Cargo Systems Messaging Service

CSMS #50141844 - USDA AMS Updates to Trade on Imported Pecans and Imported Christmas Trees

The United States Department of Agriculture (USDA) is reaching out to pecan importers to provide information regarding the Pecan Promotion, Research, and Information Order, 7 CFR 1223, (Order) and the American Pecan Promotion Board (APPB), which administers the program.

The Order became effective on February 12, 2021, which established a research and promotion program whose mission is to share the benefits of pecans with consumers through promotion, public relations, and education, while engaging in research to better serve customers and producers. The Secretary of Agriculture recently appointed 10 domestic producers and 7 importer members to the APPB who will guide these market-enhancing activities designed to increase demand for pecans. USDA is charged with oversight of this program to ensure its fiscal accountability and integrity. In accordance with the Federal Act, 7 U.S.C. 7411-7425, and Order:

• Importers who import 50,000 pounds or more of inshell pecans (25,000 pounds or more of shelled pecans), on average for four fiscal periods are required to pay the assessment.

• APPB assessment rates are $0.02 per pound on all inshell pecans and $0.04 per pound on all shelled pecans.

• Assessments for most R&P programs are collected by U.S. Customs and Border Protection, however the automatic collection for imported pecans has not yet been established. The importer must submit the First Handler/Importer Report form every month along with a payment for assessments.

• Assessments are due 10 calendar days after the end of the previous month. For example, November assessments are due by December 10. Due to complexities in starting this program, October 2021 assessments are due as soon as possible, but no later than December 10, 2021.

• Importers seeking a de minimis exemption must submit annually the Application for Exemption from Assessment and the appropriate documentation to the APPB. Importers must import on average for four fiscal periods, less than 50,000 pounds of inshell pecans (25,000 pounds of shelled pecans).

• Importers seeking an organic exemption must submit annually the Organic Exemption Request Form (AMS-15) and the appropriate documentation to APPB.

Records must be maintained for three years beyond the fiscal period of their applicability and are subject to inspection. Failure to pay assessments and file reports will result in penalties. For updates and to download forms, visit this website: https://www.ams.usda.gov/rules-regulations/research-promotion/pecan.

If you have questions regarding the APPB or assessments, please contact Maggie Pepper at mpepper@armstrongbackus.com or (325) 653-6854 or Alex Caryl at Alexandra.Caryl@usda.gov or (202) 253-4768.

Updates to Imported Fresh Christmas Trees under the Christmas Tree Promotion Board Checkoff

The Christmas Tree Promotion Board is providing the following information to improve accuracy and knowledge of the importation of Christmas trees. This will hopefully correct any misunderstanding on the assignment of HTS codes for Christmas trees.

What are the three Christmas Tree HTS codes?

• 0604.20.0020 – Evergreen Christmas Trees: Douglas Fir

• 0604.20.0040 - Evergreen Christmas Trees: Fir except Douglas Fir

• 0604.20.0060 - Evergreen Christmas Trees: Other

These codes should NOT be used for fresh wreaths and boughs (“brush”), as well as other products that are not Christmas trees. Please make corrections if Christmas tree loads are identified with improper codes.

What is the Christmas Tree Promotion Board Checkoff?

• The Christmas Tree Promotion Board (CTPB) is a mandatory Research and Promotion Program authorized under U.S. law that took effect in 2014.

• It is administered by the CTPB with oversight by the U.S. Department of Agriculture.

• Under the Checkoff, assessments are paid by domestic Christmas tree producers, as well as importers.

How is the assessment collected from importers?

• Assessments for most R&P programs are collected by U.S. Customs and Border Protection, however the automatic collection for imported Christmas trees has not yet been established, so the importer pays the CTPB directly.

• The CTPB depends on US Customs reports after the shipping season to determine how many fresh Christmas trees are imported and to identify the “Importer of Record;” the responsible party for paying the assessment.

Who can I contact?

• For more information, please contact Marsha Gray with the Christmas Tree Promotion Board at 800-985-0773, or via email at marsha@christmastreepromotionboard.org.

Commodity Promotion, Research and Information Act of 1996 (7 U.S.C. 7411-7425).

Christmas Tree Promotion, Research and Industry Information Order (7 CFR Part 1214).