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In This Issue 

 What Type of Inspection Should 

I Get? 

 An Ounce of Prevention —

Strawberries 

 Supporting Fruit and Vegetable 

Growers and Buyers with GAP/GHP 

Audits 

 New Webinar Series Offering 

Thank You! 

Robert C. Keeney 

As many of you may know, in October of this year, I will be retiring from 

the Agricultural Marketing Service. 

 I have genuinely enjoyed and appreciated working collaboratively with 

you on many issues of importance to 

the produce industry over the years, 

both here and during my tenure at 

the United Fresh Produce Association. With your input and support, 

USDA has been able to respond and 

adapt to your evolving needs, and to 

provide the cost-effective services 

and information you have needed to 

provide the world’s consumers with 

the highest quality product. Working 

together, we have brought about innovative change and improvement in 

Government’s support of our dynamic industry. In recent years alone, we 

streamlined the Perishable Agricultural Commodities Act (PACA) Division; consolidated the Fresh and 

Processed Products Divisions; created a web-based portal providing you 

with the ability to customize Market 

News reports and information for 

your exact needs; developed auditbased programs to meet your buyers’ needs in terms of quality and 

food safety; and launched an educational and outreach effort that includes industry training, new media 

outlets that keep you informed of the 

many services we have to offer, and 

much more. 

 I will miss working with you. But I 

leave knowing that you will be in 

good hands after I depart. The dedicated staff at the AMS Fruit and 

Vegetable Program will continue to 

provide you with excellent, responsive service and support. 

 Thank you for allowing me and 

Program employees to be valued 

members of your industry. 

Robert C. Keeney is 

the Deputy Administrator of the AMS Fruit 

and Vegetable Program. 

Fall/Winter 2012 
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An Ounce of Prevention--Strawberries 

Robert Parker 

Welcome back to another edition of “The PACA’s Ounce of Prevention” for the produce industry. Have you been eating your 

five servings of fruits and vegetables every day? Have you 

been exercising regularly? That’s good advice when it comes to 

preventing sickness, but let’s talk about “preventative medicine” 

for your produce business. As mentioned in our previous article, PACA has identified certain commodities that, while being 

traded, have a tendency to result in disputes. In the case study 

below, we are addressing common problems encountered when 

trading strawberries. Strawberries are primarily produced domestically in California and Florida. They are typically precooled to as close to 32o F (0oC) as possible immediately after harvest. 

Q. We bought a load of strawberries freight on board (f.o.b) from California for delivery to our warehouse on the East 

Coast. When the load arrived at our dock, we noticed that the strawberries did not look good and we called for a 

USDA inspection. The results of the inspection showed 8 percent decay and 10 percent bruising. The pulp temperature on the inspection showed 41o F. With this amount of decay, we usually get a price adjustment from the shipper 

but, in this case, the shipper was not cooperating. The shipper claims that the pulp temperature on the inspection is 

too high and the shipper is not going to honor any claim. We’re confused. 

A. Strawberries are extremely perishable and highly susceptible to decay by fungal rots and molds. In an f.o.b. sale, 

the shipper is responsible for providing product that will arrive at the agreed-upon contract destination without abnormal deterioration, and with the understanding that the buyer will provide normal transportation service and conditions. This is what’s known as the warranty of “suitable shipping condition.” 

Q. The truck delivered the strawberries in 5 days, and the transit temperatures ranged between 32o F and 35o F. Isn’t 

this normal transit time and temperature? 

A. Yes. Transportation time and temperature appear to be normal. What is abnormal is the amount of decay reflected 

on the USDA inspection. In this case, the pulp temperature of 41o F on the inspection would indicate that the strawberries have abnormally deteriorated and were not in suitable shipping condition. 

Q. So do we have a claim against the shipper or do we have to pay the amount on the shipper’s invoice in full? 

A. Based on the information provided, you have established a breach of contract on the part of the shipper and would 

be entitled to deduct your provable damages from the invoice. 

This has been an “Ounce of Prevention” when it comes to issues that come up frequently when buying or selling strawberries. If you have more questions, you can always reach PACA at our customer service line 800-495-7222. Keep an 

eye out for the next dose of preventative medicine on a commonly traded commodity.  

