United States 

Department of 

Agriculture

Animal and 

Plant Health 

Inspection 

Service

May 2014

Initial Regulatory Flexibility Analysis

Proposed Rule

APHIS-2014-0005

RIN 0579- AD94

Importation of Fresh Citrus from China into 

the Continental United States

Policy & Program Development

Policy Analysis & Development
i

Summary

The national plant protection organization of China, known as the Administration of 

Quality Supervision, Inspection and Quarantine (AQSIQ) of the People’s Republic of China, has 

requested USDA authorization for market access of commercial shipments of its fresh citrus into 

the United States. The proposed rule would amend the current regulations to allow the 

importation of Citrus sinensis (sweet orange), Citrus poonensis (ponkan), Citrus grandis 

cv.guanximiyou (pomelo), Citrus kinokuni (mandarin orange), and Citrus unshiu (Satsuma 

mandarin) into the continental United States. A systems approach to pest risk mitigation would 

provide an appropriate level of phytosanitary protection against the pests of quarantine concern.

Citrus imports from China would compete with domestically produced fresh citrus and 

current U.S. imports. The quantity of oranges imported from China is likely to be relatively 

small. The majority of China’s fresh orange exports, mostly navel oranges, go mainly to Russia 

and to neighboring countries in Asia. China’s fresh orange exports to North America, mainly to 

Canada, are very limited, ranging from 100 to 300 metric tons (MT) per year. The United States 

is a net exporter of fresh oranges. An increase in orange imports of 300 MT per year would be 

equivalent to about one-fourth of one percent of fresh orange imports from all sources in the 

2012/13 season.

As with oranges, the bulk of China’s tangerine and mandarin variety exports are to 

Russia and to neighboring Asian countries. The United States is a net importer of tangerine and 

mandarin varieties, and U.S. consumption has been growing at a rate of about 9 percent per year. 

Imports of fresh tangerine and mandarin varieties from China would help meet the growing 

demand for these citrus species, and the quantity could match the nearly 4.5 percent annual 
ii

increase in imports (about 6,300 MT) that has occurred over the past five years. We expect that 

imports of pomelo and ponkan from China would be relatively minor, helping to serve the U.S. 

niche markets for these species. 

The extent to which imports from China would result in greater competition for U.S. 

producers would depend on relative prices, the varieties shipped, seasonality, the qualitative 

attributes of the imported citrus, and the extent to which the citrus imported from China would 

displace imports from other countries. Importers and distributors of fresh citrus from China 

would also benefit from the proposed rule as it would provide them with new business 

opportunities. 

We have identified industries that could be affected by the proposed rule based on the

North American Industry Classification System. Based on Small Business Administration size 

standards, small entities are prominent in those industries for which information on business size 

composition is available.
iii

Table of Contents

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

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

U.S. Citrus Production and Trade ................................................................................... 1

China’s Citrus Industry................................................................................................... 8

Reasons Action is Being Considered.................................................................................. 8

Objectives of and Legal Basis for the Rule ........................................................................ 9

Overview of the Action, Affected Entities, and Potential Effects.................................... 10

Conditions of Entry....................................................................................................... 10

Potentially Affected Small Entities............................................................................... 11

Potential Effects............................................................................................................ 17

Projected Reporting, Recordkeeping, and Other Compliance Requirements................... 18

Duplication, Overlap, or Conflict with Existing Rules and Regulations.......................... 18

Alternatives to minimize Significant Economic Impacts of the Rule............................... 19
1

Introduction

The proposed rule would amend the current regulations to allow the importation of Citrus 

sinensis (sweet orange), Citrus poonensis (ponkan), Citrus grandis cv.guanximiyou (pomelo), 

Citrus kinokuni (mandarin orange), and Citrus unshiu (Satsuma mandarin) into the continental 

United States under a specified systems approach. 

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 initial regulatory flexibility analysis examines the prevalence of small 

businesses in industries that may be affected by the proposed rule and considers whether smallentity impacts are likely to be significant, as required by section 603 of the Act. 

In this introduction, we describe production, consumption and trade for the United States 

and China of the citrus varieties that would be allowed entry into the continental United States. 

