99-15944. Net Contents Statement on Wine Labels (95R-054P)  

  • [Federal Register Volume 64, Number 120 (Wednesday, June 23, 1999)]
    [Proposed Rules]
    [Pages 33448-33450]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 99-15944]
    
    
    =======================================================================
    -----------------------------------------------------------------------
    
    DEPARTMENT OF THE TREASURY
    
    Bureau of Alcohol, Tobacco and Firearms
    
    27 CFR Part 4
    
    [Notice No. 876; Ref: Notice Nos. 861 and 867]
    RIN 1512-AB70
    
    
    Net Contents Statement on Wine Labels (95R-054P)
    
    AGENCY: Bureau of Alcohol, Tobacco and Firearms (ATF), Department of 
    the Treasury.
    
    ACTION: Proposed rule; withdrawal.
    
    -----------------------------------------------------------------------
    
    SUMMARY: The Bureau of Alcohol, Tobacco and Firearms (ATF) is issuing 
    this notice of withdrawal to inform interested persons that we are not 
    pursuing rulemaking regarding the net contents statement on wine labels 
    as proposed in Notice No. 861. The majority of commenters believe that 
    allowing the net contents to be expressed in centiliters as an 
    alternative to milliliters is misleading and would result in consumer 
    confusion.
    
    FOR FURTHER INFORMATION CONTACT: James P. Ficaretta, Regulations 
    Division, Bureau of Alcohol, Tobacco and Firearms, 650 Massachusetts 
    Avenue, NW., Washington, DC 20226 (202-927-8230).
    
    SUPPLEMENTARY INFORMATION:
    
    Background
    
        Section 105(e) of the Federal Alcohol Administration Act (FAA Act), 
    27 U.S.C. 205(e), vests broad authority in the Director of ATF, as the 
    delegate of the Secretary of the Treasury, to prescribe regulations 
    intended to prevent deception of the consumer and to provide the 
    consumer with adequate information as to, among other things, the net 
    contents of the product. Regulations which implement the provisions of 
    section 105(e), as they relate to wine, are set forth in title 27, Code 
    of Federal Regulations (CFR), part 4. Section 4.32(b) provides, in 
    part, that a statement of net contents must appear on the label of all 
    containers of wine in accordance with section 4.37. Section 4.37 
    provides that the net contents of wine for which a metric standard of 
    fill is prescribed must be stated on the label in the same manner and 
    form as set forth in the standard of fill. The authorized metric 
    standards of fill for American and imported wine, for sale in 
    interstate commerce within the United States, are set forth in section 
    4.73 as follows:
    
    3 liters
    1.5 liters
    1 liter
    750 milliliters
    500 milliliters
    375 milliliters
    187 milliliters
    100 milliliters
    50 milliliters
    
    As provided in section 4.37(a), the net contents of wine for which no 
    standard of fill is prescribed, e.g., sake, must be stated in liters 
    and in decimal portions of a liter for quantities larger than one 
    liter, and in milliliters for quantities of less than one liter.
        Pursuant to section 4.32(b)(2), if the net contents of the wine is 
    an authorized standard of fill, e.g., 750 milliliters, the net contents 
    statement may appear on any label affixed to the container. If the net 
    contents is a standard of fill other than an authorized standard of 
    fill, e.g., 720 milliliters, the net contents statement must appear on 
    a label affixed to the front of the container. Since the regulations 
    show ``ml'' as an abbreviation for milliliter (section 4.37(a)(2)), 
    that abbreviation may be used in lieu of milliliter, where required.
        Finally, section 4.37 provides that the net contents need not be 
    stated on the label if it is legibly blown, etched, sandblasted, marked 
    by underglaze coloring, or otherwise permanently marked by any method 
    approved by the Director on the side, front, or back of the container 
    in an unobscured location.
    
