[Federal Register Volume 89, Number 123 (Wednesday, June 26, 2024)]
[Rules and Regulations]
[Pages 53339-53346]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-13584]



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 Rules and Regulations
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  Federal Register / Vol. 89, No. 123 / Wednesday, June 26, 2024 / 
Rules and Regulations  

[[Page 53339]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 51

[Doc. No. AMS-SC-21-0039]


U.S. Grade Standards for Pecans in the Shell and Shelled Pecans

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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

SUMMARY: The Agricultural Marketing Service (AMS) is revising the U.S. 
Standards for Grades of Pecans in the Shell and the U.S. Standards for 
Grades of Shelled Pecans by replacing the current grades with U.S. 
Extra Fancy, U.S. Fancy, U.S. Choice, and U.S. Standard grades. In 
addition, AMS is updating terminology, definitions, and defect scoring 
guides.

DATES: Effective July 26, 2024.

FOR FURTHER INFORMATION CONTACT: Olivia L. Banks, USDA, Specialty Crops 
Inspection Division, 100 Riverside Parkway, Suite 101, Fredericksburg, 
VA 22406; by phone (540) 361-1120; fax (540) 361-1199; or, email 
[email protected]. Copies of the revised U.S. Standards for Grades 
for Pecans in the Shell and U.S. Standards for Grades of Shelled Pecans 
are available at http://www.ams.usda.gov/nuts.

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
amends regulations at 7 CFR part 51 issued under the Agricultural 
Marketing Act of 1946 (7 U.S.C. 1621-1627), as amended. These revisions 
do not affect the Federal marketing order, 7 CFR part 986, (Marketing 
Order 986) issued under the Agricultural Marketing Agreement Act of 
1937 (7 U.S.C. 601-674) or applicable imports.

Executive Orders 12866, 13563, and 14094

    AMS is issuing this rule in conformance with Executive Orders 
12866, 13563, and 14094. Executive Orders 12866 and 13563 direct 
agencies to assess all costs and benefits of available regulatory 
alternatives and, if regulation is necessary, to select regulatory 
approaches that maximize net benefits (including potential economic, 
environmental, public health and safety effects, distributive impacts, 
and equity). Executive Order 13563 emphasizes the importance of 
quantifying both costs and benefits, reducing costs, harmonizing rules, 
and promoting flexibility. Executive Order 14094 reaffirms, 
supplements, and updates Executive Order 12866 and further directs 
agencies to solicit and consider input from a wide range of affected 
and interested parties through a variety of means. This action falls 
within a category of regulatory actions that the Office of Management 
and Budget (OMB) has exempted from review under Executive Order 12866.

Executive Order 13175

    This rule has been reviewed under Executive Order 13175--
Consultation and Coordination with Indian Tribal Governments, which 
requires agencies to consider whether their rulemaking actions would 
have Tribal implications.
    AMS has determined that this rule is unlikely to have substantial 
direct effects on one or more Indian Tribes, on the relationship 
between the Federal Government and Indian Tribes, or on the 
distribution of power and responsibilities between the Federal 
Government and Indian Tribes.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988--Civil 
Justice Reform. This action is not intended to have retroactive effect. 
There are no administrative procedures that must be exhausted prior to 
any judicial challenge to the provisions of this rule.

Background

    AMS continually reviews fruit and vegetable grade standards to 
ensure their effectiveness in the industry and to modernize language.
    On June 12, 2020, the American Pecan Council (APC) petitioned AMS 
to revise the U.S. Standards for Grades of Pecans in the Shell and the 
U.S. Standards for Grades of Shelled Pecans (standards). The APC was 
established by, and is regulated under, the Federal marketing order for 
the pecan industry, Marketing Order 986, and represents all 15 major 
U.S. pecan-growing states.
    The APC noted that the pecan standards have not been substantially 
updated since 1969 and the terminology of the standards no longer 
reflect current industry descriptions and practices. The National Pecan 
Shellers Association (NPSA) directed the initiative to update the 
standards for the APC. The APC voted unanimously to submit their 
proposed revisions to the AMS. AMS and the APC have since collaborated 
to refine the revisions.
    The changes to the standards will replace current grades with new 
ones, revise scoring guides for defects, create new sizes, and revise 
definitions. AMS revised the U.S. Standards for Grades of Pecans in the 
Shell and the U.S. Standards for Grades of Shelled Pecans by replacing 
the current grades with U.S. Extra Fancy, U.S. Fancy, U.S. Choice, and 
U.S. Standard grades. These changes represent current industry 
descriptions and practices.
    These revisions do not affect Marketing Order 986 or applicable 
imports since there are no grade, size, or quality standards currently 
applied under the marketing order.
    The first proposed rule was published in the Federal Register of 
June 1, 2022, (87 FR 33064) inviting comments on the proposed revisions 
to the U.S. Standards for Grades of Pecans in the Shell and the U.S. 
Standards for Grades of Shelled Pecans. The public was invited to 
review and comment on the proposed rule, which was to be accompanied by 
copies of the proposed standards on https://www.regulations.gov.
    On June 28, 2022, AMS noted that the proposed U.S. Standards for 
Grades of Pecans in the Shell and the U.S. Standards for Grades of 
Shelled Pecans failed to upload to https://www.regulations.gov, 
however, the supporting documents were uploaded to https://www.regulations.gov on that date. To provide all interested persons a 
full 60-day comment period to view copies of the proposed standards and 
facilitate review of the proposed rule, AMS extended the public comment 
period by 30 days (87 FR 48091) to

