[Federal Register Volume 67, Number 115 (Friday, June 14, 2002)]
[Proposed Rules]
[Pages 40879-40881]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-15059]


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

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 999

[Docket No. FV02-999-1 PR]


Specialty Crops, Import Regulations; Addition of a New Varietal 
Type to the Raisin Import Regulation

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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

SUMMARY: This rule would add Other-Seedless Sulfured raisins, along 
with quality requirements, to the raisin import regulation. The import 
regulation is authorized under section 8e of the Agricultural Marketing 
Agreement Act of 1937 (Act) and requires imports of raisins to meet the 
same or comparable grade and size requirements as those in effect under 
Federal Marketing Order No. 989 (order). The order regulates the 
handling of raisins produced from grapes grown in California. The 
regulations authorized under the domestic order were recently changed 
to add Other-Seedless Sulfured raisins, along with quality requirements 
for this varietal type. This is a new type of raisin being produced by 
some California industry members. This rule would bring the import 
regulation into conformity with the regulations for California raisins 
under the marketing Order.

DATES: Comments must be received by August 13, 2002.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this proposal. Comments must be sent to the Docket Clerk, 
Marketing Order Administration Branch, Fruit and Vegetable Programs, 
AMS, USDA, 1400 Independence Avenue SW., STOP 0237, Washington, DC 
20250-0237; Fax (202) 720-8938, or E-mail: [email protected]. 
All comments should reference the docket number and the date and page 
number of this issue of the Federal Register and will be made available 
for public inspection in the Office of the Docket Clerk during regular 
business hours, or can be viewed at: http://www.ams.usda.gov/fv/moab.html.

FOR FURTHER INFORMATION CONTACT: Maureen T. Pello, Senior Marketing 
Specialist, California Marketing Field Office, Marketing Order 
Administration Branch, Fruit and Vegetable Programs, AMS, USDA, 2202 
Monterey Street, suite 102B, Fresno, California 93721; telephone: (559) 
487-5901, Fax: (559) 487-5906; or George Kelhart, Technical Advisor, 
Marketing Order Administration Branch, Fruit and Vegetable Programs, 
AMS, USDA, 1400 Independence Avenue SW., STOP 0237, Washington, DC 
20250-0237; telephone: (202) 720-2491, Fax: (202) 720-8938.
    Small businesses may request information on complying with this 
regulation by contacting Jay Guerber, Marketing Order Administration 
Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 Independence 
Avenue SW., STOP 0237, Washington DC 20250-0237; telephone: (202) 720-
2491, Fax: (202) 720-8938, or E-mail: [email protected].

SUPPLEMENTARY INFORMATION: This proposed rule is issued under section 
8e of the Agricultural Marketing Agreement Act of 1937, as amended (7 
U.S.C. 601-674), hereinafter referred to as the ``Act,'' which provides 
that whenever certain specified commodities, including raisins, 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 commodity.
    The Department of Agriculture (USDA) 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.
    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.
    This rule would add a new varietal type to the raisin import 
regulation. This action would add Other Seedless-Sulfured raisins, 
along with quality requirements, to the import regulation. This action 
is necessary to bring the import regulation in line with the domestic 
marketing order. The order

[[Page 40880]]

