United States 

Department of 

Agriculture

Animal and 

Plant Health 

Inspection 

Service

October 2014

Final Regulatory Flexibility Analysis

Final Rule

APHIS-2012-0073

RIN 0579-AD91

Ruminants Imported from Fever Tick-Free 

Regions in Mexico

Policy & Program Development

Policy Analysis & Development
i

Summary

The Mexican government has declared the State of Sonora as a region free of “fever 

ticks,” that is, certain ticks of the genus Rhipicephalus that cause cattle fever. APHIS has 

determined that there would be negligible risk of fever ticks being introduced from Mexico by 

exempting cattle and other ruminants originating from this State from acaricide treatment and the 

7- to 12-day waiting period prior their entry into the United States. The final rule will require 

affected importers to apply for either inspection or supervised dipping at the port of entry. Under 

the final rule, cattle that are dipped at the port of entry will not need to be held for a 7- to 12-day 

waiting period.

From 2009 to 2013, 1.21 million cattle were imported yearly from Mexico. About onefourth came from Sonora. Cattle imported into the United States from Mexico are generally 

purchased by stocker operations that background the cattle on pasture before they are shipped to 

feedlots.

The average unit price of cattle imported from Mexico, 2009 to 2013, was about $440. 

The average cost of dipping with an acaricide is $3.50 to $10.00 per head. It takes approximately 

five seconds for three cattle to cross a dipping vat. For an average 500-head herd, dipping takes 

about 15 minutes. To inspect a 500-head herd takes from 4 to 12 hours. Depending on the size of 

the herd and time needed for inspection, some importers may choose to have the cattle dipped 

rather than inspected. The estimated cost of dipping is equivalent to about 1 to 2 percent of the 

value of the imported cattle. Any resulting cost savings realized by U.S. cattle importers, due to 

inspection rather than dipping of cattle will depend on the relative price responsiveness of the 

sellers and buyers of the cattle. APHIS does not expect the rule to result in an increase of any 

consequence in the number of cattle imported from Mexico. 
ii

Table of Contents

Summary.......................................................................................................................................... i

Introduction..................................................................................................................................... 1

Need for and Objectives of the Rule............................................................................................... 1

Significant Issues raised by Public Comment in response to the Initial Regulatory Flexibility 

Analysis............................................................................................................................... 2

Comments filed by the Small Business Administration in response to the Proposed Rule............ 2

Potentially Affected Small Entities................................................................................................. 2

Projected Reporting, Recordkeeping, and Other Compliance Requirements................................. 3

Steps taken by APHIS to minimize Significant Economic Impacts on Small Entities .................. 3

References....................................................................................................................................... 4
1

Introduction

The Regulatory Flexibility Act requires agencies to evaluate the potential effects of their 

proposed and final rules on small businesses, small organizations and small governmental 

jurisdictions. This final regulatory flexibility analysis describes expected impacts of this rule on 

small entities, as required by section 604 of the Act.

Regulations in 9 CFR 93.427(b)(2)(i) and (ii) require that cattle entering the United States 

from Mexico, except when known to be free of exposure to fever ticks (certain ticks of the genus 

Rhipicephalus), to be treated with an acaricide 7 to 12 days prior to entry. The cattle must be 

accompanied by documentation from the relevant Mexican health authorities certifying 

treatment. Animals that are known to be free of exposure to cattle fever ticks are exempt from 

this requirement. Fever ticks cause cattle fever, also referred to as bovine babesiosis. 

The final rule will exempt cattle originating from the Mexican State of Sonora from 

acaricide treatment and the associated documentation as long as certain requirements are met. In 

addition, the final rule will require the importer to apply for either inspection or supervised 

dipping at the port of entry. The current regulations require both. Under the final rule, cattle that 

are dipped at the port of entry will not need to be held for a 7- to 12-day waiting period.

Need for and Objectives of the Rule

The Mexican government has declared Sonora free of fever ticks and requested that cattle 

and other ruminants from Senora be exempt from acaricide treatment and the associated waiting 

period as a condition of eligibility for entry to the United States. APHIS has determined that 

recognition of these fever tick-free regions and the treatment exemption pose minimal risk of 

introducing fever ticks into the United States.
2

Significant Issues raised by Public Comment in response to 

the Initial Regulatory Flexibility Analysis

There were not significant issues raised by the public comment in response to the Initial 

Regulatory Flexibility Analysis.

Comments filed by the Small Business Administration in 

response to the Proposed Rule

There were no comments filed by the Small Business Administration in response to the 

proposed rule.

Potentially Affected Small Entities

For the purpose of this analysis and following the Small Business Administration (SBA) 

guidelines, the potentially affected entities are classified as Beef Cattle Ranching and Farming 

(NAICS 112111). By the SBA standard, farms in this category are considered small if annual 

receipts are not more than $750,000. According to the 2012 Census of Agriculture, of the 

619,172 beef cattle farms, 99 percent had annual receipts of less than $750,000 and are therefore 

considered small. Cattle imported into the United States from Mexico are generally purchased 

by stocker operations that background the cattle on pasture before they are shipped to feedlots. 

While there is no economic information available on the number, size, or distribution of the 

stocker operations, it is reasonable to assume they are small, given that 99 percent of beef cattle 

ranches and farms in general are small entities. 
3

From 2009 to 2013, the United States imported an average of 1.21 million cattle annually 

from Mexico, of which about one-fourth originated in Sonora.1The average unit price of cattle 

imported from Mexico, 2009 to 2013, was about $440. The average cost of dipping with 

acaricide is $3.50 to $10.00 per head. It takes approximately five seconds for three cattle to cross 

a dipping vat, or about 15 minutes for an average 500-head herd. It takes anywhere from 4 to 12 

hours to inspect a herd of this size, or from 30 to 90 seconds per head. Depending on the size of 

the herd and time needed for inspection, some importers may choose to have the cattle dipped 

rather than inspected. The estimated cost of dipping is equivalent to about 1 to 2 percent of the 

value of the imported cattle. Any resulting cost savings realized by U.S. cattle importers, due to 

inspection rather than dipping of cattle, will depend on the relative price responsiveness of the 

sellers and buyers of the cattle. APHIS does not expect the rule to result in an increase of any 

consequence in the number of cattle imported from Mexico. 

Projected Reporting, Recordkeeping, and Other Compliance 

Requirements

Reporting and recordkeeping requirements associated with the final rule are discussed in 

the rule under the heading "Paperwork Reduction Act.

Steps taken by APHIS to minimize Significant Economic 

Impacts on Small Entities

Based on our review of available information, APHIS does not expect the rule to have a 

significant economic impact on small entities. In the absence of significant economic impacts, 

we have not identified alternatives that would minimize such impacts.

 

1 Economic Research Service: http://www.ers.usda.gov/topics/animal-products/cattle-beef/statisticsinformation.aspx
4

References

Census of Agriculture, 2012, http://www.agcensus.usda.gov/Publications/2012/

Small Business Administration. A Guide for Government Agencies How to Comply with the 

Regulatory Flexibility Act. http://www.sba.gov/advo/laws/regflex.html

Small Business Administration. Small Business Standard Match to North American Industry 

Classification System http://www.sba.gov/size/sizetable2002.html