United States 

Department of 

Agriculture

Animal and 

Plant Health 

Inspection 

Service

August

2013

Final Regulatory Flexibility Analysis

Final Rule

APHIS 2012-0089

Authorizing a Cold Treatment Facility at 

Mascoutah, Illinois

Policy & Program Development

Policy Analysis & Development
i

Summary

This final rule will amend the regulations to allow a new cold treatment facility to be 

located at MidAmerica St. Louis Airport, Mascoutah, Illinois. The facility is expected to be used 

mainly to treat imported blueberries. While most if not all blueberry farms in the United States 

are small entities, the final rule will not significantly affect the market for blueberries because the 

facility is not projected to result in a significant increase in the quantity of blueberries imported 

by the United States. The United States is the world’s largest producer of blueberries and U.S. 

blueberry exports exceed imports four-fold. 

The cold treatment facility will benefit the MidAmerica St. Louis Airport and local 

economy. The facility is expected to result in at least 800 flights of produce requiring cold 

treatment per year, raising at least $8 million in direct income for the airport. MidAmerica St. 

Louis Airport is classified as a small entity within the NAICS category of Other Airport 

Operations (NAICS 488119), for which the small-entity standard is annual revenue of not more 

than $30 million. We have prepared this final regulatory flexibility analysis in acknowledgment 

of expected positive economic effects of the rule for the MidAmerica St. Louis Airport and 

related local businesses. 
ii

Table of Contents

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

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

U.S Blueberry Production and Trade.................................................................................. 1

Need for and Objectives of the Rule................................................................................... 3

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

Flexibility Analysis.................................................................................. 4

Comments filed by the Small Business Administration in response to the Proposed Rule 4

Potentially Affected Small Entities..................................................................................... 4

Projected Reporting, Recordkeeping, and Other Compliance Requirements..................... 6

Steps taken by APHIS to minimize Significant Economic Impacts on Small Entities ...... 6
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 final 

rule on small entities, as required by § 604 of the Act.

Current cold treatment regulations found in 7 CFR 305.6, allow the establishment of cold 

treatment facilities for phytosanitary applications in certain areas of the United States. Cold 

treatment facilities may be located on the mainland United States either in the area that is north 

of 39° latitude and east of 104° longitude, or outside this area at certain maritime ports and 

airports. The latter facilities operate under special conditions designed to prevent the 

introduction of pests of imported fruits and vegetables, particularly tropical fruit flies. 

APHIS received a petition from North Bay Produce, Inc., requesting APHIS to consider a 

cold treatment facility located at MidAmerica St. Louis Airport, Mascoutah, Illinois. The facility

is expected to be used mainly to treat blueberries. As noted by North Bay Produce, cold 

treatment of the fruit upon arrival by air is the preferred treatment alternative, as opposed to cold 

treatment while en route by sea or fumigation that can decrease the shelf life of the fruit. The 

facility is not expected to result in a significant increase in the quantity of blueberries imported.

U.S Blueberry Production and Trade

The United States is the largest producer of blueberries, providing 60 percent of the 

world’s supply in 2010, followed by Canada (27 percent) and Poland (3 percent). It is a growing 

industry, with U.S. blueberry production having expanded by 18 percent between 2009 (about 

130,000 metric tons (MT)) and 2012 (about 154,000 MT) (table 1). The four States of Michigan, 

Oregon, New Jersey, and Washington produce about one-half of U.S blueberries. 
2

Table 1. U.S blueberry production, 2009-2012, metric tons

State 2009 2010 2011 2012

Average

2009-2012

 Michigan 44,906 49,442 32,659 39,463 41,617

 Oregon 24,040 22,226 28,123 23,360 24,437

 New Jersey 21,772 24,766 16,420 18,144 20,276

 Washington 17,690 19,051 29,710 32,659 24,778

 North Carolina 14,832 17,713 27,669 31,751 22,991

 Florida 6,123 7,439 9,707 7,756 7,756

 Alabama 136 195 227 318 219

 Arkansas 227 295 181 181 221

Total Production of 

Listed States

 129,727 141,126 144,696 153,632 142,295

Rest of United States 75,750 82,871 89,766 97,159 86,386

U.S total Production 205,477 223,997 234,462 250,791 228,682

Percent Share of 

four top States

53% 52% 46% 45% 49%

P=Preliminary

Source: USDA Economic Reseach Services (ERS) U.S Blueberry Industry table02.xls

http://usda.mannlib.cornell.edu/MannUsda/viewDocumentInfo.do?documentID=1765

Metric Tons

In 2012, the quantity of blueberries exported by the United States totaled about 33,000

MT, and net exports totaled over 23,700 MT (table 2). Canada, the principal destination, 

received over 90 percent of U.S. blueberry exports between 2009 and 2012. 

Table 2. U.S blueberry exports, 2009-2012, metric tons

2009 2010 2011 2012

 29,158 31,858 35,603 33,375 32,499

Canada 26,718 28,869 31,738 28,996 29,080

Japan 1,478 1,684 2,602 2,377 2,035

Hong Kong 181 321 355 992 462

South Korea 132 240 189 110 168

United Kingdom 288 93 165 181 182

Rest of the world 362 651 553 719 571

Net Exports 23,113 24,181 26,869 23,738 24,721

Source: USDA Economic Research Services U.S Blueberry Industry, Table 24.

http://usda.mannlib.cornell.edu/MannUsda/viewDocumentInfo.do?documentID=1765

World

Average

2009-2011

Chile is the leading supplier of blueberries imported by the United States, followed by

Canada, Argentina, and Mexico (table 3). Blueberry imports from Chile have boomed in recent 

years. Blueberries from Chile have a relatively low tariff and Chile’s production schedule is

counter-seasonal to that of the United States. U.S. imports increased from about 6,000 MT in 
3

2009 to about 10,000 MT in 2012, but remain less than one-fourth the size of U.S. exports. 

