[Federal Register Volume 68, Number 156 (Wednesday, August 13, 2003)]
[Rules and Regulations]
[Pages 48251-48256]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-20688]



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  Federal Register / Vol. 68, No. 156 / Wednesday, August 13, 2003 / 
Rules and Regulations  

[[Page 48251]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 916 and 917

[Docket No. FV03-916-2 IFR-A]


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

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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

SUMMARY: This rule amends a prior interim final rule that revised the 
handling requirements for California nectarines and peaches beginning 
with 2003 season shipments. This amended rule revises the minimum net 
weight for five down Euro containers, exempts Peento type peaches from 
all weight-count standards applicable to round varieties, and clarifies 
the provisions on the use of variety names. The marketing orders 
regulate the handling of nectarines and peaches grown in California and 
are administered locally by the Nectarine Administrative and Peach 
Commodity Committees (committees). This amended rule would enable 
handlers to continue shipping fresh nectarines and peaches meeting 
consumer needs in the interests of producers, handlers, and consumers 
of these fruits.

DATES: Effective August 14, 2003. Comments received by September 12, 
2003 will be considered prior to issuance of any final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this rule. Comments must be sent to the Docket Clerk, 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 at 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: Terry Vawter, 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 rule is issued under Marketing 
Agreement Nos. 124 and 85, and Marketing Order Nos. 916 and 917 (7 CFR 
parts 916 and 917) regulating the handling of nectarines and peaches 
grown in California, respectively, 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 (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.
    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 USDA 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, USDA 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 USDA'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, lot stamping, grade, size, maturity, container, 
container marking, and pack requirements are established for fresh 
shipments of California nectarines and peaches. Such requirements are 
in effect on a continuing basis.
    This rule amends an interim final rule published in the Federal 
Register on April 9, 2003 (68 FR 17257). That rule, which was based on 
a unanimous recommendation from the committees made at meetings on 
December 3, 2002, changed the handling requirements under the orders by 
establishing a 31-pound minimum net weight for all five down Euro 
containers used by the industry, among other changes.
    This amended interim final rule is based upon recommendations from 
the Nectarine Administrative Committee (NAC) and the Peach Commodity 
Committee (PCC) at meetings on May 1, 2003. The vote on the 
recommendation by the NAC was 7 to 1 and the vote on the recommendation 
by the PCC was unanimous. This amended interim final rule also 
incorporates changes requested on May 27, 2003, by a commenter on the 
previous interim final rule.
    This amended rule revises the net weight for five down Euro 
containers as recommended by the NAC and PCC. In response to the 
comment received, this rule also exempts Peento type peaches from all 
round peach weight-count standards. In addition, this rule clarifies 
the provisions regarding how packages or containers must be marked with 
the name of the variety if known, and ``unknown variety'' when the 
variety is not known. This clarification is based on recommendations of 
the NAC and

[[Page 48252]]

PCC, although their recommendations that the term ``variety'' be 
defined is not adopted because this change should be implemented 
following notice and comment rule making procedures.
    The committees meet prior to and during each season to review the 
rules and regulations effective on a continuing basis for California 
nectarines and peaches under the orders. Committee meetings are open to 
the public and interested persons are encouraged to express their views 
at these meetings, such as the May 1, 2003 meetings. USDA 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 and Pack Requirements