We then discuss the prevalence of small businesses in industries that may be affected.

U.S. Citrus Production and Trade

Citrus fruit, particularly oranges, are among the most popular fresh fruits consumed in the 

United States and are a significant source of U.S. farm income. In 2012, oranges generated $2.2 

billion in farm cash receipts. Lemons generated $430 million, tangerines another $414 million, 

and grapefruit another $269 million.1 

 

1 USDA, Economic Research Service. Fruit and Tree Nuts, Table A-8: U.S. Cash Receipts 1980 to date.
2

0

5,000

10,000

15,000

20,000

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

-- 1,0

0

0

T

ons

-- 1,0

0

0

Acres --

Season

Figure 1. U.S. Citrus-bearing Acreage and Production

Bearing Acreage Production Linear (Production)

U.S. citrus-bearing acreage has declined by 15 percent over the last two decades, most 

notably in Florida where 95 percent of the orange crop is used for juice (figure 1). This decline 

is due in large part to tree losses associated with weather-related events, citrus canker eradication 

efforts, the spread of Huanglongbing (also known as citrus greening) and other diseases, and 

residential and business expansion. Consequently, U.S. orange production has declined by 23 

percent over the last 20 seasons. 

The decline in Florida’s bearing acreage and production will continue to mainly impact 

the orange juice market. U.S. fresh citrus is principally grown in California, where production 

has either remained stable (fresh oranges) or is expanding (fresh tangerine and mandarin 

varieties). Importers of fresh citrus from China would compete against these suppliers and 

current importers.
3

0

100

200

300

400

500

600

700

800

2008-09 2009-10 2010-11 2011-12 2012-13

1,0

0

0

Metric T

ons

Season

Figure 2. United States - Fresh Orange Trade Balance

Exports Imports

Fresh citrus imports account for about 7 percent of U.S. fresh fruit imports. The major 

suppliers of fresh citrus are Mexico (42 percent), Chile (17 percent), Spain (16 percent), and 

South Africa (9 percent).2

Fresh Oranges

The United States is a net exporter of fresh oranges, exporting an average of 8 percent 

and importing an average of 3 percent of the fresh oranges traded worldwide, 2008/09 through 

2012/13. Over this five-year period, U.S. fresh orange exports averaged 657,800 metric tons 

(MT) and imports averaged 111,000 MT (figure 2). The United States is the third largest 

exporter of fresh oranges, and its primary foreign markets are South Korea, Canada, Japan, Hong 

Kong, and China. 

Eight percent of the fresh oranges consumed in the United States are imported. Chile and 

South Africa, followed by Mexico and Australia, supply the largest shares of fresh orange 

imports by the United States.3 

 

2 Huang, Sophia W., “Imports Contribute to Year-Round Fresh Fruit Availability.” Economic Research Service. 

USDA 2013. http://www.ers.usda.gov/publications/fts-fruit-and-tree-nuts-outlook/fts-356-01.aspx

3 Global Trade Information Services, Inc. 
4

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

0

200

400

600

800

1,000

-- 1,0

0

0 tons --

-- 1,0

0

0

Acres --

Season

Figure 3. U.S. Orange Bearing Acres and Production: Seasons 

2000/01 through 2011/12

Bearing acreage Production Linear (Bearing acreage) Linear (Production)

While showing fluctuations year to year, U.S. fresh orange per capita consumption has 

steadily declined over the last 30 years and remained relatively flat over the past decade. In 

2012/13, U.S. per capita fresh orange consumption was 10.9 pounds, down from a high of 14.6 

pounds in 1997/98.

4 As with other developed countries, competition from easy-peel citrus 

varieties and increased orange juice consumption have contributed to this per capita decline.

U.S. crop acreage devoted to orange production declined by 24 percent between 2000/01 

and 2011/12, from 815,000 to 619,200 bearing acres (figure 3).5 Over that same time period, 

production declined by 26 percent, from 12.2 million to 9 million MT.6 

As described above, most of the industry’s contraction has been in production for the 

processing sector. In Florida, where 95 percent of production is devoted to oranges for 

processing, the bearing acreage fell by 28 percent between 1999/2000 and 2011/12, and orange 

production fell by 34 percent. In California, where 85 percent of U.S. production for the fresh 

 

4 USDA/ Economic Research Service, preliminary estimate.

5 USDA, National Agricultural Statistics Service, Florida Agricultural Statistics Service, Florida Citrus Statistics

2011-2012.

