[Federal Register Volume 60, Number 209 (Monday, October 30, 1995)]
[Rules and Regulations]
[Pages 55175-55176]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26793]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 920
[Docket No. FV95-920-3FR]
Kiwifruit Grown in California; Revision of Inspection
Requirements
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This final rule extends the validation period for initial
inspection certificates issued for California kiwifruit from December
15 to December 31 or 21 days from the date of inspection, whichever is
later. The current period does not allow sufficient time between the
initial inspection, which may occur between October and December, and
reinspection which must occur after December 15. This rule will reduce
costs to the industry because of the increase in time between the
initial inspection and reinspection.
EFFECTIVE DATE: November 29, 1995.
FOR FURTHER INFORMATION CONTACT: Charles L. Rush, Marketing Order
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O.
Box 96456, room 2526-S, Washington, DC 20090-6456, telephone (202) 690-
3670; or Rose Aguayo, California Marketing Field Office, Marketing
Order Administration Branch, Fruit and Vegetable Division, AMS, USDA,
2202 Monterey Street, Suite 102B, Fresno, California 93721; telephone
(209) 487-5901.
SUPPLEMENTARY INFORMATION: This final rule is issued under Marketing
Order No. 920 (7 CFR Part 920), as amended, regulating the handling of
kiwifruit grown in California, hereinafter referred to as the
``order.'' The order is effective under the Agricultural Marketing
Agreement Act of 1937, as amended (7 U.S.C. 601-674), hereinafter
referred to as the ``Act.''
The Department of Agriculture (Department) is issuing this final
rule in conformance with Executive Order 12866.
This final rule has been reviewed under Executive Order 12778,
Civil Justice Reform. This action is not intended to have retroactive
effect. This final rule will not preempt any State or local laws,
regulations, or policies, unless they present an irreconcilable
conflict with this rule.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 608c(15)(A) of the
Act, any handler subject to an order may file with the Secretary a
petition stating that the order, any provision of the order, or any
obligation imposed in connection with the order is not in accordance
with law and request a modification of the order or to be exempted
therefrom. A handler is afforded the opportunity for a hearing on the
petition. After the hearing the Secretary would rule on the petition.
The Act provides that the district court of the United States in any
district in which the handler is an inhabitant, or has his or her
principle place of business, has jurisdiction in equity to review the
Secretary's ruling on the petition, provided a bill in equity is filed
not later than 20 days after date of the entry of the ruling.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Administrator of the Agricultural Marketing Service
(AMS) has considered the economic impact of this rule on small
entities.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and rules issued thereunder, are unique in that
they are brought about through group action of essentially small
entities acting on their own behalf. Thus, both statutes have small
entity orientation and compatibility.
There are approximately 65 handlers of California kiwifruit subject
to regulation under the order and approximately 600 kiwifruit producers
in the production area. Small agricultural service firms are defined by
the Small Business Administration (13 CFR 121.601) as those whose
annual receipts are less than $5,000,000, and small agricultural
producers have been defined as those having annual receipts of less
than $500,000. A majority of handlers and producers of California
kiwifruit may be classified as small entities.
This final rule is in accordance with Sec. 920.55(b) of the order.
This section authorizes the Kiwifruit Administrative Committee (KAC),
the agency responsible for local administration of the marketing order,
to establish a period prior to shipment, when inspections must be
performed.
Currently, pursuant to Sec. 920.155 of the marketing order,
certification of any kiwifruit which is inspected and certified as
meeting grade, size, quality, or maturity requirements in effect
pursuant to Sec. 920.52 or Sec. 920.53 during each fiscal year shall be
valid until December 15 of each year or 21 days from the date of
inspection, whichever is later.
The KAC met on June 14, 1995, and unanimously recommended revising
the current inspection requirements. The revision extends the
validation period for the initial inspection certificate, from the
current December 15 expiration date to December 31 of each year.
Kiwifruit grown in California is typically harvested in mid-
October. The fruit is packed shortly after harvest and placed into
storage until shipment. The shipping season generally extends
throughout the year.
About 55 percent of the harvested fruit is inspected as it is being
packed, prior to storage. While the majority of fruit is inspected
prior to storage, some handlers have their fruit inspected after
storage just prior to shipment.
When kiwifruit is stored, a black sooty mold sometimes appears on
the
[[Page 55176]]
fruit's surface. This mold, caused by fruit juice on the surface of the
fruit, usually begins to show after the kiwifruit has been in storage
for over a month. In order to control this problem, a time limit on the
validity of inspection certificates was established. The time limit
initially established in 1985 was valid until January 15 or 21 days
from the date of inspection, whichever was later.