[[Page 53340]]

September 7, 2022. To pursue clarification and based on the feedback 
AMS received during the comment period, Specialty Crop Inspection 
Division (SCI) invited interested parties to meet on February 28, 2023, 
and May 2, 2023, to provide an opportunity to clarify language and 
discuss specific sections of the proposed standards to ensure there are 
no misinterpretations on how any proposed language would be applied 
before moving forward with this rulemaking. Based on comments received, 
SCI refined the language in the standards.
    A second proposed rule was published in the Federal Register on 
October 11, 2023, (88 FR 70379) providing a 60-day comment period on 
these changes to the proposed revisions to the U.S. Standards for 
Grades of Pecans in the Shell and the U.S. Standards for Grades of 
Shelled Pecans. The public was invited to review and comment on the 
proposed rule, which was accompanied by copies of the proposed 
standards on https://www.regulations.gov.

Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), AMS has considered the economic impact of 
this rule 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 
businesses subject to such actions so that small businesses will not be 
unduly or disproportionately burdened.
    The Small Business Administration (SBA) defines small growers 
engaging in tree nut farming as those having annual receipts of no more 
than $3.75 million (NAICS Code 111335)(13 CFR 121.201). Handlers, which 
can be defined as those engaging in postharvest crop activities (except 
cotton-ginning), have a small business size standard of annual receipts 
not exceeding $34 million (NAICS Code 115114)(13 CFR 121.201).\1\
---------------------------------------------------------------------------

    \1\ Version December 2022 size standards.
---------------------------------------------------------------------------

    In the 2017 Census of Agriculture, the most recent to date, the 
National Agricultural Statistics Service (NASS) reports that of the 
19,008 pecan farms counted nationwide, 440 of them had annual sales 
valued at $1 million or more. This means that 18,568 pecan farms, or 98 
percent of the census, had annual receipts of less than $1 million. As 
the threshold for meeting the definition of a small business, per the 
SBA, is $3.75 million, nearly four-times the $1 million maximum 
reported by NASS, the portion of pecan farms that may be considered 
small by the SBA standard is likely even higher than 98 percent.
    According to the Census Bureau, there were 910 firms classified as 
those engaging in postharvest crop activities (except cotton-ginning) 
in 2017. Total sales for all 910 firms were valued at more than $6.4 
billion. The Census Bureau survey \2\ which yielded these results for 
2017 is the most recent to date. The APC estimates that there are 115 
handlers subject to regulation under Marketing Order 986. Of these, the 
APC estimates that nine handlers have annual sales exceeding $34 
million, thus surpassing the threshold of a small business as defined 
by the SBA. This means that 106 handlers, or 92 percent of the total, 
had annual receipts not exceeding $34 million and would, therefore, be 
designated as small per the SBA definition.
---------------------------------------------------------------------------

    \2\ Economic Surveys Annual Business Survey: Statistics for 
Employer Firms by Industry, Sex, Ethnicity, Race, and Veteran Status 
for the U.S., State, Metro Areas, Counties, and Places: 2017.
---------------------------------------------------------------------------

    Food grading standards provide important quality information to 
buyers and sellers that contribute to the efficient marketing of 
agricultural commodities. Because the revisions of the grade standards 
represent current industry grading practices, these changes will not 
require any significant changes in grower or handler business 
operations nor any significant industry educational effort. As the 
standards are voluntary, handlers are not required to use the new terms 
or make any changes. Neither large nor small handlers will incur 
additional costs. No small businesses will be unduly or 
disproportionately burdened.

Comments

    AMS received seven comments on the proposed changes. Of the seven, 
three of the comments were from the National Pecan Shellers 
Association, the American Pecan Council, and one pecan grower. All 
commented with strong support for the changes to the standards as 
written. AMS acknowledges these comments.
    One commentor supported the changes and would like to see the 
United States Department of Agriculture and other agencies work toward 
a lower threshold for aflatoxin in the standards that apply to pecans. 
AMS acknowledges this comment and recognizes that the United States 
Food and Drug Administration (FDA) regulates levels of contaminants in 
human food and animal feed.
    One commentor stated that as a consumer the new standards are 
confusing, and terms like ``fancy'' and ``extra fancy'' may be industry 
jargon but are relative and otherwise meaningless. AMS acknowledges 
this comment and maintains that the changes to descriptive language are 
based on the APC petition which sought to revise the standards to 
reflect current industry descriptions and practices. AMS believes that 
standardized language used across various commodity industries leads to 
the uniform description of commodities intended for consumers.
    One commentor supported the changes as a welcome improvement which 
will provide more clarity, flexibility, and specificity, but preferred 
letter grades or numbers to allow consumers to more readily understand 
what quality of product they are buying. AMS acknowledges this comment 
and believes the revisions provide uniform descriptions of quality and 
reflect current industry practices.
    One commentor stated that AMS may not have considered all the 
relevant factors that Congress intended it to in the proposed rule 
because it did not carefully estimate the likely impact of the 
promulgation of this new voluntary labeling standard on the market. AMS 
acknowledges this comment and clarifies that the revisions discussed in 
this final rule are to the U.S. Standards for Grades of Pecans in the 
Shell and the U.S. Standards for Grades of Shelled Pecans and not to a 
labeling standard.
    Regarding the likely impact of the promulgation of these revised 
grade standards on the market, AMS acted on a petition from the APC, 
which represents all 15 major U.S. pecan-growing states, to revise the 
grade standards to represent current industry descriptions and 
practices. Uniformity in these descriptions and practices provides 
consumers stability in the marketplace. AMS also provided open public 
comment periods throughout the entirety of the revision process. AMS 
did not make any changes to the October 11, 2023 (88 FR 70379) proposed 
rule in this final rule. Additionally, AMS provided the Regulatory 
Flexibility Analysis which determined neither large nor small handlers 
will incur additional costs. No small businesses will be unduly or 
disproportionately burdened based on the economic impact of this final 
rule on small entities. These actions are standard processes performed 
by AMS during the revision of any grade standards.
    AMS has determined that this rule is consistent with and will 
effectuate the purpose of the Agricultural Marketing Act of 1946. 
Therefore, AMS is revising

