[Federal Register Volume 61, Number 22 (Thursday, February 1, 1996)]
[Rules and Regulations]
[Pages 3544-3546]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-2066]



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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 905 and 944

[Docket No. FV95-905-3FIR]


Oranges, Grapefruit, Tangerines, and Tangelos Grown in Florida; 
and Import Regulations (Grapefruit); Relaxation of the Minimum Size 
Requirement for Red Grapefruit

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting as a 
final rule without change, the provisions of an interim final rule 
revising requirements under the Florida citrus marketing order and 
grapefruit import regulations. This rule relaxes the minimum size 
requirement for red seedless grapefruit to 3\5/16\ inches in diameter 
(size 56). The Citrus Administrative Committee (Committee), the agency 
that locally administers the marketing order for oranges, grapefruit, 
tangerines, and tangelos grown in Florida, unanimously recommended this 
change. This change will enable handlers and importers to continue to 
ship size 56 red seedless grapefruit for 

[[Page 3545]]
the entire 1995-96 season. As required under section 8e of the 
Agricultural Marketing Agreement Act of 1937, this final rule also 
changes the citrus import regulation so that it conforms with the 
requirements established under the Florida citrus marketing order.

EFFECTIVE DATE: March 4, 1996.

FOR FURTHER INFORMATION CONTACT: William G. Pimental, Marketing 
Specialist, Southeast Marketing Field Office, Fruit and Vegetable 
Division, AMS, USDA, P.O. Box 2276, Winter Haven, Florida 33883-2276; 
telephone: 813-299-4770; or Caroline C. Thorpe, Marketing Specialist, 
Marketing Order Administration Branch, F&V, AMS, USDA, room 2522-S, 
P.O. Box 96456, Washington, D.C. 20090-6456; telephone: (202) 720-8139.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order 
No. 905 (7 CFR Part 905), as amended, regulating the handling of 
oranges, grapefruit, tangerines, and tangelos grown in Florida, 
hereinafter referred to as the order. The order is effective under the 
Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-
674), hereinafter referred to as the Act.
    This final rule is also issued under section 8e of the Act, which 
provides that whenever specified commodities, including grapefruit, 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 grapefruit 
imported into the United States are in most direct competition with 
grapefruit grown in Florida regulated under Marketing Order No. 905, 
and has found that the minimum grade and size requirements for imported 
grapefruit should be the same as those established for grapefruit under 
Marketing Order No. 905.
    The Department is issuing this rule in conformance with Executive 
Order 12866.
    This 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.
    The Act provides that administrative proceedings must be exhausted 
before parties may file suit in court. Under Section 608c(15)(A) of the 
Act, any handler subject to an order may file with the Secretary a 
petition stating that the order, any provision of the order, or any 
obligation imposed in connection with the order is not in accordance 
with law and request a modification of the order or to be exempted 
therefrom. A handler is afforded the opportunity for a hearing on the 
petition. After the hearing, the Secretary would rule on the petition. 
The Act provides that the district court of the United States in any 
district in which the handler is an inhabitant, or has his or her 
principal place of business, has jurisdiction in equity to review the 
Secretary's ruling on the petition, provided a bill in equity is filed 
not later than 20 days after the date of the entry of the ruling.
    There are no administrative procedures which must be exhausted 
prior to any judicial challenge to the provisions of import regulations 
issued under section 8e of the Act.
    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 approximately 100 handlers of Florida citrus who are 
subject to regulation under the marketing order, approximately 12,000 
producers of citrus in the regulated area, and about 25 grapefruit 
importers. Small agricultural service firms are defined by the Small 
Business Administration (13 CFR 121.601) as those having annual 
receipts of less than $5,000,000, and small agricultural producers are 
defined as those whose annual receipts are less than $500,000. The 
majority of these handlers, producers, and importers may be classified 
as small entities.
    An interim final rule was issued on November 20, 1995, and 
published in the Federal Register (60 FR 58497, November 28, 1995). 
That rule provided a 30-day comment period which ended December 28, 
1995. No comments were received.
    The order for Florida citrus provides for the establishment of 
minimum grade and size requirements. The minimum grade and size 
requirements are designed to provide fresh markets with fruit of 
acceptable quality, thereby maintaining consumer confidence for fresh 
Florida citrus. This helps create buyer confidence and contributes to 
stable marketing conditions. This is in the interest of producers, 
packers, and consumers, and is designed to increase returns to Florida 
citrus growers.
    This final rule finalizes changes to regulations implemented 
through an interim final rule that relaxed the minimum size requirement 
for red seedless grapefruit allowing for the continued shipment of size 
56 grapefruit.
    The Committee met September 14, 1995, and unanimously recommended 
this action.
    This rule finalizes a relaxation of the minimum size from size 48 
(3\9/16\ inches diameter) to size 56 (3\5/16\ inches diameter) for the 
period November 13, 1995, through November 10, 1996.
    Section 905.52, in part, authorizes the Committee to recommend 
minimum grade and size regulations to the Secretary. Section 905.306 (7 
CFR 905.306) specifies minimum grade and size requirements for 
different varieties of fresh Florida grapefruit. Such requirements for 
domestic shipments are specified in Section 905.306 in Table I of 
paragraph (a), and for export shipments in Table II of paragraph (b). 
Minimum grade and size requirements for grapefruit imported into the 
United States are currently in effect under Section 944.106 (7 CFR 
944.106), as reinstated on July 26, 1993 (58 FR 39428, July 23, 1993). 
Export requirements are not changed by this rule.
    In making its recommendation, the Committee considered estimated 
supply and current shipments. The Committee reports that it expects 
that fresh market demand will be sufficient to permit the shipment of 
size 56 red seedless grapefruit grown in Florida during the entire 
1995-96 season. The Committee believes that markets have been developed 
for size 56 and that they should continue to supply those markets.
    Finalizing this size relaxation will enable Florida grapefruit 
shippers to continue shipping size 56 red seedless grapefruit to the 
domestic market. This rule will have a beneficial impact on producers 
and handlers, since it will 