regulates the handling of raisins produced from grapes grown in 
California.
    The domestic order provides authority for volume and quality 
regulations that are imposed by varietal type. Section 989.10 of the 
order defines the term ``varietal type'' to mean raisins generally 
recognized as possessing characteristics differing from other raisins 
in a degree sufficient to make necessary or desirable separate 
identification and classification. That section includes a list of 
varietal types, and provides authority for the Raisin Administrative 
Committee (RAC), with the approval of USDA, to change this list. A 
description of these varietal types, along with additional varietal 
types, is specified in Sec. 989.110 of the order's administrative rules 
and regulations.
    In August 2001, the RAC, which locally administers the order, 
recommended changing the domestic regulation to add a new varietal type 
of raisin. Some California industry members are marketing a new type of 
raisin that is made by dehydrating sulfured red seedless grapes. These 
raisins did not fit into any of the existing varietal types specified 
under the order prior to the issuance of the rulemaking action 
mentioned below. Such raisins are similar to the Other Seedless 
varietal type, except they have been sulfured. Such raisins are also 
similar to the Golden Seedless varietal type, but may not meet the 
color requirements for Golden Seedless raisins. Golden Seedless raisins 
are made from green seedless grapes and are mostly yellowish green to 
green amber in color when sulfured. Red seedless grapes typically vary 
in color when sulfured. Thus, the RAC recommended establishing a new 
varietal type, along with quality requirements, for Other Seedless-
Sulfured raisins. This action was published in the Federal Register on 
May 28, 2002 (67 FR 36789) and became effective on May 29, 2002.
    This rule would bring the raisin import regulation into conformity 
with the domestic order. This action would add Other Seedless-Sulfured 
raisins to the list of varietal types specified in Sec. 999.300(a)(2) 
of the raisin import regulation. This rule would also add Other 
Seedless-Sulfured raisins to Sec. 999.300(b)(1); thus, imports of such 
raisins would have to meet the same quality requirements in effect for 
such raisins domestically produced. USDA is not aware of any imports of 
this type of raisin at this time.
    Accordingly, imported lots of Other Seedless-Sulfured raisins would 
have to meet the requirements of U.S. Grade C as defined in the United 
States Standards for Grades of Processed Raisins (Secs. 52.1841 through 
52.1858) issued under the Agricultural Marketing Act of 1946 (7 U.S.C. 
1622 through 1624). At least 70 percent, by weight, of the raisins in a 
lot would have to be well-matured or reasonably well-matured. With 
respect to select-sized and mixed-sized lots, the raisins would have to 
at least meet the U.S. Grade B tolerances for pieces of stem and 
undeveloped and substandard raisins, and small (midget) sized raisins 
would have to meet the U.S. Grade C tolerances for those factors. 
Raisin importers would continue to be charged $47 per hour by USDA for 
inspecting the raisins.

Initial Regulatory Flexibility Analysis

    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 initial 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. Import regulations issued under 
the Act are based on those established under Federal marketing orders.
    There are approximately 75 importers of raisins. During the 2000-01 
season (August 2000 through September 2001), the dollar value of U.S. 
raisin imports totaled $12.2 million. During the 1999-2000 season, the 
value was $21.7 million. During the 1996-97 through 2000-01 seasons, 
the value of imports ranged from a low of $11.8 million in 1997-98 to a 
high of $29.6 million in 1998-99. Small agricultural service firms, 
which includes raisin importers, are defined by the Small Business 
Administration (13 CFR 121.201) as those having annual receipts of less 
than $5,000,000. A majority of importers may be classified as small 
entities.
    Mexico, Chile, Argentina, and the Republic of South Africa are the 
major raisin-producing countries exporting raisins to the United 
States. During the 2000-01 season, 11,631 metric tons of raisins were 
imported into the United States. Chile accounted for 4,841 metric tons, 
3,811 metric tons arrive for Mexico, 1,245 metric tons were imported 
from Argentina, and 1,245 metric tons arrived from the Republic of 
South Africa. Most of the remaining balance came from Iran, Turkey, and 
Pakistan. During the 1999-2000 season, 17,538 metric tons of raisins 
were imported. Of the tonnage, 6,076 metric tons came from Mexico, 
6,134 metric tons came from Chile, 2,436 tons arrived from Argentina, 
and 1,400 metric tons were from the Republic of South Africa. Most the 
remaining tonnage was imported from Afghanistan, Turkey, and Pakistan. 
During the 1996-97 through 2000-01 seasons, raisins imports ranged from 
a low of 10,390 metric tons in 1997-98 to a high of 25,337 metric tons 
in 1998-99.
    This rule would add Other Seedless-Sulfured raisins to the list of 
varietal types specified in Sec. 999.300(a)(2) of the raisin import 
regulation. This rule would also add Other Seedless-Sulfured raisins to 
Sec. 999.300(b)(1); thus, imports of such raisins would have to meet 
the same quality requirements in effect for such domestically produced 
raisins. Authority for these changes is provided in section 8e of the 
Act.
    Regarding the impact of this action on affected entities, this rule 
would bring the import regulation into conformity with the domestic 
regulation. The domestic regulation was changed on May 29, 2002 (67 FR 
36789) to add a varietal type, along with quality requirements, for 
Other Seedless-Sulfured raisins. This is a new type of raisin being 
produced by some members of the California raisin industry. 
Accordingly, under section 8e of the Act, imports of Other Seedless-
Sulfured raisins would have to meet the same quality requirements as 
the domestic product. Raisin importers would continue to be charged $47 
per ton by USDA for inspecting the raisins. As previously stated, USDA 
is not aware at this time of any imports of this type of raisin.
    With regards to alternatives, as previously stated, the Act 
requires that raisin imports meet the same or comparable grade and size 
requirements as those in effect under Federal Marketing Order No. 989.
    This rule would impose no additional reporting or recordkeeping 
requirements on either small or large raisin importers. Reports and 
forms required under the raisin import regulation are periodically 
reviewed to reduce information requirements and duplication by industry 
and public sector agencies. There are currently two forms required 
under the raisin import regulation. Forms 1 and 2 must be completed 
only for lots of raisins that do not meet applicable grade and size 
requirements and are going to be used in the