6

Ibid.
5

0

50

100

150

200

2008/09 2009/10 2010/11 2011/12 2012/13

1,0

0

0

Metric T

ons

Season

Figure 4. United States - Fresh Tangerine Trade Balance

Exports Imports

market is harvested, the quantity produced has been relatively stable, averaging around 2 million 

MT annually even while the bearing acreage fell by 10 percent. 

On average, 27 percent of U.S. produced oranges are sold for fresh consumption, both 

domestically and internationally. While only 4 percent of orange production in Florida is 

utilized fresh, the percentages for California and Texas are 83 and 86 percent, respectively.

7

Fresh Tangerine and Mandarin Varieties

The United States is a net importer of tangerine and mandarin varieties (figure 4). U.S.

imports averaged 7 percent of the world’s fresh tangerine and mandarin variety exports, and 

accounted for an average of 26 percent of domestic fresh consumption over the 2008/09 through 

2012/13 seasons. During 2011/12, the United States imported 154,296 MT of tangerine and 

mandarin varieties (including satsumas, clementines, and similar citrus hybrids) with 

approximately 39 percent, 31 percent, 13 percent, and 9 percent arriving from Chile, Spain, Peru, 

and Morocco, respectively. 

 

7

Fresh utilization refers to the proportion of total fruit sold as fresh citrus. The remainder is considered to be 

utilized on the processed market.
6

0.0000

0.1000

0.2000

0.3000

0.4000

0.5000

0.6000

0

10

20

30

40

50

60

Million M

T

Bearing Acres

Figure 5. Tangerine Bearing Acres and Production

acres Production Linear (acres) Linear (Production)

That same season, the United States exported approximately 42,175 MT of tangerine and 

mandarin varieties (including some satsumas). Canada is the largest importer of U.S. fresh 

tangerine and mandarin varieties, accounting for 48 percent of U.S. exports. The second largest 

importer is Japan, accounting for approximately 25 percent.8

U.S. bearing acreage for tangerines has increased by 29 percent since the 1999/2000 crop 

year, from 41,000 acres to 53,000 acres in 2011/12 (figure 5). Over that same time period, 

production increased by 63 percent from, 298,000 to 486,000 MT.

9

About 92 percent of U.S. fresh tangerine and mandarin variety production was consumed 

domestically in 2012/13, including processed production.

10

 U.S. imports of tangerine and 

mandarin varieties supplement domestic production in satisfying increased domestic demand. 

 

8 U.S. Census Bureau, as reported by Global Trade Information Services, Inc.

9

Source: USDA, National Agricultural Statistics Service, Citrus Fruits Summary, various years. 

10 The proportion of U.S. fresh tangerine and mandarin variety production consumed domestically is the ratio of 

utilized fresh production minus exports divided by utilized fresh production. Data Source: Foreign Agricultural 

Service, Production, Supply, and Distribution Online.
7

U.S. per capita consumption of fresh tangerine and mandarin varieties has increased, on average, 

5.5 percent annually over the last 30 years. Over the last decade, per capita consumption of fresh 

tangerine and mandarin varieties in the United States increased from 2.73 pounds in 2002/03, to 

4.5 pounds per capita in 2012/13.11 Easy-peel, seedless fresh citrus varieties are particularly 

appealing to consumers. 

On average, 80 percent of tangerine and mandarin varieties produced in the United States 

are consumed fresh, domestically and internationally. Production intended for fresh market 

consumption is concentrated in California, Florida, and Arizona. California harvests 

approximately 75 percent of U.S. fresh production. The value of production increased 22 

percent from 2011/12 ($349.1 million) to 2012/13 ($425.5 million), with most of the increase in 

the fresh sector.12

Fresh Pomelos

Pomelo (Citrus grandis cv.guanximiyou) is a citrus fruit similar to grapefruit but larger

and more pear-shaped, with a thicker rind, coarser pulp, and a sweet, mild flavor. Pomelos are 

immensely popular in Asia. Most information on pomelo production, trade balances, and 

consumption is aggregated with grapefruit data.

