[Federal Register Volume 67, Number 22 (Friday, February 1, 2002)]
[Rules and Regulations]
[Pages 4873-4877]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-2492]
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Rules and Regulations
Federal Register
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This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
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Federal Register / Vol. 67, No. 22 / Friday, February 1, 2002 / Rules
and Regulations
[[Page 4873]]
DEPARTMENT OF AGRICULTURE
Animal and Plant Health Inspection Service
7 CFR Part 319
[Docket No. 99-099-2]
RIN 0579-AB17
Importation of Unshu Oranges From Japan
AGENCY: Animal and Plant Health Inspection Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: We are amending the regulations governing the importation of
citrus fruit to allow, under certain conditions, Unshu oranges grown on
Kyushu Island, Japan, to be imported into non-citrus-producing areas of
the United States. We are also amending the regulations for importing
Unshu oranges from Honshu Island, Japan, by requiring fumigation using
methyl bromide prior to exportation and by allowing the fruit to be
distributed to additional areas in the United States, including citrus-
producing areas. In addition, we are removing the requirement for
individually wrapping Unshu oranges imported from Japan or the Republic
of Korea. These actions would relieve restrictions on the importation
into and distribution within the United States of Unshu oranges without
presenting a significant risk of introducing citrus canker or other
diseases or pests of plants.
EFFECTIVE DATE: January 28, 2002.
FOR FURTHER INFORMATION CONTACT: Dr. Inder P. Gadh, Import Specialist,
Phytosanitary Issues Management Team, PPQ, APHIS, 4700 River Road Unit
140, Riverdale, MD 20737-1236; (301) 734-6799.
SUPPLEMENTARY INFORMATION:
Background
Citrus canker is a disease that affects citrus and is caused by the
infectious bacterium Xanthomonas campestris pv. citri (Hasse) Dye. The
strain of citrus canker that occurs in Japan infects twigs, leaves, and
fruit in a wide spectrum of citrus species.
Currently, the regulations in 7 CFR 319.28 (referred to below as
the regulations) prohibit the importation of citrus from Eastern and
Southeastern Asia, Japan, Brazil, Paraguay, and other designated areas,
with certain exceptions. One exception is for Unshu oranges (Citrus
reticulata Blanco var. unshu, also known as Satsuma) grown in citrus-
canker-free areas of Japan or on Cheju Island, Republic of Korea. After
meeting certain growing, packing, and inspection requirements, Unshu
oranges may be imported from these areas of Japan and Korea into any
area of the United States except American Samoa, Arizona, California,
Florida, Louisiana, the Northern Mariana Islands, Puerto Rico, Texas,
and the U.S. Virgin Islands. Also, under the regulations in 7 CFR
301.11, the interstate movement of Unshu oranges is prohibited from any
State or area into which they may be imported into or through any State
or area where importation is prohibited under Sec. 319.28.
Unshu oranges eligible for importation into the United States are
grown under a system of safeguards in citrus-canker-free areas in Japan
and Korea. Unshu oranges are known to be resistant to citrus canker,
and the system of safeguards established in the regulations for Unshu
oranges approximately 30 years ago has proven effective, as evidenced
by the record of citrus-canker-free imports.
On April 18, 2001, we published in the Federal Register (66 FR
19892-19898, Docket No. 99-099-1) a proposed rule to amend regulations
governing the importation of citrus fruit to allow, under certain
conditions, Unshu oranges grown on Kyushu Island, Japan, to be imported
into non-citrus-producing areas of the United States. We also proposed
to amend the regulations for importing Unshu oranges from Honshu
Island, Japan, by requiring fumigation using methyl bromide prior to
exportation and by allowing the fruit to be distributed to additional
areas in the United States, including citrus-producing areas. Finally,
we proposed to remove the requirement for individually wrapping Unshu
oranges imported from Japan or the Republic of Korea.
We solicited comments concerning our proposal for 60 days ending
June 18, 2001. We received five comments by that date. These comments
were from State agricultural agencies, a citrus growers cooperative,
and a university. All of the commenters raised specific concerns
regarding the proposed rule. Those concerns are discussed below by
topic.
