[Federal Register Volume 62, Number 188 (Monday, September 29, 1997)]
[Rules and Regulations]
[Pages 50853-50861]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-25410]


-----------------------------------------------------------------------

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 916 and 917

[Docket No. FV96-916-3 FIR]


Nectarines and Peaches Grown in California; Revision of Handling 
Requirements for Fresh Nectarines and Peaches

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This rule finalizes, with a few spelling corrections, the 
provisions of an interim final rule that revised the handling 
requirements for California nectarines and peaches by modifying the 
grade, size, maturity, and container requirements for fresh shipments 
of these fruits, beginning with 1997 season shipments. This rule also 
corrects current grade, size and maturity requirements, primarily by 
restoring regulatory text that was inadvertently misnumbered or omitted 
during previous rulemaking actions. This rule enables handlers to 
continue shipping fresh nectarines and peaches meeting consumer needs 
in the interest of producers, handlers, and consumers of these fruits.

EFFECTIVE DATE: October 29, 1997.

FOR FURTHER INFORMATION CONTACT: Terry Vawter, Marketing Specialist, or 
Kurt J. Kimmel, Regional Manager, California Marketing Field Office, 
Marketing Order Administration Branch, Fruit and Vegetable Division, 
AMS, USDA, 2202 Monterey Street, suite 102B, Fresno, California 93721; 
telephone:(209) 487-5901; Fax: (209) 487-5906; or Anne M. Dec, 
Marketing Order Administration Branch, Fruit and Vegetable Division, 
AMS, USDA, P.O. Box 96456, room 2525-S, Washington, DC 20090-6456; 
telephone: (202) 720-2491; Fax: (202) 720-5698. Small

[[Page 50854]]

businesses may request information on compliance with this regulation 
by contacting: Jay Guerber, Marketing Order Administration Branch, 
Fruit and Vegetable Division, AMS, USDA, P.O. Box 96456, room 2523-S, 
Washington, DC 20090-6456; telephone: (202) 720-2491; Fax: (202) 720-
5698.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Marketing Order Nos. 916 and 917 [7 CFR Parts 916 and 
917] regulating the handling of nectarines and peaches grown in 
California, hereinafter referred to as the ``orders''. The orders are 
effective under the Agricultural Marketing Agreement Act of 1937, as 
amended [7 U.S.C. 601-674], hereinafter referred to as the ``Act''.
    The Department of Agriculture (Department) is issuing this rule in 
conformance with Executive Order 12866.
    This rule has been reviewed under Executive Order 12988, 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 to review the Secretary's 
ruling on the petition, provided an action is filed not later than 20 
days after the date of the entry of the ruling.
    Under the orders, grade, size, maturity, container and pack 
requirements are established for fresh shipments of California 
nectarines and peaches. Such requirements are in effect on a continuing 
basis. The Nectarine Administrative Committee (NAC) and the Peach 
Commodity Committee (PCC) met December 4, 1996, and unanimously 
recommended that these handling requirements be revised prior to the 
1997 season, which began April 1. The changes (1) authorize continued 
use of a container first used in 1996; (2) authorize shipments of ``CA 
Utility'' quality fruit during the 1997 season; (3) clarify container 
tolerances for all nectarines and peaches; and (4) revise varietal 
maturity and size requirements to reflect recent changes in growing 
conditions.
    The committees meet prior to and during each season to review the 
rules and regulations effective on a continuous basis for California 
nectarines and peaches under the orders. Committee meetings are open to 
the public, and interested persons may express their views at these 
meetings. The Department reviews committee recommendations and 
information, as well as information from other sources, and determines 
whether modification, suspension, or termination of the rules and 
regulations would tend to effectuate the declared policy of the Act.

Container Requirements (Nectarines and Peaches)

    Sections 916.52 and 917.41 of the nectarine and peach orders, 
respectively, provide authority to fix the size, capacity, weight, 
dimensions, markings, or pack of the container or containers that may 
be used in the packaging and handling of these fruits. Section 916.350 
specifies container and pack requirements for fresh nectarine shipments 
and section 917.442 specifies container and pack requirements for fresh 
peach shipments. Included in these sections are requirements that all 
containers be marked with specific information (e.g., the name of the 
handler, and the maturity, size, and variety of the fruit) and that 
such markings be applied to the outside ends of the container.
    Prior to the 1996 season, the NAC and PCC recommended that a new 
container, permitted to be marked on its lid, be approved for nectarine 
and peach shipments during the 1996 season only. The revised 
requirements became effective on April 1, 1996. The NAC and PCC then 
reviewed the impact of the use of this container at the conclusion of 
the 1996 season.
    The new container is plastic, rather than wood and paper. It is 
also recyclable and reusable. The design of some styles of the 
container, which has cooling slots on all of its sides, discourages 
placement of markings on the outside ends. Furthermore, in order to 
ensure and facilitate its reuse, container markings on the permanent 
outside ends of the new container are not desirable. Instead, placement 
of markings on the disposable lid is preferable. Thus, markings on the 
new container have been permitted for either the lid or the outside 
ends.
    In the 1996 season, approximately 450,000 recyclable, reusable 
boxes were used by nectarine and peach handlers. This represents 
approximately 1 percent each of the total number of packages of 
nectarines and peaches shipped in that season. Users of the recyclable, 
reusable plastic boxes reported good acceptance by retailers and expect 
increased demand for their use in the coming years. Industry sources 
reported the boxes will likely be used for other commodities as 
awareness and acceptance of the boxes increase. It was also noted that 
the nectarine and peach industries could improve their competitive edge 
by continued and increased use of the new recyclable, reusable plastic 
box.
    The NAC and PCC believe that continuing to permit container 
markings to be placed either on the container lid or the outside ends 
will continue to facilitate the use of this plastic, reusable, and 
recyclable container. Authorizing the continued use of this container 
will allow handlers to reduce their container costs through the 
continued reuse of the container. Such reduced container costs could 
result in increased returns to producers as well.
    When the container requirements for nectarines and peaches were 
changed on April 1, 1996, the revised provisions did not specify that 
the change was effective only for the 1996 season. Thus, no changes in 
the regulatory text of Secs. 916.350 and 917.442 are necessary. The use 
of the recyclable, reusable plastic container is authorized for the 
1997 season and beyond.

