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Classification of a product with trade name "Orimulsion"
Circular No.
68dated 5th October 1999
I am
directed to refer to the subject mentioned above and to say that following
receipt of a communication from the Embassy of Venezuela, the Classification of
'Orimulsion' has been examined in Board's Office.
2.
It is seen that the product 'Orimulsion' consists of approximately 70%
natural bitumen, 30% water and 0.2% surfactant/ dispersing agent. It is a trade
name given to pulverise natural bitumen dispersed in water containing a small
amount of dispersing agent. The natural bitumen is dehydrated, pulverised and is
dispersed in water, since dehydrated and pulverised bitumen is physically
unstable. Water is also used to facilitate the transport and handling of the
natural bitumen. The surfactant or the dispersing agent is added to prevent
particles of pulverised natural bitumen coming in contact with one another thus
avoiding aggregation.
3.
The Harmonised System Committee of the World Customs Organisation (WCO)
have had an occasion to examine the issue to examine the issue of classification
and had decided in its 14th Session that the product 'Orimulsion' would merit
classification under heading 27.14 (sub heading 2714.90). The HS Committee had
also decided to amend the explanatory notes to heading 27.14 and heading 27.15,
to reflect the above classification opinion. The explanatory notes to heading
27.14 were subsequently amended to read, inter alia,
"Mere addition of water to natural bitumen does not change the
classification of the product for the purposes of heading 27.14. Further, the
heading also includes dehydrated and pulverised natural bitumen dispersed in
water and containing a small amount of an emulsifier (surfactant), added solely
to facilitate safety, handling or transport.
The heading 27.14 does not cover (a) (b) _______(e) Bitumen mixture
based on natural bitumen with added substance, other than water and emulsifiers
(surfactant) necessary solely to facilitate, handling or transport (heading
27.15)."
Also heading 27.15 was amended to exclude, inter alia,
"(d) dehydrated and pulverised natural bitumen dispersed in water
containing a small amount of an emulsifier (surfactant)."
4.
Board has accepted the aforesaid decision of the HS Committee.
Accordingly, it is clarified that the product 'Orimulsion' would merit
classification under sub-heading 2714.90.
Difficulties, if any, in implementation of
the above clarification may kindly be brought to the notice of the Board at an
early date.
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