Two commenters opposed allowing Unshu oranges from Japan to enter
citrus-producing areas of the United States under any conditions due to
the risk of citrus canker. One of the commenters argued that fruit
treatments and growing area inspections have not been conclusively
proven to eliminate that risk. We believe that the risk of citrus
canker being introduced into citrus-producing areas via imported Unshu
oranges is almost nonexistent. The pest risk assessment estimated that
the probability of the citrus canker bacterium (Xanthomonas campestris
pv. citri) from imported Unshu orange fruits coming in contact with and
infecting a suitable host material and establishing was nearly zero.
The published literature indicates that no authenticated outbreak of
citrus canker has ever been traced back to the importation of infected
fruit. In addition, the Unshu oranges are known for their resistance to
the disease.
Three commenters opposed removing the requirement to wrap
individual oranges, especially given some Unshu oranges from Japan
would be allowed into citrus-producing areas and others would not.
These commenters argued that once cartons are opened and fruit
distributed, it would be difficult to identify the origin of individual
oranges. As we noted in the proposed rule, we will continue to require
that each box containing fruit will have to be clearly marked with the
States into which the fruit may be imported, and from which they are
prohibited removal under a Federal plant quarantine. Our experience has
shown that Unshu oranges are marketed and retailed by the box. We do
not think that wrapping of individual fruits with tissue paper provides
additional phytosanitary security; any importers engaged in swapping
boxes to misrepresent the
[[Page 4874]]
origin (i.e., Kyushu-grown oranges in Honshu boxes) could also engage
in swapping or fabricating wrapping papers.
Three commenters suggested that methyl bromide fumigation should be
required for all Unshu oranges entering the United States from Japan,
not just for Unshu oranges grown on Honshu. One of these commenters
argued that three mealybugs identified in the pest risk assessment
(Planococcus kraunhiae, P. lilacinus, and Pseudococcus cryptus) have a
relatively wide host range and could move from imported Unshu oranges
to other host material and become established in the United States.
APHIS' fumigation requirement for the oranges grown on Honshu is an
additional protective measure imposed because the Honshu-grown fruit
can be distributed in U.S. citrus-producing areas. Because the
distribution of Kyushu-grown fruit will be limited to non-citrus-
producing areas, we believe that the existing safeguards will be
sufficient. During the required inspections by APHIS personnel in Japan
and at the U.S. port of entry, APHIS inspectors specifically target
mealybugs; any shipments of Unshu oranges from Kyushu or Honshu found
to be infested with mealybugs (or any other quarantine significant
pest) will be prohibited entry into the United States.
Two commenters suggested that APHIS should update the 1995 pest
risk assessment ``Importation of Japanese Unshu Orange Fruit into
Citrus Producing States,'' given the age of the document and the fact
that Japan's work plan for the Unshu orange program does not refer to
some of the pests identified as quarantine significant (e.g., the
citrus fruit fly) in the pest risk assessment. We believe that the 1995
risk assessment is still applicable, given that no incidence of citrus
canker or finding of a new pest of concern in the Japanese production
areas has been reported or recorded since the assessment was prepared.
With regard to Japan's work plan, it has not been necessary for that
document to address the citrus fruit fly because that pest is not known
to occur on Honshu, which has been the only area from which Unshu
oranges could be imported into the United States. We will work with
Japanese officials to ensure that the programmatic changes resulting
from this rule are reflected in an updated work plan.
Two commenters suggested that the risks presented by citrus canker
and citrus greening would require that minimal acceptable growing and
domestic movement standards within Japan be the same as those imposed
on Florida for movement of commercial citrus. Citrus greening disease
and its vector, Diaphorina citri, are reported as occurring only in the
Ryuku Archipelago in Japan and have not been reported on Honshu or
Kyushu. While D. citri was detected in southeastern Florida in June
1998--the only reported detection of the pest in the United States--
populations of the pest are being controlled through a classical
biological control program, according to a pest alert prepared by the
University of Florida and the Florida Department of Agriculture and
Consumer Services, Division of Plant Industry. Further, D. citri breeds
exclusively on young flush and feeds on leaves and shoots of citrus,
and the citrus greening bacterium is phloem restricted, making the
fruit an unlikely pathway for the vector or the disease. With regard to
citrus canker, we have noted in this document and elsewhere that Unshu
oranges themselves are highly resistant to citrus canker and the
required growing conditions in Japan all but eliminate the risk of
citrus canker being introduced via Unshu oranges from Japan.
