### United States

Department of Agriculture Animal and Plant Health Inspection Service August 2013 **Analysis in Support of Certification that the** 

**Rule will not have a Significant Economic Impact on a Substantial Number of Small**  **Entities Proposed**  **Rule APHIS 2013**  **- 0057**  **RIN 0579 -** **AD84 Expansion of Areas Considered Free of**  **Mango Seed Weevil and Mango Pulp Weevil in**  **the Philippines and Addition of Irradiation**  **as a Treatment for Mango Pulp Weevil**

Policy & Program Development Policy Analysis & Developmenti



### Summary This proposed rule is in response to a request from the Philippines to recognize additional
areas (regions in Luzon, Visayas, and Mindanao) as free of mango seed and mango pulp weevil s , and the island of Palawan as free of mango seed weevil

. Currentl y, fresh mango from the Philippines is enterable into the United States from the island of Gui maras , considered free of these weevils , subject to treatment to mitigate the risk associated with fruit f lies of the genus Bactrocera
. In addition, APHI S is proposing to amend the PPQ treatment manual by add ing irradiation at 16 5 Gy as an option to mitigate the risk associated with mango pulp weevil. This dosage also mitigate s the risk associated with fruit flies of the genus Bactrocera
. In 2010 and 2011, fresh mango exports to the United States from the Philippines averaged about 42,000 pounds per year. U .S. mango import s from all sources averaged more than 3.3 billion pounds per year between 2009 and 2012 , with most coming from Mexico, Peru, Ecuador, Brazil, and Guatemala . Thus, imports from the Philippines comprise a negligible share of total fresh mango imports, less than 0.002 percent. Given the Philippines’ current very small share and the proxi mity

of major Latin American sources, the additional quantity of fresh mango that may be imported from the Philippines because of this rule is unlikely to make an appreciable difference in the total quantity import ed

. U.S. mango production , about 6.6 mill ion pounds per year , is equivalent to 0.2 percent of imports. Most if not all mango farms are small entities in Florida, California, Texas, and Hawaii , where the fruit is primarily marketed local ly

. An y effect for these farms and for mango importers of additional fresh mango imports from the Philippines would be in consequential , given the very small change expected to total imports

.ii

There would be no recordkeeping or other compliance costs associated with the proposed rule for U.S. entities, other than the import documentation normally required. The APHI S Administrator certifies that the proposed rule, if promulgated, will not have a significant economic impact on a substantial number of small entities.iii



### Table of Contents Summary

................................ ................................ ................................ .............................. i Introduction

................................ ................................ ................................ ......................... 1 Potential Impact on Small Entities

................................ ................................ ...................... 1 References

................................ ................................ ................................ ........................... 41



### Introduction This analy sis provides the basis, as required by the Regulatory

Flexibility

Act, for certification by

the APHIS Administrator that the proposed rule, if promulgated, will not have a significant economic impact on a substantial number of small entities. This proposed rule is in response to a request from the Philippines to recognize additional areas (regions in Luzon, Visayas, and Mindanao) as free of mango seed and mango pulp weevils, and the island of Palawan as free of mango seed weevil. Currentl y, fresh mango from the Philippines is enterable into the United States from the island of Guimaras, considered free of these weevils, subject to treatment to mit igate the risk associated with fruit flies of the genus Bactrocera
. In addition, APHI S is proposing to amend the PPQ manual by adding irradiation as a treatment for mango pulp weevil. This change is based on an APHIS 2012 study that ascertained 16 5 Gy as the minimum absorbed dos ag e for the mango pulp weevil. This dosage also mitigates the risk associated with fruit flies of the genus Bactrocera
. 

### Potential Impact on Small Entities Following the Small Business Administration (SBA) guidelines, the entities potentially affected b y the proposed rule are classified within the following industries: Other Non C itrus Farming (NAICS 111339); Fresh Fruit and Vegetable Merc hant Wholesalers (NAICS 424480); and Post Harvest Crop Activities (except cotton ginning) (NAIC S 115114)

. Establishments classified within Other Non Citrus Farming are considered small by SBA standards if annual sales are not more than $750,000. APHI S does not have information on the size distribution of mango producers but according to the 2007 Ce nsus of Agriculture there were 23,641 farms in the Other Non Citrus Farming classification, and the market value of their crop sales averaged about2

$111,000, well below the small

- entity standard. We infer that most if not all U.S. mango farms are also sm all entities. Establishments classified within Fresh Fruit and Vegetable Merchant Wholesalers are considered small by SBA standards if they

employ not more than 100 persons. According to the 2007 Survey of Business Owners, 97 percent of the establishment s in this category employed fewer than 100 people. Establishments classified within Post Harvest Crop Activities (except cotton ginning) (NAICS 115114) are considered small by SBA standards if
annual sales are not more than $25.5 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. In 2010 and 2011, fresh mango exports to the United States from the Philippines averaged about 42,000 pounds per year. U.S. mango imports from all sources averaged more than 3.3 billion pounds per year between 2009 and 2012, with most coming from Mexico, Peru, Ecuador, Brazil, and Guatemala . Thus, imports from the Philippines comprise a negligible share of total fresh mango imports, less than 0.002 percent. Given the Philippines’ current very small share and the proximity

of major Latin American sources, the additional quantity of fresh mango that may be imported from the Philippines because of this rule is unlikely to make an appreciable difference in the total quantity imported. U.S. mango production , about 6.6 million pounds per year , is equivalent to 0.2 percent of imports. Most if not all mango farms are small entities in Florida, California, Texas, an d Hawaii , where the fruit is primarily marketed locall y. An y effect for these farms and for mango importers of additional fresh mango imports from the Philippines would be inconsequential, given the very small change expected to total imports.3

There would be no recordkeeping or other compliance costs associated with the proposed rule for U.S. entities, other than the import documentation normally required. T he APHI S Administrator has determined that this action , if promulgated, will n ot have a significant economic impact on a substantial number of small entities.4



### References Census of Agriculture, 2007, http:// www.agcensus.usda.gov/Publications/2007/Full_Report/index.asp Economic Census, 2007, http://www.census.gov/econ/census07/ U.S. Small Business Administration. U.S. Small Business Administration: Table o f Small Business Size Standards Match to North American Industry Classification Sy stem http://www.sba.gov/idc/groups/public/documents/sba_homepage/serv_sstd_tablepdf.pdf