In 1985, it appeared that kiwifruit harvested in October maintained
its quality through the following mid-January. However, during the
1988/89 season, problems with black sooty mold once again resulted in
the KAC reevaluating this position, and as a result the date was
changed to December 1, to reduce the likelihood of moldy fruit entering
commercial channels.
Again in 1991, the KAC changed the expiration date for initial
inspection certificates from December 1 to the current expiration date
of December 15. The KAC believed that the December 1 expiration date
required shippers to have their fruit reinspected too soon after the
initial inspection. For many shippers this was a financial burden.
The current period does not allow sufficient time to determine if
damage from mold may develop. Sufficient time would need to elapse
between the initial inspection, which may occur between October and
December, and reinspection, which occurs after December 15. This
revision would change the current December 15 inspection certificate
expiration date. It would provide that a certificate remains valid
until December 31 or 21 days from the date of inspection, whichever is
later. Thus, the 21-day limitation would be in effect for all inspected
kiwifruit regardless of the date on which it was inspected. This would
mean that kiwifruit inspected and packed less than 21 days prior to
December 31 would not have to be reinspected until 21 days later.
The KAC estimates that, annually, approximately 25 percent of the
crop is reinspected. The reinspection rate is expected to be reduced
slightly by making inspection certificates valid until December 31 or
21 days from the date of inspection. Extending the inspection
certificate validation from December 15 to December 31 is not expected
to have adverse affects on fruit quality.
Over the last five years, the harvest of California kiwifruit has
begun later and later. In years past, the kiwifruit harvest began near
the beginning of October, with a few starting dates recorded in late
September. In recent years, kiwifruit harvests have begun in mid-
October due to natural conditions as well as increased grower
consciousness about fruit maturity. Fruit that is mature tends to have
higher sugar content and is of higher quality. Because of the later
harvest dates, the time lapse from harvest to reinspection has
decreased over the years.
This two-week change to the reinspection date is not expected to
harm the industry's reputation for shipping quality California
kiwifruit. Because of research done in the past five years, California
growers understand the benefits of harvesting kiwifruit with a higher
soluble solids content, which means harvesting at a later date. This,
coupled with natural conditions that have also contributed to a delay
in harvest, have reduced the number of days from harvest until
reinspection.
The KAC also discussed the elimination of reinspection requirements
as an alternative. There is however, strong support throughout the
industry for maintaining reinspection as a means of assuring fruit
quality. The KAC also discussed the use of a sliding reinspection date.
This would allow fruit harvested later to be reinspected at a later
date. However, it was determined that this would present enforcement
problems as it would be difficult to track the harvest date of the
entire California crop. The recommendation to establish the
reinspection date at December 31 was a compromise agreed to unanimously
by the KAC.
A proposed rule concerning this action was published in the August
25, 1995, Federal Register (60 FR 44282), with a 30-day comment period
ending September 25, 1995.
One comment was received. The comment was submitted by the KAC and
supported implementing the change set forth in the proposed rule. The
comment stated that the reinspection requirement has always had a 21-
day time period and noted that black sooty mold may develop as early as
ten days after the fruit has been contaminated. The comment pointed out
that the aggressive education of growers and packers as to why black
sooty mold occurs and ways to prevent it has greatly reduced the
occurrence of this condition over the last four years. The comment
concluded by stating that the KAC believes that later reinspection is a
natural and positive change for the industry.
Based on the above, the Administrator of the AMS has determined
that this action will not have a significant economic impact on a
substantial number of small entities.
After consideration of all relevant matter presented, including the
information and recommendations submitted by the KAC, the comment
received from KAC and other available information, it is hereby found
that this rule, as hereinafter set forth, will tend to effectuate the
declared policy of the Act.
List of Subjects in 7 CFR Part 920
Kiwifruit, Marketing agreements.
For the reasons set forth in the preamble, 7 CFR part 920 is
amended as follows:
PART 920--KIWIFRUIT GROWN IN CALIFORNIA
1. The authority citation for 7 CFR part 920 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
2. Section 920.155 is revised to read as follows:
Sec. 920.155 Inspection requirement.
Certification of any kiwifruit which is inspected and certified as
meeting grade, size, quality, or maturity requirements in effect
pursuant to Sec. 920.52 or Sec. 920.53 during each fiscal year shall be
valid until December 31 of such year or 21 days from the date of
inspection, whichever is later.
Dated: October 23, 1995.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-26793 Filed 10-27-95; 8:45 am]
BILLING CODE 3410-02-P