The U.S. pomelo industry serves a largely niche market with limited production. It is 

grown primarily in California’s San Joaquin Valley on approximately 1,500 acres. The number 

of growers is undisclosed. The total value of the crop is less than $10 million annually. 

 

11 USDA/Economic Research Service, preliminary estimate for 2012/13.

12 National Agricultural Statistics Service (NASS), USDA, “Citrus Fruits 2013 Summary,” September 2013.
8

China’s Citrus Industry

China is a major producer, consumer, and exporter of fresh citrus on the world market. 

Tangerine and mandarin varieties accounted for 77 percent of China’s total fresh citrus exports, 

followed by pomelos (14 percent) and oranges (9 percent) during the 2012/13 season. Most 

China’s fresh orange and tangerine and mandarin variety exports are to Russia and to 

neighboring Asian countries. Russia and the Netherlands receive more than 70 percent of 

China’s fresh grapefruit and pomelo exports.

China is not a major importer of fresh citrus, but import volumes have increased, on 

average, by 10 percent a year over the last 5 seasons. The United States has been the leading 

source of fresh citrus for China, followed by South Africa, Australia, Thailand, and Taiwan. 

The rate of increase in China’s domestic consumption of fresh citrus continues to outpace 

the increase in worldwide consumption. Fresh citrus consumption in China has grown an 

average of 7 percent annually over the last five seasons, corresponding to the growth in 

production and imports, and the increase in the number of middle-income and affluent 

consumers in China. Ninety-six percent, 92 percent, and 90 percent of the supply of fresh 

grapefruit/pomelos, fresh tangerine and mandarin varieties, and fresh oranges, respectively, are 

consumed domestically. China’s fresh citrus consumption is expected to continue to increase as 

distribution systems are improved.13 

Reasons Action is Being Considered

The national plant protection organization (NPPO) of China, known as the 

Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) of the People’s 

 

13 Ibid.
9

Republic of China, has requested USDA authorize access of commercial shipments of fresh 

citrus into the continental United States. In response to this request, the APHIS has prepared a 

pest risk assessment14 and a risk management document (RMD).15 

The pest risk assessment concluded that entry of fresh packed citrus fruit from China into 

the United States would present a risk of introducing 22 quarantine plant pests (including 14 

arthropods, of which 3 are mites, 10 are flies, and 1 is a moth) unless the risk is managed. 

APHIS has determined that the current prohibition on imports of citrus from China is

unnecessary because the pest risks posed to U.S. agriculture can be successfully mitigated using

a systems approach. The RMD details a systems approach that would provide an appropriate 

level of phytosanitary protection against the pests of quarantine concern. 

Objectives of and Legal Basis for the Rule

The objective of the proposed rule is to allow the importation of fresh citrus fruit, 

specifically Citrus sinensis (sweet orange), Citrus poonensis (ponkan), Citrus grandis 

cv.guanximiyou (pomelo), Citrus kinokuni (mandarin orange), and Citrus unshiu (Satsuma 

mandarin), into the continental United States from China. The proposed rule would amend the 

current regulations found in Title 7 § 319.56 of the Code of Federal Regulations that grant 

regulatory authority for setting phytosanitary requirements for the importation of fruits and 

vegetables into the United States. 

 

14 USDA. 2014. Importation of Citrus spp. from China into the continental United States, A Qualitative, PathwayInitiated Pest Risk Assessment. Animal and Plant Health Inspection Service, Center for Plant Health Science and 

Technology, Plant Epidemiology and Risk Analysis Laboratory, Raleigh, NC. 

