Kiwifruit Grown in California and Imported Kiwifruit; Modification of Handling Regulations

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Published

February 6, 2026

Issuing agencies

Agriculture DepartmentAgricultural Marketing Service

Abstract

This proposed rule would implement a recommendation from the Kiwifruit Administrative Committee (Committee) to update the handling regulations for kiwifruit grown in California. Consistent with the Committee's proposal, this rulemaking seeks to amend the Size Designation and Size Variation chart located in the pack requirements of the Marketing Order and relax the minimum size requirements for all kiwifruit varieties, except for those of the Actinidia chinensis species. This rule also proposes to make a corresponding change to the size requirements under the kiwifruit import regulation, as required under section 8e of the Agricultural Marketing Agreement Act of 1937.

Full Text

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<title>Federal Register, Volume 91 Issue 25 (Friday, February 6, 2026)</title>
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[Federal Register Volume 91, Number 25 (Friday, February 6, 2026)]
[Proposed Rules]
[Pages 5365-5368]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-02372]

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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 920 and 944

[Doc. No. AMS-SC-24-0044]

Kiwifruit Grown in California and Imported Kiwifruit;
Modification of Handling Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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SUMMARY: This proposed rule would implement a recommendation from the
Kiwifruit Administrative Committee (Committee) to update the handling
regulations for kiwifruit grown in California. Consistent with the
Committee's proposal, this rulemaking seeks to amend the Size
Designation and Size Variation chart located in the pack requirements
of the Marketing Order and relax the minimum size requirements for all
kiwifruit varieties, except for those of the Actinidia chinensis
species. This rule also proposes to make a corresponding change to the
size requirements under the kiwifruit import regulation, as required
under section 8e of the Agricultural Marketing Agreement Act of 1937.

DATES: Comments must be received by April 7, 2026.

ADDRESSES: Interested persons are invited to submit written comments
concerning this proposed rule. 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#bef3dfccd5dbcad7d0d9f1ccdadbccfdd1d3d3dbd0cafecbcddadf90d9d1c8"><span class="__cf_email__" data-cfemail="a7eac6d5ccc2d3cec9c0e8d5c3c2d5e4c8cacac2c9d3e7d2d4c3c689c0c8d1">[email&#160;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 rule will be included
in the record, 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 comments are
posted to <a href="http://regulations.gov">regulations.gov</a> without change.

FOR FURTHER INFORMATION CONTACT: Bianca Bertrand, Marketing Specialist,
or Abigail Maharaj, Chief, West Region Branch, Market Development
Division, Specialty Crops Program, AMS, USDA; telephone: (559) 487-
5901; or email: <a href="/cdn-cgi/l/email-protection#98daf1f9f6fbf9d5b6dafdeaeceaf9f6fcd8edebfcf9b6fff7ee"><span class="__cf_email__" data-cfemail="f2b09b939c9193bfdcb097808680939c96b287819693dc959d84">[email&#160;protected]</span></a> or <a href="/cdn-cgi/l/email-protection#ebaa89828c8a8287c5a68a838a998a81ab9e988f8ac58c849d"><span class="__cf_email__" data-cfemail="c485a6ada3a5ada8ea89a5aca5b6a5ae84b1b7a0a5eaa3abb2">[email&#160;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 rule is issued under the
Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-
674) (the Act), amending Marketing Order No. 920 (7 CFR part 920; the
Order), regulating the handling of kiwifruit grown in California. The
Committee locally administers the Order and is comprised of growers and
handlers operating within the production area, and a public member.
This proposed rule is also issued under section 8e of the Act (7
U.S.C. 608e-1), which provides that whenever certain specified
commodities, including kiwifruit, 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, and maturity requirements as those in effect for domestically
produced commodities.
This proposed rule falls within a category of regulatory actions
that the Office of Management and Budget (OMB) exempted from Executive
Order 12866 review.
This proposed rule 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 this proposed 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.
This proposed rule has been reviewed under Executive Order 12988,
``Civil Justice Reform.'' This proposed rule is not intended to have a
retroactive effect.
Under the Order, fresh market shipments of kiwifruit produced in
California are required to be inspected and are subject to grade, size,
quality, maturity, pack, and container requirements. This proposed rule
would make changes to the Size Designation and Size Variation chart in
the Order's pack requirements to facilitate the handling of large sizes
of kiwifruit under the Order. In addition, this proposed rule would
relax the Order's minimum size requirement for all kiwifruit, other
than varieties of the Actinidia chinensis species. As required by
section 8e of the Act, the proposed relaxation of the minimum size
requirement for non-Actinidia chinensis species varieties would also be
applied to the import regulations for kiwifruit in 7 CFR part 944.
Section 920.51 of the Order authorizes the Committee to recommend
handling regulations to the Secretary. Section 920.52 of the Order
authorizes the Secretary to establish such handling regulations.
Further, Sec. 920.53 authorizes the Committee to recommend the
modification, suspension, or termination of handling regulations when
it finds that industry conditions so dictate. Section 920.302
establishes the minimum grade, size, quality, maturity, pack, and
container requirements for kiwifruit handled subject to the Order.
Section 920.302(a)(2) establishes the Order's minimum size requirements
and Sec. 920.302(a)(4) details the Order's pack requirements. Section
920.302(a)(4) includes a Size Designation and Size Variation Chart that
specifies the allowable kiwifruit size designations, the maximum number
of fruit per 8-pound sample for each size designation, and the
corresponding allowable size variation tolerance.
Pursuant to 7 CFR 920.53, the Committee determined that the
production and marketing conditions

