[Federal Register Volume 64, Number 231 (Thursday, December 2, 1999)]
[Rules and Regulations]
[Pages 67481-67483]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-31275]


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DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Parts 132 and 163

[T.D. 99-87]
RIN 1515-AC54


Export Certificates for Lamb Meat Subject to Tariff-Rate Quota

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: Interim rule; solicitation of comments.

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SUMMARY: This document amends the Customs Regulations on an interim 
basis to set forth the form and manner by which an importer establishes 
that a valid export certificate is in effect for certain fresh, chilled 
or frozen lamb meat that is the subject of a tariff-rate quota, and the 
product of a participating country, as defined in interim regulations 
of the United States Trade Representative (USTR). The export 
certificate is necessary in this regard in

[[Page 67482]]

order to enable the importer to claim the in-quota rate of duty on the 
lamb meat.

DATES: Interim rule effective December 2, 1999. This interim rule is 
applicable to all products entered or withdrawn from warehouse for 
consumption on or after December 2, 1999. Comments must be received on 
or before January 31, 2000.

ADDRESSES: Written comments may be addressed to and inspected at the 
Regulations Branch, U.S. Customs Service, 1300 Pennsylvania Avenue, 
NW., 3rd Floor, Washington, DC 20229.

FOR FURTHER INFORMATION CONTACT: Cynthia Porter, Office of Field 
Operations, (202-927-5399).

SUPPLEMENTARY INFORMATION:

Background

    By Presidential Proclamation No. 7208 dated July 7, 1999, as 
modified by Presidential Proclamation No. 7214 of July 30, 1999, the 
President, acting under the authority of section 203 of the Trade Act 
of 1974 (19 U.S.C. 2253), established a tariff-rate quota with respect 
to certain fresh, chilled or frozen lamb meat exported to the United 
States on or after July 22, 1999.
    Under a tariff-rate quota, the United States applies one tariff 
rate, known as the in-quota tariff rate, to imports of a product up to 
a particular amount, known as the in-quota quantity, and another, 
higher rate, known as the over-quota rate, to imports of a product in 
excess of the given amount. The preferential, in-quota tariff rate 
would be applicable only to the extent that the aggregate in-quota 
quantity of a product allocated to a country had not been exceeded.
    It is noted that the tariff-rate quota on lamb meat was established 
in response to a determination by the U.S. International Trade 
Commission under section 202 of the Trade Act of 1974 (19 U.S.C. 2252) 
that lamb meat was being imported into the United States in such 
increased quantities as to substantially threaten serious injury to the 
domestic lamb meat industry. The tariff-rate quota is temporary in 
duration, being established for a period of three years and one day. It 
is intended to help facilitate efforts during this period by the 
domestic lamb meat industry to adjust to the increased import 
competition.
    Specifically, the lamb meat covered by the tariff-rate quota 
consists of fresh, chilled or frozen lamb meat that is classified in 
subheading 0204.10.00, 0204.22.20, 0204.23.20, 0204.30.00, 0204.42.20, 
or 0204.43.20 of the Harmonized Tariff Schedule of the United States 
(HTSUS). In order to implement the tariff-rate quota for the described 
lamb meat, Presidential Proclamation No. 7208 amended subchapter III of 
Chapter 99, HTSUS, so as to list the in-quota quantities of lamb meat 
allocated to those countries covered by the tariff-rate quota, together 
with the in-quota and over-quota rates of duty applicable to the lamb 
meat.
    Under Presidential Proclamation No. 7214, the United States Trade 
Representative (USTR) was given authority to administer the tariff-rate 
quota on the imported lamb meat.
    As part of the implementation of this tariff-rate quota, the USTR 
is offering exporting countries that have an allocation of the in-quota 
quantity the opportunity to use export certificates for their lamb meat 
exports to the United States. While a country does not need to 
participate in the export-certificate program in order to receive the 
in-quota tariff rate for its share of the in-quota quantity, using 
export certificates assures an exporting country that only those 
exports that it intends for the United States market are counted 
against its in-quota allocation, and it helps ensure that such imports 
do not disrupt the orderly marketing of lamb meat in the United States.
    The USTR has issued an interim rule establishing regulations for 
this export-certificate program (15 CFR part 2014) (64 FR 56429; 
October 20, 1999). To this end, an exporting country wishing to 
participate in the export-certificate program must notify the USTR and 
provide the necessary supporting information. As defined in the USTR 
interim regulations (15 CFR 2014.2(c)), a participating country is a 
country that has received an allocation of the in-quota quantity of the 
tariff-rate quota, and that the USTR has determined, and has so 
informed Customs, is eligible to use export certificates for their lamb 
meat products exported to the United States. The USTR has stated that 
it intends to publish a notice in the Federal Register whenever a 
country becomes, or ceases to be, a participating country. In this 
connection, Australia and New Zealand have already requested, and have 
been approved by USTR, to use export certificates for their lamb meat 
that is exported to the United States, as noted in the USTR interim 
rule.
    In accordance with the interim rulemaking of the USTR, Customs is 
issuing this interim rule in order to set forth a new Sec. 132.16, 
Customs Regulations (19 CFR 132.16), that prescribes the form and 
manner by which an importer establishes that a valid export certificate 
exists, including a unique number for the certificate that must be 
referenced on the entry or withdrawal from warehouse for consumption. 
This will ensure that no imports of the specified lamb meat products of 
a participating country are counted against the country's in-quota 
allocation unless the products are covered by a proper export 
certificate. The export certificate is necessary in this regard in 
order to enable the importer to claim the in-quota rate of duty on the 
lamb meat.
    In addition, the Interim (a)(1)(A) List set forth as an Appendix to 
part 163, Customs Regulations (19 CFR part 163, Appendix), that lists 
the records required for the entry of merchandise, is revised to make 
reference to the requirement in Sec. 132.15, Customs Regulations (19 
CFR 132.15) and in new Sec. 132.16, Customs Regulations (19 CFR 
132.16), that an importer possess a valid export certificate, 
respectively, for beef or lamb meat subject to a tariff-rate quota and 
that is a product of a participating country, in order for the importer 
to be able to claim the applicable in-quota rate of duty.