Therefore, for the reasons given in the proposed rule and in this
document, we are adopting the proposed rule as a final rule, without
change.
Effective Date
This is a substantive rule that relieves restrictions and, pursuant
to the provisions of 5 U.S.C. 553, may be made effective less than 30
days after publication in the Federal Register.
Immediate implementation of this rule is necessary to provide
relief to those persons who are adversely affected by restrictions we
no longer find warranted. The shipping season for Unshu oranges from
Japan is in progress. Making this rule effective immediately will allow
interested producers and others in the marketing chain to benefit
during this year's shipping season. Therefore, the Administrator of the
Animal and Plant Health Inspection Service has determined that this
rule should be effective upon signature.
Executive Order 12866 and Regulatory Flexibility Act
This final rule has been reviewed under Executive Order 12866. The
rule has been determined to be not significant for the purposes of
Executive Order 12866 and, therefore, has not been reviewed by the
Office of Management and Budget.
The economic analysis for the changes in this document is set forth
below. It provides a cost-benefit analysis as required by Executive
Order 12866 and an analysis of the potential economic effects on small
entities as required by the Regulatory Flexibility Act.
In the data used to prepare this analysis, the terms ``tangerine''
and ``mandarin'' are generally interchangeable. Both refer to varieties
of Citrus reticulata. For example, National Agricultural Statistics
Service (NASS) production data are aggregated under ``tangerine,''
while Census Bureau trade data use the term ``mandarin.'' Because of
its familiarity, we use only the term ``tangerine'' in this analysis.
Unshu oranges (Citrus reticulata var. unshu) are a variety of
tangerine currently allowed to be imported into the United States from
citrus canker-free production areas of Japan and Korea. They may be
imported into any part of the United States except for commercial
citrus-producing areas. This rule amends the provisions regarding the
importation of Unshu oranges from Honshu Island, where all such
shipments from Japan originated prior to this rule, and allow
importations from four prefectures on Kyushu Island. Unshu oranges
imported from Honshu Island will no longer be prohibited from being
distributed in five citrus-producing States (Arizona, California,
Florida, Louisiana, and Texas), and postharvest treatment with methyl
bromide will be mandatory. Unshu oranges from Kyushu Island will be
prohibited from being distributed in those five citrus-producing
States, American Samoa, the Northern Mariana Islands, Puerto Rico, and
the U.S. Virgin Islands, and methyl bromide treatment will not be
mandatory. This rule also removes the requirement that imported Unshu
oranges be individually wrapped, regardless of whether they come from
Japan or Korea.
Because Unshu oranges are not grown in the United States, entities
that might be affected by this rule will be producers of other
tangerine varieties, assuming Unshu oranges can be considered a
substitute fruit. Annual receipts of $750,000 or less is the small-
entity criterion set by the Small Business Administration for
establishments primarily engaged in the production of citrus fruits.
Most tangerine producers in the United States are small entities.
Although the 1997 Census of Agriculture excluded information on
California's ``honey tangerine'' growers to avoid disclosing data for
individual farms, the information that is available for ``other
tangerine'' growers in California and other States indicates that most
operations are small.
[[Page 4875]]
Quantities of Unshu oranges imported from Japan and Korea between
1994 and 1999 are shown in Table 1. Unshu orange imports from Japan
between 1994 and 1999 averaged 240 metric tons per year.
Table 1--Unshu Orange Imports by the United States From Japan and Korea
[In metric tons]
------------------------------------------------------------------------
Year Japan Korea Total
------------------------------------------------------------------------
1994......................................... 324 ....... 324
1995......................................... 232 43 275
1996......................................... 165 214 379
1997......................................... 144 887 1,031
1998......................................... 224 31 255
1999......................................... 349 377 726
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Source: Ministry of Agriculture, Forestry and Fisheries, Japan.
