[Federal Register: March 3, 2000 (Volume 65, Number 43)]
[Proposed Rules]
[Page 11483-11485]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr03mr00-19]
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[[Page 11483]]
DEPARTMENT OF AGRICULTURE
Office of the Secretary
7 CFR Part 20
RIN 0551-AA51
Export Sales Reporting Requirements
AGENCY: Foreign Agricultural Service, USDA.
ACTION: Proposed rule.
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SUMMARY: This proposed rule would amend the Export Sales Reporting
Requirements Regulation to add certain beef and pork to the list of
commodities subject to this Regulation. Under this proposed rule,
exporters would be required to report on a weekly basis information
concerning the quantity, country of destination, and marketing period
of shipment for their export sales. Information collected would be
aggregated and included in the weekly ``U.S. Export Sales'' report
published by the Foreign Agricultural Service (FAS).
DATE: Comments on the proposed rule should be received on or before May
2, 2000, to be assured of consideration.
ADDRESSES: Comments should be submitted in writing to the Export Sales
Reporting Staff, Stop 1025, U.S. Department of Agriculture, 1400
Independence Avenue SW, Washington, DC 20250-1025 or e-mailed to
WilliamsDJ@fas.usda.gov. All comments received will be available for
public inspection in room 5965-S during normal business hours.
FOR FURTHER INFORMATION CONTACT: David Williams, Import Policies and
Programs Division, Stop 1021, U.S. Department of Agriculture, 1400
Independence Avenue, SW, Washington, D.C. 20250-1021, or telephone
at(202) 720-3273, or e-mail at WilliamsDJ@fas.usda.gov.
SUPPLEMENTARY INFORMATION:
Executive Order 12372
This program is not subject to the provision of Executive Order
12372, which requires intergovernmental consultation with State or
local officials (See notice related to 7 CFR part 3015, subpart V,
published at 48 FR 29115, June 24, 1983).
Executive Order 12988
This proposed rule has been reviewed under Executive Order 12988.
The provisions of this proposed rule would not have preemptive effect
with respect to any state or local laws, regulations, or policies which
conflict with such provisions or which otherwise impede their full
implementation. The proposed rule would not have retroactive effect.
Administrative proceedings are not required before parties may seek
judicial review.
Executive Order 12866
This proposed rule is issued in conformance with Executive Order
12866. It has been determined significant for the purposes of E.O.
12866 and, therefore, has been reviewed by the Office of Management and
Budget (OMB).
Regulatory Flexibility Act
The proposed rule should not have a significant economic impact on
a substantial number of small entities. Although numerous exporters of
meat and meat products operate small businesses, the data required
under the proposed rule are routinely maintained during the normal
course of export sales contracting business activity. A copy of this
proposed rule has been sent to the Chief Counsel, Office of Advocacy,
U.S. Small Business Administration.
Paperwork Reduction Act
In accordance with provisions of the Paperwork Reduction Act of
1995, the Department revised the information collection approved by the
Office of Management and Budget (OMB) to support this proposed rule.
The expiration date for OMB approval of this information collection,
under OMB control number 0551-0007, is September 30, 2001. The
information collection requirements contained in 7 CFR part 20 (the
Regulation) are necessary to implement the mandatory export sales
reporting requirements of 602 of the Agricultural Trade Act of 1978, as
amended (7 U.S.C. 7512). The proposed rule would amend the Regulation
to require weekly reporting of export sales contracts for muscle cuts
of fresh, chilled, or frozen beef and pork. All data reported are
aggregated and published in compilation form to protect business
confidential information. It was estimated that the proposed rule would
add an additional 125 exporting firms to the reporting requirements,
increasing the total to 424 firms. The inclusion of certain meat
products under the Regulation was estimated to increase the annual
burden by 8,963 hours (from 21,723 hours to 30,686 hours) for
collecting and submitting the weekly reports and recordkeeping
activities. Copies of the current information collection may be
obtained from Kimberly Chisley, the Agency Information Collection
Coordinator, at (202) 720-2568 or e-mail at Chisley@fas.usda.gov.
Comments are invited on: (a) Whether the proposed collection of
information is necessary for the proper performance of the functions of
the agency, including whether the information will have practical
utility; (b) the accuracy of the agency's estimate of the burden of the
proposed collection of information; (c) ways to enhance the quality,
utility and clarity of the information to be collected; and (d) ways to
minimize the burden of collection of information to those who are to
respond, including through use of appropriate automated, electronic,
mechanical or other technological collection techniques or other form
of information technology. Comments on the information collection
should be sent to the Office of Information and Regulatory Affairs,
Office of Management and Budget, Room 10202, New Executive Office
Building, Washington, DC 20503. Attention: Desk Officer for USDA/FAS.
Comments on the issues covered by the Paperwork Reduction Act should be
submitted no later than 60 days from the date of publication to be
assured of consideration.
Section 913(b)(1) of Pub. L. 106-78 (the Agriculture, Rural
Development, Food and Drug Administration, and Related Agencies
Appropriations Act, 2000) requires that the Secretary implement a
streamlined electronic system for collecting export sales and shipments
data, in the least intrusive manner possible, for fresh or frozen
muscle cuts of meat food products, and develop a data-reporting program
to disseminate summary information in a timely manner. The adoption of
electronic collection techniques should
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facilitate information collection and reduce the annual reporting
burden. The Department is working on developing electronic reporting
forms for submission of information on fresh, chilled, or frozen muscle
cuts of beef and pork products covered by this proposed rule. Prior to
implementing electronic reporting, the Department would request OMB
approval of the electronic forms developed and issue a Federal Register
notice soliciting public comments. All comments will be considered in
developing the final rule, and will also become a matter of public
record.