[[Page 3546]]
permit Florida grapefruit handlers to continue to make available those 
sizes of fruit needed to meet consumer needs. This is consistent with 
current and anticipated demand in those markets for the 1995-96 season, 
and will provide for the maximization of shipments to fresh market 
channels.
    There are several exemptions to these regulations provided under 
the order. Handlers may ship up to 15 standard packed cartons (12 
bushels) of fruit per day, and up to 2 standard packed cartons of fruit 
per day in gift packages which are individually addressed and not for 
resale. Fruit shipped for animal feed is also exempt under specific 
conditions. Fruit shipped to commercial processors for conversion into 
canned or frozen products or into a beverage base are not subject to 
the handling requirements.
    Section 8e of the Act provides that when certain domestically 
produced commodities, including grapefruit, are regulated under a 
Federal marketing order, imports of that commodity must meet the same 
or comparable grade, size, quality, and maturity requirements. Since 
this rule will finalize the relaxation of the minimum size requirement 
under the domestic handling regulations, a corresponding change to the 
import regulations must also be considered.
    Minimum grade and size requirements for grapefruit imported into 
the United States are currently in effect under Section 944.106 (7 CFR 
944.106), as reinstated on July 26, 1993 (58 FR 39428, July 23, 1993). 
This rule finalizes the relaxation of the minimum size requirements for 
imported red seedless grapefruit to 3-\5/16\ inches in diameter (size 
56) for the period November 13, 1995, through November 10, 1996, to 
reflect the relaxation being made under the order for grapefruit grown 
in Florida. The minimum grade and size requirements for Florida 
grapefruit are specified in Section 905.306 (7 CFR 905.306) under 
Marketing Order No. 905.
    In accordance with section 8e of the Act, the United States Trade 
Representative has concurred with the issuance of this final rule.
    Based on these considerations, the Administrator of the AMS has 
determined that this rule will not have a significant economic impact 
on a substantial number of small entities.
    After consideration of all relevant material presented, including 
the Committee's recommendation, and other available information, it is 
found that finalizing this interim final rule without change, as 
published in the Federal Register (60 FR 58497, November 28, 1995) as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.

List of Subjects

7 CFR Part 905

    Grapefruit, Marketing agreements, Oranges, Reporting and 
recordkeeping requirements, Tangelos, Tangerines.

7 CFR Part 944

    Avocados, Food grades and standards, Grapefruit, Grapes, Imports, 
Kiwifruit, Limes, Olives, Oranges.

    For the reasons set forth above, 7 CFR parts 905 and 944 are 
amended as follows:

PART 905--ORANGES, GRAPEFRUIT, TANGERINES, AND TANGELOS GROWN IN 
FLORIDA

    Accordingly, the interim final rule amending 7 CFR part 905 which 
was published at 60 FR 58497 on November 28, 1995, is adopted as a 
final rule without change.

PART 944--FRUITS; IMPORT REGULATIONS

    Accordingly, the interim final amending 7 CFR part 944 which was 
published at 60 FR 58497 on November 28, 1995, is adopted as a final 
rule without change.

    Dated: January 25, 1996.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 96-2066 Filed 1-31-96; 8:45 am]
BILLING CODE 3410-02-P