Quality Requirements (Nectarines and Peaches)

    Sections 916.52 and 917.41 authorize the establishment of grade and 
quality requirements for nectarines and peaches. Prior to the 1996 
season, Sec. 916.356 required nectarines to meet a modified U.S. No. 1 
grade. Specifically, nectarines were required to meet U.S. No. 1 grade 
requirements, except there was a slightly tighter requirement for 
scarring and a more liberal allowance for misshapened fruit. Under 
Sec. 917.459, peaches were also required to meet the requirements of a 
U.S. No. 1 grade, except there was a more liberal allowance for open 
sutures which are damaged but not seriously damaged.
    This rule continues the revision in the interim rule to paragraph 
(a)(1) of Sec. 916.356 and paragraph (a)(1) of Sec. 917.459 to permit 
shipments of nectarines and peaches meeting ``CA Utility'' quality 
requirements during the 1997 season. (``CA Utility'' fruit is lower in 
quality than fruit meeting the modified U.S. No. 1 grade

[[Page 50855]]

requirements.) Shipments of nectarines and peaches meeting ``CA 
Utility'' quality requirements were first permitted during the 1996 
season for that season only. By unanimous vote, the NAC and PCC 
recommended that fruit meeting ``CA Utility'' quality requirements be 
permitted to be shipped for an additional year. The NAC and PCC will 
continue to monitor retailer and consumer perceptions of ``CA Utility'' 
nectarines and peaches to determine whether such fruit should continue 
to be marketed.
    Preliminary studies conducted by the NAC and PCC indicate that some 
consumers, retailers, and foreign importers found the lower quality 
fruit acceptable in some markets. Shipments of ``CA Utility'' 
nectarines represented 1.1 percent of all nectarine shipments, or 
approximately 210,000 boxes in 1996. Shipments of ``CA Utility'' 
peaches represented 1.9 percent of all peach shipments in 1996, or 
approximately 365,000 boxes.
    Dr. Dennis Nef, California State University, Fresno, studied 
samples of culled fruit at handler facilities during the 1995 and 1996 
seasons. Results from the 1996 season were compared to the 1995 season. 
Preliminary data indicate that a smaller percentage of culled 
nectarines and peaches met the marketing order grade (modified U.S. No. 
1) and size requirements in 1996 than in 1995. In 1995, approximately 8 
percent of the nectarines in the cull stream met those requirements, 
while in 1996, approximately 1 percent of the nectarines in the cull 
stream met those requirements. In 1995, approximately 7 percent of the 
peaches in the cull stream met the order's grade and size requirements, 
while in 1996, approximately 1 percent of the peaches in the cull 
stream met those requirements. (The ``cull stream'' includes all fruit 
which is removed from the packing line by the handler's quality control 
personnel and not placed in a container for shipment.) The decrease in 
the amount of fruit in the cull stream seems to indicate a greater 
utilization of available fruit rather than its disposal. With the 
option of packing ``CA Utility'' quality fruit, it appears that the 
handlers'' quality control personnel were less inclined to be overly 
critical and to exclude acceptable modified U.S. No. 1 fruit. However, 
not all of this increased utilization can be attributed to the 
implementation of ``CA Utility'' quality requirements. The 1995 season, 
which was the first in which cull data were obtained, was plagued by 
adverse weather and hail storms. The damage inflicted by the storms 
created conditions which decreased the quality of available nectarines 
and peaches and increased somewhat the percentage of fruit in the cull 
stream which would have met marketing order requirements. It is 
probable that the implementation of ``CA Utility'' quality requirements 
increased the utilization of some fruit which might have been disposed 
of otherwise. Such utilization benefitted producers, handlers, and 
consumers. For that reason, the NAC and PCC recommended that ``CA 
Utility'' quality requirements be continued for the 1997 season. The 
NAC and PCC will continue to monitor the impact of shipping ``CA 
Utility'' nectarines and peaches to determine whether such shipments 
continue to be in the interests of producers, handlers, and consumers.
    In conforming changes, paragraph (d) of Sec. 916.350 and paragraph 
(d) of Sec. 917.442 continue to be revised to require that ``CA 
Utility'' quality fruit be labeled as such. This marking requirement 
was in effect during the 1996 season, and is intended to enable 
customers to differentiate between the different qualities of available 
fruit.

Clarification of Container Tolerances (Nectarines and Peaches)

    For those grade factors included in the U.S. Standards for Grades 
of Nectarines or Peaches (standards), tolerances are provided for fruit 
that fails to meet those factors to allow for variations incidental to 
proper grading and handling. Tolerances are specified for both entire 
lots of fruit and for individual containers within the lot.
    The container tolerances in the standards are applicable to all 
nectarines and peaches since those tolerances are not modified by the 
order's rules and regulations. However, last fall, the NAC and PCC 
voted to clarify the requirements for affected parties. Clarifying 
these container tolerances will not have a regulatory impact on 
nectarine and peach handlers because these tolerances are the same as 
those applied in the standards.

Maturity Requirements (Nectarines and Peaches)

    Both orders provide (in Secs. 916.52 and 917.41) authority to 
establish maturity requirements. The minimum maturity level currently 
specified for nectarines and peaches is ``mature'' as defined in the 
standards. Additionally, both orders' rules and regulations provide for 
a higher, ``well matured'' classification. For most varieties, ``well 
matured'' fruit determinations are made using maturity guides (e.g., 
color chips). These maturity guides are reviewed each year by the 
Shipping Point Inspection Service (SPI) to determine whether they need 
to be changed based on the most recent information available on the 
characteristics of each variety.