    Sections 916.52 and 917.41 of the orders authorize establishment of 
container, pack, and marking requirements for shipments of nectarines 
and peaches, respectively. Under Sec. Sec.  916.350 and 917.442 of the 
orders, the specifications of container markings, net weights, well-
filled requirements, weight-count standards for various sizes of 
nectarines and peaches, and lists of standard containers are provided.
    The committees recommended that a revised minimum net weight be 
established for all ``five down'' boxes (commonly referred to as 
``Euro'' boxes) that are volume-filled. Currently, the minimum net 
weight requirement for ``five down'' boxes is 31 pounds, as established 
by the prior interim final rule. The committees have now recommended 
that the minimum net weight for five down containers be revised to 
include a 29-pound net weight for five down containers for the 2003 
season only.
    ``Five down'' boxes are containers that lay in a pattern of five 
containers per layer on each pallet. In other words, each layer of 
boxes on a pallet contains only five Euro boxes. Other container sizes 
and ``footprints'' may result in nine boxes per layer, etc.
    The committees met on May 1, 2003 and recommended that the current 
net weights for five down Euro containers be revised to include both a 
29-pound box and a 31-pound box. The 29-pound box will be permitted for 
the 2003 season only, after which time the Grade and Size Subcommittee 
will review the results from the season and make a recommendation to 
establish either a 29-pound box or a 31-pound box or other appropriate 
weight.
    Containers used in the nectarine and peach industry have largely 
resulted from retailer demands. Many retailers want all of their 
suppliers to provide them with commodities in containers of the same 
footprint (length and width dimensions), thereby creating consistency 
and ease of transportation, storage, etc., for the retailer. Euro 
containers meet those demands, but require the industry to make changes 
in pack styles and package weights to conform to the evolving demands 
of the retail sector.
    This recommendation resulted from a request by a handler who wanted 
to respond to a demand from one of his larger retail customers. The 
customer wanted volume-filled containers of nectarines and peaches of 
the same weight as tray-packed containers, which currently weigh 29 
pounds.
    At the meeting, the handler advised the committees that the current 
minimum net weight of 31 pounds for volume-filled Euro containers is 
not flexible enough to afford him the opportunity to meet the demands 
of his buyer.
    Nectarines: For the reasons stated above, paragraph (a)(8) of Sec.  
916.350 is revised to include a 29-pound net weight for all volume-
filled, five down Euro containers of nectarines, in addition to the 
current 31 pounds. The 29-pound container will be permitted during the 
2003 season only. At the end of the 2003 season, the committees will 
recommend either a 29-pound, 31-pound container, or other appropriate 
weight. The container markings shall be placed on one outside end of 
the container in plain sight and in plain letters.
    Peaches: For the reasons stated above, paragraph (a)(9) of Sec.  
917.442 is revised to include a 29-pound net weight for all volume-
filled, five down Euro containers of peaches, in addition to the 
current 31 pounds. The 29-pound container will be permitted during the 
2003 season only. At the end of the 2003 season, the committees will 
recommend either a 29-pound, 31-pound container, or other appropriate 
weight. The markings shall be placed on one outside end of the 
container in plain sight and in plain letters.

Weight-Count Standards for Peaches

    Under the requirements of Sec.  917.41 of the order, containers of 
peaches are required to meet weight-count standards for a maximum 
number of peaches in a 16-pound sample when such peaches, which may be 
packed in tray-packed containers, are converted to volume-filled 
containers. Under Sec.  917.442 of the order's rules and regulations, 
weight-count standards are established for all varieties of peaches as 
TABLES 1, 2, and 3 of paragraph (a)(5)(iv).
    According to the PCC, the Peento type peaches were initially packed 
in trays because they were marketed as a premium variety, whose value 
justified the added packing costs. However, as the volume has 
increased, the value of this peach has diminished in the marketplace, 
and some handlers converted their tray-packed containers of Peento type 
peaches to volume-filled containers.
    Prior to the 2002 season, weight-count standards established for 
peaches and nectarines were developed solely for round fruit. Peento 
type peaches are shaped like donuts, and weight-count standards for 
round fruit were inappropriate. In an effort to standardize the 
conversion from tray-packed containers to volume-filled containers for 
Peento type peaches, the committee staff conducted weigh-count surveys 
to determine the most optimum weight-counts for the varieties at 
varying fruit sizes.
    As a result of those surveys, a new weight-count table applicable 
to only the Peento type peaches was added for the 2002 season and 
amended for the 2003 season. The new weight-count tables accommodate 
very large Peento type peaches that were not previously converted from 
tray-packs to volume-filled containers, but were being packed in 
volume-filled containers and required weight-count standards 
specifically for those sizes.
    However, Peento peaches, which are subject to weight-count 
standards in TABLE 3 of paragraph (a)(5)(iv) in Sec.  917.442, were not 
exempted from weight-count standards in the non-listed variety size 
requirements specified in paragraphs (b)(3) and (c)(3) of Sec.  
917.459, according to the commenter. This was an inadvertent omission 
in the previous interim final rule and requires this conforming change 
in this amended interim final rule. Therefore, the words ``except for 
Peento type peaches'' will be added at the end of paragraphs (b)(3) and 
(c)(3) of Sec.  917.459.

