AMS to Hold Referendum on Replacing the Existing Honey Research/Promotion Order with New Order
On March 3, 2008, the Agricultural Marketing Service issued a final rule establishing the procedures it will use in conducting a referendum on whether to replace the existing Honey Research, Promotion, and Consumer Information Order with the proposed Honey Packers and Importers Research, Promotion, Consumer Education and Industry Information Order. The voting period for the referendum will be from April 2-16, 2008.
Sign up for a free preview to unlock the rest of this article
Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!
Also on March 3, 2008, AMS issued a proposed rule on the proposed honey order under consideration in the referendum, which AMS sources confirm is substantially the same as the proposed honey order of June 4, 2007 (with the addition of comments AMS received on the June 4, 2007 proposed order and certain unsubstantial changes).
Highlights of Proposed Honey Order Under Consideration in the Referendum
The following are highlights of the proposed honey order under consideration in the referendum:
assessments would be paid by importers1 and first handlers2 of honey or honey products instead of producers and importers of such products;
the number of entities assessed under the proposed order would be around 75, compared to the 2,700 presently under the current order;
the assessment charged each first handler and importer would continue at the rate of $0.01 per pound of honey or honey products handled or imported, but the Board would be able to recommend certain increases or decreases;
first handlers and importers would be required to file specific reports and maintain records which AMS has previously stated are less "broad" than the current order;
the definition of ''honey products'' would be expanded to state that a product shall be considered to have honey as a principle ingredient if the product contains at least 50% honey by weight.
(See ITT's Online Archives or 06/11/07 news, 07061115, for BP summary of the June 4, 2007 proposed honey order.)
Highlights of the Referendum Procedures
Highlights of the procedures to be followed in the referendum are as follows (partial list):
Eligibility to vote. To be eligible to vote, importers and first handlers must have imported or handled 250,000 or more pounds of honey or honey products during the representative period from January 1, 2007 through December 31, 2007. (According to AMS, there are approximately 45 first handlers and 30 importers of honey and honey products who would be subject to the program and are eligible to vote.)
Ballots must be returned by April 16, 2008. Ballots will be mailed to all known first handlers and importers of honey or honey products on or before April 2, 2008. Ballots must be received by the referendum agents no later than the close of business (Eastern time) on April 16, 2008, to be counted.
Proposed Order to be Implemented if Approved by Majority
AMS states that the proposed honey order will be implemented if it is approved by a majority of the first handlers and importers voting in the referendum (which also represent a majority of the volume of honey and honey products handled and imported during the representative period).
AMS sources state that they will publish the results of the honey order referendum in a press release, before issuing the final rule.
1The proposed order would define ''importer'' as any person who imports honey or honey products from outside the U.S. for sale in the U.S. as a principal or as an agent, broker, or consignee for any person. An importer is also listed in the import records as the importer of record for such honey or honey products with U.S. Customs and Border Protection (CBP).
2The proposed order would define first handler as the first person who handles honey or honey products, including a producer who handles his/her own production. Handling would be defined as processing, packaging, selling, transporting, purchasing, or in any other way placing or causing honey or honey products to be placed in commerce.
AMS contact - Kathie Notoro (202) 720-9915
AMS final rule on referendum procedures (D/N AMS-FV-06-0176; FV-03-704-FR-2B, FR Pub 03/03/08) available at http://a257.g.akamaitech.net/7/257/2422/01jan20081800/edocket.access.gpo.gov/2008/pdf/08-899.pdf
AMS proposed rule on honey order (D/N AMS-FV-06-0176; FV-03-704-FR-2A, FR Pub 03/03/08) available at http://a257.g.akamaitech.net/7/257/2422/01jan20081800/edocket.access.gpo.gov/2008/pdf/08-900.pdf