[[Page 53341]]

the voluntary U.S. Standards for Grades of Pecans in the Shell and the 
U.S. Standards for Shelled Pecans issued under the Agricultural 
Marketing Act of 1946.

List of Subjects in 7 CFR Part 51

    Food grades and standards, Fruits, Nuts, Reporting and 
recordkeeping requirements, Vegetables.

    For reasons set forth in the preamble, the Agricultural Marketing 
Service amends 7 CFR part 51 as follows:

PART 51--FRESH FRUITS, VEGETABLES, AND OTHER PRODUCTS (INSPECTION, 
CERTIFICATION, AND STANDARDS)

0
1. The authority citation for part 51 continues to read as follows:

    Authority: 7 U.S.C. 1621-1627.


0
2. Subpart M is revised to read as follows:

Subpart M--United States Standards for Grades of Pecans in the 
Shell

Sec.

Grades

51.1400 U.S. Extra Fancy.
51.1401 U.S. Fancy.
51.1402 U.S. Choice.
51.1403 U.S. Standard.

Size Classification

51.1404 Size classification.

Kernel Color Classification

51.1405 Kernel color classification.

Tolerances

51.1406 Tolerances.

Application of Tolerances

51.1407 Application of tolerances.

Sample for Grade or Size Determination

51.1408 Sample for grade or size determination.

Definitions

51.1409 Loose extraneous or foreign material.
51.1410 Well cured.
51.1411 Well developed.
51.1412 Fairly well developed.
51.1413 Poorly developed.
51.1414 Uniform in color.
51.1415 Fairly uniform in color.
51.1416 Damage.
51.1417 Serious damage.
51.1418 Inedible kernels.

Subpart M--United States Standards for Grades of Pecans in the 
Shell

Grades


Sec.  51.1400  U.S. Extra Fancy.

    ``U.S. Extra Fancy'' consists of pecans in the shell which meet the 
following requirements:
    (a) Free from loose extraneous or foreign material.
    (b) Shells are:
    (1) Uniform in color; and
    (2) Free from damage by any cause.
    (c) Kernels are:
    (1) Well developed;
    (2) Well cured;
    (3) Moisture content shall be not more than 6 percent, unless 
otherwise specified;
    (4) Uniform in color and not darker than ``light;'' and
    (5) Free from damage by any cause.
    (d) For tolerances see Sec.  51.1406.


Sec.  51.1401  U.S. Fancy.

    ``U.S. Fancy'' consists of pecans in the shell which meet the 
following requirements:
    (a) Free from loose extraneous or foreign material.
    (b) Shells are:
    (1) Uniform in color; and
    (2) Free from damage by any cause.
    (c) Kernels are:
    (1) Fairly well developed;
    (2) Well cured;
    (3) Moisture content shall be not more than 6 percent, unless 
otherwise specified;
    (4) Uniform in color;
    (5) Not darker than ``light amber,'' unless specified to a lighter 
color classification; and
    (6) Free from damage by any cause.
    (d) For tolerances see Sec.  51.1406.


Sec.  51.1402  U.S. Choice.

    ``U.S. Choice'' consists of pecans in the shell which meet the 
following requirements:
    (a) Free from loose extraneous or foreign material.
    (b) Shells are:
    (1) Fairly uniform in color; and
    (2) Free from damage by any cause.
    (c) Kernels are:
    (1) Not poorly developed;
    (2) Well cured;
    (3) Moisture content shall be not more than 6 percent, unless 
otherwise specified;
    (4) Fairly uniform in color;
    (5) Not darker than ``amber,'' unless specified to a lighter color 
classification; and
    (6) Free from damage by any cause.
    (d) For tolerances see Sec.  51.1406.


Sec.  51.1403  U.S. Standard.

    ``U.S. Standard'' consists of pecans in the shell which meet the 
following requirements:
    (a) Free from loose extraneous or foreign material;
    (b) Kernels well cured;
    (c) Moisture content shall be not more than 6 percent, unless 
otherwise specified;
    (d) No requirement for fullness of kernel;
    (e) No requirement for uniformity of color of shells or kernels;
    (f) May contain kernels that are ``dark amber'' or darker, unless 
specified to a lighter color classification; and
    (g) Shells and kernels are free from damage by any cause.
    (h) For tolerances see Sec.  51.1406.

Size Classification


Sec.  51.1404  Size classification.

    Size of pecans may be specified in connection with the grade in 
accordance with one of the following classifications. To meet the 
requirements for any one of the classifications in Table 1 to this 
section, the lot must conform to both the specified number of nuts per 
pound and the weight of the 10 smallest nuts per 100-nut sample.