[[Page 40881]]

production of other products besides raisins. In accordance with the 
Paperwork Reduction Act of 1995 (44 U.S.C. chapter 35), the information 
collection requirements referenced herein have been approved by the 
Office of Management and Budget (OMB) under OMB. NO. 0581-0178. It is 
estimated that it takes importers of raisins about 15 minutes to 
complete Raisin Form No. 1, and processors of failing imported raisins 
about 15 minutes to complete Raisin Form No. 2. The total annual burden 
for Raisin Form Nos. 1 and 2, respectively, is 24 hours.
    Additionally, except for applicable domestic regulations, USDA has 
not identified any relevant Federal rules that duplicate, overlap, or 
conflict with this rule. However, as previously stated, imports of 
Other Seedless-Sulfured raisins must meet a modified U.S. Grade C as 
defined in the United States Standards for Grades of Processed Raisins 
(Secs. 52.1841 through 52.1858) issued under the Agricultural Marketing 
Act of 1946 (7 U.S.C. 1622 through 1624). Finally, all interested 
persons are invited to submit information on the regulatory and 
information impact of this action on small businesses.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/fv/moab.html. Any questions about the compliance 
guide should be sent to Jay Guerber at the previously mentioned address 
in the FOR FURTHER INFORMATION CONTACT section.
    In accordance with section 8e of the Act, the United States Trade 
Representative has concurred with the issuance of this proposed rule.
    This rule invites comments on adding Other Seedless-Sulfured 
raisins, along with quality requirements, to the raisin import 
regulation. A 60-day comment period is provided to allow interested 
persons to respond to this rule. All comments received will be 
considered prior to finalization of this rule.

List of Subjects in 7 CFR Part 999

    Dates, Filberts, Food grades and standards, Imports, Nuts, Prunes, 
Raisins, Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR part 999 is 
proposed to be amended to read as followed:

PART 999--SPECIALITY CROPS; IMPORT REGULATIONS

    1. The authority citation for 7 CFR part 999 continues to read as 
follows:

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

    2. In Sec. 999.300, paragraph (a)(2) and (b)(1) are revised to read 
as follows:


Sec. 999.300  Regulation governing importation of raisin.

    (a) * * *
    (2) Varietal type means the applicable one of the following: 
Thompson Seedless raisins, Muscat raisins, Layer Muscat raisins, 
Currant raisins, Monukka raisins, Other Seedless raisins, Golden 
Seedless raisins, and Other Seedless-Sulfured raisins.
* * * * *
    (b) * * *
    (1) With respect to Thompson Seedless and Other Seedless-Sulfured 
raisins --the requirements of U.S. Grade C as defined in the effective 
United States Standards of Grades of Processed Raisins (Secs. 52.1841 
through 52.1858 of this title): Provided, That, at least 70 percent, by 
weight, of the raisins shall be well-matured or reasonably well-
matured. With respect to select-sized and mixed-sized lots, the raisins 
shall at least meet the U.S. Grade B tolerances for pieces of stem and 
undeveloped and substandard raisins, and small (midget) sized raisins 
shall meet the U.S. Grade C tolerances for those factors;
* * * * *

    Dated: June 10, 2002.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 02-15059 Filed 6-13-02; 8:45 am]
BILLING CODE 3410-02-P