[Federal Register Volume 59, Number 95 (Wednesday, May 18, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-12094]
[[Page Unknown]]
[Federal Register: May 18, 1994]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 944
[Docket No. FV-92-058-FR]
Fruits; Import Regulations (Oranges); Reinstatement of Suspended
Minimum Orange Import Grade Requirement
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This final rule reinstates, with minor revisions, the
suspended minimum grade requirement for oranges imported into the
United States. This requirement was temporarily suspended on October
24, 1991, to provide the United States Trade Representative (USTR)
adequate time to review contemplated changes in the import
requirements. This rule is needed so that imported oranges meet the
same minimum grade requirement as is established for oranges under the
marketing order covering Texas oranges, consistent with section 8e of
the amended Agricultural Marketing Agreement Act of 1937.
EFFECTIVE DATE: May 23, 1994.
FOR FURTHER INFORMATION CONTACT: Gary D. Rasmussen, Marketing
Specialist, Marketing Order Administration Branch, Fruit and Vegetable
Division, AMS, USDA, P.O. Box 96456, room 2523-S, Washington, DC 20090-
6456; telephone: 202-720-5331; or Belinda G. Garza, McAllen Marketing
Field Office, USDA/AMS, 1313 East Hackberry, McAllen, Texas 78501;
telephone: 210-682-2833.
SUPPLEMENTARY INFORMATION: This final rule is issued under section 8e
(7 U.S.C. Section 608e-1) of the Agricultural Marketing Agreement Act
of 1937, as amended (7 U.S.C. 601-674), hereinafter referred to as the
Act. Section 8e of the Act provides that whenever specified
commodities, including oranges, are regulated under a Federal marketing
order, imports of these commodities into the United States are
prohibited unless they meet the same or comparable grade, size,
quality, or maturity requirements as those in effect for the
domestically produced commodities. Section 8e also provides that
whenever two or more marketing orders regulate the same commodity
produced in different areas of the United States, the Secretary shall
determine which area the imported commodity is in most direct
competition with and apply regulations based on that area to the
imported commodity. The Secretary has determined that oranges imported
into the United States are in most direct competition with oranges
grown in Texas regulated under Marketing Order No. 906, and has found
that the minimum grade and size requirements for imported oranges
should be the same as those established for oranges under Marketing
Order No. 906.
The Department is issuing this rule in conformance with Executive
Order 12866.
This final rule has been reviewed under Executive Order 12778,
Civil Justice Reform. This rule is not intended to have retroactive
effect. This rule will not preempt any State or local laws,
regulations, or policies, unless they present an irreconcilable
conflict with this rule. There are no administrative procedures which
must be exhausted prior to any judicial challenge to the provisions of
this rule.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Administrator of the Agricultural Marketing Service
(AMS) has considered the economic impact of this action on small
entities.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and rules issued thereunder, are unique in that
they are brought about through group action of essentially small
entities acting on their own behalf. Thus, both statutes have small
entity orientation and compatibility. Import regulations issued under
the Act are based on those established under Federal marketing orders.
There are about 20 orange importers who will be subject to the
orange import grade requirement. Small agricultural service firms,
which include importers, have been defined by the Small Business
Administration (13 CFR 121.601) as those whose annual receipts are less
than $3,500,000. A majority of these importers may be classified as
small entities.
A proposed rule concerning this reinstatement of the orange import
grade requirement was issued on February 18, 1994, and published in the
Federal Register (59 FR 9140, February 25, 1994). That rule provided a
15-day comment period which ended March 14, 1994. A comment was filed
by Rick Perry, Commissioner, Texas Department of Agriculture, Austin,
Texas, favoring the proposed reinstatement of the minimum grade
requirement for imported oranges, because imported oranges should meet
the same minimum grade requirement as is applied to Texas oranges.
A minimum grade requirement of U.S. No. 2 specified in Sec. 944.312
(7 CFR part 944) for oranges imported into the United States was in
effect on a continuous basis prior to its suspension on October 24,
1991 (56 FR 55983, October 31, 1991; 57 FR 2674, January 23, 1992).
This requirement was suspended to provide the USTR adequate time to
review contemplated changes in the grade requirement for imported
oranges reflecting changes made in the minimum grade requirement for
Texas oranges in Sec. 906.365 (7 CFR part 906) under Marketing Order
No. 906.
This final rule amends Sec. 944.312 (7 CFR 944.312; as amended at
58 FR 69185, December 30, 1993; and corrected at 59 FR 4246, January
31, 1994) to reinstate a minimum grade requirement of U.S. No. 2 for
oranges imported into the United States. This minimum grade requirement
is the same as the minimum grade requirement currently in effect for
oranges grown in Texas under Marketing Order No. 906, and is the same
as the grade requirement effective for imported oranges under
Sec. 944.312 just prior to its suspension on October 24, 1991.
This final rule also defines the term ``oranges'', to precisely
identify the fruit covered by this import regulation.
This final rule also changes the minimum quantity exemption under
the import regulation to 400 pounds of fruit per day. The minimum
quantity exemption in the suspended import regulation was ten \7/10\
bushel cartons (420 pounds). This change makes the quantity exempted in
the import regulation comparable to the quantity exempted from handling
regulations under the marketing order for oranges grown in Texas.