15 USDA. 2014. Importation of Fresh Citrus (Citrus grandis cv. Guanximiyou, Citrus kinokuni, Citrus 

poonensis,Citrus sinensis and Citrus unshiu) fruit from China into the continental United States, Risk Management 

Document. Animal and Plant Health Inspection Service, Plant Health Programs, Regulatory, Permits and Manuals, 

Riverdale, MD.
10

The legal basis for this action is the Plant Protection Act (7 U.S.C. 7701-7772), which 

authorizes the Secretary of Agriculture to prohibit or restrict the importation of any plant product 

if the Secretary determines that the prohibition or restriction is necessary to prevent the 

introduction of a plant pest or noxious weed into the United States. The proposed rule is part of 

a continuing program to allow the importation of foreign agricultural products that APHIS has 

determined are without significant risk of introducing pests or diseases into the United States, if 

appropriate mitigation measures are applied.

Overview of the Action, Affected Entities, and Potential 

Effects

Conditions of Entry

This proposed rule would allow for the importation of five species of fresh citrus from

China into the continental United States under conditions that would protect against the 

introduction of citrus pests. Based on the RMD, importation of the fresh citrus will be subject to 

the following conditions: Registration of places of production and packinghouses, sourcing of 

pest-free propagative material, inspection for quarantine pests at set intervals by the national 

plant protection organization (NPPO) of China, bagging of fruit, post-harvest processing and 

sampling, and importation in commercial consignments. Additionally, the rule would require 

places of production to trap for several species of Bactrocera (fruit flies), and would require the 

fruit to be either cold treated or irradiated as a treatment for fruit flies. Consignments would 

have to be accompanied by a phytosanitary certificate issued by the NPPO of China that declares 

that the conditions for importation have been met and that the consignments have been inspected 

and found free of quarantine pests. Finally, the NPPO of China would have to provide a bilateral 

workplan to APHIS that details the activities that the NPPO of China will carry out to meet these 
11

requirements. This systems approach to pest mitigation would provide an appropriate level of 

phytosanitary protection against pests of quarantine concern.16 

We note that the provisions in the proposed rule incorporate two different treatment 

strategies for fruit flies: Cold treatment or irradiation. Initially, the proposed rule would have 

required cold treatment. This is not because it is the only known treatment option—irradiation at 

a dose of at least 150 gray is known to be similarly efficacious—but rather, because APHIS 

assumed that irradiation would not be pursued because of the adverse effects it can have on the 

appearance and shelf-life of the fruit. However, in the course of ongoing dialogue with AQSIQ 

and other stakeholders, APHIS decided that there could be certain producers who would prefer 

irradiation to cold treatment, and that there does not exist a risk-based rationale for precluding 

such irradiation treatment. Therefore, we revised the provisions of the proposed rule to allow for 

either treatment option. 

Potentially Affected Small Entities

The U.S. citrus industry produces species and varieties that are the same as or comparable 

to those that would be allowed to be imported from China, including oranges, tangerine and 

mandarin varieties (such as satsumas, clementines, and similar citrus hybrids) and pomelos.

Therefore, entities that may be affected by the proposed rule would be primarily U.S. producers 

of fresh oranges, tangerines, and pomelos. Other stakeholders that may be affected include 

 

16 FAO, “International Standards for Phytosanitary Measures (ISPMs) No. 14, The use of integrated measures in a 

systems approach for pest risk management 2002,” http://www.acfs.go.th/sps/downloads/16210_ISPM_14_E.pdf

Updates (January 8, 2014) https://www.ippc.int/publications/use-integrated-measures-systems-approach-pest-riskmanagement, other ISPMs relevant to the proposed rule are: No. 1 (Principles of plant quarantines as related to 

international trade), No. 2 (Guidelines for pest risk analysis), No. 5 (Glossary of Phytosanitary Terms), No. 8 

(Determination of pest status in an area), No. 12 (Guidelines for phytosanitary certificates), No. 20 (Guidelines for a 

phytosanitary import regulatory system), and No. 28 (Phytosanitary treatments for regulated pests).
12

auxiliary industries which support the production and distribution of fresh citrus in the United 

States, and importers of fresh citrus. 