Comments

    Before adopting this interim regulation as a final rule, 
consideration will be given to any written comments that are timely 
submitted to Customs. Customs specifically requests comments on the 
clarity of this interim rule and how it may be made easier to 
understand. Comments submitted will be available for public inspection 
in accordance with the Freedom of Information Act (5 U.S.C. 552), 
Sec. 1.4, Treasury Department Regulations (31 CFR 1.4), and 
Sec. 103.11(b), Customs Regulations (19 CFR 103.11(b)), on regular 
business days between the hours of 9:00 a.m. and 4:30 p.m. at the 
Regulations Branch, U.S. Customs Service, 1300 Pennsylvania Avenue, 
NW., 3rd Floor, Washington DC.

Inapplicability of Notice and Delayed Effective Date Requirements, 
the Regulatory Flexibility Act, and Executive Order 12866

    Pursuant to the provisions of 5 U.S.C. 553(a), public notice is 
inapplicable to this interim rule because it is within the foreign 
affairs function of the United States. Also, for the above reason, 
there is no need for a delayed effective date under 5 U.S.C. 553(d). 
Because no notice of proposed rulemaking is required for interim 
regulations, the provisions of the Regulatory Flexibility Act (5 U.S.C. 
601 et seq.) do not apply; and because this document involves a foreign 
affairs function of the United States, it is not subject to the 
provisions of E.O. 12866.