A minimum size requirement specifying that oranges imported into
the United States be at least 2\6/16\inches in diameter is currently
effective under Sec. 944.312, and this requirement remains in effect
unchanged by this rule.
According to the Department of Agriculture's Foreign Agricultural
Service, U.S. fresh orange imports during the 1992/93 season were well
below the corresponding levels in the 1991/92 season, reflecting record
fresh-market domestic supplies. U.S. imports of fresh oranges during
the 1992/93 season (beginning November 1) totaled 23.6 million pounds,
nearly a third less than in 1991/92. In the five seasons 1987/88-1991/
92 fresh orange imports varied greatly. The late December 1990 freeze
caused extensive damage to orange crops in California and resulted in
an unusually large quantity of imports in 1990/91. From 1987/88 through
1991/92, U.S. imports of fresh oranges ranged from a high of 137.3
million pounds in the 1990/91 season, to a low of 17.2 million pounds
in 1988/89, with an average of 53.0 million pounds.
Fresh U.S. orange imports typically come from six countries,
including Australia, the Dominican Republic, Mexico, Israel, Jamaica,
and Spain. In the 1992/93 season, Australia accounted for 10.1 million
pounds or 42 percent of U.S. fresh orange imports. In comparison, 1991/
92 imports from Australia were 5.5 million pounds or 16 percent of U.S.
fresh market orange imports. From 1987/88 through 1991/92, Mexico was a
major source of U.S. fresh orange imports, ranging from a low of 2.2
million pounds (1988/89), to a high of 56.1 million pounds (1990/91),
with a five year average of 18.0 million pounds per season.
In accordance with section 8e of the Act, the USTR has concurred
with the issuance of this rule.
Based on the above, the Administrator of the AMS has determined
that this rule will not have a significant economic impact on a
substantial number of small entities.
This final rule reflects the Department's appraisal of the need to
reinstate the suspended orange import grade requirement and make
specified changes in the orange import regulation, as hereinafter set
forth, to effectuate the declared policy of the Act.
Pursuant to 5 U.S.C. 553, it is also found and determined that good
cause exists for not postponing the effective date of this rule until
30 days after publication in the Federal Register because: (1) The
orange import grade requirement should be reinstated as soon as
possible, so that imported oranges meet the same grade requirement as
is effective for fresh shipments of Texas oranges in accordance with
section 8e of the Act; and (2) the proposed rule provided a 15-day
comment period, and the one comment received favored reinstatement of
the grade requirement for imported oranges.
List of Subjects in 7 CFR Part 944
Avocados, Food grades and standards, Grapefruit, Grapes, Imports,
Kiwifruit, Limes, Olives, Oranges.
For the reasons set forth in the preamble, 7 CFR part 944 is
amended to read as follows:
PART 944--FRUITS; IMPORT REGULATIONS
1. The authority citation for 7 CFR part 944 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
2. Section 944.312 is revised to read as follows:
Sec. 944.312 Orange import regulation.
(a) Pursuant to section 8e (7 U.S.C. 608e-1) of the Agricultural
Marketing Agreement Act of 1937, as amended (7 U.S.C 601-674), and part
944--Fruits; Import Regulations, the importation into the United States
of any oranges is prohibited unless such oranges grade at least U.S.
No. 2, and they are at least 2\6/16\ inches in diameter.
(b) The term oranges is defined as Citrus sinensis, Osbeck.
(c) The term importation means release from custody of the United
States Customs Service.
(d) Terms and tolerances pertaining to grade and size requirements,
which are defined in the United States Standards for Grades of Oranges
(Texas and States other than Florida, California, and Arizona) (7 CFR
51.680-51.714), shall be applicable herein.
(e) Any person may import up to 400 pounds a day of oranges exempt
from the requirements specified in this section.
(f) The Federal or Federal-State Inspection Service, Fruit and
Vegetable Division, Agricultural Marketing Service, United States
Department of Agriculture, is designated as the governmental inspection
service for certifying the grade, size, quality, and maturity of
oranges imported into the United States. Inspection by the Federal or
Federal-State Inspection Service with evidence thereof in the form of
an official inspection certificate, issued by the respective service,
applicable to the particular shipment of oranges, is required on all
such imports. The inspection and certification services will be
available upon application in accordance with the Regulations Governing
Inspection, Certification and Standards of Fresh Fruits, Vegetables,
and Other Products (7 CFR part 51), and in accordance with the
regulation designating inspection services and procedure for obtaining
inspection and certification (7 CFR 944.400).
(g) Any oranges which fail to meet the import requirements, and are
not being imported for purposes of consumption by charitable
institutions, distribution by relief agencies, or processing into
products; prior to or after reconditioning may be exported or disposed
of under the supervision of the Federal or Federal-State Inspection
Service with the costs of certifying the disposal of such oranges borne
by the importer.
(h) The grade, size, quality, and maturity requirements of this
section shall not be applicable to oranges imported for consumption by
charitable institutions, distribution by relief agencies, or processing
into products, but shall be subject to the safeguard provisions
contained in Sec. 944.350.
(i) The Secretary has determined that oranges imported into the
United States are in most direct competition with oranges grown in
Texas regulated under Marketing Order No. 906.
Dated: May 12, 1994.
Robert C. Keeney,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 94-12094 Filed 5-17-94; 8:45 am]
BILLING CODE 3410-02-P