Variety Nomenclature

    In Sec. Sec.  916.350 and 917.442 of the orders' rules and 
regulations, specifications of container markings, net weights, well-
filled requirements, weight-count standards for various sizes of fruit, 
and lists of standard containers are provided.
    In Sec. Sec.  916.356 and 917.459 of the orders' rules and 
regulations, specifications of grade, maturity, and size regulations 
for nectarines and peaches, respectively, are provided for

[[Page 48253]]

each variety by the variety's name. These variety-specific requirements 
are applied based upon the name of the variety, the size each variety 
is known to attain, the appropriate maturity guide (e.g., color chip) 
for the variety, and the historic harvest period specific to each named 
variety.
    In Sec. Sec.  916.60 and 917.50, handlers are required to report on 
shipments of nectarines and peaches. Sections 916.160 and 917.178 of 
the orders' rules and regulations specify the types of reports that 
handlers must file with the committees. Among the requirements, 
handlers must report the total shipments of nectarines and peaches by 
variety by November 15 of each year.
    Thus, ensuring that each variety is regulated and reported on using 
the appropriate name is important to the operation of the nectarine and 
peach marketing orders.
    Some handlers are using trademark names in place of the variety 
name. Thus, inspection service may not be able to provide appropriate 
inspection for a variety with an unfamiliar name. Accordingly, 
paragraphs (a)(2) of Sec. Sec.  916.350 and 917.442 are amended by 
adding that a marketing name, trademark or brand name may be associated 
with the variety name, but cannot be substituted for a variety name.
    This amended 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 each season meet the handling requirements established under 
each of these orders. This amended rule will also help the California 
nectarine and peach industries continue to provide fruit desired by 
consumers. This amended rule is designed to establish and maintain 
orderly marketing conditions for these fruit in the interests of 
producers, handlers, and consumers.

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.
    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 service firms, which include handlers, 
are defined by the Small Business Administration [13 CFR 121.201] as 
those whose annual receipts are less than $5,000,000. Small 
agricultural producers are defined by the Small Business Administration 
as those having annual receipts of less than $750,000. A majority of 
these handlers and producers may be classified as small entities.
    The committees' staff has estimated that there are less than 20 
handlers in the industry who could be defined as other than small 
entities. For the 2002 season, the committees' staff estimated that the 
average handler price received was $9.00 per container or container 
equivalent of nectarines or peaches. A handler would have to ship at 
least 556,000 containers to have annual receipts of $5,000,000. Given 
data on shipments maintained by the committees' staff and the average 
handler price received during the 2002 season, the committees' staff 
estimates that small handlers represent approximately 94 percent of all 
the handlers within the industry.
    The committees' staff has also estimated that less than 20 percent 
of the producers in the industry could be defined as other than small 
entities. For the 2002 season, the committees' estimated the average 
producer price received was $4.00 per container or container equivalent 
for nectarines and peaches. A producer would have to produce at least 
187,500 containers of nectarines and peaches to have annual receipts of 
$750,000. Given data maintained by the committees' staff and the 
average producer price received during the 2002 season, the committees' 
staff estimates that small producers represent more than 80 percent of 
the producers within the industry. With an average producer price of 
$4.00 per container or container equivalent, and a combined packout of 
nectarines and peaches of 45,354,000 containers, the value of the 2002 
packout level is estimated to be $181,416,000. Dividing this total 
estimated grower revenue figure by the estimated number of producers 
(1,800) yields an estimate of average revenue per producer of about 
$101,000 from the sales of peaches and nectarines.
    This rule amends a prior interim final rule that changed the 
handling requirements under the orders. The prior interim final rule 
was published in the Federal Register on April 9, 2003 (68 FR 17257). 
That rule modified Sec. Sec.  916.115, 916.350, 916.356, 917.150, 
917.442, and 917.459, which regulate handling of nectarines and 
peaches, respectively, under the orders.
    In addition, this interim final rule revises the net weight for 
five down Euro containers, exempts Peento type peaches from all round 
variety weight-count standards, and clarifies provisions relating to 
the use of variety names.
    Under Sec. Sec.  916.52 and 917.41 of the orders, grade, size, 
maturity, container, container marking, and pack requirements are 
established for fresh shipments of California nectarines and peaches, 
respectively. Such requirements are in effect on a continuing basis. 
The NAC and PCC met on May 1, 2003, and recommended that these handling 
requirements be revised for the 2003 season. These recommendations had 
been presented to the committees by the Stone Fruit Grade and Size 
Subcommittee, which is charged with review and discussion of such 
changes.
    The Stone Fruit Grade and Size Subcommittee discussed the 31-pound 
net weight requirement for volume-filled five down Euro containers at 
its meeting on April 8, 2003. At that time, one handler advised that 
the current net weight of 31 pounds is not flexible enough to afford 
him the opportunity to meet the demands of his buyers. The handler 
noted that one large customer has begun demanding volume-filled boxes 
of nectarines and peaches in a 29-pound box rather than a 31-pound box, 
which makes the volume-filled container weight consistent with the 
tray-packed container weight. The handler added that he was unable to 
provide what his customer wanted, given that the current requirements 
limit him to a box with a 31-pound minimum weight. In the absence of 
change, the handler would be forced to ship 31 pounds to the customer, 
and risk receiving payment for only the 29 pounds the customer wanted.
    The subcommittee agreed that the 31-pound box did not provide 
enough flexibility for all handlers and unanimously recommended that 
the minimum 31-pound requirement for volume-filled containers be 
revised. The alternative would have meant that this handler at least 
would have been unable to meet the demands of a buyer without pricing 
considerations. In an effort to enhance each handler's ability to 
provide what the market demands, such an alternative was unacceptable.

