Cantaloups; Grade Standards

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 51

[Docket Number FV-98-301]

Cantaloups; Grade Standards

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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SUMMARY: This rule will revise the United States Standards for Grades

of Cantaloups. The standards are issued under the Agricultural

Marketing Act of 1946, and are voluntary. This rule will revise the

definition of decay in the definitions section of the standards. The

change will provide that dry type decays will not be scored against the

decay tolerance unless penetrating the rind and extending into the

edible flesh of the melon. The regulation of cantaloups under the

Marketing Order for Melons Grown in South Texas that is issued under

the Agricultural Marketing Agreement Act of 1937 also will be affected

by this change. This revision will result in a benefit to handlers and

producers of cantaloups by allowing a more accurate scoring of dry type

decays.

DATES: This rule is effective April 28, 1998. Comments must be received

by June 26, 1998.

ADDRESSES: Interested persons are invited to submit written comments

concerning this interim final rule. Comments must be sent to the

Standardization Section, Fresh Products Branch, Fruit and Vegetable

Programs, Agricultural Marketing Service, U.S. Department of

Agriculture, P.O. Box 96456, Room 2065 South Building, Washington, D.C.

20090-6456. Comments should make reference to the date and page number

of this issue of the Federal Register and will be made available for

public inspection in the above office during regular business hours.

FOR FURTHER INFORMATION CONTACT: Frank O'Sullivan, at the above address

or call (202) 720-2185.

SUPPLEMENTARY INFORMATION: The Department of Agriculture (Department)

is issuing this rule in conformance with Executive Order 12866.

This rule has been reviewed under Executive Order 12988, Civil

Justice Reform. This action is not intended to have retroactive effect.

This rule will not preempt any State or local laws, regulations, or

policies, unless they present an irreconcilable conflict with this

rule. There are no administrative procedures which must be exhausted

prior to any judicial challenge to the provisions of the rule.

The Agricultural Marketing Service (AMS) recently received a

request from the Texas Produce Association (Association) to eliminate

the definition of decay from the cantaloup standards in 7 CFR 51.490.

The definition of decay in the present standards is as follows: ``Decay

means breakdown, disintegration or fermentation of the flesh or rind of

the cantaloup caused by bacteria or fungi.'' The current tolerances are

one-half of one percent at shipping point for cantaloups affected by

decay or mold and two percent en route or at destination for cantaloups

affected by decay. Under Section 979.304 of the regulations (7 CFR

979.304) issued under Marketing Order No. 979, shipping point

tolerances are applied. The Association is particularly concerned with

the decay tolerances as they relate to Fusarium Rot, which may occur

either as a soft or dry type decay. Currently, the restrictive decay

tolerances are applied to both types of Fusarium Rot.

The Association contends that dry type decays, dry type Fusarium

Rot specifically, affecting the rind of the melon when marketed under

normal conditions, progress at a very slow rate and has not caused

significant marketing problems. They do not suggest that dry type

Fusarium Rot be ignored as it is recognized that, under certain

circumstances, this disorder has the potential to become a significant

marketing factor. However, in their opinion, this disorder, when found

in the initial stages not penetrating into the edible flesh of the

cantaloup, should not be covered under the same restrictive scoring

guidelines as more destructive decays. This would permit shipments of

additional marketable melons. Under the current definition of decay, a

melon affected by Fusarium Rot is scored against the restrictive decay

tolerance in all instances. The Association feels that scoring melons

as decayed when Fusarium has not, and quite possibly may never affect

the edible portion of the melon before it is consumed, is extremely

harsh and accounts for unjustified rejections and adjustments.

According to the Agricultural Research Service of the USDA, as long

as the dry rot lesion does not penetrate into the orange flesh and the

epidermis is not split, the melon should hold, provided it is

maintained at the recommended temperature and consumed within about 14

days.

The 1997 crop of Texas cantaloups was heavily infected with dry

type Fusarium Rot. A major portion of the crop, when graded in

accordance with the standard, failed a basic grade requirement under

the current definition of decay and caused significant economic losses

to Texas growers and handlers as a result. The Department seeks to

promote a more accurate procedure to grade cantaloups so that melons

which are affected by dry type decays are scored differently than those

infected with more destructive types.

In reviewing the Association's request for removal of the

definition of decay from the standards, AMS has concluded that a change

to the definition is more appropriate and practicable and will

accomplish the result requested by the Association.

Therefore, based on the request made by the Association, and to

keep the grade standards current with marketing trends and commodity

characteristics, this interim final rule will revise the definition of

decay in the U.S. Standards for Grades of Cantaloups, Sec. 51.490.

Pursuant to the requirements set forth in the Regulatory

Flexibility Act (RFA), AMS has considered the economic impact of this

action on small entities. Accordingly, AMS has prepared this initial

regulatory flexibility analysis. Interested parties are invited to

submit information on the regulatory and informational impacts of this

action on small businesses.

