Export Trade Certificate of Review; Notice of Application

DEPARTMENT OF COMMERCE

Export Trade Certificate of Review; Notice of Application

SUMMARY: The Office of Export Trading Company Affairs, International

Trade Administration, Department of Commerce, has received an

application for an Export Trade Certificate of Review. This notice

summarizes the conduct for which certification is sought and requests

comments relevant to whether the Certificate should be issued. The

applicant requested, and the Secretary of Commerce, with the

concurrence of the Attorney General, has granted expedited review of

this application.

FOR FURTHER INFORMATION CONTACT: W. Dawn Busby, Director, Office of

Export Trading Company Affairs, International Trade Administration,

(202) 482-5131. This is not a toll-free number.

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SUPPLEMENTARY INFORMATION: Title III of the Export Trading Company Act

of 1982 (15 U.S.C. 4001-21) authorizes the Secretary of Commerce to

issue Export Trade Certificates of Review. A Certificate of Review

protects the holder and the members identified in the Certificate from

state and federal government antitrust actions and from private, treble

damage antitrust actions for the export conduct specified in the

Certificate and carried out in compliance with its terms and

conditions. Section 302(b)(1) of the Act and 15 CFR 325.6(a) require

the Secretary to publish a notice in the Federal Register identifying

the applicant and summarizing its proposed export conduct.

Request for Public Comments

Interested parties may submit written comments relevant to the

determination of whether a Secretary of Commerce should issue a

Certificate to the applicant. An original and five (5) copies of such

comments should be submitted no later than 20 days after the date of

this notice to: Office of Export Trading Company Affairs, International

Trade Administration, Department of Commerce, Room 1800H, Washington,

D.C. 20230. Information submitted by any person is exempt from

disclosure under the Freedom of Information Act (5 U.S.C. 552).

Comments should refer to this application as ``Export Trade Certificate

of Review, application number 96-00003.''

Summary of the Application

Applicant: U.S. Rice Millers' Association, 4301 N. Fairfax Drive,

Arlington, VA 22203-1616; Contact: David Graves; Telephone: (703) 351-

8161.

Application No.: 96-00003.

Date Deemed Submitted: May 10, 1996.

Members (in addition to applicant): Affiliated Rice Milling, Inc.,

Alvin, Texas; American Rice, Inc., Houston, Texas; Brinkley Rice

Milling Company, Brinkley, Arkansas; Broussard Rice Mill, Inc.,

Mermentau, Louisiana; Busch Agricultural Resources, Inc., St. Louis,

Missouri; Cargill Rice Milling, Greenville, Mississippi; Louis Dreyfus

Corporation, Wilton, Connecticut; El Campo Rice Milling Company,

Louise, Texas; Farmers Rice Milling Company, Inc., Lake Charles,

Louisiana; Farmers' Rice Cooperative, Sacramento, California; Gulf Rice

Milling, Inc., Houston, Texas; Liberty Rice Mill, Inc., Kaplan,

Louisiana; Producers Rice Mill, Inc., Stuttgart, Arkansas; The Rice

Company, Roseville, California; Riceland Foods, Inc., Stuttgart,

Arkansas; RiceTec, Inc., Alvin, Texas; Riviana Foods Inc., Houston,

Texas; Supreme Rice Mill, Inc., Crowley, Louisiana; Uncle Ben's, Inc.,

Houston, Texas.

The Rice Millers' Association seeks a Certificate to cover the

following specific Export Trade, Export Markets, and Export Trade

Activities and Methods of Operations.

Export Trade

Products

Semi-milled and wholly milled rice, whether or not polished or

glazed (Harmonized Tariff Schedule 1006.30) and husked (brown) rice

(Harmonized Tariff Schedule 1006.20).

Export Markets

For purposes of administering the European Union's tariff rate

quota: The countries of the European Union. For all other purposes: All

parts of the world except the United States (the 50 states of the

United States, the District of Columbia, the Commonwealth of Puerto

Rico, the Virgin Islands, American Samoa, Guam, the Commonwealth of the

Northern Mariana Islands, and the Trust Territory of the Pacific

Islands).

