Proposed Rule2024-21522
Avocados Grown in South Florida and Imported Avocados; Change in Maturity Requirements
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Published
September 20, 2024
Issuing agencies
Agriculture DepartmentAgricultural Marketing Service
Abstract
This proposed rulemaking would implement a recommendation from the Avocado Administrative Committee (Committee) to change the maturity requirements under the marketing order for avocados grown in South Florida. This action would update the avocado maturity shipping schedule to allow certain sizes and weights of the Beta avocado variety to be shipped earlier. A corresponding change would be made to the avocado import regulation as required under the Agricultural Marketing Agreement Act of 1937.
Full Text
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<title>Federal Register, Volume 89 Issue 183 (Friday, September 20, 2024)</title>
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[Federal Register Volume 89, Number 183 (Friday, September 20, 2024)]
[Proposed Rules]
[Pages 77037-77040]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-21522]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 89, No. 183 / Friday, September 20, 2024 /
Proposed Rules
[[Page 77037]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Parts 915 and 944
[Doc. No. AMS-SC-23-0084]
Avocados Grown in South Florida and Imported Avocados; Change in
Maturity Requirements
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Proposed rule.
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SUMMARY: This proposed rulemaking would implement a recommendation from
the Avocado Administrative Committee (Committee) to change the maturity
requirements under the marketing order for avocados grown in South
Florida. This action would update the avocado maturity shipping
schedule to allow certain sizes and weights of the Beta avocado variety
to be shipped earlier. A corresponding change would be made to the
avocado import regulation as required under the Agricultural Marketing
Agreement Act of 1937.
DATES: Comments must be received by November 19, 2024.
ADDRESSES: Interested persons are invited to submit written comments
concerning this proposed rulemaking. Comments can be sent to the Docket
Clerk, Market Development Division, Specialty Crops Program, AMS, USDA,
1400 Independence Avenue SW, STOP 0237, Washington, DC 20250-0237.
Comments can also be sent to the Docket Clerk electronically by Email:
<a href="/cdn-cgi/l/email-protection#aae7cbd8c1cfdec3c4cde5d8cecfd8e9c5c7c7cfc4deeadfd9cecb84cdc5dc"><span class="__cf_email__" data-cfemail="4a072b38212f3e23242d05382e2f38092527272f243e0a3f392e2b642d253c">[email protected]</span></a> or via the internet at: <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Comments should reference the document number and
the date and page number of this issue of the Federal Register.
Comments submitted in response to this proposed rulemaking will be
included in the record and will be made available to the public and can
be viewed at: <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Please be advised that the
identity of the individuals or entities submitting the comments will be
made public on the internet at the address provided above.
FOR FURTHER INFORMATION CONTACT: Jennie M. Varela, Marketing
Specialist, or Christian D. Nissen, Branch Chief, Southeast Region
Branch, Market Development Division, Specialty Crops Program, AMS,
USDA; Telephone: (863) 324-3375, Fax: (863) 291-8614, or Email:
<a href="/cdn-cgi/l/email-protection#7b311e1515121e552d1a091e171a3b0e081f1a551c140d"><span class="__cf_email__" data-cfemail="c882ada6a6a1ade69ea9baada4a988bdbbaca9e6afa7be">[email protected]</span></a> or <a href="/cdn-cgi/l/email-protection#52113a203b21263b333c7c1c3b2121373c12272136337c353d24"><span class="__cf_email__" data-cfemail="d390bba1baa0a7bab2bdfd9dbaa0a0b6bd93a6a0b7b2fdb4bca5">[email protected]</span></a>.
Small businesses may request information on complying with this
regulation by contacting Richard Lower, Market Development Division,
Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW, STOP
0237, Washington, DC 20250-0237; Telephone: (202) 720-8085, or Email:
<a href="/cdn-cgi/l/email-protection#96c4fff5fef7e4f2b8daf9e1f3e4d6e3e5f2f7b8f1f9e0"><span class="__cf_email__" data-cfemail="8bd9e2e8e3eaf9efa5c7e4fceef9cbfef8efeaa5ece4fd">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553,
proposes to amend regulations issued to carry out a marketing order as
defined in 7 CFR 900.2(j). This proposed rulemaking is issued under
Marketing Order No. 915, as amended (7 CFR part 915), regulating the
handling of avocados grown in South Florida. Part 915 referred to as
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 Committee locally administers the Order and is
comprised of growers and handlers of avocados operating within the
production area, and one public member.
This proposed rulemaking is also issued under section 8e of the Act
(7 U.S.C. 608e-1), which provides that whenever certain specified
commodities, including avocados, are regulated under a Federal
marketing order, imports of these commodities into the United States
are prohibited unless they meet the same or comparable grade, size,
quality, or maturity requirements as those in effect for domestically
produced commodities.