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. The United States

standards issued pursuant to the Agricultural Marketing Act of 1946,

and issued thereunder, are unique in that they are brought about

through group action of essentially small entities acting on their own

behalf. Thus, both statutes have compatibility.

There are approximately 450 cantaloup handlers and producers in the

United States. Of these 450 handlers and producers, approximately 70

are from the State of Texas and produce/handle approximately 5 percent

of the total crop. Approximately 16 handlers are regulated under the

Marketing Order for Melons Grown in South Texas and there are

approximately 33 producers in the production area. Approximately 320

growers and handlers are from the State of California and produce/

handle approximately 60 percent of the crop, and, approximately 31

handlers and producers from the State of Arizona produce/handle 15

percent of the total crop. The remaining commercial

[[Page 20522]]

production of cantaloups is distributed throughout other various

growing regions of the United States. Small agricultural service firms,

which includes handlers, have been defined by the Small Business

Administration (SBA) (13 CFR 121.601) as those having annual receipts

of less than $5,000,000 and small agricultural producers are defined as

those having annual receipts of less than $500,000.

The cantaloup industry is characterized by producers and handlers

whose farming operations involve more than one commodity, and whose

income from farming operations is not exclusively dependent on

cantaloup production. Alternative crops provide an opportunity to

utilize many of the same facilities and equipment not in use when the

cantaloup production season is complete. Typical cantaloup producers

and handlers either produce multiple crops or alternate crops within a

single year. Therefore, it is difficult to obtain an exact number of

cantaloup producers and handlers that can be classified as small

entities based on the SBA's definition. However, it is estimated that

the majority of handlers and producers of cantaloups may be classified

as small entities.

This rule will revise the U.S. Standards for Grades of Cantaloups

that was issued under the Agricultural Marketing Act of 1946 (7 U.S.C.

1621 et seq.). In addition, the regulations under Marketing Order No.

979 (7 CFR Part 979), as issued under the Agricultural Marketing Act of

1937 (7 U.S.C. 601-674) references the U.S. Standards for Grades of

Cantaloups, including the term ``decay'' and accordingly, the

regulation of cantaloups grown in South Texas is affected. In the

standards, the definition of decay applies to all four grades; U.S.

Fancy, U.S. No. 1, U.S. Commercial and U.S. No. 2. This action changes

the definition of decay to provide that dry type decays will not be

scored against the decay tolerance unless penetrating the rind and

extending into the edible flesh of the melon. This revision will be a

benefit to producers and handlers by allowing a more accurate scoring

of dry type decays. As a result, more melons are expected to be

marketed that would otherwise be graded as defective.

It is estimated that total commercial cantaloup production in the

U.S. was approximately 67 million cartons with an estimated value of

$401 million. Cantaloup production covered under the Marketing Order

for Melons Grown in South Texas comprises approximately 5 percent of

the domestic market share.

AMS has determined that this action would not impose an additional

reporting or recordkeeping requirement on either small or large

cantaloup growers and handlers.

The Department has not identified any relevant Federal rules that

duplicate, overlap, or conflict with this rule, except that the

regulation of cantaloups grown in South Texas under 7 CFR Part 979

would be affected by this action.

With regard to alternatives to this action, if no action were taken

by the Agency, this could result in continued scoring of marketable

melons with possible revenue loss by growers, shippers or handlers of

these melons.

Accordingly, this action will make the standards more consistent

and uniform with marketing trends and commodity characteristics.

Pursuant to 5 U.S.C. 553, it is found and determined upon good

cause that it is impracticable, unnecessary, and contrary to the public

interest to give preliminary notice prior to putting this rule into

effect and that good cause exists for not postponing the effective date

of this rule 30 days after publication in the Federal Register because:

(1) Harvesting of the year's crop will begin in late April; (2) this

revision should be made as soon as possible to make the standards more

consistent and uniform with marketing trends and commodity

characteristics; (3) cantaloup production is increasing on a yearly

basis and further delaying the standards revision would result in the

increased loss of marketable melons and subsequent revenue loss by

growers and handlers; and, (4) this interim final rule provides a 60

day comment period, and all comments timely received will be considered

prior to finalization of this rule.

List of Subjects in 7 CFR Part 51

Agricultural commodities, Food grades and standards, Fruits, Nuts,

Reporting and recordkeeping requirements, Trees, Vegetables.

For reasons set forth in the preamble, 7 CFR Part 51 is amended as

follows:

PART 51--[AMENDED]

1. The authority citation for part 51 continues to read as follows:

Authority: 7 U.S.C. 1621-1627.

2. In part 51, Sec. 51.490 is revised to read as follows:

Sec. 51.490 Decay.

Decay means breakdown, disintegration or fermentation of the flesh

or rind of the cantaloup caused by bacteria or fungi; except that dry

type decays will only be scored when penetrating the rind and extending

into the edible flesh of the melon.

Dated: April 20, 1998.

Robert C. Keeney,

Deputy Administrator, Fruit and Vegetable Programs.

[FR Doc. 98-11040 Filed 4-24-98; 8:45 am]

BILLING CODE 3410-02-U