Export Trade Activities and Methods of Operation

1. Rice Millers' Association (RMA) will administer a system for

allocating the U.S. share of the European Union (EU) tariff rate quotas

(``TRQs'') for milled white rice and brown rice (roughly 38,000 tons of

milled rice and 8,000 tons of brown rice) agreed to as compensation to

the United States for the EU enlargement, to include Austria, Finland

and Sweden, as follows:

A. RMA shall establish a special tariff rate quota (hereinafter

referred to as ``Quota A'') for the balance of calendar year 1996 and

for calendar year 1997 for those RMA Members which can document exports

of milled rice or brown rice to Austria, Finland and Sweden during the

period 1990-1993. For the balance of 1996, RMA shall award a Member a

Quota A milled rice or brown rice quota amount based upon a percent of

the Members average documented historical quantity exported to the

three countries in the period 1990-1993, as determined by RMA. For

1997, RMA shall award a Member a milled rice and brown rice Quota A

amount equal to 100 percent of the annual average quantity of U.S.

milled rice and brown rice that the Member documents that it exported

to Austria, Finland and Sweden during the period 1990-1993.

(i) RMA Members receiving a milled rice or brown rice Quota A

allocation during 1996 may also receive a milled rice or brown rice

Quota B allocation during 1996. Each Member receiving a milled rice or

brown rice Quota A allocation during any period in 1997 shall not be

eligible to receive a milled rice or brown rice Quota B allocation

during that period unless the Member declines a milled rice or brown

rice Quota A allocation during any period for that year.

B. For any particular time period, RMA shall establish a tariff

rate quota allocation (hereinafter referred to as ``Quota B'') for

milled rice and brown rice allocation equal to the EU milled rice and

brown rice tariff rate quota remaining after deducting the milled rice

and brown rice Quota A quantity, if any, for that particular time

period. (i) RMA may provide for an amount of the milled rice or brown

rice Quota B quantity to be available for allocation during any

particular time period, in a manner which fully utilizes the quota

available for that particular time period. (ii) RMA shall allocate an

amount of Quota B milled rice and brown rice available for a given

period to eligible RMA Members based on the Member's proportional share

of milled rice and brown rice exports to the EU for the previous period

duly registered with RMA by a date certain during the period the quota

is being allocated, as determined by RMA.

2. RMA shall assess a fee to pay for administration of all matters

related to establishing, operating and auditing RMA export trade

certificate of review operations and for certain market development

activities.

3. RMA and/or its Member shall use those funds remaining after

payment of its administrative expenses to carry out market development

activities. Such activities shall be of the types approved by RMA that

are comparable to those funded under the Department of Agriculture's

market access program with primary emphasis on rice market development

activities in the European Union.

4. RMA and/or its Members may:

(i) provide for an administrative structure to implement the

foregoing tariff rate quota system, in compliance with the U.S.-EU

Compensation Agreement and EU regulations,

(ii) exchange and discuss information regarding the structure and

method for implementing the foregoing tariff rate quota system, in

compliance with the U.S.-EU Compensation Agreement and EU regulations,

(iii) discuss the type of information needed regarding past

transactions and exports that are necessary for implementing the

foregoing tariff rate

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quota system, in compliance with the U.S.-EU Compensation Agreement and

EU regulations,

(iv) exchange and discuss information about U.S. and foreign

legislation and regulations affecting the foregoing tariff rate quota

system, in compliance with the U.S.-EU Compensation Agreement and EU

regulations,

(v) discuss and establish the fees to be assessed upon Members to

pay for administrative expenses and market promotion activities,

(vi) discuss and provide for the market promotion activities to be

undertaken with the fees remaining after payment of administrative

expenses,

(vii) otherwise exchange and discuss information as necessary to

implement the foregoing activities and take the necessary action to

implement the allocation system for the foregoing tariff rate quota, in

compliance with the U.S.-EU Compensation Agreement and EU regulations,

and

(viii) meet to engage in the activities described above.

5. In allocating quotas among Members, those employees or agents of

RMA who are not also employees of a Member, may receive, and each

Member may supply to such employees or agents of RMA, information as to

the Member's sales and exports of milled white rice and brown rice to

the EU as is necessary to properly administer the quota, provided that

such information is not disclosed by RMA employees or agents to any

other Member.

Definitions

``Members'' means a mill member of the Rice Millers Association who

has been certified as a ``Member'' within the meaning of Section

325.1(1) of the Regulations.

Dated: May 21, 1996.

W. Dawn Busby,

Director, Office of Export Trading Company Affairs.

[FR Doc. 96-13212 Filed 5-24-96; 8:45 am]

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