                        Table 1 to Sec.   51.1404
------------------------------------------------------------------------
                                                   Minimum weight of the
      Size classification         Number of nuts    10 smallest nuts per
                                    per pound          100-nut sample
------------------------------------------------------------------------
Jumbo.........................  55 or less.......  In each
Extra Large...................  56 to 63.........   classification, the
Large.........................  64 to 77.........   10 smallest nuts per
                                                    100 must weigh at
                                                    least 7% of the
                                                    total weight of the
                                                    100-nut sample.
Medium........................  78 to 100
Small.........................  101 or more
------------------------------------------------------------------------


[[Page 53342]]

Kernel Color Classification


Sec.  51.1405  Kernel color classification.

    (a) The skin color of the pecan kernels are described in terms of 
the color classifications provided in this section. When specified to a 
lighter color classification, that color may be used to describe the 
lot in connection with the grade.
    (1) Light means that the kernel is mostly golden color or lighter, 
with not more than 25 percent of the surface darker than golden, and 
none of the surface darker than light brown.
    (2) Light amber means that more than 25 percent of the kernel is 
light brown, with not more than 25 percent of the surface darker than 
light brown, none of which is darker than medium brown.
    (3) Amber means that more than 25 percent of the kernel is medium 
brown, with not more than 25 percent of the surface darker than medium 
brown, none of which is darker than dark brown (very dark brown or 
blackish-brown discoloration).
    (4) Dark amber means that more than 25 percent of the kernel is 
dark brown, with not more than 25 percent of the surface darker than 
dark brown (very dark brown or blackish-brown discoloration).
    (b) U.S. Department of Agriculture kernel color standards, PEC-MC-
1, illustrate the color intensities implied by the terms ``golden,'' 
``light brown,'' ``medium brown,'' and ``dark brown'' referred to in 
paragraph (a) of this section. The color standards are available at 
https://www.ams.usda.gov/grades-standards.

Tolerances


Sec.  51.1406  Tolerances.

    In order to allow for variations incident to proper grading and 
handling in each of the foregoing grades, the following tolerances are 
provided as specified:
    (a) U.S. Extra Fancy, U.S. Fancy, and U.S. Choice grades. (1) For 
shell defects, by count: 5 percent for pecans with damaged shells, 
including therein not more than 2 percent for shells which are 
seriously damaged.
    (2) For kernel defects, by count: 12 percent for pecans with 
kernels which fail to meet the requirements for the grade or any 
specified color classification, including therein not more than 7 
percent for kernels which are seriously damaged: Provided, That not 
more than 6 percent shall be allowed for kernels which are rancid, 
moldy, decayed, or injured by insects: Provided further, That included 
in this 6 percent tolerance not more than 0.5 percent (one-half of 1 
percent) shall be allowed for pecans with live insects inside the 
shell.
    (3) For loose extraneous or foreign material, by weight: 0.5 
percent (one-half of 1 percent).
    (b) U.S. Standard grade. (1) For shell defects, by count: 10 
percent for pecans with damaged shells, including therein not more than 
3 percent for shells which are seriously damaged.
    (2) For kernel defects, by count: 30 percent for pecans with 
kernels which fail to meet the requirements for the grade or any 
specified color classification, including therein not more than 10 
percent for kernels which are seriously damaged: Provided, That not 
more than 7 percent shall be allowed for kernels which are rancid, 
moldy, decayed, or injured by insects: Provided further, That included 
in this 7 percent tolerance not more than 0.5 percent (one-half of 1 
percent) shall be allowed for pecans with live insects inside the 
shell.
    (3) For loose extraneous or foreign material, by weight: 0.5 
percent (one-half of 1 percent).

Application of Tolerances


Sec.  51.1407  Application of tolerances.

    Individual 100-count samples shall have not more than one and one-
half times a specified tolerance of 5 percent or more and not more than 
double a tolerance of less than 5 percent, except that at least one 
pecan which is seriously damaged by live insects inside the shell is 
permitted: Provided, That the averages for the entire lot are within 
the tolerances specified for the grade.

Sample for Grade or Size Determination


Sec.  51.1408  Sample for grade or size determination.

    Each sample shall consist of 100 pecans. The individual sample 
shall be drawn at random from a sufficient number of packages to form a 
100-count composite sample. The number of such individual 100-count 
samples drawn for grade or size determination will vary with the size 
of the lot. When practicable, at point of packaging the sample may be 
obtained from the grading belt after sorting has been completed.

Definitions


Sec.  51.1409  Loose extraneous or foreign material.

    Loose extraneous or foreign material means loose hulls, empty 
broken shells, rocks, wood, glass, plastic, or any substance other than 
pecans in the shell or pecan kernels.


Sec.  51.1410  Well cured.

    Well cured means the kernel separates freely from the shell, breaks 
cleanly when bent without splintering, shattering, or loosening the 
skin; and the kernel appears to be in good shipping or storage 
condition as to moisture content.


Sec.  51.1411  Well developed.

    Well developed means that the kernel is full-meated throughout its 
width and length.


Sec.  51.1412  Fairly well developed.

    Fairly well developed means that the kernel is full-meated in over 
50 percent of its width and length.


Sec.  51.1413  Poorly developed.

    Poorly developed means that the kernel is full-meated in less than 
25 percent of its width and length.


Sec.  51.1414  Uniform in color.

    Uniform in color means that the shells do not show sufficient 
variation in color to detract from the general appearance of the lot 
and that 95 percent or more of the kernels in the lot have skin color 
within the range of one or two color classifications.