Nectarines

    Requirements for ``well matured'' nectarines are specified in 
paragraph (a)(1) of Sec. 916.356. This rule continues in effect the 
revision in the interim rule of Table 1 of paragraph (a)(1) of 
Sec. 916.356 for nectarines to add maturity guides for 12 nectarine 
varieties. Specifically, an addition to the maturity guides was 
recommended for Earliglo, May Jim, Red Glo, Royal Glo, and Zee Grand 
nectarine varieties at a maturity guide of I; Big Jim, Early Red Jim, 
Late Red Jim, May Lion, and Red Fred nectarine varieties at a maturity 
guide of J; and Kay Diamond and Ruby Diamond nectarine varieties at a 
maturity guide of L.
    Table 1 of paragraph (a)(1) of Sec. 916.356 continues in effect the 
revision changing the maturity guides for the following eight nectarine 
varieties: Autumn Delight, Fairlane, Moon Grand, Red Diamond, Sparkling 
June, Spring Diamond, Summer Diamond, and Summer Lion. The maturity 
guide for these eight varieties was M, which was changed to L. The M 
maturity guide is no longer deemed suited by SPI to nectarine varieties 
currently in production. The L maturity guide more accurately reflects 
the background color of modern nectarine varieties under production at 
this time. For this reason, the NAC recommended these maturity 
requirement changes based on SPI's continuing review of individual 
maturity characteristics and identification of the appropriate maturity 
guide corresponding to the ``well matured'' level of maturity for 
nectarine varieties in production.
    Paragraph (a)(1) of Sec. 916.356 also continues in effect the 
revision in the interim rule to remove 13 nectarine varieties which are 
no longer in production. The NAC routinely reviews the status of 
nectarine varieties listed in these maturity guides. The most recent 
review revealed that 13 of the nectarine varieties listed in the 
maturity guide had not been in production since the 1993 season. 
Typically, the NAC recommends removing a variety after non-production 
for three seasons or if trees of that variety are known to have been 
pulled out because a maturity guide for an obsolete variety is no 
longer needed. The varieties removed include the Clinton-Strawberry, 
Desert Dawn, Early Star, Gee Red, Granderli, Hi Red, Larry's Grand, 
Late Tina Red, Mayfair, May Red, Red June, Stan Grand, and 61-61 
nectarine varieties.

[[Page 50856]]

    Table 1 of paragraph (a)(1) of Sec. 916.356 continues in effect the 
revision to correct the identification of the Red Lion nectarine 
variety. The name ``Red Lion'' has been changed to ``August Lion.'' For 
that reason, all references to Red Lion have been changed to August 
Lion. In addition, three nectarine varieties were identified as June 
Glo, May Glo, and Spring Brite. The correct spelling of these three 
varieties is Juneglo, Mayglo, and Spring Bright, respectively.

Peaches

    Paragraph (a)(1) of Sec. 917.459 specifies maturity requirements 
for fresh peaches being inspected and certified as being ``well 
matured.''
    This rule continues in effect the revision of Table 1 of paragraph 
(a)(1) of Sec. 917.459 to add maturity guides for the Kingscrest peach 
variety to be regulated at the H maturity guide, the Red Dancer peach 
variety to be regulated at the I maturity guide, and the Early Elegant 
Lady peach variety to be regulated at the L maturity guide.
    This rule also continues in effect the revision in the interim rule 
changing the maturity guide assignment on Table 1 of paragraph (a)(1) 
of Sec. 917.459 for the Summer Lady peach variety from the M maturity 
guide to the L maturity guide. The M maturity guide is no longer deemed 
suited by SPI to peach varieties currently in production. The L 
maturity guide more accurately reflects the background color of modern 
peach varieties in production at this time. For this reason, the PCC 
recommended this maturity requirement change based on SPI's continuing 
review of individual maturity characteristics and identification of the 
appropriate maturity guide corresponding to the ``well matured'' level 
of maturity for peach varieties in production.
    The maturity requirement changes for these peach varieties are 
based on the PCC's continuing review of their individual maturity 
characteristics, and the identification of the appropriate color chip 
corresponding to the ``well matured'' level of maturity for each such 
variety.
    Table 1 of paragraph (a)(1) of Sec. 917.459 continues in effect the 
revision in the interim rule removing 19 peach varieties which are no 
longer in production. The PCC routinely reviews the status of peach 
varieties listed in these maturity guides. The most recent review 
revealed that 19 of the peach varieties listed in the maturity guide 
had not been in production since the 1993 season. Typically, the PCC 
recommends removing a variety after non-production for three seasons or 
if trees of that variety are known to have been pulled out because a 
maturity guide for an obsolete variety is no longer needed. The 
varieties removed include the Armgold, Bella Rosa, Bonjour, Desertgold, 
Early Fairtime, Early Royal May, Fortyniner, Jody Gaye, June Crest, 
Mardigras, Morning Sun, Preuss Suncrest, Prima Fire, Royal April, Sun 
Lady, Toreador, Treasure, Windsor, and 50-178 peach varieties.
    Table 1 of paragraph (a)(1) continues in effect the revision to 
change the spelling of two varieties of peaches. The Judy Elberta and 
Mary Ann varieties appeared on Table 1. However, the spelling of these 
two names was corrected to read ``July Elberta'' and ``Mary Anne.''

Size Requirements (Nectarines and Peaches)

    Both orders provide (in Secs. 916.52 and 917.41) authority to 
establish size requirements. Size regulations encourage growers to 
leave fruit on the tree for a greater length of time. This increased 
growing time not only improves maturity and, therefore, the quality of 
the product, but also the size of the fruit. Increased size results in 
increases in the number of packed boxes of fruit per acre. Acceptable 
size fruit also provides greater consumer satisfaction, more repeat 
purchases, and, therefore, increased returns to producers. Varieties 
recommended for specific size regulation have been reviewed and 
recommendations are based on the specific characteristics of each 
variety. The NAC and PCC conduct studies each season on the range of 
sizes reached by the regulated varieties and determine whether 
revisions in the size requirements are appropriate.

