[Code of Federal Regulations]
[Title 7, Volume 8]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR989]

[Page 626-627]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER IX--AGRICULTURAL MARKETING SERVICE (Marketing Agreements and 
      Orders; Fruits, Vegetables, Nuts), DEPARTMENT OF AGRICULTURE
 
PART 989_RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA--Table of
 
                    Subpart_Order Regulating Handling
 
Sec.  989.56  Raisin diversion program.

    (a) Announcement of program. On or before November 30 of each crop 
year, the committee shall hold a meeting to review production data, 
supply data, demand data, including anticipated demand to all potential 
market outlets, desirable carryout inventory, and other matters relating 
to the quantity of raisins of all varietal types. When the committee 
determines that raisins exist in the reserve pool in excess of projected 
market needs for any varietal type, it may announce the amount of such 
tonnage eligible for diversion during the subsequent crop year. At the 
same time, the committee shall determine and announce to producers, 
handlers, and the cooperative bargaining association(s) the allowable 
harvest cost to be applicable to such diversion tonnage. A production 
cap of 2.75 tons of raisins per acre shall be established for any 
production unit approved for participation in a diversion program. The 
committee, with the approval of the Secretary, may recommend, at the 
same time that the diversion tonnage for that season is announced, a 
change in the production cap for that season's diversion program of less 
than 2.75 tons per acre for any production unit approved for the 
diversion program.
    (b) Voluntary diversion. No producer shall be required to 
participate in any raisin diversion program.
    (c) Issuance of diversion certificates. After the committee 
announces a raisin diversion program, any producer may divert grapes of 
the producer's own production and receive from the committee a diversion 
certificate in accordance with the applicable rules and regulations. 
Such certificates may only be submitted by producers to handlers in 
accordance with applicable rules and regulations. Diversion certificates 
issued by the committee shall apply to a specific production unit and 
shall be equal to the creditable fruit weight, not to exceed the 
production cap established pursuant to paragraph (a) of this section, of 
such raisins produced on such unit during the prior crop year or the 
last prior crop year eligible for such diversion: Provided, That in the 
case of a production unit, or partial production unit, removed from 
production through vine removal or other means established by the 
committee, the committee may issue a diversion certificate in an amount 
greater than the creditable fruit weight of the raisins produced therein 
or the production cap applicable.
    (d) Redemption of diversion certificates. Handlers may redeem 
diversion certificates for reserve pool raisins. To redeem a 
certificate, a handler must present the diversion certificate to the 
Committee and pay the Committee an amount equal to the harvest cost it 
has established, plus an amount equal to the payment for receiving, 
storing, fumigating, handling, and inspecting reserve tonnage raisins 
specified in Sec.  989.401 for the entire tonnage represented on the 
certificate. Upon receipt of the diversion certificate, the Committee 
shall note on the certificate that it is cancelled.
    (e) Implementation of the program. The Committee shall establish, 
with the approval of the Secretary, such rules and regulations as may be 
necessary for the implementation and operation of a raisin diversion 
program.

[50 FR 1831, Jan. 14, 1985, as amended at 50 FR 40477, Oct. 4, 1985; 54 
FR 34137, Aug. 18, 1989]

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                      Grade and Condition Standards