[[Page 48254]]

    The NAC and PCC discussed the subcommittee's recommendation at 
their meeting on May 1, 2003. They debated the value of simply making 
29 pounds the sole minimum net weight for volume-filled Euro 
containers, but opted to maintain the 31-pound container and add the 
29-pound container for the 2003 season, contingent upon review at the 
end of the season by the Grade and Size Subcommittee. At that time, the 
subcommittee is expected to recommend only one net weight for five 
down, volume-filled Euro containers of nectarines and peaches for the 
2004 season.
    The NAC voted 7 in favor and one opposed to this recommendation, 
while the PCC voted unanimously in favor of the recommendation. The NAC 
member opposed to the recommendation noted that additional box styles 
are costly to the industry and should be avoided, if possible. However, 
the large majority of committee members disagreed, opting instead to 
take steps to be responsive to buyers.

Weight-counts for Peento Type Peaches

    Section 917.442 also establishes minimum weight-count standards for 
containers of peaches. Under these requirements, containers of peaches 
are required to meet weight-count standards for a maximum number of 
peaches in a 16-pound sample when such peaches are packed in a tray-
packed container. Those same maximum numbers of peaches are also 
applicable to volume-filled containers, based upon the tray-packed 
standard. The weight-count standard was developed so handlers may 
convert tray-packed peaches to volume-filled containers and be assured 
that fruit of a specific size in the volume-filled container will be 
the same as that in the tray-packed container.
    When Peento type peach varieties were first introduced and 
marketed, they were generally tray-packed because they were a novel and 
premium product. As production has increased, the value of the 
varieties has diminished in the marketplace, and some handlers have 
converted their tray-packed containers of Peento type peaches to 
volume-filled containers. Weight-count standards provide a basis for 
volume filling containers of other varieties of peaches. Currently, 
Peento type peaches are regulated under a new table of weight-count 
standards applicable to only these uniquely-shaped peaches.
    However, due to an inadvertent omission, Peento type peaches were 
not exempted from the weight-count standards for round peaches in the 
non-listed (blanket) variety sizes in paragraph (b)(3) and (c)(3) of 
Sec.  917.459, as noted by the commenter. Thus, under the rules and 
regulations in the orders, varieties of Peento type peaches that are 
not regulated by name would be regulated by date of harvest in the 
blanket regulations. To correct that omission, the words ``except 
Peento type peaches'' will be added to the end of each of those 
paragraphs, in response to the concerns of the commenter.
    The alternative to this conforming change would be to have Peento 
type peaches in non-listed variety sizes subject to the same weight-
count standards assigned to round varieties, treating these Peento type 
peaches differently than other varieties of Peento type peaches. 
Clearly, that is not an acceptable alternative, given that these donut-
shaped peaches cannot meet the requirements established for round 
peaches, and require their own weight-count standards.
    The Grade and Size Subcommittee also discussed the issue of variety 
nomenclature at its meeting on April 8, 2003. Several members expressed 
concern that use of different marketing names by different handlers for 
the same variety was causing mismarking situations, which affect 
inspections, size and maturity assignments, and data collection. The 
current regulations require that containers bear the name of the 
variety. This is clarified by adding that trademarks, marketing names, 
and brand names may be associated with the variety name, but cannot be 
substituted for the variety name. This is expected to foster consistent 
variety identification within the industries, and uniform application 
of maturity and size requirements.
    The committees voted unanimously to define ``variety'' as part of 
the orders' rules and regulations and to specify more detailed 
identification requirements. A commenter also recommended changes to 
the names of several peach varieties to bring them into conformity with 
the recommendations of the PCC. However, because these recommendations 
limit how handlers must identify the variety names, USDA plans to issue 
a proposed rule on these recommendations. USDA recognizes that there 
may be a need for consistency in naming the various peach and nectarine 
varieties to prevent misleading variety markings, but believes that 
notice and comment rulemaking, rather than an interim final rule, 
should be used for implementing such changes.
    The committees make recommendations regarding all the revisions in 