The Agricultural Marketing Service (AMS) is issuing this proposed
rulemaking 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 proposed action falls within a category of regulatory
actions that the Office of Management and Budget (OMB) exempted from
Executive Order 12866 review.
This proposed rulemaking has been reviewed under Executive Order
13175--Consultation and Coordination with Indian Tribal Governments,
which requires Federal agencies to consider whether their rulemaking
actions would have Tribal implications. AMS has determined that this
proposed rulemaking 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.
This proposed rulemaking has been reviewed under Executive Order
12988--Civil Justice Reform. This rule is not intended to have
retroactive effect.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 8c(15)(A) of the
Act (7 U.S.C. 608c(15)(A)), any handler subject to an order may file
with the U.S. Department of Agriculture (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. Such 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.
[[Page 77038]]
There are no administrative procedures that must be exhausted prior
to any judicial challenge to the provisions of import regulations
issued under section 8e of the Act.
This proposed rulemaking would change the maturity requirements
prescribed under the Order. This action would update the avocado
maturity shipping schedule to allow certain sizes and weights of the
Beta avocado variety to be shipped to the fresh market earlier than
presently allowable. With this change, the maturity schedule would
better reflect the current maturity rate for the Beta variety,
facilitating the shipment of this variety as it matures. The proposal
was unanimously recommended by the Committee at its August 9, 2023,
meeting.
Section 915.51 of the Order provides, in part, authority to
establish maturity requirements for avocados. Section 915.52 of the
Order provides authority for the modification, suspension, or
termination of established regulations. Section 915.332 of the Order's
rules and regulations establishes the maturity requirements for
avocados grown in Florida. These requirements are specified in table I
of Sec. 915.332(a) and establish minimum weights and diameters to
delineate specific shipping time frames for avocados shipped under the
Order. Maturity requirements for avocados imported into the United
States are currently in effect under Sec. 944.31.
The maturity requirements are designed to prevent the shipment of
immature avocados and to include the annual shipping schedule to help
ensure only mature fruit reaches the market. This helps to provide
buyer confidence and consumer satisfaction essential for the successful
marketing of the crop. Avocado varieties mature at different times, and
varieties can vary considerably in terms of size and weight. The
maturity requirements for the various varieties of avocados are
different, as each variety has different growing and maturation
characteristics. These maturity dates and requirements are established
based on a testing procedure developed in conjunction with USDA.
The shipping schedule in table I specifies the individual maturity
requirements for the numerous avocado varieties shipped each season. As
larger fruit within a variety matures earliest, the schedule makes the
larger sized fruit available for market first, followed by other dates
to incrementally release smaller sizes for shipment as they mature. As
such, the maturity schedule is usually divided into A, B, C, and D
dates, which are associated with specific weights and sizes reflecting
when a particular variety matures.
Avocados may not be shipped until the earliest date, the A date,
specified for that variety on the shipping schedule so that only mature
fruits are available for market for each variety early in its season.
The D date marks the end of a variety's season when all fruit of that
variety should be mature and releases all sizes and weights for
shipment.
The Committee staff regularly tests the maturity level of different
varieties based on reported changes in maturity. The Committee also has
a maturity subcommittee that reviews this, other information, and
trends in maturity. Using this information, this subcommittee
recommends which varieties may need to be tested to see if adjustments
need to be made to the dates on the maturity schedule. The subcommittee
heard from growers that the Beta variety was maturing ahead of the
established schedule and recommended to the full Committee that the
Beta variety be tested for changes in maturity. At the direction of the
Committee, Committee staff began sampling the Beta variety across
different farms and testing the level of maturity.
After three years of testing, the Committee staff provided the
subcommittee with the maturity data they had collected. Based on their
review of the data, the subcommittee agreed the fruit was maturing
before the current shipping dates. They reported to the full Committee
that due to changes in climate conditions and cultural practices the
Beta variety was maturing earlier than the dates in the schedule.
The Committee met on August 9, 2023, and reviewed the report from
the subcommittee. The subcommittee recommended, and the full Committee
agreed, that the A, B, C, and D dates for the Beta should each be moved
up two weeks, respectively. The Committee concluded these revised dates
would better reflect the current maturity rate for Beta. The Committee
believes this change would allow growers to send mature quality fruit
of this variety to the market earlier. It would also reduce limb
breakage and fruit loss by enabling timely harvesting, allowing the
larger, heavier fruit to be removed from the tree sooner. Consequently,
the Committee unanimously approved this recommendation.
