§ 1530.302 - 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 enter raw cane sugar described in subheading 1701.11.02 of the HTS for the sole purpose of producing (other than by distillation) polyhydric alcohols, except polyhydric alcohols for use as a substitute for sugar in human food consumption. The license shall state the maximum amount of sugar which may be imported under the license. The license may contain such additional 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) The total quantity of sugar imported under a license must be used or the sole purpose of producing (other than by distillation) polyhydric alcohols, except polyhydric alcohols for use as a substitute for sugar in human food consumption, within 180 days of the date of entry of such sugar.

(c) The maximum amount of sugar which may be imported under the license will be the requirements of the manufacturer for sugar to be used in the production (other than by distillation) of polyhydric alcohols, except polyhydric alcohols for use as a substitute for sugar in human food consumption, during the 12-month period following the effective date of the license, as determined by the Licensing Authority. Quantities of sugar imported under the license will be charged to the license and quantities of sugar used for the sole purpose of producing (other than by distillation) polyhydric alcohols, except polyhydric alcohols for use as a substitute for sugar in human food consumption, will be credited to the license as provided in § 1530.306. At no time may the charges to the license exceed the maximum license amount specified in the license.

(d) The licensee shall reserve all rights, if any, to claim drawback refunds with respect to the exportation of polyhydric alcohols 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 subheadings 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 such polyhydric alcohols.

(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 not transfer a license to any other person. Any attempt to transfer or assign a license shall be null and void and shall be grounds for the revocation of the license by the Licensing Authority.

(f) The licensee may utilize an agent to enter imported sugar. The licensee must provide to the Licensing Authority a copy of a written authorization designating such person to act as an agent for the purpose of entering sugar, and the agent shall produce such authorization for inspection by the appropriate U.S. Customs Service official at the time of entry. If the licensee uses an agent to export polyhydric alcohol, the licensee shall notify the Licensing Authority in writing of the agent's identity.