Robert Parker is the Assistant to the Chief, 

Dispute Resolution Branch, PACA Division. 

He can be reached at 202-720-2890 or 

robert.parker@ams.usda.gov. 

Cucumbers Peppers 

Asparagus Stone Fruit 

Lettuce STRAWBERRIES 

Onions Tomatoes 

Oranges Watermelons/Cantaloupes 

Cover photo courtesy of Camknows. 
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What Kind of Inspection Should I Get? 

N.W. “Chip” Taylor 

A load of produce you ordered has 

just arrived. After looking it over, however, you are not satisfied that it lives 

up to the agreement that you negotiated with the shipper. You know you 

need to call the U.S. Department of 

Agriculture’s Specialty Crop Inspection Division (formerly Fruit and Vegetable Inspection Service) to order an 

inspection. An official USDA inspection will help you resolve a possible 

dispute with the shipper under the 

rules of the Perishable Agricultural 

Commodities Act (PACA). So do you 

know what kind of inspection you will 

need when the inspector shows up on 

your loading dock? 

 The two most common types of 

inspections are “grade and condition” 

or “condition only.” If your agreement 

calls for a specific grade, you should 

request a “grade and condition” inspection, which reflects both the 

quality (permanent) and condition 

(progressive) defects affecting the 

commodity you purchased. If your 

agreement does not specify a grade, 

a “condition only” inspection may be 

sufficient, unless you feel that the permanent defects (scarring, misshapen, 

mechanical damage, etc.) would 

make the product difficult to sell at 

any price. 

 Once you decide on the type of 

inspection you need, you may request 

that the inspection be restricted to 

part of the load that is accessible to 

the inspector without unloading the 

shipment or unrestricted to the entire 

load. Restricted inspections take 

place while the product is still on the 

truck or rail car, and are limited to the 

part of the load that the inspector can 

easily access. While the results of a 

restricted inspection are routinely 

used to determine a breach of contract, an unrestricted inspection is 

more representative of the entire load 

and may carry more weight if a dispute arises. If you want an unrestricted inspection, you will likely be 

asked to unload enough product to 

allow the inspector to take adequate 

samples. 

 Ordinarily unloading a shipment 

is an act of acceptance resulting in 

loss of the right to reject the product. 

However, you may unload the product so that an unrestricted inspection can be performed without acceptance if you immediately place 

the unloaded product back onto the 

truck or rail car after the inspection 

is completed. 

 Once the USDA inspector completes the inspection and provides 

you with the official results, you will 

have the information you need to 

resolve any dispute you may have 

about the product you just received. 

 Requesting the proper type of 

inspection will make it easier for you 

to determine whether or not the 

product meets your agreed-upon 

specification. 

 When faced with the question 

about what type of inspection to get, 

refer to the terms of your agreement 

or call the PACA “Good Delivery” 

Hotline at 1-800-495-PACA (7222). 

Contact the Fresh Products Division 

at 1-800-811-2373 to find the inspection office nearest you. 

Chip Taylor, Acting 

Deputy Director of the 

Specialty Crop Inspection Division, can be 

reached at (202) 720-

0295 or via email at 

nathaniel.taylor@ams.usda.gov

Fruit and 

Vegetable 

Webinar Series 

Christopher Purdy 

So far, the Agricultural Marketing 

Service’s Fruit and Vegetable Program has offered six webinars as 

part of our ongoing educational series. More than 1,500 members of 

the U.S. and international produce 

industry and the associations and 

government organizations that 

serve them have logged on to join 

us. 

 Based on your feedback, we are 

happy to report that you have found 

our webinar series helpful and informative. This is a continuous improvement process – we’re using 

your constructive feedback to improve future events. For example, 

many participants, and especially 

those overseas, have asked that we 

provide webinars free of toll charges. As a result, we have structured 

the webinar platform so that we are 

completely available – including by 

voice – via the Internet. Today, 

anyone anywhere in the world can 

participate in our webinars at no 

charge. Others have asked that our 

webinars deliver more advanced 

presentation content, which we are 

now developing. Please keep your 

comments flowing and submit ideas 

for future sessions. 