handling requirements after considering all available information, 
including recommendations by various subcommittees, comments of persons 
at subcommittee meetings, and comments received by committee staff. 
Such subcommittees include the Stone Fruit Grade and Size Subcommittee, 
the Inspection and Compliance Subcommittee, and the Executive 
Committee.
    At the meetings, the impact of and alternatives to these 
recommendations are deliberated. These subcommittees, like the 
committees themselves, frequently consist of individual producers and 
handlers with many years of experience in the industry who are familiar 
with industry practices and trends. Like all committee meetings, 
subcommittee meetings are open to the public and comments are widely 
solicited. In the case of the Stone Fruit Grade and Size Subcommittee, 
many growers and handlers who are affected by the issues discussed by 
the subcommittee attend and actively participate in the public 
deliberations. In addition, minutes of all subcommittee meetings are 
distributed to committee members and others who have requested them, 
thereby increasing the availability of information within the industry.
    Each of the recommended handling requirement changes for the 2003 
season is expected to generate financial benefits for producers and 
handlers through increased fruit sales, compared to the situation that 
would exist if the changes were not adopted. Both large and small 
entities are expected to benefit from the changes, and the costs of 
compliance are not expected to be substantially different between large 
and small entities.
    This rule 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.
    USDA 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 CFR 1621 et seq.). Standards issued under the 
Agricultural Marketing Act of 1946 are otherwise voluntary.
    In addition, the committees' meetings are widely publicized 
throughout the nectarine and peach industry and all interested parties 
are encouraged to attend and participate in committee

[[Page 48255]]

deliberations on all issues. Like all committee meetings, the May 1, 
2003, meetings were public meetings, and entities of all sizes were 
encouraged to express views on these issues. These regulations were 
also reviewed and thoroughly discussed at a subcommittee meeting held 
on April 8, 2003. Finally, interested persons are invited to submit 
information on the regulatory and informational impacts 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 the 
following Web site: 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.
    As stated previously, an interim final rule regarding changes to 
the handling requirements for nectarines and peaches grown in 
California was published in the Federal Register on April 9, 2003 (68 
FR 17257). A 60-day comment period was provided to allow interested 
persons to respond to the rule. Committee staff provided copies of the 
rule to all committee members. In addition, the rule was made available 
through the Internet by the Office of the Federal Register and USDA. 
One comment was received, as noted, and has been addressed herein.
    This amended interim final rule invites further comments on changes 
to the handling requirements currently prescribed under the marketing 
orders for California fresh nectarines and peaches. Any comments 
received will be considered prior to finalization of this rule.
    Thirty days are provided for interested persons to submit comments. 
A period of 30 days is deemed appropriate because 2003 crop shipments 
are now being made and the changes made by interim final rule and this 
amended interim final rule should be finalized by the end of the 
shipping season. The nectarine shipping season ends at the end of 
October, and the peach season ends in late November.
    After consideration of all relevant matters presented, the 
information and recommendations submitted by the committees, and other 
information, it is found that this amended interim final rule, as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.
    Pursuant to 5 U.S.C. 553, it is also found and determined, upon 
good cause, that it is impracticable, unnecessary, and contrary to the 
public interest to give preliminary notice prior to putting this rule 
into effect, and that good cause exists for not postponing the 
effective date of this rule until 30 days after publication in the 
Federal Register because: (1) California nectarine and peach producers 
and handlers should be apprised of this rule as soon as possible, since 
shipments of these fruits have already begun; (2) the committees 
recommended these changes at public meetings and interested persons had 
opportunities to provide input at these meetings; (3) these changes are 
relaxations; and (4) the rule provides a 30-day comment period, and any 
written comments timely received will be considered prior to any 
finalization of this interim final rule.