Japan's Ministry of Agriculture, Forestry and Fisheries is unable
to project future Unshu orange exports to the United States that may
result from this final rule. For the purposes of this analysis,
therefore, we estimated that the level of imports would be double the
1994-1999 average, i.e., 480 metric tons per year. Adding to this
amount the average of yearly imports from Korea shown in Table 1,
namely, 310 metric tons, would mean 790 metric tons of Unshu oranges
imported annually. The estimated increase in imports from Japan may be
too high, but we do not have information that would allow a more
factually based projection. A high estimate of the potential increase
in Japan's Unshu orange exports to the United States lends confidence
to our conclusion regarding the potential economic effect on U.S.
tangerine producers.
U.S. tangerine production, imports, and domestic supplies are shown
in Table 2. U.S. net imports were less than 4 percent of the domestic
supply in 1997-98. In addition, as Table 2 shows, the United States
shifted from being a net exporter from 1994 through 1996 to being a net
importer of tangerines beginning in 1996, reflecting increased demand
for imported varieties. Annual exports from 1994 through 1998 were
fairly constant at about 33,400 metric tons. Imports, however,
increased sharply, from about 20,000 metric tons in 1994-95, to about
42,800 metric tons in 1997-98.
Table 2--U.S. Fresh Tangerine Production and Importation
[In metric tons]
------------------------------------------------------------------------
U.S. Net Domestic
Year production imports supply
-----------------------------------------\1\-----------\2\--------\3\---
1994-95........................... 190,046 -13,794 176,251
1995-96........................... 220,985 -9,477 211,508
1996-97........................... 255,020 1,742 256,762
1997-98........................... 220,878 8,848 229,726
------------------------------------------------------------------------
\1\ Excludes processed fruit. Source: Production data from NASS,
Agricultural Statistics, Tables 5-23 and 5-24.
\2\ ``Net imports'' are imports minus exports. Calendar year data
arranged to correspond to NASS cross-year production data. Net import
data source: World Trade Atlas, Global Trade Information Services,
Inc., based on data from U.S. Department of Commerce, Bureau of the
Census.
\3\ U.S. production (excluding processed fruit) plus net imports.
Comparing Unshu orange imports shown in Table 1 with U.S. tangerine
supplies shown in Table 2, it is apparent that Unshu orange imports
comprise a small portion of total supply. From 1994-95 to 1997-98, they
averaged only 0.23 percent of U.S. tangerine supply, and when only the
fruit imported from Japan is considered, 0.11 percent. The hypothesized
import level, 790 metric tons a year, represents only 0.36 percent of
the average annual tangerine domestic supply over this 4-year period.
This very small percentage suggests that any effect of Unshu orange
imports, as a substitute fruit, on the sales and prices of other
tangerine varieties as a whole would not be significant.
One seedless variety that is similar to the Unshu orange is the
Satsuma. In the United States, it is commercially grown only in
California, where there were 1,368 acres of bearing and 753 acres of
nonbearing (young) trees as of May 1999, according to the California
Department of Food and Agriculture. Satsuma production statistics are
not recorded at the national or State level. Nearly all commercial
production takes place in Fresno, Kern, and Tulare Counties, CA. Of
these, only Fresno County maintains information specific to Satsumas.
In 1997-98, there were 2,332 metric tons of Satsuma produced on 470
acres in Fresno County. Based on those production levels, we estimate
that the entire area of California planted with Satsuma annually
produces 6,785 metric tons of fruit and could potentially produce
10,520 metric tons of fruit. The hypothesized quantity of Unshu orange
imports, 790 metric tons, represents 11.6 and 7.5 percent,
respectively, of the estimated California Satsuma production levels
(i.e., the estimated annual production and estimated potential
production levels).
Direct access to California markets will allow Unshu orange imports
from Honshu Island to compete more directly for California's Satsuma
consumers. However, prices of the two varieties are not competitive.