[[Page 5366]]

for some varieties of kiwifruit have changed and that the Order's
handling requirements should be modified accordingly. The Committee met
on April 9, 2024, and unanimously recommended, with a vote of twelve in
favor and none opposed, relaxing the Order's minimum size requirement
in Sec. 920.302(a)(2) for non-Actinidia chinensis species varieties
and modifying the Size Designation and Size Variation Chart in Sec.
920.302(a)(4) to conform to the current production and marketing
environment for California kiwifruit.
At the time that the Order's handling regulations were established
in 1985, practically all the kiwifruit grown in California were similar
varieties of the Actinidia deliciosa species. Recently, the
introduction of a new variety of kiwifruit developed in Greece, known
as Mega Kiwi, has resulted in the need for larger sizes to be defined
in the Size Designation and Size Variation chart in Sec.
920.302(a)(4). Currently, the largest size designation in the pack
requirement chart is size ``18 or larger'', defined as a maximum of 25
pieces of kiwifruit per 8-pound sample. The term ``or larger'' means
that larger sizes may be packed, but there is no designation for what
those sizes should be or how they might be defined (e.g., number of
fruit per 8-pound sample).
It has been industry practice since the Order was first established
that handlers may define their own sizes for fruit that is larger than
Size 18. It has been acceptable for each handler to determine their own
size (Size 17, 16, 15, 14, 13, etc.) and determine the number of fruit
per 8-pound sample, so long as each larger size has fewer fruit per 8-
pound sample than the immediately smaller size that they pack. This
practice has provided an inconsistent sizing standard for shipments of
large size fruit and created complications for inspections. However,
until recently, the percentage of total shipments comprised of Size 18
or larger kiwifruit had been relatively small and the lack of
definition for such fruit had not created problems for the industry.
The Committee also reviewed the current minimum size requirement in
7 CFR 920.302(a)(2) for varieties of the non-Actinidia chinensis
species kiwifruit. The industry indicated that for Size 45, 55 pieces
of fruit allowed per 8-pound sample was too restrictive of a
requirement. The industry consensus was that Size 45 was the
appropriate minimum size, but that the number of pieces allowed in an
8-pound sample needed reconsideration.
At the April meeting, the Committee indicated that the recent
introduction of the Mega Kiwi variety necessitated adding new size
designations, including appropriate definitions, and making other
modifications in the Size Designation and Size Variation chart in Sec.
920.302(a)(4) to facilitate the regulation of the larger size
kiwifruit.
Therefore, this proposed rule would amend the Size Designation and
Size Variation Chart in 7 CFR 920.302(a)(4) by removing the words ``or
larger'' from the size designation ``18 or larger'', leaving only size
``18'' in its place. Further, this rulemaking would add a Size 12,
defined as a maximum of 19 pieces of fruit per 8-pound sample, and a
Size 15, defined as maximum of 22 pieces of fruit per 8-pound sample.
Both of the proposed new size designations in the chart (12 and 15)
would include a 1-inch size variation tolerance.
Further, the allowable size variation tolerance for the revised
size 18 would increase from \1/2\-inch to 1-inch and the size variation
tolerance for size 45 would increase from \1/4\-inch to \3/8\-inch. The
maximum number of fruit per 8-pound sample for Size 45 would be
increased from 55 pieces to 56 pieces.
The size requirements under the Order require that all varieties of
kiwifruit, except for varieties of the Actinidia chinensis species,
shall be a minimum of Size 45, defined as a maximum of 55 pieces of
fruit per 8-pound sample. This proposed rule would relax the minimum
size requirement in Sec. 920.302(a)(2) for all varieties of kiwifruit,
other than those of the Actinidia chinensis species, by redefining Size
45 as maximum of 56 pieces of fruit per 8-pound sample.
Section 8e of the Act provides that when certain domestically
produced commodities, including kiwifruit, are regulated under a
Federal marketing order, imports of that commodity must meet the same
or comparable grade, size, quality, and maturity requirements. Since
this proposed rule would relax the minimum size requirement for
varieties other than those of the Actinidia chinensis species, a
corresponding change to Sec. 944.550 of the import regulations is also
proposed. Under the kiwifruit import regulations, imported kiwifruit
are not subject to container and pack requirements. Accordingly, the
modifications to the Order's pack requirements, as proposed herein,
would not affect the kiwifruit import requirements.
This proposed rule would make changes to the Size Designation and
Size Variation chart in the Order's pack requirements and would relax
the minimum size requirement for all varieties of kiwifruit, other than
varieties of the Actinidia chinensis species. The proposed changes in
the Order's handling regulations are expected to benefit growers,
handlers, and consumers of domestic kiwifruit.
The relaxation in the size requirement for imports of non-Actinidia
chinensis varieties would allow a greater quantity of kiwifruit to be
imported under the regulations. This change is expected to benefit
kiwifruit importers and consumers of imported kiwifruit.