Nectarines

    Section 916.356 specifies size requirements for fresh nectarines in 
paragraphs (a)(2) through (a)(9). This rule continues in effect the 
revision in the interim rule of Sec. 916.356 to establish variety-
specific size requirements for 10 nectarine varieties that were 
produced in commercially significant quantities of more than 10,000 
packages for the first time during the 1996 season. This rule also 
continues in effect the modification of the variety-specific size 
requirements for several varieties of nectarines.
    For example, one of the varieties added to the variety-specific 
size requirements is the Kay Glo variety. Studies of the size ranges 
attained by the Kay Glo variety revealed that .5 percent of that 
variety met the smallest size, size 96, while 1.6 percent met the 
largest size, size 40. Approximately 45 percent of the nectarines of 
the Kay Glo variety met the next larger size, size 50.
    A review of other varieties with the same harvesting period 
indicated that Kay Glo was comparable to those varieties in its size 
ranges. Thus, the recommendation to place the Kay Glo nectarine variety 
in the variety-specific size regulation at a size 88 is appropriate. 
Historical variety data such as this provide the NAC with the 
information necessary to recommend the appropriate sizes at which to 
regulate various nectarine varieties.
    Paragraph (a)(3) of Sec. 916.356 continues in effect the revision 
to include the Grand Sun nectarine variety; paragraph (a)(4) continues 
in effect the revision to include the Arctic Star, Kay Glo, Prima 
Diamond II, and Prince Jim nectarine varieties; and paragraph (a)(6) in 
Sec. 916.356 continues in effect the revision to include the Arctic 
Pride, Arctic Sweet, Diamond Ray, Honey Kist, and Prime Diamond VII 
nectarine varieties.
    This rule also continues in effect the revision of Sec. 916.356 to 
remove seven nectarine varieties from the variety-specific size 
requirements specified in the section because less than 5,000 packages 
of each of these varieties were produced during the 1996 season. 
Paragraph (a)(4) of that section continues in effect the removal of the 
Mike Grand nectarine variety. Paragraph (a)(6) continues in effect the 
removal of the Early Sungrand, Nectarine 23, Prima Diamond, Prima 
Diamond III, Tasty Gold, and Tom Grand nectarine varieties.
    Paragraph (a)(4) of Sec. 916.356 continues in effect the revision 
to include the Arctic Glo and Red Glo nectarine varieties which were 
inadvertently removed from the variety-specific size requirement prior 
to the 1996 season.
    In a conforming change, paragraphs (a)(3) and (a)(4) of 
Sec. 916.356 also continue in effect the revision in the interim rule 
to correct the spelling of the Mayglo and Juneglo nectarine varieties, 
respectively. Paragraph (a)(6) continues in effect the revision to 
include the August Lion variety in place of the Red Lion variety.
    Nectarine varieties removed from the nectarine variety-specific 
list become subject to the non-listed variety size requirements 
specified in paragraphs (a)(7), (a)(8), and (a)(9) of Sec. 916.356.
    The NAC recommended these changes in the minimum size requirements 
based on a continuing review of the sizing and maturity relationships 
for these nectarine varieties, and consumer acceptance levels for 
various sizes of fruit. This rule

[[Page 50857]]

is designed to establish minimum size requirements for fresh nectarines 
consistent with expected crop and market conditions.

Peaches

    Section 917.459 specifies size requirements for fresh peaches in 
paragraphs (a)(2) through (a)(6), and paragraphs (b) and (c). This rule 
continues in effect the revision in the interim rule of Sec. 917.459 to 
establish variety-specific size requirements for nine peach varieties 
that were produced in commercially significant quantities of more than 
10,000 packages for the first time during the 1996 season.
    For example, one of the varieties added to the variety-specific 
size requirements is the August Lady variety. Studies of the size 
ranges attained by the August Lady variety revealed that no peaches of 
that variety met the smallest size, size 96, while 36 percent of the 
peaches of the August Lady variety met the largest size, size 30.
    A review of other varieties of the same harvesting period indicated 
that August Lady was comparable to those varieties in its size ranges. 
Thus, the recommendation to place the August Lady peach variety in the 
variety-specific size regulation at a size 72 is appropriate. 
Historical variety data such as this provide the PCC with the 
information necessary to recommend the appropriate sizes at which to 
regulate various peach varieties.
    In Sec. 917.459, current paragraph (a)(5) continues in effect the 
revision to include the Rich Mike, Sweet Gem, and Sweet Scarlet peach 
varieties; and current paragraph (a)(6) continues in effect the 
revision to include the August Lady, Autumn Flame, Red Sun, Scarlet 
Snow, Snow Diamond, Summer Zee, and Vista peach varieties.
    This rule also continues in effect the removal of one peach variety 
from the variety-specific size requirements specified in Sec. 917.459, 
because less than 5,000 packages of this variety were produced during 
the 1996 season. In Sec. 917.459, current paragraph (a)(5) continues in 
effect the revision to remove the Regina peach variety.
    In a conforming change, current paragraph (a)(6) of Sec. 917.459 
continues the revision in the interim rule to correct the spelling of 
one peach variety from ``Mary Ann'' to ``Mary Anne.''
    Peach varieties removed from the variety-specific list become 
subject to the non-listed variety size requirements specified in 
paragraphs (b) and (c) of Sec. 917.459.
    The PCC recommended these changes in the minimum size requirements 
based on a continuing review of the sizing and maturity relationships 
for these peach varieties, and the consumer acceptance levels for 
various sizes of fruit. This rule is designed to establish minimum size 
requirements for fresh peaches consistent with expected crop and market 
conditions.
    This rule reflects the committees' and the Department's appraisal 
of the need to revise the handling requirements for California 
nectarines and peaches, as specified. The Department's determination is 
that this rule will have a beneficial impact on producers, handlers, 
and consumers of California nectarines and peaches.
    This rule establishes handling requirements for fresh California 
nectarines and peaches consistent with expected crop and market 
conditions, and will help ensure that all shipments of these fruits 
made each season will meet acceptable handling requirements established 
under each of these orders. This rule will also help the California 
nectarine and peach industries provide fruit desired by consumers. This 
rule is designed to establish and maintain orderly marketing conditions 
for these fruits in the interest of producers, handlers, and consumers.
    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA), the Agricultural Marketing Service (AMS) has considered the 
economic impact of this action on small entities. Accordingly, AMS has 
prepared this final regulatory flexibility analysis.
    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.
    There are approximately 300 California nectarine and peach handlers 
subject to regulation under the orders covering nectarines and peaches 
grown in California, and about 1,800 producers of these fruits in 
California. Small agricultural producers have been defined by the Small 
Business Administration [13 CFR 121.601] as those having annual 
receipts of less than $500,000. Small agricultural service firms, which 
includes handlers, are defined as those whose annual receipts are less 
than $5,000,000. A majority of these handlers and producers may be 
classified as small entities.
    Under Secs. 916.52 and 917.41 of the orders, grade, size, maturity, 
container and pack requirements are established for fresh shipments of 
California nectarines and peaches. Such requirements are in effect on a 
continuing basis. This rule continues the revisions in the interim rule 
of requirements to: (1) authorize continued use of a container first 
used in 1996; (2) authorize shipments of ``CA Utility'' quality fruit 
during the 1997 season; (3) clarify container tolerances for containers 
of nectarines and peaches; and (4) revise varietal maturity and size 
requirements to reflect current growing conditions.
    Section 916.350, paragraph (c) and Sec. 917.442, paragraph (c) 
continue in effect the authority to use a recyclable, reusable plastic 
container during the 1997 season and beyond. This rule also continues 
in effect the authority to permit markings on such containers to be 
placed on the disposable lids rather than on the outside ends of the 
containers. Use of this container will continue to offer a cheaper and 
more environment-friendly alternative to currently-used disposable 
wooden and paper boxes. In addition, use of this container is advocated 
by retailers who desire to decrease their costs of disposing of packing 
boxes. Approximately 450,000 recyclable, reusable plastic boxes were 
used by handlers of nectarines and peaches during the 1996 season, 
representing more than 1 percent each of total nectarine shipments of 
19,561,227 boxes and peach shipments of 19,481,624 boxes.
    The increased use of this container is expected to result in 
decreased handling costs for handlers, and thereby improved returns to 
producers. Generally, under current industry practices, handlers' costs 
of packaging nectarines and peaches are passed on to producers by 
handlers via a deduction from total returns. Such costs include pre-
cooling of received fruit, costs of boxes, costs of packing materials, 
costs of palletizing packed boxes, cold storage, inspection costs, etc. 
A decrease in the cost of boxes, then, has the potential for decreased 
handling costs passed on to all producers.
    Under Secs. 916.350 and 917.442 of the regulations for nectarines 
and peaches, respectively, use of lower-quality ``CA Utility'' 
nectarines and peaches was authorized for the 1996 season only. This 
rule continues the revision in the interim rule to permit the continued 
use of ``CA Utility'' quality fruit for the 1997 season while further 
data is obtained. During the 1996 season, the Department authorized the 
use of nectarines and peaches which were of a lower quality than the 
minimum permitted for previous seasons. During 1996, there