More specifically, entities potentially affected by the proposed rule are classified within 

the following industries, according to the North American Industry Classification System

(NAICS): Orange Groves (NAICS 111310), Citrus Groves (except orange groves) (NAICS 

111320), (Postharvest Crop Activities (except cotton ginning) (NAICS 115114), Fresh Fruit and 

Vegetable Merchant Wholesalers (NAICS 424480), Pesticide and Other Agricultural Chemical 

Manufacturing (NAICS 325320), Farm Product Warehousing and Storage (NAICS 493130), 

Nursery and Tree Production (NAICS 111421), Fruit and Vegetable Markets (NAICS 445230), 

Packing and Crating (NAICS 488991), General Freight Trucking, local (NAICS 484110), and

Wood Container and Pallet Manufacturing (NAICS 321920). 

According to 2012 Census of Agriculture data, there were a total of 9,437 operations 

producing oranges in the United States in that year.

17

 In that year, were 6,141 farms produced

oranges as their primary product and were thus classified as Orange Groves according to the 

NAICS.18 More than 72 percent of orange producers had fewer than 25 acres, and 2 percent had 

500 or more acres. However, the farms with fewer than 25 acres accounted for only less than 6

percent of the total acreage devoted to orange production, while those with 500 or more acres 

 

17 The number of orange farms in the United States, as reported by the 2012 Census of Agriculture, includes 

operations that produced oranges for processed utilization; in Florida, the majority of oranges are processed. USDA 

NASS. 2012 Census of Agriculture, Table 39. Specified Fruit and Nut by Acres: 2012 and 2007. 

http://www.agcensus.usda.gov/Publications/2012/Full_Report/Volume_1,_Chapter_1_US/st99_1_039_039.pdf 

18 USDA NASS. 20012 Census of Agriculture, Table 51. Selected Characteristics of Farms by North 

American Industry Classification System: 2012,

http://www.agcensus.usda.gov/Publications/2012/Full_Report/Volume_1,_Chapter_1_US/st99_1_051_052.pdf . 

This is also the source for establishments classified within Citrus Groves (except orange groves) and Nursery and 

Tree Production.
13

accounted for over 58 percent. The national average acreage for orange producers was 71 acres 

in 2012; for orange producers with fewer than 25 acres, the average was 5.3 acres per farm. 

Establishments classified as Orange Groves are considered small by the Small Business 

Administration (SBA) if annual sales are not more than $750,000. The average market value of 

crops sold by orange grower that year was approximately $318,000, well below the small-entity

standard of $750,000 and clearly orange growers are predominantly small entities according to 

the SBA standard of $750,000. 

According to 2012 Census of Agriculture data, there were a total of 1,395 operations 

producing tangerine and mandarin varieties in the United States in 2012.

19 In that year, a total of

2,839 farms produced citrus other than oranges as their primary product and were thus classified 

as Citrus Groves (except orange groves) according to the NAICS. Establishments classified 

within NAICS Citrus Groves (except orange groves) are considered small by the SBA standard 

of annual sales not more than $750,000. The average market value of crops sold by non-orange

citrus groves in 2012 was about $225,000, well below the small-entity standard of $750,000. 

Clearly, citrus growers are predominantly small entities according to the SBA standard of 

$750,000. 

Establishments classified within Postharvest Crop Activities (except cotton ginning) 

(NAICS 115114), are considered small by SBA standards if annual sales are not more than $7 

million. The percentage of establishments that meet this standard is not known; neither the 

Census of Agriculture nor the Economic Census reports revenue for these establishments. 

 

19 The number of citrus farms in the United States, as reported by the 2012 Census of Agriculture, includes 

operations that produced citrus for processing as well as fresh utilization.
14

This industry comprises establishments primarily engaged in performing services on 

crops subsequent to their harvest to prepare them for market or further processing, such as crop 

cleaning, sun drying, shelling, fumigating, curing, sorting, grading, packing, and cooling. The 

available information on packinghouse establishments engaged in postharvest crop activities 

indicates these entities to be predominantly small. 

In Florida, there were at least 142 packinghouses registered in 2007.20 While the 

classification of these establishments by sales volume is not available, it is estimated that 

approximately 42 of the 142 registered packinghouses are large commercial citrus packinghouses 

with the remainder being small establishments known as gift packers in Florida. The Fresh 

Shippers Report issued by Florida’s Citrus Administrative Committee details quantities of fresh 

citrus for the top 35 to 45 shippers of each season (95 percent of Florida fresh citrus 

shipments).