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.


0
For the reasons set forth in the preamble, 7 CFR parts 916 and 917 are 
amended as follows:

PART 916--NECTARINES GROWN IN CALIFORNIA

0
1. The authority citation for 7 CFR parts 916 and 917 continues to read 
as follows:

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

0
2. Section 916.350 is amended by:
0
A. Revising paragraph (a)(2), and
0
B. Revising paragraph (a)(8) to read as follows:


Sec.  916.350  California nectarine container and pack regulation.

    (a) * * *
    (2) Each package or container of nectarines shall bear, on one 
outside end in plain sight and in plain letters, the word 
``nectarines'' and, except for consumer packages in master containers 
and consumer packages mailed directly to consumers, the name of the 
variety, if known, or, when the variety name is not known, the words 
``unknown variety.'' A marketing name, trade mark, or brand name may be 
associated with the variety name, but cannot be substituted for the 
variety name.
* * * * *
    (8) Each five down Euro container of loose-filled nectarines shall 
bear on one outside end in plain sight and in plain letters the words 
``31 pounds net weight,'' except for the 2003 season only, such 
containers may instead be marked with the words ``29 pounds net 
weight.''
* * * * *

PART 917--FRESH PEARS AND PEACHES GROWN IN CALIFORNIA

0
3. Section 917.442 is amended by:
0
A. Revising paragraph (a)(2); and
0
B. Revising paragraph (a)(9) to read as follows:


Sec.  917.442  California peach container and pack regulation.

    (a) * * *
    (2) Each package or container of peaches shall bear, on one outside 
end in plain sight and in plain letters, the word ``peaches'' and, 
except for consumer packages in master containers and consumer packages 
mailed directly to consumers, the name of the variety, if known, or, 
when the variety is not known, the words ``unknown variety.'' A 
marketing name, trademark, or brand name may be associated with the 
variety name, but cannot be substituted for the variety name.
* * * * *
    (9) Each five down Euro container of loose-filled peaches shall 
bear on one outside end in plain sight and in plain letters the words 
``31 pounds net weight,'' except for the 2003 season only, such 
containers may instead be marked with the words ``29 pounds net 
weight.''
* * * * *

0
4. Section 917.459 is amended by:
0
A. Revising paragraph (b)(3); and
0
B. Revising paragraph (c)(3) to read as follows:


Sec.  917.459  California peach grade and size regulation.

* * * * *
    (b) * * *
    (3) Such peaches in any container when packed other than as 
specified in paragraphs (b)(1) and (b)(2) of this section are of a size 
that a 16-pound sample, representative of the peaches in the package or 
container, contains not more than 96 peaches, except for Peento type 
peaches.
* * * * *
    (c) * * *
    (3) Such peaches in any container when packed other than as 
specified in paragraphs (c)(1) and (c)(2) of this section are of a size 
that a 16-pound sample, representative of the peaches in the package or 
container, contains not more than 73 peaches, except for Peento type 
peaches.
* * * * *


[[Page 48256]]


    Dated: August 8, 2003.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 03-20688 Filed 8-8-03; 4:36 pm]
BILLING CODE 3410-02-P