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 rule 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 are unique regulations in that they are brought
about through group action of typically small entities acting on their
own behalf.
There are approximately 108 kiwifruit growers in the production
area and 19 handlers subject to regulation under the Order. At the time
this analysis was prepared, the Small Business Administration (SBA)
defined small agricultural producers as those having annual receipts
equal to or less than $3,500,000 (NAICS code 111339, Other Noncitrus
Fruit Farming). Small agricultural service firms, which include
kiwifruit handlers, are defined by the SBA as those having annual
receipts equal to or less than $34,000,000 (NAICS code 115114,
Postharvest Crop Activities) (13 CFR 121.201).
The USDA National Agricultural Statistics Service (NASS) reported
an average 2024 California kiwifruit grower received price of $3,140
per ton and an average yield of 6.8 tons per acre. Dividing the SBA
threshold for a small kiwifruit grower of $3.5 million by the $3,140
per ton grower received price and then by the yield of 6.8 tons per
acre results in approximately 164 acres that would be required for a
kiwifruit grower to reach $3.5 million in annual receipts. Therefore,
AMS concludes that a kiwifruit grower would need 165 bearing acres to
be considered ``large'' per the SBA definition. According to the 2022
Census of Agriculture, published by NASS in February 2024, 10 farms out
of the 108 total kiwifruit farms with bearing acreage in California had
100 or

[[Page 5367]]

