§ 1530.202 - Issuance of a license.

(a) The Secretary of Agriculture, through the Licensing Authority, may issue a license to a manufacturer under which the manufacturer, in accordance with the provisions of this program, may receive transfers of sugar from refiners for the purpose of manufacturing sugar containing products to be exported. The license may contain such conditions, limitations, or restrictions as the Licensing Authority determines to be appropriate for the purposes of this program. The Licensing Authority may add or modify such conditions, limitations or restrictions at such time and in such manner as the Licensing Authority, in his or her discretion, determines to be necessary or appropriate for the purposes of this program.

(b) A quantity of sugar equivalent to the quantity of sugar transferred under a license must be exported in a sugar containing product within 18 months of the date of transfer from the refiner. However, the Licensing Authority may credit a license for valueless sugar lost in normal product manufacture.

(c) The maximum license amount is 10,000 short tons (20 million pounds) of sugar. Quantities of sugar transferred under the license will be charged to the license and quantities of sugar contained in sugar containing products exported will be credited to the license as provided in § 1530.206. At no time may the outstanding balance of charges or credits exceed the maximum license amount.

(d) The licensee shall reserve all rights, if any, to claim drawback refunds with respect to the exportation of sugar containing products under this program. No credit on a license shall be made if any refund, as drawback, of any duties paid on the importation of any sugars, syrups or molasses described in subheading 1701.11.03, 1701.12.02, 1701.91.22, 1701.99.02, 1702.90.32, 1806.10.42, or 2106.90.12 of the HTS is claimed or received on the basis, or as a result, of the exportation of the sugar containing product.

(e) If a licensee has made a full settlement of the balance on a license, the licensee may surrender the license on terms and conditions acceptable to the Licensing Authority. A licensee may, with the written permission of the Licensing Authority, transfer a license to another manufacturer who does not hold a license, subject to such terms and conditions as the Licensing Authority may impose as he or she determines to be necessary or appropriate to carry out the purposes of this subpart.

(f) The licensee may utilize an agent for the transfer of refined sugar or the exportation of sugar containing products. The agent must, upon request, produce for inspection by the Licensing Authority written authorization designating such person to act as an agent for the purpose of receiving transferred sugar. If the licensee uses an agent to export sugar containing products, the licensee shall notify the Licensing Authority in writing of the agent's identity, and the agent shall certify to the Licensing Authority in writing that the sugar containing products have been exported from the customs territory of the United States.