Sec.  51.1415  Fairly uniform in color.

    Fairly uniform in color means that the shells do not show 
sufficient variation in color to materially detract from the general 
appearance of the lot and that 85 percent or more of the kernels in the 
lot have skin color within the range of one or two color 
classifications.


Sec.  51.1416  Damage.

    Damage means any specific defect described in this section; or an 
equally objectionable variation of any one of these defects, or any 
other defect, or any combination of defects, which materially detracts 
from the appearance or the edible or marketing quality of the 
individual pecan or the general appearance of the pecans in the lot. 
The following defects shall be considered as damage:
    (a) Adhering hull material or dark stains affecting an aggregate of 
more than 5 percent of the surface of the individual shell;
    (b) Adhering material from inside the shell when firmly attached to 
more than one-third of the outer surface of the kernel and contrasting 
in color with the skin of the kernel;
    (c) Broken shells when any portion of the shell is missing;
    (d) Internal flesh discoloration of a medium shade of gray or brown 
extending more than one-fourth inch lengthwise beneath the center 
ridge, or any equally objectionable amount in

[[Page 53343]]

other portions of the kernel; or lesser areas of dark discoloration 
affecting the appearance to an equal or greater extent;
    (e) Kernels which are dark amber in color;
    (f) Kernels which are not well cured;
    (g) Kernel spots when more than one dark spot is present on either 
half of the kernel, or when any such spot is more than one-eighth inch 
in greatest dimension;
    (h) Poorly developed kernels;
    (i) Shriveling when the surface of the kernel is very conspicuously 
wrinkled; and
    (j) Split or cracked shells when the shell is spread apart or will 
spread upon application of slight pressure.


Sec.  51.1417  Serious damage.

    Serious damage means any specific defect described in this section; 
or an equally objectionable variation of any one of these defects, or 
any other defect, or any combination of defects, which seriously 
detracts from the appearance or the edible or marketing quality of the 
individual pecan. The following defects shall be considered as serious 
damage:
    (a) Adhering hull material or dark stains affecting an aggregate of 
more than 20 percent of the individual shell;
    (b) Broken shells when the missing portion of shell is greater in 
area than a circle one-fourth inch in diameter;
    (c) Dark discoloration of the skin which is darker than dark amber 
over more than 25 percent of the surface of the kernel;
    (d) Decay affecting any portion of the kernel;
    (e) Insects, web, frass, or the kernel shows distinct evidence of 
insect feeding on the kernel;
    (f) Internal flesh discoloration of a dark shade extending more 
than one-third the length of the kernel beneath the ridge, or an 
equally objectionable amount of dark discoloration in other portions of 
the kernel;
    (g) Kernel spots when more than three dark spots on either half of 
the kernel, or when any spot or the aggregate of two or more spots on 
one of the halves of the kernel affects more than 10 percent of the 
surface;
    (h) Mold, on the surface or inside the kernel, which is plainly 
visible without magnification;
    (i) Rancidity when the kernel is distinctly rancid to the taste. 
Staleness of flavor shall not be classed as rancidity;

    Note 1 to Sec.  51.1417(i):  Rancidity refers to the tendency of 
the oil in a pecan kernel to become tainted as a result of oxidation 
or hydrolysis. Industry measures to determine the tendency of a 
kernel to become rancid include testing the kernel's peroxide and 
free fatty acid values. Peroxide values should be less than 5 mEq/kg 
and free fatty acids acid value should be less than 1 percent. These 
analyses are not performed in determination of grade.

    (j) Undeveloped kernels which are blank (complete shell containing 
no kernel); and
    (k) Worm holes when penetrating the shell.


Sec.  51.1418  Inedible kernels.

    Inedible kernels means that the kernel or pieces of kernels are 
rancid, moldy, decayed, injured by insects or otherwise unsuitable for 
human consumption.


0
3. Subpart N is revised to read as follows:
Subpart N--United States Standards for Grades of Shelled Pecans

Grades

Sec.
51.1430 U.S. Extra Fancy.
51.1431 U.S. Fancy.
51.1432 U.S. Choice.
51.1433 U.S. Standard.

Color Classifications

51.1434 Color classifications.

Size Classifications

51.1435 Size classifications for halves.
51.1436 Size classifications for pieces.

Tolerances for Defects

51.1437 Tolerances for defects.

Applications of Standards

51.1438 Application of standards.

Definitions

51.1439 Premier half-kernel (Premier halves).
51.1440 Half-kernel (Halves).
51.1441 Piece.
51.1442 Meal and flour.
51.1443 Well dried.
51.1444 Well developed.
51.1445 Fairly well developed.
51.1446 Poorly developed.
51.1447 Uniform in color.
51.1448 Fairly uniform in color.
51.1449 Uniform in size.
51.1450 Fairly uniform in size.
51.1451 Foreign material.
51.1452 Damage.
51.1453 Serious damage.

Subpart N--United States Standards for Grades of Shelled Pecans

Grades


Sec.  51.1430  U.S. Extra Fancy.

    ``U.S. Extra Fancy'' consists of pecan kernels which meet the 
following requirements:
    (a) For quality:
    (1) Well dried;
    (2) Moisture content shall not be more than 4.5 percent, unless 
otherwise specified;
    (3) Well developed;
    (4) Uniform in color;
    (5) Not darker than ``light;''
    (6) Free from damage by any cause; and
    (7) Comply with tolerances for defects (see Sec.  51.1437).
    (b) For size:
    (1) Uniform in size; and
    (2) Conform to size classification or count specified.


