inStorebuyer - August 2011 - 46

cheesecorner
INNOVATIONS IN DELI CHEESE

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License to Import
Importing cheese can be a process, especially when it comes to tariffs and licensing. The USDA has a tariff-rate quote (TRQ), based on the quantity of product being imported—a low-tier tariff rate up to a specific quantity, and a high-tier tariff rate that exceed the set amount. To import at the low-tier rate, an import license from the Foreign Agricultural Service is usually required. Below is a compilation of frequently asked questions from the USDA. For complete information, visit www.fas.usda.gov/itp/imports/ usdairy.asp. What products are covered? The licensing system covers nearly all dairy products from cow’s milk, except for soft-ripened cheeses such as Brie. It also covers blue cheese made from sheep’s or goat’s milk. Is a license needed to import a small amount of dairy products for a trade show, research, or other special use? If you do not have a license and want to pay the low-tier duty, you must ask FAS to send an “ex-quota permit” to the U.S. Customs Service at the port of entry. FAS will consider ex-quota permits for imports of samples that will not enter U.S. commerce but are to be used at a trade fair, by a foreign embassy, or for taking orders, research, or testing of equipment. You do not need a license to import a product if you pay the high-tier duty rate. What is the fee for a license? The fee is currently $150 per license. The fee is based on the FAS estimated expenses to administer the licensing system. FAS publishes the fee for the upcoming year in the Federal Register, usually around August. What are the qualification requirements for a dairy import license? First, you must have a place of business in the United States and an agent for service of process (a representative available during business hours should USDA need to serve legal papers on the company). There are also different qualification standards listed in section 6.23 of the dairy import licensing regulation for importers, exporters, and manufacturers. Note that exporters may apply for licenses to import non-cheese dairy products, such as butter, but not for licenses to import cheese or cheese products. Is an import license the same as a health certificate? An import license is not a health or sanitary certificate, which may also be required to import dairy products. The U.S. Food and Drug Administration (FDA) has information on health and sanitary requirements for imported dairy products. How does a cheese manufacturer or processor qualify for a license to import cheese or cheese products? You must be the owner or operator of a plant located in the United States and listed under Section II (or Section I as a cheese processor) in the most recent edition of USDA’s Dairy Plants Surveyed and Approved for USDA Grading Service. In addition, you must have manufactured, processed, or packaged at least 450,000 kilograms of cheese or cheese products in that plant during the eligibility period (September 1-August 31). What are the import license application deadlines? Yo u s h o u l d r e q u e s t a n application or register in August if you want to apply. Completed applications must be postmarked or electronically submitted no earlier than September 1 and no later than October 15 to be accepted. There is no application fee.

| 46 | inStorebuyer | August 2011 |
inStorebuyer - August 2011

Table of Contents for the Digital Edition of inStorebuyer - August 2011