more bearing acres. This means that more than 90 percent of farms, or
growers, would be considered small businesses under the SBA definition
and AMS's analysis.
To estimate the number of handlers that would be considered small
per the SBA definition of no more than $34 million in average annual
receipts, AMS first estimates a total handler value using the 2024
California production figure of 35,400 tons of kiwifruit, published by
NASS, and a 2024 average handler price of $3,700 per ton, calculated
using terminal market prices reported by AMS Market News. The product
of these two results in a total handler value of nearly $131 million
(35,400 tons multiplied by $3,700 per ton). This result assumes that
100 percent of all domestically produced kiwifruit was handled by
domestic handlers and that these domestic handlers only handled
domestic kiwifruit. Dividing total handler value ($131 million) by the
SBA definition of a small business of $34 million in average annual
receipts indicates that no more than three handlers of the 19 in total
could exceed this threshold and be considered ``large'' per the SBA
definition. Therefore, at least 84 percent of handlers (19 minus 3
divided by 19 multiplied by 100) would be considered to be small
businesses under the SBA definition and AMS's analysis.
All kiwifruit marketed under the Order will continue to be packed
to the minimum grade of KAC No. 1. This proposed rule would only impact
the Order's pack and size requirements. This proposed rule would add
two new size designations (Size 12 and 15) to the chart in the Order's
pack requirements. Each new size designation would be assigned a
corresponding maximum number of fruit per 8-pound sample (19 and 22,
respectively) and an allowable size variation tolerance of 1-inch (25.4
mm). In addition, this proposed rule would amend the size designation
``18 or larger'' to read ``18'' and would increase the allowable size
variation tolerance for that size designation from \1/2\-inch (12.7 mm)
to 1-inch (25.4 mm). Further, this proposed rule would amend the
definition for Size 45 by increasing the maximum number of fruit per 8-
pound sample from 55 to 56 and increasing the size variation tolerance
from \1/4\-inch (6.4 mm) to \3/8\-inch (9.5 mm).
This proposed rule would also relax the Order's minimum size
requirement for all kiwifruit varieties, other than varieties of the
Actinidia chinensis species. The current minimum size under the size
requirements is Size 45, which is defined as a maximum of 55 pieces of
fruit per 8-pound sample. This proposed rule would increase the maximum
number of pieces of fruit per 8-pound sample from 55 to 56. As is
required by section 8e of the Act, this proposed rule would also make a
corresponding change to the minimum size requirement in the kiwifruit
import regulation for non-Actinidia chinensis species varieties
consistent with Sec. Sec. 920.52 and 920.53 of the Order.
This proposed rule would not impose any additional costs to
industry. If implemented, the changes to the handling regulations are
expected to make the inspection and handling of kiwifruit more
efficient. Further, the quality of fruit to consumers is not expected
to be significantly affected, as modifying the allowable pack and size
requirements would not impact the Order's minimum quality requirements.
The Committee considered alternatives to the recommended changes,
including taking no action and continuing to regulate according to the
requirements as currently established. As discussed by the Committee,
handlers currently may define their own size designations for fruit
that are larger than Size 18 (e.g., Size 17, 16, 15,14, 13, etc.). The
Committee considered the various optional size designations and the
merits of each. Ultimately, the Committee determined that the addition
of two larger size designations under the pack requirements, along with
the other minor changes to the Order's size and pack requirements
proposed herein, was in the best interests of the growers, handlers,
and consumers of California kiwifruit and rejected all other
alternatives.
Committee meetings are widely publicized throughout the California
kiwifruit industry. All interested persons are invited to attend
meetings and participate in Committee deliberations. Like all Committee
meetings, the April 9, 2024, meeting was a public meeting, and all
entities, both large and small, were able to express their views on
this issue. Finally, interested persons are invited to submit comments
on this proposed rule, including the regulatory and informational
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 the Office of Management and Budget (OMB) and
assigned OMB No. 0581-0189, Fruit Crops. This proposed rule does not
require changes to the current information collection. Should any
changes become necessary, they would be submitted to OMB for approval.
This proposed rule would not impose any additional reporting or
recordkeeping requirements on either small or large kiwifruit 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 rule.
After consideration of all relevant material presented, including
the information and recommendations submitted by the Committee and
other available information, AMS has determined that this proposed rule
is consistent with and will effectuate the purposes of the Act.
In accordance with section 8e of the Act, the United States Trade
Representative has concurred with the issuance of this proposed rule.
A 60-day comment period is provided to allow interested persons to
respond to this proposed rule. All written comments timely received
will be considered before a final determination is made on this
rulemaking.

List of Subjects

7 CFR Part 920

Kiwifruit, 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 920 and 944 as follows:

PART 920--KIWIFRUIT GROWN IN CALIFORNIA

0
1. The authority citation for 7 CFR part 920 continues to read as
follows:

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

0
2. Amend Sec. 920.302 by removing in paragraph (a)(2) the text ``55
pieces'' and adding in its place the text ``56 pieces'', and by
revising table 1 to paragraph (a)(4)(ii)(A) to read as follows:

[[Page 5368]]

Sec. 920.302 Grade, size, pack, and container regulations.

(a) * * *
(4) * * *
(ii) * * *
(A) * * *

Table 1 to Paragraph (a)(4)(ii)(A)--Size Designation and Size Variation
Chart
------------------------------------------------------------------------
Maximum number of Size variation
Size designation fruit per 8-pound tolerance
sample (diameter) \1\
------------------------------------------------------------------------
12 or larger.................... 19 1-inch (25.4 mm).
15.............................. 22 1-inch (25.4 mm).
18.............................. 25 1-inch (25.4 mm).
20.............................. 27 \1/2\-inch (12.7
mm).
23.............................. 30 \1/2\-inch (12.7
mm).
25.............................. 32 \1/2\-inch (12.7
mm).
27/28........................... 35 \1/2\-inch (12.7
mm).
30.............................. 39 \1/2\-inch (12.7
mm).
33.............................. 43 \3/8\-inch (9.5
mm).
36.............................. 46 \3/8\-inch (9.5
mm).
39.............................. 49 \3/8\-inch (9.5
mm).
42.............................. 53 \3/8\-inch (9.5
mm).
45.............................. 56 \3/8\ inch (9.5
mm).
49 \2\.......................... 64 Not applicable.
------------------------------------------------------------------------
\1\ Not applicable to Actinidia chinensis species varieties.
\2\ Applicable only to Actinidia chinensis species varieties.

* * * * *

PART 944--FRUITS; IMPORT REGULATIONS

0
3. The authority citation for 7 CFR part 944 continues to read as
follows:

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

Sec. 944.550 [Amended]

0
4. Amend Sec. 944.550(a) by removing the text ``55 pieces'' and adding
in its place the text ``56 pieces''.

Erin Morris,
Administrator, Agricultural Marketing Service.
[FR Doc. 2026-02372 Filed 2-5-26; 8:45 am]
BILLING CODE P

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