    Notice No. 861
    
        On May 15, 1998, we published a notice in the Federal Register 
    soliciting
    
    [[Page 33449]]
    
    comments from the public and industry on a proposal to amend the 
    regulations to provide that the net contents statement for wine in 
    containers of less than 1 liter may be expressed on the label in 
    centiliters (cl) as an alternative to milliliters (ml) (Notice No. 861, 
    63 FR 27017). The proposal was based on a petition we received from 
    Banfi Vintners (Banfi) of Old Brookville, New York. Banfi had asked 
    that the regulations be amended to provide that the net contents for 
    wine bottled in a 750 milliliter (750 ml) standard of fill be expressed 
    in centiliters, as ``75 cl,'' as an alternative to ``750 ml.'' The 
    petitioner stated that 75 centiliters is a universally recognized 
    measurement equivalent to 750 milliliters in the metric system. 
    Furthermore, authorizing this alternative net contents statement on 
    wine labels ``would simplify current regulations and allow for an 
    easier flow of wines among Europe, the world markets and the United 
    States.''
        The comment period for Notice No. 861, initially scheduled to close 
    on August 13, 1998, was subsequently extended until October 19, 1998 
    (Notice No. 867, September 18, 1998; 63 FR 49883).
    
    Analysis of Comments
    
        We received 95 comments in response to Notice No. 861. Comments 
    were submitted by consumers, industry members (representing domestic 
    and foreign interests), various organizations and trade associations 
    (e.g., the National Conference on Weights and Measures, the U.S. Metric 
    Association, Inc., the Wine Institute, the National Association of 
    Beverage Importers, and the Scotch Whisky Association), and one Federal 
    agency (U.S. Department of Commerce--National Institute of Standards 
    and Technology).
        Of the 93 comments that addressed the proposed regulations, 82 
    objected to allowing the net contents for wine to be expressed in 
    centiliters as an alternative to milliliters. The commenters contend 
    that the American consumer is not yet fully oriented to the metric 
    system and that the proposed regulations, if adopted, would result in 
    consumer confusion. Furthermore, the current regulations provide 
    consumers with one standard of common measurement for wine bottled in 
    containers of less than 1 liter, i.e., milliliters. The commenters 
    believe that having the net contents expressed in milliliters and 
    centiliters on bottles of the same size may lead consumers to assume 
    the containers do not hold the same amount of wine.
        Other commenters expressed similar concerns with the proposed 
    regulations. One commenter, the National Conference on Weights and 
    Measures (NCWM), is a standards-development organization whose members 
    include representatives from Federal, State, and local weights and 
    measures and other government agencies; businesses, trade and 
    professional organizations; consumer and other interested groups. The 
    NCWM stated the following:
    
        The proposed changes are in direct conflict with the metric 
    provisions of the 'Uniform Packaging and Labeling Regulation' 
    adopted by the NCWM in 1993, the metric regulations adopted by the 
    Federal Trade Commission (1994), and metric labeling regulations 
    proposed by the Food and Drug Administration for foods, drugs and 
    cosmetics (1993). * * * The labeling requirements for packaged goods 
    adopted by the NCWM, other Federal Agencies, and OIML limit quantity 
    declarations on consumer products to either milliliters or liters to 
    reduce the possibility of consumer confusion. The Committee urges 
    ATF to withdraw its proposal to permit centiliters because its 
    adoption would result in a proliferation of net quantity 
    declarations that may mislead consumers * * *
    
    The NCWM explained that the OIML (Organization for Legal Metrology) is 
    a worldwide, intergovernmental organization whose primary aim is to 
    harmonize the regulations and metrological controls applied by its 
    Member States, including the United States, Canada, and the European 
    Union.
        Other commenters shared the views of the NCWM, including the 
    National Institute of Standards and Technology, a Federal agency within 
    the Department of Commerce, and the U.S. Metric Association, Inc. The 
    U.S. Metric Association was established in 1916 for the purpose of 
    assisting the U.S. in adopting the metric system and providing guidance 
    for metric system usage to industry, business, education, and 
    consumers.
        Eleven commenters supported the proposed regulations. One 
    commenter, a national trade association representing importers of 
    alcohol beverages, stated that ``differences between labeling rules of 
    U.S. and Europe can cause unnecessary expense to an importer without 
    providing the consumer any added protection or information.'' This 
    commenter also argued that the proposed regulations would provide 
    producers with flexibility in labeling their products. In addition, the 
    commenter believed that the proposed regulations should apply to 
    distilled spirits. Other commenters in favor of the proposal expressed 
    similar concerns.
    