[[Page 50858]]

were 210,443 boxes of nectarines and 365,761 boxes of peaches shipped 
as ``CA Utility,'' or 1.1 percent and 1.9 percent of nectarine and 
peach shipments, respectively. Continued availability of ``CA Utility'' 
quality fruit is expected to have a positive impact on producers, 
handlers, and consumers by permitting more nectarines and peaches into 
fresh market channels, without adversely impacting the market for 
higher quality fruit.
    This rule also continues the clarification in the interim rule of 
the container tolerances for nectarines and peaches. Under the orders, 
the container tolerances in the standards have been applied to 
nectarines and peaches, although the tolerances were not specifically 
included in the orders' rules and regulations. Thus, this is a 
clarifying change which will not impose any additional burdens on 
growers or handlers.
    Sections 916.356 and 917.442 for nectarines and peaches, 
respectively, currently establish minimum maturity levels. This rule 
continues in effect adjustments to the maturity requirements for 
several varieties of nectarines and peaches. Maturity requirements are 
based on maturity measurements generally using maturity guides (e.g., 
color chips). Such maturity guides provide producers and handlers with 
objective tools for measuring the maturity of different varieties of 
nectarines and peaches. Such maturity guides are reviewed annually to 
determine the appropriate guide for each nectarine and peach variety. 
These annual adjustments reflect changes in the maturity patterns of 
nectarines and peaches as experienced over the previous seasons' 
inspections. Adjustments in the guides ensure that fruit has met an 
acceptable level of ripeness, thus ensuring consumer satisfaction and 
benefitting nectarine and peach growers and handlers.
    Currently, in Secs. 916.356 and 917.459, minimum sizes for various 
varieties of nectarines and peaches are established. This rule 
continues in effect adjustments to the minimum sizes for various 
varieties of nectarines and peaches beginning with the 1997 season. 
Minimum size regulations are put in place to allow fruit to remain on 
the tree for a greater length of time. This increased growing time not 
only improves maturity, but also improves fruit size. Increased fruit 
size increases the number of packed boxes per acre to the benefit of 
both producers and handlers. Increased fruit size also provides greater 
consumer satisfaction and, therefore, more repeat purchases by 
consumers. Repeat purchases and consumer satisfaction benefit producers 
and handlers alike. Such adjustments to minimum sizes of nectarines and 
peaches are recommended each year by the NAC and PCC based upon 
historical data regarding sizes which the different varieties attain.
    This rule clarifies some of the orders' requirements and relaxes 
others. This action does not impose any additional reporting and 
recordkeeping requirements on either small or large handlers. As with 
all Federal marketing order programs, reports and forms are 
periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies.
    The Department has not identified any relevant Federal rules that 
duplicate, overlap, or conflict with this rule. However, as previously 
stated, nectarines and peaches under the orders have to meet certain 
requirements set forth in the standards issued under the Agricultural 
Marketing Act of 1946 (7 U.S.C. 1621 through 1627). Standards issued 
under the Agricultural Marketing Act of 1946 are otherwise voluntary.
    In addition, the committees' meetings were widely publicized 
throughout the nectarine and peach industries and all interested 
parties were invited to attend the meetings and participate in 
committee deliberations on all issues. Like all committee meetings, the 
December 4, 1996, meetings were public meetings and all entities, both 
large and small, were able to express views on these issues. The 
committees themselves are composed of producers, the majority of whom 
are small entities.
    The interim final rule regarding this action was issued on March 
24, 1997, and published in the Federal Register on April 1, 1997 (62 FR 
15355). That rule amended Secs. 916.350, 916.356, 917.442, and 917.459 
of the rules and regulations in effect under the orders. That rule 
provided a 30-day comment period which ended on May 1, 1997. One 
comment was received from the committees' Field Director.
    The comment was apparently based on a misreading of the application 
of tolerances in the U.S. Standards and suggested that the container 
tolerances for nectarines included in the interim final rule were 
greater than those recommended by the NAC. However, the commenter 
recommended that the container tolerances in the interim rule continue 
in effect unchanged, since revisions at this point would subject 
handlers of nectarines to changes in container tolerances in the middle 
of the shipping season. The comment further indicated that the NAC will 
likely review the nectarine container tolerances at the end of the 1997 
season and consider whether modifications are needed prior to the 1998 
season.
    The comment also noted three typographical errors in the interim 
final rule. The nectarine variety named ``May Fire'' should be spelled 
``Mayfire.'' Table 1 in Sec. 916.356 (a)(1) has been corrected 
accordingly.
    The name of a nectarine variety included in the variety-specific 
size requirements at Sec. 916.356(a)(6) has also been corrected from 
``White Jewels (Arctic Snow)'' to ``Arctic Snow (White Jewel).''
    Finally, the commenter noted that the spelling of ``Kingcrest'' 
should be changed to ``Kingscrest'' in references to that peach variety 
in Table 1 of paragraph (a)(1) and current paragraph (a)(5) of 
Sec. 917.459. Those corrections are made by this rule.
    The Department also noted a number of errors in the current text of 
Secs. 916.356 and 917.459 that are corrected by this rule. The primary 
corrections restore regulatory text that was inadvertently misnumbered 
or removed during previous rulemaking actions, move certain text to 
more appropriate locations, and delete obsolete language no longer 
needed. Specific changes are listed below.
    Paragraph (a)(1) of Sec. 916.356 is revised to include an exemption 
from a grade requirement pertaining to color for nectarine varieties 
lacking red blush or red color on the skins. This provision was 
inadvertently omitted from the regulatory text in a previous rule.
    Paragraphs (a)(1) of Secs. 916.356 and 917.459 are revised to move 
the maturity tables, which were misnumbered, to a new subparagraph 
(iv). This new subparagraph also contains introductory text pertaining 
to the maturity tables, which was misnumbered. Also, provisions 
pertaining to appeals of maturity determinations are relocated in a new 
subparagraph (v).
    In the interim final rule published in the Federal Register on 
April 1, 1997 (62 FR 15355), the new provisions pertaining to container 
tolerances were duplicatively numbered with the tolerances applicable 
to ``CA Utility'' quality nectarines and peaches. The latter tolerances 
are placed in subparagraphs (a)(1)(iii) of Secs. 916.356 and 917.459. 
In Sec. 916.356, current paragraph (c) is redesignated as paragraph 
(d), and the new container tolerances are moved to a new paragraph (c). 
In Sec. 917.459, current paragraph (e) is redesignated as paragraph 
(f), and the new container tolerances are moved to a new paragraph (e).