21,22 During the 2012-13 citrus season, annual sales for at least 21 of the top 42

shippers (50 percent) were below the SBA size standard of $7 million. It is estimated that at 

least 85 percent of Florida’s citrus packers, including small gift packers, are small according to 

the SBA size standard.

In 2010, there were 74 packinghouses in California.23 Approximately 60 percent of these 

packinghouses market the final product through cooperatives as Sunkist Growers, Inc., the 

Central California Orange Growers Cooperative, and DNE World Fruit Sales.24 The remaining 

 

20 Florida Department of Agriculture and Consumer Services, Division of Fruit & Vegetable Inspection. 

<http://www.doacs.state.fl.us/fruits>

21 “Fresh Shippers Report: 2012-13 Season Through July 31, 2013,” Citrus Administrative Committee, August 22, 

2013. <http://www.citrusadministrativecommittee.org/> 

22 Ibid.

23 California Citrus Mutual Report to the CDFA Board- June 30, 2010. Bob Blakely, Director of Industry 

Relations. <http://www.californiacitrusmutual.com/pdf/CDFA_Board_Report_6302010.pdf > Date accessed: 

September 9, 2011.

24 United States International Trade Commission (USITC), “Conditions of Competition for Certain Oranges and 
15

packinghouses market their final product independently. We do not know the number of smallentity packinghouses that may be affected by this rule, and welcome public comment on their 

number and size, and how they may be affected.

Establishments classified within Fresh Fruit and Vegetable Merchant Wholesalers 

(NAICS 424480) are considered small by SBA standards if they employ not more than 100 

persons.

25 In 2012, there were 4,854 fresh fruit and vegetable merchant wholesalers in the United 

States with a total of 101,854 paid employees. Out of the 4,854 vegetable merchant wholesalers, 

about 95.7 percent of the establishments in this category employed fewer than 100 people.26 It is 

likely that domestic fruit merchant wholesalers that may be affected by the rule are 

predominantly, if not entirely, small entities.

Establishments classified within Pesticide and Other Agricultural Chemical 

Manufacturing (NAICS 325320) are considered small by SBA if they employ no more than 500 

employees. In 2012, there were 210 pesticide and other agricultural chemical manufacturers in 

the United States with a total of 10,075 paid employees. Of the 210 pesticide and other 

agricultural chemical manufacturers, about 86.7 percent of the establishments in this category

employed fewer than 100 people.27

Establishments classified within) are considered small by SBA standards if annual sales 

are not more than $25.5 million. While data from the 2012 Economic Census is not yet available 

for Farm Product Warehousing and Storage (NAICS 493130), the 2007 Economic Census 

 

Lemons in the U.S. Fresh Market, Inv 332-469,” Publication 3863, Washington, D.C., July 2006.

25 U.S. Small Business Administration, Table of Small Business Size Standards http://www.sba.gov/content/tablesmall-business-size-standards 

26 U.S. Economic Census,2012 County and Business Patterns (CBP) data. 

http://www.census.gov/econ/cbp/index.html

27 Ibid.
16

reports that there were 713 establishments with about 48 percent of these establishments

reporting a sales revenue of less than $25.5 million.

28 Fruit and Vegetable Markets (NAICS 

445230) are considered small by SBA standards if annual sales are not more than $7.0 million. 

According to the 2007 economic census, there were 3,314 fruit and vegetable market 

establishments in this category, and more than 92 percent had annual sales of less than $5 

million. 29 Nursery and Tree Production (NAICS 111421) are considered to be small by SBA 

standards if annual sales are not more than $750,000. In 2012, there were 32,048 with average 

sales revenue of about $221,000. Virtually all Nursery and Tree Production are small entities.30

Establishments in Packing and Crating (NAICS 488991) are considered to be small by

SBA if annual sales are not more than $25.5 million. In 2012, there were 1,432 packing and 

crating establishments in the United States with a total of 21,475 employees. Of the 1,435 

packing and crating establishments, approximately 93 percent reported revenues of less than $25

million.