Background
Authority
Section 602 of the Agricultural Trade Act of 1978, as amended,
requires the weekly reporting of information pertaining to the contract
for export sale of certain specified agricultural commodities and other
commodities that may be designated by the Secretary. Individual weekly
reports submitted shall remain confidential in accordance with
Sec. 602, and shall be compiled and published in compilation form each
week following the week of reporting. Any person who knowingly fails to
make a report shall be fined not more than $25,000 or imprisoned for
not more than 1 year, or both. Regulations at 7 CFR part 20 implement
the weekly reporting requirements, and prescribe a system for reporting
information pertaining to contracts for export sales. Appendix 1 to the
Regulation lists all commodities that are subject to the export sales
reporting requirements.
Proposed Export Sales Reporting Requirement for Meat
An Advance Notice of Proposed Rulemaking (ANPR) was published on
November 14, 1996 (61 FR 58343-58345) requesting public comments on a
proposal to amend 7 CFR part 20 to require weekly export sales
reporting for meat and meat products. In response to the ANPR, public
comments were received from 57 entities, including firms, trade
associations, and individuals. The majority of the comments (36) were
from the domestic poultry industry which, with the exception of one
commentor, opposed reporting. The poultry industry's opposition was
based on the high degree of vertical integration in the industry, the
widespread use of grower contracts, and concerns about possible
disclosure of sensitive proprietary business information related to
market price and buyer identification. Comments received from beef and
pork producers supported more timely reporting and release of export
data. Export sales were viewed as an important indicator of future
demand for cattle and hogs that meet beef and pork export
specifications, and certain commentors favored reporting of contract
sales prices. Other commentors recommended collection of information on
aggregate export sales of selected categories of meat and meat
products. One commentor recommended that monthly outstanding export
sales for 6 months forward be updated weekly. Certain processors and
packers commented that reporting of export sales data would not be as
great a benefit to producers as collecting export data by country of
destination from export inspection certificates on broad categories of
meat. Most commentors opposed disclosure of information on sales
contract prices because of market sensitivity.
Subsequent to the ANPR, 921 of Pub. L. 106-78 amended 602(a)(1) of
the Agricultural Trade Act of 1978 (7 U.S.C. 5712(a)(1)) by adding
``beef'' to the list of specified commodities for which all exporters
shall report weekly export sales reporting information. The proposed
rule would provide that beef reporting under 602 of the Agricultural
Trade Act of 1978, as amended, be limited to fresh, chilled, or frozen
muscle cuts of beef. This information would provide key market data to
producers on meat cuts which constitute the bulk of U.S. exports and
provide relevant foreign market demand information. Limiting reporting
to muscle cuts would impose the least burdensome level of reporting on
exporters while achieving the objectives of the export sales reporting
requirements program.
As stated above, 913(b)(1) of Pub. L. 106-78 requires that the
Secretary also implement a streamlined electronic system for collecting
export sales and shipments data, in the least intrusive manner
possible, for fresh or frozen muscle cuts of meat food products, and
develop a data-reporting program to disseminate summary information in
a timely manner. This proposed rule would include the reporting of
fresh, chilled, and frozen muscle cuts of meat required by 913(b)(1) of
Pub. L. 106-78 under 7 CFR part 20. Under this regulation, data related
to the quantity, destination, and marketing year of shipments are
collected and released on a weekly basis reflecting the ``outstanding
commitments'' of the specified commodities for export. New outstanding
quantities are established each week by adding the new export sales
activity to the previous outstanding balances and subtracting the
current week's shipments plus downward contract adjustments. Although
this is not the official U.S. trade data, it is widely used as an early
indicator of export activity and is available the week following the
week of reporting. The addition of fresh, chilled, or frozen muscle
cuts of beef and pork to the reporting program would provide the
livestock sector with quality up-to-date information that should result
in more accurate evaluations of changing market conditions. These
timely reports would benefit the private sector as well as the
Department in making economic decisions and forecasts on the flow of
these U.S. agricultural commodities in domestic and export markets.
The proposed rule would not require reporting information for meats
other than beef and pork. Reporting pertaining to pork, which together
with the requirement pertaining to beef, would constitute the most
valuable information regarding meat export sales activity.
Lists of Subjects in 7 CFR Part 20
Agricultural commodities, Exports, Reporting.
Proposed Rule
Accordingly, it is proposed to amend 7 CFR part 20, Export Sales
Reporting Requirements as follows:
1. The authority citation for part 20 continues to read as follows:
Authority: 7 U.S.C. 5712.
2. Amend Appendix 1 to add the following lines, under the indicated
column headings, after the line for ``Cattle, calf, and kip, wet
blues--splits, excluding grain splits.'':
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Appendix 1 to Part 20.--Commodities Subject to Reporting, Units of Measure To Be Used in Reporting, and
Beginning and Ending Dates of Marketing Years
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Units of measure to be Beginning of marketing
Commodity to be reported used in reporting year End of marketing year
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* * * * * *
*
Beef, fresh, chilled or Metric tons............... Jan. 1.................... Dec. 31.
frozen: muscle cuts of beef.
Pork, fresh chilled or Metric tons............... Jan. 1.................... Dec. 31.
frozen: muscle cuts of pork.
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Signed at Washington, D.C. on February 28, 2000.
Timothy J. Galvin,
Administrator, Foreign Agricultural Service.
[FR Doc. 00-5162 Filed 3-2-00; 8:45 am]
BILLING CODE 3410-10-P
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