This rule would change the A and the B date for Beta listed on the
maturity schedule from August 8 to July 25 and from August 15 to August
1, respectively. This rule would also change the C date for Beta from
August 29 to August 15, and the D date from September 5 to August 22.
The corresponding sizes and weights associated with these dates will
remain unchanged. The dates on the maturity schedule are the basis for
calculating the actual shipping dates (A, B, C, D dates) for each
individual season. The actual shipping dates for an individual year are
established as the Monday nearest to the date listed in the maturity
schedule as specified in Sec. 915.332.
Section 8e of the Act provides that when certain domestically
produced commodities, including avocados, are regulated under a Federal
marketing order, imports of that commodity must meet the same or
comparable grade, size, quality, and maturity requirements. Maturity
requirements for avocados imported into the United States are currently
in effect under Sec. 944.31. As this rule would revise the maturity
requirements for the Beta variety under the domestic handling
regulations, a corresponding change to the import regulations must also
be considered.
This action would update the avocado maturity shipping schedule to
allow certain sizes and weights of the Beta avocado variety to be
shipped to the fresh market up to two weeks earlier than presently
allowed. This change should facilitate moving mature fruit to the
market, benefitting domestic growers and handlers as well as importers.
This proposed change would only impact the maturity requirements under
the Order and the import regulation and would make no change to the
current grade requirements.
The Hass, Fuerte, Zutano, and Edranol varieties of avocados are
currently exempt from the maturity requirements under the Order and the
import regulation and continue to be exempt under this rule. However,
these varieties are not exempt from the grade regulations specified
under the Order and import regulation, which are not being changed by
this action.
Initial 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 proposed rulemaking 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
businesses subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and the rules issued thereunder, are unique in
that they are brought about through group action of essentially
[[Page 77039]]
small entities acting on their own behalf.
There are 201 growers of Florida avocados in the production area
and 21 handlers subject to regulation under the Order. The Small
Business Administration (SBA) defines small agricultural growers as
those having annual receipts of no more than $3,500,000 for Other
Noncitrus Fruit Farming (NAICS code 111339), and small agricultural
service firms, including handlers, are defined as those whose annual
receipts are less than $34,000,000 for Postharvest Crop Activities
(NAICS code 115114) (13 CFR 121.201).
According to the National Agricultural Statistical Service (NASS),
the average grower price paid for Florida avocados in 2022 was $22.00
per 55-pound bushel container. Utilized production was equivalent to
648,727 55-pound bushels for a total value of $14,272,000 ($22.00
multiplied by 648,727 55-pound bushels equals $14,272,000). Dividing
the crop value by the estimated number of growers yields an estimated
average receipt per grower of $71,005 ($14,272,000 divided by 201), so
the majority of growers would have annual receipts of less than
$3,500,000.
USDA Market News reported average shipping point prices for green
skinned avocados were $57.29 per 55-pound bushel equivalent in October
of 2022. Using this price and the total utilization, the total 2022
handler crop value is estimated at $37,165,570 ($57.29 multiplied by
648,727 55-pound bushels equals $37,165,570). Dividing this figure by
the number of handlers yields estimated average annual handler receipts
of $1,769,790 ($37,165,570 divided by 21), which is below the SBA
threshold for small agricultural service firms.
In 2022, the Dominican Republic, Peru, Columbia, Mexico, and
Jamaica were the major countries exporting avocado varieties other than
Hass to the United States. In 2020, shipments of these types of
avocados imported into the United States totaled around 33,454 metric
tons. Of that amount, about 33,075 metric tons were imported from the
Dominican Republic. Information from USDA's Global Agricultural Trade
System database indicates the dollar value of these avocados to be
approximately $48,386,000. There are approximately 20 importers of
green skin avocados. Using the total value and the number of importers,
the average importer would have annual receipts of less than $34
million.
Based on these estimates, the majority of Florida avocado producers
and handlers, and importers may be classified as small entities.
This proposed rulemaking would update the avocado maturity shipping
schedule to allow certain sizes and weights of the Beta avocado variety
to be shipped to the fresh market up to two weeks earlier than
presently allowed. With this change, the maturity schedule would better
reflect the current maturity rate for the Beta variety, facilitating
the shipment of this variety as it matures, which would benefit
growers, handlers, importers, and consumers. A corresponding change
would be made to the import regulations. This proposed rulemaking would
revise Sec. 915.332. Authority for this change is provided in
Sec. Sec. 915.51 and 915.52. This proposed rulemaking would also
change Sec. 944.31 in the avocado import regulation, as is required by
section 8e of the Act. This proposed change would only impact the
maturity requirements under the Order and import regulation and would
make no change to the current grade requirements.