Wholesale prices for Satsuma in 1997-98 were about 40 to 50 cents per
pound. Wholesale prices for Unshu oranges for the past 6 to 7 years
have been around $1.40 to $1.50 per pound ($45 to $48 per 32-pound
container). One company has been the sole importer of Unshu oranges
from Japan for more than 10 years. Information from the U.S. Department
of Commerce, Bureau of the Census, shows that the average price of all
tangerines imported by the United States from 1994 to 1998 was more in
line with Satsuma prices, at about 47 cents per pound. A price
difference of this magnitude implies distinct markets; it is highly
unlikely that Satsuma customers will be willing to pay a threefold
premium for a substitute variety. There may be latent demand for Unshu
oranges in the United States, but the extent to which this demand draws
away consumers of Satsuma and other domestic tangerine varieties is
expected to be marginal. More likely, Unshu orange sales in citrus-
producing States and elsewhere will be to an expanding base of niche
customers willing to pay the premium price for Unshu oranges.
The effect on the demand for other Citrus reticulata varieties from
increased levels of Unshu orange imports is expected to be negligible.
Even when the analysis focuses more narrowly on a similar tangerine
variety, the Satsuma, the higher prices paid for Unshu oranges strongly
indicate a distinct market, with any effect on Satsuma sales likely to
be insignificant.
An increase in the importation of Unshu oranges is expected, given
the addition of Unshu oranges grown on Kyushu Island and the
opportunity for Unshu oranges from Honshu Island to be marketed in U.S.
citrus-producing States. The requirement that shipments from Honshu
Island be fumigated using methyl bromide will not affect the volume of
Unshu oranges exported, since all shipments from that island are
already fumigated voluntarily. Whether the fruit continues to be
wrapped after individual fruit wrappers are no longer required will
probably be determined largely by customer preference.
As explained, increases in the quantity of Unshu oranges imported
from Japan are not expected to have a significant economic effect on
U.S. tangerine producers, whether the producer is a small or large
entity.
[[Page 4876]]
Cost-Benefit Analysis and Analysis of Alternatives
Economic effects on U.S. producers and consumers resulting from
this rule are expected to be insignificant. As described, projected
Unshu orange imports represent about one-third of 1 percent of domestic
tangerine supply. This small amount is unlikely to affect the demand
for other tangerines, especially given that Unshu orange prices are
triple those of other tangerines. U.S. retailers and consumers of Unshu
oranges will benefit, particularly those in citrus-producing States
that currently do not have direct access to them.
Alternatives to this rule would be to either maintain existing
import regulations or propose restrictions different from those set
forth here. The risk assessment supports neither alternative. Japanese
sources and U.S. destinations can be expanded without jeopardizing the
U.S. citrus industry. The economic effect will be positive, but very
minor.
Under these circumstances, the Administrator of the Animal and
Plant Health Inspection Service has determined that this action would
not have a significant economic impact on a substantial number of small
entities.
Executive Order 12988
This final rule allows Unshu oranges to be imported into the United
States from Japan. State and local laws and regulations regarding Unshu
oranges imported under this rule will be preempted while the fruit is
in foreign commerce. Fresh Unshu oranges are generally imported for
immediate distribution and sale to the consuming public, and remain in
foreign commerce until sold to the ultimate consumer. The question of
when foreign commerce ceases in other cases must be addressed on a
case-by-case basis. No retroactive effect will be given to this rule,
and this rule will not require administrative proceedings before
parties may file suit in court challenging this rule.
National Environmental Policy Act
An environmental assessment and finding of no significant impact
have been prepared for this final rule. The assessment provides a basis
for the conclusion that the importation of Unshu oranges grown at
approved locations in Japan and imported into certain areas of the
United States under the conditions specified in this final rule will
not present a risk of introducing or disseminating citrus canker,
citrus fruit fly, and mealybugs and will not have a significant impact
on the quality of the human environment. Based on the finding of no
significant impact, the Administrator of the Animal and Plant Health
Inspection Service has determined that an environmental impact
statement need not be prepared.
The environmental assessment and finding of no significant impact
were prepared in accordance with: (1) The National Environmental Policy
Act of 1969 (NEPA), as amended (42 U.S.C. 4321 et seq.), (2)
regulations of the Council on Environmental Quality for implementing
the procedural provisions of NEPA (40 CFR parts 1500-1508), (3) USDA
regulations implementing NEPA (7 CFR part 1b), and (4) APHIS' NEPA
Implementing Procedures (7 CFR part 372).