Blueberry imports are currently treated at the maritime ports of Wilmington, NC, Seattle, WA, 

Corpus Christi, TX, and Gulfport, MS; and at Seattle-Tacoma International Airport, Seattle, WA, 

and Hartsfield-Atlanta International Airport, Atlanta Georgia. 

Table 3. U.S blueberry imports, 2009-2012, metric tons

2009 2010 2011 2012

Percent 

Share

2012

 6,045 7,677 8,734 9,637

Chile 3,367 4,579 5,566 5,313 55%

Canada 1,864 1,970 1,922 2,939 30%

Argentina 720 933 952 953 10%

Mexico 35.86 95.17 186 357 4%

Uruguay 46.82 79.74 93 66 1%

New Zealand 11.41 10.48 8 5 0%

Rest of the world 0.19 9.64 7 3 0%

Source: USDA Economic Research Services U.S Blueberry Industry table30.xls

http://usda.mannlib.cornell.edu/MannUsda/viewDocumentInfo.do?documentID=1765

World 1

Need for and Objectives of the Rule

This final rule is in response to a request made by North Bay Produce, Inc., for APHIS to 

consider allowing a cold treatment facility to be located at MidAmerica St. Louis Airport, 

Mascoutah, Illinois. Based on the location and climatic conditions, APHIS has determined that a 

cold treatment facility operating at this location under conditions equivalent to those required for 

irradiation facilities in the southern United States will provide the phytosanitary treatment 

necessary to prevent entry of quarantined pests, in particular, tropical fruit flies. 

The objective of the rule is to allow a cold treatment facility to be located at MidAmerica 

St. Louis Airport, Mascoutah, Illinois. 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 
4

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 

final 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.

Significant Issues raised by Public Comment in response to 

the Initial Regulatory Flexibility Analysis

No significant issues were raised in response to the Initial Regulatory Flexibility

Analysis. One comment was received in support of this rule, noting the additional jobs and local 

revenue that the cold treatment facility will bring to Mascoutah, Illinois. 

Comments filed by the Small Business Administration in 

response to the Proposed Rule

No comments were filed by the Small Business Administration. 

Potentially Affected Small Entities

Blueberry production is classified within the North American Industry Classification 

System under Berry (except Strawberry) Farming (NAICS 111334), for which the Small 

Business Administration’s small-entity standard is annual revenue of not more than $750,000.1 

The latest data on the number of farms that produce blueberries are found in the 2007 Census of 

 

1

Small Business Administration Table of Small Business Size Standards 

http://www.sba.gov/sites/default/files/files/Size_Standards_Table(1).pdf
5

Agriculture, which reports that the average market value of blueberries sold per farm was about 

$53,000.2 Clearly, most if not all blueberry producers are small entities. 

Table 4 shows that between 2002 and 2007, the number of farms that harvested 

blueberries increased from 6,428 to 7,516, and the number of acres increased from about 52,000 

to over 60,000. 

Table 4. U.S blueberries: Number of farms and area harvested in leading States, 2007 and 2002

State 2007 2002 2007 2002

 7,516 6,428 60,353 52,002

Michigan 758 590 19,641 12,274

Oregon 713 659 5,185 3,887

Washington 475 289 3,926 289

Florida 442 343 2,376 1,646

New York 407 351 1,097 842

Georgia 343 408 4,802 4,451

Mississippi 317 249 2,209 1,289

North Carolina 297 267 5,323 5,009

New Jersey 268 240 7,605 7,468

Alabama 207 196 347 400

California 186 97 2,232 827

Arkansas 82 140 269 675

Others 3,779 3,189 24,982 25,219

Source: NASS, Census of Agriculture, 2007 and 2002.

Number of Farms Acres

U.S 

The cold treatment facility is expected to benefit the MidAmerica St. Louis Airport and 

local economy. The facility is expected to result in at least 800 flights of produce requiring cold 

treatment per year, raising at least $8 million in direct income for the airport.3 MidAmerica St. 

Louis Airport is classified as a small entity within the NAICS category of Other Airport 

 

2

2007 U.S. Census of Agriculture and USDA Economic Research Services (ERS) U.S Blueberry Industry 

 

3 Based on estimated impacts cited in a letter written by Mr. M. Tim Cantwell, MidAmerica St. Louis Airport 

Director, dated July 30, 2012, and addressed to Mr. Mark Girardin, President, North Bay Produce, Inc. 
6

Operations (NAICS 488119), for which the small-entity standard is annual revenue of not more 

than $30 million. 

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." Compliance costs specific to this final 

rule will be those incurred in accordance with the phytosanitary treatment requirements for 

operation of a cold treatment facility. 

Steps taken by APHIS to minimize Significant Economic 

Impacts on Small Entities

Based on our review of available information, we do not expect the rule to significantly 

affect the market for blueberries because the cold treatment facility is not projected to result in a 

significant increase in the total quantity of blueberries imported by the United States. We have 

prepared this final regulatory flexibility analysis in acknowledgment of expected positive 

economic effects of the rule for the MidAmerica St. Louis Airport and related local businesses. 

Since these effects will be positive, we have not identified steps that APHIS could take to 

minimize such impacts.