Sec.  51.1431  U.S. Fancy.

    ``U.S. Fancy'' consists of pecan kernels which meet the following 
requirements:
    (a) For quality:
    (1) Well dried;
    (2) Moisture content shall not be more than 4.5 percent, unless 
otherwise specified;
    (3) Fairly well developed;
    (4) Uniform in color;
    (5) Not darker than ``light amber,'' unless specified to a lighter 
color classification;
    (6) Free from damage by any cause; and
    (7) Comply with tolerances for defects (see Sec.  51.1437).
    (b) For size:
    (1) Uniform in size; and
    (2) Conform to size classification or count specified.


Sec.  51.1432  U.S. Choice.

    ``U.S. Choice'' consists of pecan kernels which meet the following 
requirements:
    (a) For quality:
    (1) Well dried;
    (2) Moisture content shall not be more than 4.5 percent, unless 
otherwise specified;
    (3) Not poorly developed;
    (4) Fairly uniform in color;
    (5) Not darker than ``amber,'' unless specified to a lighter color 
classification;
    (6) Free from damage by any cause; and
    (7) Comply with tolerances for defects (see Sec.  51.1437).
    (b) For size:
    (1) Fairly uniform in size; and
    (2) Conform to size classification or count specified.


Sec.  51.1433  U.S. Standard.

    ``U.S. Standard'' consists of pecan kernels which meet the 
following requirements:
    (a) For quality:
    (1) Well dried;
    (2) Moisture content shall not be more than 4.5 percent, unless 
otherwise specified;
    (3) No requirement for fullness of kernel;
    (4) No requirement for uniformity of color;

[[Page 53344]]

    (5) May contain kernels ``dark amber'' or darker, unless specified 
to a lighter color classification;
    (6) Free from damage by any cause; and
    (7) Comply with tolerances for defects (see Sec.  51.1437).
    (b) For size:
    (1) No uniformity in size; and
    (2) Conform to size classification or count specified.

Color Classifications


Sec.  51.1434  Color classifications.

    (a) The skin color of pecan kernels is described in terms of the 
color classifications provided in this section. When specified to a 
lighter color classification, that color may be used to describe the 
lot in connection with the grade.
    (1) Light means that the kernel is mostly golden color or lighter, 
with not more than 25 percent of the surface darker than golden, and 
none of the surface darker than light brown.
    (2) Light amber means that the kernel has more than 25 percent of 
the surface light brown, but not more than 25 percent of surface darker 
than light brown, and none of the surface darker than medium brown.
    (3) Amber means that the kernel has more than 25 percent of the 
surface medium brown, but not more than 25 percent of surface darker 
than medium brown, and none of the surface darker than dark brown (very 
dark brown or blackish-brown discoloration).
    (4) Dark amber means that the kernel has more than 25 percent of 
the surface dark brown, but not more than 25 percent of surface darker 
than dark brown (very dark brown or blackish-brown discoloration).
    (b) U.S. Department of Agriculture kernel color standards, PEC-MC-
1, illustrate the color intensities implied by the terms ``golden,'' 
``light brown,'' ``medium brown,'' and ``dark brown'' referred to in 
paragraph (a) of this section. The color standards are available at: 
https://www.ams.usda.gov/grades-standards.

Size Classifications


Sec.  51.1435  Size classifications for halves.

    The size of pecan halves in a lot may be specified in accordance 
with one of the size classifications shown in table 1 to this section.
    (a) Halves per pound. The number of halves per pound shall be based 
upon the weight of half-kernels after all pieces, meal and flour, 
shell, center wall, and foreign material have been removed.
    (b) Tolerance for count per pound. In order to allow for variations 
incident to proper sizing, a tolerance shall be permitted as follows:
    (1) When an exact number of halves per pound is specified, the 
actual count per pound may vary not more than 5 percent from the 
specified number, and
    (2) When any size classification shown in table 1 to this section 
or a range in count per pound is specified, no tolerance shall be 
allowed for counts outside of the specified range.
    (c) Tolerances for pieces, meal, and flour. In order to allow for 
variations incident to proper sizing and handling, tolerances are 
provided for pieces, meal, and flour in any lot of halves. The 
tolerances, by weight, are as shown in table 2 to this section.

                        Table 1 to Sec.   51.1435
------------------------------------------------------------------------
     Size classification for halves        Number of halves @per pound
------------------------------------------------------------------------
Mammoth................................  250 or less.
Junior Mammoth.........................  251-350.
Jumbo..................................  351-450.
Large..................................  451-550.
Medium.................................  551-650.
Topper.................................  651-750.
King Topper............................  751 or more.
------------------------------------------------------------------------
In lieu of the size classifications in this table, the size of pecan
  halves in a lot may be specified in terms of the number of halves or a
  range of number of halves per pound. For example, ``400'' or ``600-
  700.''


                                            Table 2 to Sec.   51.1435
----------------------------------------------------------------------------------------------------------------
                                    U.S. extra      U.S. extra
Tolerances for pieces, meal, and  fancy  premier   fancy  halves    U.S. fancy      U.S. choice    U.S. standard
              flour                  halves (%)         (%)         halves (%)      halves (%)      halves (%)
----------------------------------------------------------------------------------------------------------------
A. Less than \7/8\ half-kernel..              10  ..............  ..............  ..............  ..............
B. Less than \3/4\ half-kernel..  ..............              10              15              20              20
C. Less than \1/2\ half-kernel                 3               3               5               5               5
 (included in A.--U.S. Extra
 Fancy Premier Halves) (included
 in B.--U.S. Extra Fancy Halves,
 U.S. Fancy Halves, U.S. Choice
 Halves, and U.S. Standard
 Halves)........................
D. Less than \4/64\'' (included                1               1               1               1               1
 in C.).........................
----------------------------------------------------------------------------------------------------------------

Sec.  51.1436  Size classifications for pieces.