[[Page 67483]]

Paperwork Reduction Act

    The collections of information involved in this interim rule have 
already been approved by the Office of Management and Budget (OMB) in 
accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3507) 
and assigned OMB Control Numbers 1515-0065 (Entry summary and 
continuation sheet) and 1515-0214 (General recordkeeping and record 
production requirements). This rule does not propose any substantive 
changes to the existing approved information collections.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless the collection of 
information displays a valid control number assigned by OMB.

List of Subjects

19 CFR Part 132

    Agriculture and agricultural products, Customs duties and 
inspection, Quotas, Reporting and recordkeeping requirements.

19 CFR Part 163

    Administrative practice and procedure, Customs duties and 
inspection, Imports, Reporting and recordkeeping requirements.

Amendment to the Regulations

    Accordingly, parts 132 and 163, Customs Regulations (19 CFR parts 
132 and 163), are amended as set forth below.

PART 132--QUOTAS

    1. The general authority citation for part 132 continues to read as 
follows, and the specific sectional authority under this part is 
revised to read as follows:

    Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized 
Tariff Schedule of the United States (HTSUS)), 1623, 1624.
    Secs. 132.15 and 132.16 also issued under 19 U.S.C. 1202 
(additional U.S. Note 3 to Chapter 2, HTSUS; and subchapter III of 
Chapter 99, HTSUS, respectively), 1484, 1508.


Sec. 132.15  [Amended]

    2. Section 132.15 is amended by removing from paragraph (c)(1) the 
parenthetical, ``(see Sec. 162.1c of this chapter)'', and by adding, in 
its place, the parenthetical, ``(see Sec. 163.4(a) of this chapter)''.
    3. Part 132 is amended by adding a new Sec. 132.16 to read as 
follows:


Sec. 132.16  Export certificate for lamb meat subject to tariff-rate 
quota.

    (a) Requirement. For fresh, chilled or frozen lamb meat classified 
in HTSUS subheading 0204.10.00, 0204.22.20, 0204.23.20, 0204.30.00, 
0204.42.20, or 0204.43.20, that is the subject of a tariff-rate quota 
as provided in subchapter III of Chapter 99, HTSUS, and that is the 
product of a participating country, as defined in 15 CFR 2014.2(c), the 
importer must possess a valid export certificate in order to claim the 
in-quota tariff rate of duty on the lamb meat at the time it is entered 
or withdrawn from warehouse for consumption. The importer must record 
the distinct and unique identifying number of the export certificate 
for the lamb meat on the entry summary or warehouse withdrawal for 
consumption (Customs Form 7501, column 34), or its electronic 
equivalent.
    (b) Validity of export certificate. To be valid, the export 
certificate must meet the requirements of 15 CFR 2014.3(b), and with 
respect to the requirement of 15 CFR 2014.3(b)(3), the export 
certificate covering the lamb meat must have a distinctly and uniquely 
identifiable number.
    (c) Retention and production of certificate to Customs. The export 
certificate is subject to the recordkeeping requirements of part 163 of 
this chapter (19 CFR part 163). Specifically, the certificate must be 
retained for a period of 5 years in accordance with Sec. 163.4(a) of 
this chapter, and must be made available to Customs upon request in 
accordance with Sec. 163.6(a) of this chapter.

PART 163--RECORDKEEPING

    1. The authority citation for part 163 continues to read as 
follows:

    Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1484, 1508, 1509, 1510, 
1624.

Appendix to Part 163 [Amended]

    2. In the Appendix to part 163, under heading ``IV.'', the list of 
documents/records or information required for entry of special 
categories of merchandise is amended by adding the following in 
appropriate numerical order:
    Secs. 132.15, 132.16 Export certificates, respectively, for beef or 
lamb meat subject to tariff-rate quota.

    Approved: November 18, 1999.
Raymond W. Kelly,
Commissioner of Customs.

John P. Simpson,
Deputy Assistant Secretary of the Treasury.
[FR Doc. 99-31275 Filed 12-1-99; 8:45 am]
BILLING CODE 4820-02-P