[[Page 50859]]

    As previously noted, the spelling of the ``Mayglo'' nectarine 
variety was corrected in paragraph (a)(3) of Sec. 916.356; this rule 
makes that correction in paragraph (a)(2) of that section as well.
    In Sec. 917.459, obsolete language pertaining to minimum sizes for 
peaches is removed. Current paragraphs (a)(2) and (a)(4) are removed 
and current paragraphs (a)(3), (a)(5), and (a)(6) are redesignated as 
(a)(2), (a)(3), and (a)(4). Conforming changes are made in paragraphs 
(b) and (c) of that section as well.
    After consideration of all relevant matter presented, including 
that contained in the interim final rule, as well as the committees' 
recommendations, the comment received, and other available information, 
it is found that this final rule, as hereinafter set forth, will tend 
to effectuate the declared policy of the Act.

List of Subjects

7 CFR Part 916

    Marketing agreements, Nectarines, Reporting and recordkeeping 
requirements.

7 CFR Part 917

    Marketing agreements, Peaches, Pears, Reporting and recordkeeping 
requirements.

    Accordingly, the interim final rule amending 7 CFR parts 916 and 
917 which was published at 62 FR 15355 on April 1, 1997, is adopted as 
a final rule with the following changes:

PART 916--NECTARINES GROWN IN CALIFORNIA

    1. The authority citation for 7 CFR part 916 continues to read as 
follows:

    Authority: 7 U.S.C. 601-674.

    2. Section 916.356 is amended by:
    (A) Revising paragraphs (a)(1) introductory text, and (a)(1)(iii);
    (B) Adding new paragraphs (a)(1)(iv), (a)(1)(v), and a new Table 1 
with a note immediately following it after paragraph (a)(1)(iv);
    (C) Removing the words ``May Glo'' and adding the word ``Mayglo'' 
in paragraph (a)(2);
    (D) Adding the words ``Arctic Snow (White Jewel)'' after the words 
``Arctic Queen'' and removing the words ``White Jewels (Arctic Snow)'' 
in paragraph (a)(6); and
    (E) Redesignating paragraph (c) as paragraph (d) and adding a new 
paragraph (c) to read as follows:


Sec. 916.356  California Nectarine Grade and Size Regulation.

    (a) * * *
    (1) Any lot or package or container of any variety of nectarines 
unless such nectarines meet the requirements of U.S. No. 1 grade: 
Provided, That nectarines 2 inches in diameter or smaller, shall not 
have fairly light-colored, fairly smooth scars which exceed an 
aggregate area of a circle \3/8\ inch in diameter, and nectarines 
larger than 2 inches in diameter shall not have fairly light-colored, 
fairly smooth scars which exceed an aggregate area of a circle \1/2\ 
inch in diameter: Provided further, That an additional tolerance of 25 
percent shall be permitted for fruit that is not well formed, but not 
badly misshapened: Provided further, That all varieties of nectarines 
which fail to meet the U.S. No. 1 grade only on account of lack of 
blush or red color due to varietal characteristics shall be considered 
as meeting the requirements of this subpart: Provided further, That 
during the period April 1 through October 31, 1997, any handler may 
handle nectarines if such nectarines meet ``CA Utility'' quality 
requirements. The term ``CA Utility'' means that not more than 30 
percent of the nectarines in any container meet or exceed the 
requirements of the U.S. No. 1 grade and that such nectarines are 
mature and are:
    (i) * * *
    (ii) * * *
    (iii) Tolerances. Not more than 10 percent, by count, of the 
nectarines in any one container may be below the requirements which are 
prescribed by this paragraph, including not more than 5 percent, by 
count, for any one defect, except split pits. An additional tolerance 
of 10 percent, by count, of the nectarines in any one container or bulk 
lot may contain nectarines affected with split pits. This means a total 
tolerance of 20 percent is allowed for all defects, including split 
pits, but not to exceed 15 percent for split pits alone.
    (iv) The Federal or Federal-State Inspection Service shall make 
final determinations on maturity through the use of color guides or 
such other tests as determined appropriate by the inspection agency. 
The Federal or Federal-State Inspection Service will use the maturity 
guides listed in Table 1 to paragraph (a)(1)(iv) in making maturity 
determinations for the specified varieties when inspecting to the 
``well matured'' level of maturity. For these varieties, not less than 
90 percent of any lot shall meet the color guide established for the 
variety, and an aggregate area of not less than 90 percent of the fruit 
surface shall meet the color guide established for the variety, except 
that for the Fairlane, Tom Grand, and 61-61 varieties of nectarines, 
not less than an aggregate area of 80 percent of the fruit surface 
shall meet the color guide established for the variety. For varieties 
not listed, the Federal or Federal-State Inspection Service will use 
such tests as it deems proper. A variance for any variety from the 
application of the maturity guides specified in Table 1 to paragraph 
(a)(1)(iv) may be granted during the season to reflect changes in crop, 
weather, or other conditions that would make the specified guides an 
inappropriate measure of ``well matured.''