    The size of pecan pieces in a lot may be specified in accordance 
with one of the size classifications shown in table 1 to this section. 
Sizes are measured using a round-hole screen.
    (a) Tolerances for size of pieces. In order to allow for variations 
incident to proper sizing, tolerances are provided for pieces in a lot 
which fail to meet the requirements of any size specified. The 
tolerances, by weight, are as follows:
    (1) U.S. Extra Fancy pieces and U.S. Fancy pieces. Not more than 15 
percent of the lot may fall outside of the size range in Table 1 to 
this section. Further, not more than 1 percent of the pieces, excluding 
Topping Pieces and Granules, may pass through an eight sixty-fourths of 
an inch round hole screen.
    (2) U.S. Choice pieces. Not more than 20 percent of the lot may 
fall outside of the size range in Table 1 to this section. Further, not 
more than 2 percent of the pieces, excluding Topping Pieces and 
Granules, may pass through an eight

[[Page 53345]]

sixty-fourths of an inch round hole screen.
    (3) U.S. Standard pieces. Not more than 25 percent of the lot may 
fall outside of the size range in table 1 to this section. Further, not 
more than 2 percent of the pieces, excluding Topping Pieces and 
Granules, may pass through an eight sixty-fourths of an inch round hole 
screen.
    (b) [Reserved]

                                            Table 1 to Sec.   51.1436
----------------------------------------------------------------------------------------------------------------
                                    Maximum diameter  (will pass through      Minimum diameter  (will not pass
       Size classification             round opening of the  following         through  round opening of the
                                                  diameter)                         following diameter)
----------------------------------------------------------------------------------------------------------------
Extra-Large Pieces...............  No limitation.........................  \32/64\ inch.
Large Pieces.....................  \32/64\ inch..........................  \24/64\ inch.
Halves and Pieces................  No limitation.........................  \20/64\ inch.
Medium Pieces....................  \24/64\ inch..........................  \16/64\ inch.
Small Pieces.....................  \16/64\ inch..........................  \12/64\ inch.
Topping Pieces...................  \12/64\ inch..........................  \8/64\ inch.
Granules.........................  \8/64\ inch...........................  \4/64\ inch.
----------------------------------------------------------------------------------------------------------------
In lieu of the size classifications in this table, the size of pieces in a lot may be specified in terms of
  minimum diameter, or as a range described in terms of minimum and maximum diameters expressed in sixty-fourths
  of an inch.

Tolerances for Defects


Sec.  51.1437  Tolerances for defects.

    In order to allow for variations incident to proper grading and 
handling in each of the foregoing grades, the following tolerances, by 
weight, are as follows:
    (a) U.S. Extra Fancy grade:
    (1) No foreign material;
    (2) 0.01 percent for shell, and center wall;
    (3) Zero tolerance is provided for pecan weevil larvae;
    (4) 3 percent for portions of kernels which are ``light amber'' or 
darker color, or darker than any specified lighter color 
classification, but which are not otherwise defective; and
    (5) 3 percent for portions of kernels which fail to meet the 
remaining requirements of the grade, including therein not more than 
0.50 percent (one-half of 1 percent) for defects causing serious 
damage: Provided, That any unused portion of this tolerance may be 
applied to increase the tolerance for kernels which are ``light amber'' 
or darker color, or darker than any specified lighter color 
classification.
    (b) U.S. Fancy grade:
    (1) No foreign material;
    (2) 0.01 percent for shell and center wall;
    (3) No more than 2 pecan weevil larvae;
    (4) 5 percent for portions of kernels which are ``amber'' or darker 
color, or darker than any specified lighter color classification, but 
which are not otherwise defective; and
    (5) 5 percent for portions of kernels which fail to meet the 
remaining requirements of the grade, including therein not more than 
0.50 percent (one-half of 1 percent) for defects causing serious 
damage, including pecan weevil larvae: Provided, That any unused 
portion of this tolerance may be applied to increase the tolerance for 
kernels which are ``amber'' or darker color, or darker than any 
specified lighter color classification.
    (c) U.S. Choice grade:
    (1) No foreign material;
    (2) 0.01 percent for shell and center wall;
    (3) No more than 5 pecan weevil larvae;
    (4) 15 percent for portions of kernels which are ``dark amber'' or 
darker color, or darker than any specified lighter color 
classification, but which are not otherwise defective; and
    (5) 8 percent for portions of kernels which fail to meet the 
remaining requirements of the grade, including therein not more than 1 
percent for defects causing serious damage, including pecan weevil 
larvae.
    (d) U.S. Standard grade:
    (1) No foreign material;
    (2) 0.01 percent for shell and center wall;
    (3) 25 percent for portions of kernels which are darker than a 
specified color classification, but which are not otherwise defective; 
and
    (4) 15 percent for portions of kernels which fail to meet the 
remaining requirements of the grade, including therein not more than 1 
percent for defects causing serious damage, including pecan weevil 
larvae.

Application of Standards


Sec.  51.1438  Application of standards.