    Decision
    
        After careful consideration of the comments received, we have 
    determined that an amendment of the regulations is not justified or 
    warranted. In Notice No. 861 we stated that the metric standards of 
    fill were first prescribed on December 31, 1974, pursuant to T.D. ATF-
    12, and became mandatory on January 1, 1979. In order to standardize 
    the manner by which metric net contents were to be stated on the label 
    and to avoid confusion among consumers, the final rule required metric 
    net contents to be expressed in liters and decimal portions thereof for 
    quantities larger than one liter and in milliliters for quantities less 
    than one liter. Thus, as one commenter pointed out in the comments 
    received in response to Notice No. 861, for more than 20 years the 
    regulations have provided consumers ``with the advantage of one simple 
    standard of common measurement (milliliters) for wines in quantities 
    less than one liter. The proposed regulation would remove that 
    advantage. Seeing different units of measurement (ml and cl) on wine 
    bottles of the same size may lead the consumer to assume that there is 
    some difference in the contents of these bottles, * * *.''
        In addition, as discussed in Notice No. 861, our decision to 
    express the net contents in milliliters for wine in containers of less 
    than one liter was based, in part, on testimony presented at the 
    hearing which preceded T.D. ATF-12. In particular, the American 
    National Metric Council recommended milliliter (ml) as the only 
    submultiple of liter and emphasized that ``[t]he important thing is to 
    avoid the confusion of an excessive variety of submultiples, which may 
    cause errors in communication. These other submultiples, * * * would be 
    a deciliter--dl, a centiliter--cl.'' This concern is still valid more 
    than 20 years later. As the NCWM stated in their comment:
    
        When the NCWM developed its metric labeling regulations it was 
    the consensus of the organization and FTC and FDA that metric 
    prefixes such as centi, deka, deci, hecto and others were 
    inappropriate for use on consumer packages.
    
        It is clear from the comments received in response to Notice No. 
    861 that American consumers are not yet completely familiar with all 
    units in the metric system. Based on the information contained in the 
    comments, we believe that the proposed regulations, if adopted, would 
    not be of any value to consumers and would result in confusion. 
    Furthermore, we did not receive any comments from consumers in support 
    of the regulations. We did, however, receive comments from
    
    [[Page 33450]]
    
    consumers expressing their objections to the proposed regulations.
        Accordingly, for the reasons stated above, we are withdrawing 
    Notice No. 861.
    
    Drafting Information
    
        The author of this document is James P. Ficaretta, Regulations 
    Division, Bureau of Alcohol, Tobacco and Firearms.
    
    Authority and Issuance
    
        This document is issued under the authority in 27 U.S.C. 205.
    
        Signed: April 29, 1999.
    John W. Magaw,
    Director.
        Approved: June 4, 1999.
    Dennis M. O'Connell,
    Acting Deputy Assistant Secretary (Regulatory, Tariff and Trade 
    Enforcement).
    [FR Doc. 99-15944 Filed 6-22-99; 8:45 am]
    BILLING CODE 4810-31-P
    
    
    

Document Information

Published:
06/23/1999
Department:
Alcohol, Tobacco, Firearms, and Explosives Bureau
Entry Type:
Proposed Rule
Action:
Proposed rule; withdrawal.
Document Number:
99-15944
Pages:
33448-33450 (3 pages)
Docket Numbers:
Notice No. 876, Ref: Notice Nos. 861 and 867
RINs:
1512-AB70: Net Contents Statement on Wine Labels
RIN Links:
https://www.federalregister.gov/regulations/1512-AB70/net-contents-statement-on-wine-labels
PDF File:
99-15944.pdf
CFR: (1)
27 CFR 4