Copies of the environmental assessment and finding of no
significant impact are available for public inspection at USDA, room
1141, South Building, 14th Street and Independence Avenue SW.,
Washington, DC, between 8 a.m. and 4:30 p.m., Monday through Friday,
except holidays. Persons wishing to inspect copies are requested to
call ahead on (202) 690-2817 to facilitate entry into the reading room.
In addition, copies may be obtained by writing to the individual listed
under FOR FURTHER INFORMATION CONTACT.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
3501 et seq.), the information collection or recordkeeping requirements
included in this rule have been approved by the Office of Management
and Budget (OMB) under OMB control number 0579-0173.
List of Subjects in 7 CFR Part 319
Bees, Coffee, Cotton, Fruits, Honey, Imports, Logs, Nursery Stock,
Plant diseases and pests, Quarantine, Reporting and recordkeeping
requirements, Rice, Vegetables.
Accordingly, we are amending 7 CFR part 319 as follows:
PART 319--FOREIGN QUARANTINE NOTICES
1. The authority citation for part 319 continues to read as
follows:
Authority: 7 U.S.C. 166, 450, 7711-7714, 7718, 7731, 7732, and
7751-7754; 21 U.S.C. 136 and 136a; 7 CFR 2.22, 2.80, and 371.3.
2. Section 319.28 is amended as follows:
a. Paragraphs (b)(2), (b)(3), (b)(4), and (b)(6) are redesignated
as paragraphs (b)(3), (b)(4), (b)(6), and (b)(7), respectively.
b. Paragraph (b) introductory text is revised, paragraph (b)(5) is
added, and newly redesignated paragraphs (b)(6)(i) and (b)(7) are
revised.
c. New paragraph (b)(2) is added.
Sec. 319.28 Notice of quarantine.
* * * * *
(b) The prohibition does not apply to Unshu oranges (Citrus
reticulata Blanco var. unshu, Swingle [Citrus unshiu Marcovitch,
Tanaka]), also known as Satsuma, grown in Japan or on Cheju Island,
Republic of Korea, and imported under permit into any area of the
United States except for those areas specified in paragraph (b)(7) of
this section: Provided, that each of the following safeguards is fully
carried out:
* * * * *
(2) In Unshu orange export areas and buffer zones on Kyushu Island,
Japan, trapping for the citrus fruit fly (Bactrocera tsuneonis) must be
conducted as prescribed by the Japanese Government's Ministry of
Agriculture, Forestry and Fisheries and the U.S. Department of
Agriculture. If fruit flies are detected, then shipping will be
suspended from the export area until negative trapping shows the
problem has been resolved.
* * * * *
(5) Each shipment of oranges grown on Honshu Island, Japan, must be
fumigated with methyl bromide after harvest and prior to exportation to
the United States. Fumigation must be at the rate of 3 lbs./1,000 cu.
ft. for 2 hours at 59 deg.F or above at normal atmospheric pressure
(chamber only) with a load factor of 32 percent or below.
(6) * * *
(i) The individual boxes in which the oranges are shipped must be
stamped or printed with a statement specifying the States into which
the Unshu oranges may be imported, and from which they are prohibited
removal under a Federal plant quarantine.
* * * * *
(7) The Unshu oranges may be imported into the United States only
through a port of entry listed in Sec. 319.37-14, except as follows:
(i) Unshu oranges from Honshu Island, Japan, may not be imported
into American Samoa, the Northern Mariana Islands, Puerto Rico, or the
U.S. Virgin Islands.
(ii) Unshu oranges from Kyushu Island, Japan (Prefectures of
Fukuoka, Kumanmoto, Nagasaki, and Saga only), or Cheju Island, Republic
of Korea, may not be imported into American Samoa, Arizona, California,
Florida, Hawaii, Louisiana, the Northern Mariana
[[Page 4877]]
Islands, Puerto Rico, Texas, or the U.S. Virgin Islands.
* * * * *
Done in Washington, DC, this 28th day of January 2002.
W. Ron DeHaven,
Acting Administrator, Animal and Plant Health Inspection Service.
[FR Doc. 02-2492 Filed 1-31-02; 8:45 am]
BILLING CODE 3410-34-P