31

Establishments in General Freight Trucking, local (NAICS 484110) are considered to be 

small by SBA if their annual sales are not more than $25.5 million. In 2012, there were 28,595 

local general freight trucking establishments in the United States with a total of 211,878 

 

28 U.S. Census Bureau, 2007 County Business Patterns and 2007 Economic Census. 2007 Annual Tabulations , 

http://www.census.gov/econ/susb/data/susb2007.html

29 U.S. Census Bureau, 2007 County Business Patterns and 2007 Economic Census. 2007 Annual Tabulations , 

http://www.census.gov/econ/susb/data/susb2007.html

30 U.S 2007 Agriculture Census table 37. 

http://www.agcensus.usda.gov/Publications/2007/Full_Report/Volume_1,_Chapter_1_US/

31 U.S. Economic Census,2012 County and Business Patterns (CBP) data.

http://www.census.gov/econ/cbp/index.html
17

employees. Of the 28,595 establishments, approximately 95 percent reported revenues of less 

than $25 million.

32

Establishments in Wood Container and Pallet Manufacturing (NAICS 321920) are 

considered to be small if they employ no more than 500 employees. In 2012, there were 2,666

wood container and pallet manufacturers in the United States with a total of 49,155 paid 

employees. Of the 2,666 wood container and pallet manufacturers, 99.9 percent of the 

establishments in this category employed fewer than 500 people.33

Potential Effects

The types and volumes of citrus imported from China would be influenced by trends in

citrus production, consumption and trade in China and the United States. Imports would 

compete with domestically produced fresh citrus and current U.S. imports. Imports from China

would need to appeal to U.S. consumers who make purchasing decisions based on a range of 

factors including variety, appearance, flavor, freshness, product origin, production methods, as 

well as price. 

The quantity of oranges imported from China is likely to be relatively small. The 

majority of China’s fresh orange exports, mostly navel oranges, go mainly to Russia and to 

neighboring countries in Asia. China’s fresh orange exports to North America, mainly to 

Canada, are very limited, ranging from 100 to 300 metric tons (MT) per year. The United States 

is a net exporter of fresh oranges. An increase in orange imports of 300 MT per year would be 

 

32 U.S. Economic Census,2012 County and Business Patterns (CBP) data. 

http://www.census.gov/econ/cbp/index.html

33 U.S. Economic Census,2012 County and Business Patterns (CBP) data. 

http://www.census.gov/econ/cbp/index.html
18

equivalent to about one-fourth of one percent of fresh orange imports from all sources in the 

2012/13 season.

As with oranges, the bulk of China’s tangerine and mandarin variety exports are to 

Russia and to neighboring Asian countries. Even though demand for fresh oranges has remained 

relatively flat in recent years, U.S. consumption of tangerine and mandarin varieties has been 

growing at a rate of about 9 percent per year and the United States is now a net importer of those 

varieties. Imports of fresh tangerine and mandarin varieties from China would help meet the 

growing demand for these citrus species, and the quantity could match the nearly 4.5 percent 

annual increase in imports (about 6,300 MT) that has occurred over the past five years. We 

expect that imports of pomelo and ponkan from China would be relatively minor, helping to 

serve the U.S. niche markets for these species. 

The extent to which imports from China would result in greater competition for U.S. 

producers would depend on relative prices, the varieties shipped, the qualitative attributes of the 

imported citrus, and the extent to which the citrus imported from China would displace imports 

from other countries. Importers and distributors of China fresh citrus may also benefit from the 

proposed rule as it would provide them with new business opportunities. 

Projected Reporting, Recordkeeping, and Other Compliance 

Requirements

Reporting and recordkeeping requirements associated with the proposed rule are 

discussed in the rule under the heading "Paperwork Reduction Act."

Duplication, Overlap, or Conflict with Existing Rules and 

Regulations

APHIS has not identified any duplication, overlap, or conflict of the proposed rule with 

other Federal rules.
19

Alternatives to minimize Significant Economic Impacts of 

the Rule

Based on our review of available information, APHIS does not expect the proposed rule 

to have a significant economic impact on small entities. We have prepared this initial regulatory

flexibility analysis because our understanding of possible economic effects of the rule on small 

entities is incomplete. In the absence of apparent significant economic impacts, we have not 

identified alternatives that would minimize such impacts.