    The grade of a lot of shelled pecans shall be determined on the 
basis of a composite sample drawn at random from containers in various 
locations in the lot. However, any identifiable container or number of 
containers in which the pecans are obviously of a quality or size 
materially different from that in the majority of containers, shall be 
considered as a separate lot, and shall be sampled and graded 
separately.

Definitions


Sec.  51.1439  Premier half-kernel (Premier halves).

    Premier half-kernel (Premier halves) means one of the separated 
halves of an entire pecan kernel with not more than one-eighth of its 
original volume missing, exclusive of the portion which formerly 
connected the two halves of the kernel.


Sec.  51.1440  Half-kernel (Halves).

    Half-kernel (Halves) means one of the separated halves of an entire 
pecan kernel with not more than one-fourth of its original volume 
missing, exclusive of the portion which formerly connected the two 
halves of the kernel.


Sec.  51.1441  Piece.

    Piece means a portion of a kernel which is less than three-fourths 
of a half-kernel, but which will not pass through a round opening four 
sixty-fourths (4/64) of an inch in diameter.


Sec.  51.1442  Meal and flour.

    Meal and flour means fragments of kernels which will pass through a 
round opening four sixty-fourths (4/64) of an inch in diameter.


Sec.  51.1443  Well dried.

    Well dried means that the portion of kernel is firm and crisp, not 
pliable, or leathery.


Sec.  51.1444  Well developed.

    Well developed means that the kernel is full-meated through its 
width and length.

[[Page 53346]]

Sec.  51.1445  Fairly well developed.

    Fairly well developed means that the kernel is full-meated in over 
50 percent of its width and length.


Sec.  51.1446  Poorly developed.

    Poorly developed means that the kernel is full-meated in less than 
25 percent of its width and length.


Sec.  51.1447  Uniform in color.

    Uniform in color means that 95 percent or more of the kernels in 
the lot have skin color within the range of one or two color 
classifications.


Sec.  51.1448  Fairly uniform in color.

    Fairly uniform in color means that 85 percent or more of the 
kernels in the lot have skin color within the range of one or two color 
classifications.


Sec.  51.1449  Uniform in size.

    Uniform in size means that, in a representative sample of 100 
halves, the 10 smallest halves weigh not less than 25 percent as much 
as the 10 largest halves.


Sec.  51.1450  Fairly uniform in size.

    Fairly uniform in size means that, in a representative sample of 
100 halves, the 10 smallest halves weigh not less than 50 percent as 
much as the 10 largest halves.


Sec.  51.1451  Foreign material.

    Foreign material includes rocks, wood, glass, plastic, or any 
similar material. It does not include hard shell, center wall, or pecan 
weevil larvae.


Sec.  51.1452  Damage.

    Damage means any specific defect described in this section; or an 
equally objectionable variation of any one of these defects, or any 
other defect, or any combination of defects, which materially detracts 
from the appearance or the edible or marketing quality of the 
individual portion of the kernel or of the lot as a whole. The 
following defects shall be considered as damage:
    (a) Adhering material from inside the shell when attached to more 
than one-fourth of the surface on one side of the half-kernel or piece;
    (b) Dust or dirt adhering to the kernel when conspicuous;
    (c) Internal flesh discoloration of a medium shade of gray or brown 
extending more than one-fourth the length of the half-kernel or piece, 
or lesser areas of dark discoloration affecting the appearance to an 
equal or greater extent;
    (d) Kernel which is not well dried;
    (e) Kernel which is ``dark amber'' or darker color;
    (f) Kernel having more than one dark kernel spot, or one dark 
kernel spot more than one-eighth inch in greatest dimension;
    (g) Poorly developed kernel; and
    (h) Shriveling when the surface of the kernel is very conspicuously 
wrinkled.


Sec.  51.1453  Serious damage.

    Serious damage means any specific defect described in this section; 
or an equally objectionable variation of any one of these defects, or 
any other defect, or any combination of defects, which seriously 
detracts from the appearance or the edible or marketing quality of the 
individual portion of kernel or of the lot as a whole. The following 
defects shall be considered as serious damage:
    (a) Adhering material from inside the shell when attached to more 
than one-half of the surface on one side of the half-kernel or piece;
    (b) Any plainly visible mold;
    (c) Dark kernel spots when more than three are on the kernel, or 
when any dark kernel spot or the aggregate of two or more spots affect 
an area of more than 10 percent of the surface of the half-kernel or 
piece;
    (d) Dark skin discoloration, darker than ``dark brown,'' when 
covering more than one-fourth of the surface of the half-kernel or 
piece;
    (e) Decay affecting any portion of the kernel;
    (f) Insects, web, or frass or any distinct evidence of insect 
feeding on the kernel;
    (g) Internal discoloration, which is dark gray, dark brown, or 
black and extends more than one-third the length of the half-kernel or 
piece; and
    (h) Rancidity when the kernel is distinctly rancid to taste. 
Staleness of flavor shall not be classed as rancidity.


    Note 1 to Sec.  1453(h): Rancidity refers to the tendency of the 
oil in a pecan kernel to become tainted as a result of oxidation or 
hydrolysis. Industry measures to determine the tendency of a kernel 
to become rancid include testing the kernel's peroxide and free 
fatty acid values. Peroxide values should be less than 5 mEq/kg and 
free fatty acids acid value should be less than 1 percent. These 
analyses are not performed in determination of grade.


Erin Morris,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2024-13584 Filed 6-25-24; 8:45 am]
BILLING CODE P