                     Table 1 to Paragraph (a)(1)(iv)                    
------------------------------------------------------------------------
              Column A variety                 Column B maturity guide  
------------------------------------------------------------------------
Alshir Red.................................  J                          
Ama Lyn....................................  G                          
Apache.....................................  G                          
April Glo..................................  H                          
Arm King...................................  B                          
August Glo.................................  L                          
August Lion................................  J                          
August Red.................................  J                          
Aurelio Grand..............................  F                          
Autumn Delight.............................  L                          
Autumn Grand...............................  L                          
Big Jim....................................  J                          
Bob Grand..................................  L                          
Del Rio Rey................................  G                          
Earliglo...................................  I                          
Early Diamond..............................  J                          
Early May..................................  F                          
Early May Grand............................  H                          
Early Red Jim..............................  J                          
Early Sungrand.............................  H                          
Fairlane...................................  L                          
Fantasia...................................  J                          
Firebrite..................................  H                          
Flamekist..................................  L                          
Flaming Red................................  K                          
Flavor Grand...............................  G                          
Flavortop..................................  J                          
Flavortop I................................  K                          
Gold King..................................  H                          
Grand Diamond..............................  L                          
Grand Stan.................................  F                          
Independence...............................  H                          
July Red...................................  L                          
Juneglo....................................  H                          
June Grand.................................  G                          
Kay Diamond................................  L                          
Kent Grand.................................  L                          
King Jim...................................  L                          
Kism Grand.................................  J                          
Late Le Grand..............................  L                          
Late Red Jim...............................  J                          
Le Grand...................................  H                          
Maybelle...................................  F                          
May Diamond................................  I                          
Mayfire....................................  H                          
Mayglo.....................................  H                          
May Grand..................................  H                          
May Jim....................................  I                          
May Kist...................................  H                          
May Lion...................................  J                          

[[Page 50860]]

                                                                        
Mid Glo....................................  L                          
Mike Grand.................................  H                          
Moon Grand.................................  L                          
Niagara Grand..............................  H                          
Pacific Star...............................  G                          
P-R Red....................................  L                          
Red Diamond................................  L                          
Red Delight................................  I                          
Red Fred...................................  J                          
Red Free...................................  L                          
Red Glen...................................  J                          
Red Glo....................................  I                          
Red Grand..................................  H                          
Red Jim....................................  L                          
Red June...................................  G                          
Red May....................................  J                          
Regal Grand................................  L                          
Rio Red....................................  L                          
Rose Diamond...............................  J                          
Royal Delight..............................  F                          
Royal Giant................................  I                          
Royal Glo..................................  I                          
Ruby Diamond...............................  L                          
Ruby Grand.................................  J                          
Ruby Sun...................................  J                          
Scarlet Red................................  K                          
September Grand............................  L                          
September Red..............................  L                          
Sheri Red..................................  J                          
Sierra Star/181-119........................  G                          
Son Red....................................  L                          
Sparkling June.............................  L                          
Sparkling May..............................  J                          
Sparkling Red..............................  L                          
Spring Bright..............................  L                          
Spring Diamond.............................  L                          
Spring Grand...............................  G                          
Spring Red.................................  H                          
Spring Top.................................  B                          
Star Bright................................  G                          
Star Brite.................................  J                          
Star Grand.................................  H                          
Summer Beaut...............................  H                          
Summer Blush...............................  J                          
Summer Bright..............................  J                          
Summer Diamond.............................  L                          
Summer Fire................................  L                          
Summer Grand...............................  L                          
Summer Lion................................  L                          
Summer Red.................................  L                          
Summer Star................................  G                          
Sunburst...................................  J                          
Sun Diamond................................  I                          
Sunfre.....................................  F                          
Sun Grand..................................  G                          
Super Star.................................  G                          
Tasty Free.................................  J                          
Tasty Gold.................................  H                          
Tom Grand..................................  L                          
Zee Glo....................................  J                          
Zee Grand..................................  I                          
------------------------------------------------------------------------
Note: Consult with the Federal or Federal-State Inspection Service      
  Supervisor for the maturity guides applicable to the varieties not    
  listed in this table.                                                 

    (v) If a grower or handler believes his/her fruit is meeting the 
appropriate maturity level but the fruit has not been so graded by the 
inspector, he/she may appeal the inspection by calling the officer-in-
charge of the local Federal-State Inspection Service office to arrange 
for an on-site examination of the fruit.
* * * * *
    (c) Container tolerances. A package may contain not more than 
double any specified tolerance except that at least two defective 
specimens may be permitted in any package: Provided, That the averages 
for the entire lot are within the tolerances specified in this part.

PART 917--FRESH PEARS AND PEACHES GROWN IN CALIFORNIA

    3. The authority citation for 7 CFR part 917 continues to read as 
follows:
    4. Section 917.459 is amended by:
    (A) Revising paragraphs (a)(1) introductory text, and (a)(1)(iii);
    (B) Adding new paragraphs (a)(1)(iv) and (a)(1)(v), and a new Table 
1 with a note immediately following it following paragraph (a)(1)(iv);
    (C) Removing paragraph (a)(2) and redesignating paragraphs (a)(3), 
(a)(4), (a)(5) and (a)(6) as paragraphs (a)(2), (a)(3), (a)(4) and 
(a)(5);
    (D) Revising the introductory text of paragraphs (b) and (c);
    (E) Redesignating paragraph (e) as paragraph (f) and adding a new 
paragraph (e) to read as follows:


Sec. 917.459  California Peach Grade and Size Regulation.