This action is not expected to increase the costs associated with
the Order's requirements or the avocado import regulation. Rather, it
is anticipated that this action would have a beneficial impact. Based
on three seasons of maturity testing, the Committee recommended moving
the A, B, C, and D dates on the maturity schedule forward two weeks,
respectively, for the Beta variety allowing the associated sizes and
weights to be shipped to the fresh market earlier. The revised dates
better reflect the current maturity rate for Beta and would facilitate
the shipment of this variety as it matures, while continuing to ensure
that only mature fruit is shipped to the fresh market. It would also
help reduce limb breakage and fruit loss and their associated costs by
enabling timely harvesting, allowing the bigger, heavier fruit to be
removed from the tree sooner. The benefits of this rule are expected to
be equally available to all fresh avocado growers, handlers, and
importers, regardless of their size.
One alternative to this action would be to maintain the current
maturity requirements for the Beta variety. However, the Committee
recognized that growing conditions and practices have changed over the
years and the data indicates this fruit is maturing ahead of the
current dates on the schedule. The Committee believes establishing the
changes in this proposed rulemaking, rather than the alternative, would
reflect current maturation and help ensure a quality product reaches
consumers. Therefore, the Committee rejected this alternative.
The Committee's meetings are widely publicized throughout the
Florida avocado industry and all interested persons are invited to
attend the meetings and participate in Committee deliberations on all
issues. Like all Committee meetings, the August 9, 2023, meeting was a
public meeting and all entities, both large and small, were able to
express views on this issue. Finally, interested persons are invited to
submit comments on this proposed rulemaking, including the regulatory
impacts of this action on small businesses.
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
Chapter 35), the Order's information collection requirements have been
previously approved by OMB and assigned OMB No. 0581-0189 Fruit Crops.
No changes in those requirements would be necessary as a result of this
proposed rulemaking. Should any changes become necessary, they would be
submitted to OMB for approval.
This proposed rulemaking would not impose any additional reporting
or recordkeeping requirements on either small or large Florida avocado
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.
AMS is committed to complying with the E-Government Act to promote
the use of the internet and other information technologies to provide
increased opportunities for citizen access to Government information
and services, and for other purposes.
AMS has not identified any relevant Federal rules that duplicate,
overlap, or conflict with this proposed rulemaking.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and orders may be viewed at:
<a href="https://www.ams.usda.gov/rules-regulations/moa/small-businesses">https://www.ams.usda.gov/rules-regulations/moa/small-businesses</a>. Any
questions about the compliance guide should be sent to Richard Lower at
the previously mentioned address in the FOR FURTHER INFORMATION CONTACT
section.
After consideration of all relevant material presented, including
the information and recommendations submitted by the Committee and
other available information, USDA has determined that this proposed
rulemaking is consistent with and would effectuate the purposes of the
Act.
In accordance with section 8e of the Act, the United States Trade
[[Page 77040]]
Representative has concurred with the issuance of this proposed
rulemaking.
A 60-day comment period is provided to allow interested persons to
comment on this proposed rulemaking. All written comments timely
received will be considered before a final determination is made on
this rule.
List of Subjects
7 CFR Part 915
Avocados, Marketing agreements, Reporting and recordkeeping
requirements.
7 CFR Part 944
Avocados, Food grades and standards, Grapefruit, Grapes, Imports,
Kiwifruit, Limes, Olives, Oranges, Plums, Prunes.
For the reasons set forth in the preamble, the Agricultural
Marketing Service proposes to amend 7 CFR parts 915 and 944 as follows:
PART 915--AVOCADOS GROWN IN SOUTH FLORIDA
0
1. The authority citation for 7 CFR part 915 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. In Sec. 915.332, Table I, the entry for ``Beta'' is revised to read
as follows:
Sec. 915.332 Florida avocado maturity regulation.
(a) * * *
(2) * * *
Table I
--------------------------------------------------------------------------------------------------------------------------------------------------------
Variety A date Min. wt. Min. diam. B date Min. wt. Min. diam. C date Min. wt. Min. diam. D date
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* * * * * * *
Beta............................ 7-25 18 38/16 8-01 16 35/16 8-15 14 33/ 8-22
* * * * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * *
0
3. In Sec. 944.31, Table I, the entry for ``Beta'' is revised to read
as follows:
Sec. 944.31 Avocado import maturity regulation.
(a) * * *
(2) * * *
Table I
--------------------------------------------------------------------------------------------------------------------------------------------------------
Variety A date Min. wt. Min. diam. B date Min. wt. Min. diam. C date Min. wt. Min. diam. D date
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
Beta............................ 7-25 18 38/16 8-01 16 35/16 8-15 14 33/16 8-22
* * * * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * *
Erin Morris,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2024-21522 Filed 9-19-24; 8:45 am]
BILLING CODE P
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