -      5%   (Max.)
     
     The soy oil distillate was entered and liquidated under the
1995 subheading 1507.90.4040, HTSUS, which provides for other
soybean oil and its fractions, whether or not refined, but not
chemically modified..Other (fully refined, washed, bleached or
deodorized).  For 1995, the duty rate for products of Mexico was
13.5 percent ad valorem.  
 
ISSUE:

     Classification of a 1995 entry of soy deodorized distillate
under the HTSUS.

LAW & ANALYSIS:

     The protestant argues that the merchandise is classifiable
under the provision for other industrial monocarboxylic fatty
acids; acid oils from refining, in the 1995 subheading
1519.19.40, HTSUS.  Products of Mexico classifiable under this
provision were duty free.     

     The Explanatory Notes to heading 1519 state that the heading
covers, inter alia, fatty acid distillate, obtained from fats and
oils which have been subjected to vacuum distillation in the
presence of steam as part of a refining process.  Fatty acid
distillate is characterized by a high free fatty acid (ffa)
content.  The technical literature submitted by the producer
concerning the "deodorized distillate" appears to conform to the 
description of the products covered by heading 1519 in the
Explanatory Notes.  It might be noted that the technical
information submitted in this case is the same as submitted with
Protest For Further Review No. 2304-95-100172, (956780), except
for the producer's invoice of April 4, 1995 (Factura No. 328).

     This invoice shows a distillate value consistent with that
appearing on the entry Form 7501, dated April 11, 1995: "US 17,
542.26".  The April 4, 1995, producer's invoice does not mention
the presence of tocopherols.  While the producer's form of May
12, 1995, does mention a "5.9% tocopherol" content, it is not
clear that this invoice has any relation to the April entry.  
However, it might be noted that not only did the May 17,1995,
entry list a tocopherol content, while the entered amount was
similar to that entered in April 4, 1995, the value for the May
entry was considerably more than the April.  On the basis of this
evidence, it is believed that this entry, in contrast to the May
entry (958780) did not contain a commercial amount of tocopherols
but, nonetheless, was a fatty acid distillate, in view of the
free fatty acid content (70 - 80 percent)and in the light of the
technical information of record.

HOLDING:

     The soy deodorized distillate described above, lacking any
or a commercially significant amount of tocopherols, is
classifiable under the provision for other industrial fatty
alcohols in subheading 1519.20.40, HTSUS (1995).  Products of
Mexico classifiable under this subheading were duty free.
Your are directed to allow the protest in full.  A copy of this
decision should be furnished to the protestant with the Form 19
Notice of Action.


     In accordance with Section 3A(11)(B) of the Customs
Directive 0993550-065, dated August 3, 1993, subject: Revised
Protest Directive, this decision should be mailed by your office
to the protestant no later than 60 days from the date of this
letter.  Any liquidation of the entry in accordance with the
decision must be accomplished prior to the mailing of the
decision.  Sixty days from the date of the decision the Office of
Regulations and Rulings will take steps to make the decision
available to Customs personnel via the Customs Ruling Module in
ACS and the public via the Diskette Subscription Service, Freedom
of Information Act and other public access channels.

                              Sincerely,
                              John Durant, Director
                              Tariff Classification
                              Appeals Division