    (a) * * *
    (1) Any lot or package or container of any variety of peaches 
unless such peaches meet the requirements of U.S. No. 1 grade: 
Provided, That an additional 25 percent tolerance shall be permitted 
for fruit with open sutures which are damaged, but not seriously 
damaged: Provided further, That during the period April 1 through 
November 23, 1997, any handler may handle peaches if such peaches meet 
``CA Utility'' quality requirements. The term ``CA Utility'' means that 
not more than 30 percent of the peaches in any container meet or exceed 
the requirements of the U.S. No. 1 grade and that such peaches are 
mature and are:
    (i) Free from insect injury which has penetrated or damaged the 
flesh; split pits which cause an unhealed crack or one or more healed 
cracks which, either singly or in the aggregate, are more than \1/2\ 
inch in length; and mold, brown rot, and decay; and
    (ii) * * *
    (iii) Tolerances. Not more than 10 percent, by count, of the 
peaches in any container may be below the requirements prescribed by 
this paragraph. Not more than one-half of this tolerance shall be 
allowed for any one cause. Individual containers in any lot may contain 
not more than one and one-half times the tolerances specified if the 
percentage of defects of the entire lot averages within the tolerances.
    (iv) The Federal or Federal-State Inspection Service shall make 
final determinations on maturity through the use of color chips or such 
other tests as determined appropriate by the inspection agency. The 
Federal or Federal-State Inspection Service will use the maturity 
guides listed in Table 1 to paragraph (a)(1)(iv) in making maturity 
determinations for the specified varieties when inspecting to the 
``well matured'' level of maturity. For these varieties, not less than 
90 percent of any lot shall meet the color guide established for the 
variety, and an aggregate area of not less than 90 percent of the fruit 
surface shall meet the color guide established for the variety. For 
varieties not listed, the Federal or Federal-State Inspection Service 
will use such tests as it deems proper. A variance for any variety from 
the application of the maturity guides specified in Table 1 to 
paragraph (a)(1)(iv) may be granted during the season to reflect 
changes in crop, weather, or other conditions that would make the 
specified inappropriate measure of ``well matured.''

                     Table 1 to paragraph (a)(1)(iv)                    
------------------------------------------------------------------------
              Column A variety                 Column B maturity guide  
------------------------------------------------------------------------
Angelus....................................  I                          
Ambercrest.................................  G                          
August Sun.................................  I                          
Autumn Crest...............................  I                          
Autumn Gem.................................  I                          
Autumn Lady................................  H                          
Autumn Rose................................  I                          
Belmont (Fairmont).........................  I                          
Berenda Sun................................  I                          
Blum's Beauty..............................  G                          
Cardinal...................................  G                          
Cal Red....................................  I                          
Carnival...................................  I                          
Cassie.....................................  H                          
Coronet....................................  E                          
Crimson Lady...............................  J                          
Crown Princess.............................  J                          
David Sun..................................  I                          
Diamond Princess...........................  J                          
Early Coronet..............................  D                          
Early Delight..............................  H                          
Early Elegant Lady.........................  L                          
Early May Crest............................  H                          
Early O'Henry..............................  I                          
Early Top..................................  G                          
Elberta....................................  B                          
Elegant Lady...............................  L                          
Fairtime...................................  G                          
Fancy Lady.................................  J                          
Fay Elberta................................  C                          

[[Page 50861]]

                                                                        
Fayette....................................  I                          
Fire Red...................................  I                          
First Lady.................................  D                          
Flamecrest.................................  I                          
Flavorcrest................................  G                          
Flavor Queen...............................  H                          
Flavor Red.................................  G                          
Franciscan.................................  G                          
Goldcrest..................................  H                          
Golden Crest...............................  H                          
Golden Lady................................  F                          
Honey Red..................................  G                          
John Henry.................................  J                          
July Elberta...............................  C                          
July Lady..................................  G                          
June Lady..................................  G                          
June Pride.................................  J                          
June Sun...................................  H                          
Kearney....................................  I                          
Kern Sun...................................  H                          
Kingscrest.................................  H                          
Kings Lady.................................  I                          
Kings Red..................................  I                          
Lacey......................................  I                          
Mary Anne..................................  G                          
May Crest..................................  G                          
May Lady...................................  G                          
May Sun....................................  I                          
Merrill Gem................................  G                          
Merrill Gemfree............................  G                          
O'Henry....................................  I                          
Pacifica...................................  G                          
Parade.....................................  I                          
Pat's Pride................................  D                          
Prima Lady.................................  J                          
Prime Crest................................  H                          
Queencrest.................................  G                          
Ray Crest..................................  G                          
Red Cal....................................  I                          
Red Dancer (Red Boy).......................  I                          
Redglobe...................................  C                          
Redhaven...................................  G                          
Red Lady...................................  G                          
Redtop.....................................  G                          
Regina.....................................  G                          
Rich Lady..................................  J                          
Rich May...................................  H                          
Rio Oso Gem................................  I                          
Royal Lady.................................  J                          
Royal May..................................  G                          
Ruby May...................................  H                          
Ryan Sun...................................  I                          
Scarlet Lady...............................  F                          
September Sun..............................  I                          
Sierra Crest...............................  H                          
Sierra Lady................................  I                          
Sparkle....................................  I                          
Springcrest................................  G                          
Spring Lady................................  H                          
Springold..................................  D                          
Sugar Lady.................................  J                          
Summer Lady................................  L                          
Summerset..................................  I                          
Suncrest...................................  G                          
Topcrest...................................  H                          
Tra Zee....................................  J                          
Willie Red.................................  G                          
Zee Lady...................................  L                          
------------------------------------------------------------------------
Note: Consult with the Federal or Federal-State Inspection Service      
  Supervisor for the maturity guides applicable to the varieties not    
  listed in this table.                                                 

    (v) If a grower or handler believes his/her fruit is meeting the 
appropriate maturity level but the fruit has not been so graded by the 
inspector, he/she may appeal the inspection by calling the officer-in-
charge of the local Federal-State Inspection Service office to arrange 
for an on-site examination of the fruit.
* * * * *
    (b) During the period April 1 through June 30 of each fiscal 
period, no handler shall handle any package or container of any variety 
of peaches not specifically named in paragraphs (a)(2), (a)(3) or 
(a)(4) of this section unless:
* * * * *
    (c) During the period July 1 through October 31 of each fiscal 
period, no handler shall handle any package or container of any variety 
of peaches not specifically named in paragraphs (a)(2), (a)(3) or 
(a)(4) of this section unless:
* * * * *
    (e) Container tolerances. The contents of individual packages in 
the lot are subject to the following limitations, provided the averages 
for the entire lot are within the tolerances specified in this part:
    (1) For packages which contain more than 10 pounds, and a tolerance 
of 10 percent or more is provided, individual packages shall have not 
more than one and one-half times the tolerance specified. For packages 
which contain more than 10 pounds and a tolerance of less than 10 
percent is provided, individual packages shall have not more than 
double the tolerance specified.
    (2) For packages which contain 10 pounds or less, individual 
packages are not restricted as to the percentage of defects.
* * * * *
    Dated: September 18, 1997.
Robert C. Keeney.
Director, Fruit and Vegetable Division.
[FR Doc. 97-25410 Filed 9-26-97; 8:45 am]
BILLING CODE 3410-02-U