Continued, see Webinars 

on page 4. 
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The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and 

activities on the basis of race, color, national origin, age, disability, and where applicable, sex, 

marital status, familial status, parental status, religion, sexual orientation, genetic information, 

political beliefs, reprisal, or because all or part of an individual’s income is derived from any 

public assistance program. (Not all prohibited bases apply to all programs.) Persons with disabilities who require alternative means for communication of program information (Braille, large 

print, audiotape, etc.) should contact USDA’s TARGET Center at (202) 720-2600 (voice and 

TDD). 

To file a complaint of discrimination, write to USDA, Director, Office of Civil Rights, 1400 Independence Avenue SW, Washington, D.C. 20250-9410, or call (800)795-3272 (voice) or (202) 

720-6382 (TDD). USDA is an equal opportunity provider and employer. 

Supporting Fruit and Vegetable Growers 

and Buyers with GAP/GHP Audits 

By Ken Petersen 

In recent years, verification of responsible on-farm growing and handling practices has become a primary consideration for buyers before they select a supplier of fresh fruits and vegetables. In response to the produce industry’s request for USDA to provide this type of verification service, USDA’s Agricultural 

Marketing Service (AMS) Specialty Crops Inspection Division provides an efficient and accessible audit-based program using Good Agricultural Practices 

and Good Handling Practices (GAP/GHP). 

 Large buyers such as Wal-Mart, Subway, Sysco, and Ahold have agreed to 

rely on USDA GAP audits for fresh produce. In addition, grower organizations 

such as the Arizona and California Leafy Greens Marketing Agreement and 

the California Avocado Commission have worked with USDA to establish specific GAP protocols for their products. 

 In a recent blog post on the USDA website, AMS reported that it was one of 

the first organizations to perform audits as part of the industry-supported Produce GAP Harmonization Initiative. The initiative harmonizes basic GAP retail 

and food service sector audits to minimize duplication. Through the Produce 

GAP Harmonized Food Safety Standard process, AMS works with small and 

mid-sized suppliers to verify that their on-farm practices meet food safety criteria established by the Food and Drug Administration. 

 AMS recently created a web-based tool to make it quick and easy to research lists of farms that have met the audit criteria and obtained USDA GAP 

certification. The search engine on the Audit Program Services website allows 

for searches by farm location, commodity, farm name, or audit type. 

 The AMS GAP program is a key part of USDA’s commitment to support 

local and regional food systems. Last year, USDA performed more than 3,000 

audits. 

Ken Petersen is the Audits Program Manager 

for the AMS Fruit and Vegetable Program. He 

can be reached at 202-720-4560 or via email 

to ken.petersen@ams.usda.gov. 

Webinars, from page 3. 

Webinars are free, but registration is 

required. Visit our web page for complete information on the webinars, 

including content, dates, times, 

speaker bios, and online registration. If you missed a webinar, just 

visit our Webinar Archive to watch it 

online. 

 Take a look at all we have to offer. We’ll see you online! 

Christopher Purdy is 

the Business Development Specialist for 

the AMS Fruit and 

Vegetable Program. 

He can be reached at 

202-720-3209 or 

christopher.purdy@ams.usda.gov. 

The AMS Fruit and 

Vegetable Program 

AMS’ Fruit and Vegetable Program 

has served the produce industry 

since the early 1900s. We deliver 

our fee-based services via a network of expert staff. Our customers 

include growers, shippers, brokers, 

receivers, distributors, processors, 

retailers, and restaurants. Our services include: audit-based programs, 

commodity purchases, U.S. grade standards, inspection and grading, industry training, international representation, market 

news, Perishable Agricultural Commodity 

Act programs, self-help marketing programs, and specialty block grants.

 For more information about AMS 

Fruit and Vegetable Program, go to 

www.ams.usda.gov/fv or contact Christopher Purdy at 202-720-3209 or christopher.purdy@ams.usda.gov. A narrated 

overview of the Program’s services is 

online at http://1.usa.gov/MfF7go (please 

wait a few moments for the file to open). 

Mention of a trade name or brand names does not constitute endorsement or recommendation 

by USDA over similar products not named.