Importation of Live Swine, Swine Semen, Pork, and Pork Products From the Czech Republic, Latvia, Lithuania, and Poland, 6490-6499 [E7-2327]
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6490
Proposed Rules
Federal Register
Vol. 72, No. 28
Monday, February 12, 2007
This section of the FEDERAL REGISTER
contains notices to the public of the proposed
issuance of rules and regulations. The
purpose of these notices is to give interested
persons an opportunity to participate in the
rule making prior to the adoption of the final
rules.
DEPARTMENT OF AGRICULTURE
Animal and Plant Health Inspection
Service
9 CFR Parts 92, 93, 94, and 98
[Docket No. APHIS–2006–0106]
RIN 0579–AC33
Importation of Live Swine, Swine
Semen, Pork, and Pork Products From
the Czech Republic, Latvia, Lithuania,
and Poland
Animal and Plant Health
Inspection Service, USDA.
ACTION: Proposed rule.
AGENCY:
SUMMARY: We are proposing to amend
the regulations governing the
importation of animals and animal
products to add the Czech Republic,
Latvia, Lithuania, and Poland to the
region of the European Union that we
recognize as low risk for classical swine
fever (CSF). We are also proposing to
add the Czech Republic, Latvia,
Lithuania, and Poland to the list of
regions we consider free from swine
vesicular disease (SVD) and to add
Latvia and Lithuania to the list of
regions considered free from foot-andmouth disease (FMD) and rinderpest.
These proposed actions would relieve
some restrictions on the importation
into the United States of certain animals
and animal products from those regions,
while continuing to protect against the
introduction of CSF, SVD, and FMD,
and rinderpest into the United States.
DATES: We will consider all comments
that we receive on or before April 13,
2007.
You may submit comments
by either of the following methods:
Federal eRulemaking Portal: Go to
https://www.regulations.gov, select
‘‘Animal and Plant Health Inspection
Service’’ from the agency drop-down
menu, then click ‘‘Submit.’’ In the
Docket ID column, select APHIS–2006–
0106 to submit or view public
comments and to view supporting and
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ADDRESSES:
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related materials available
electronically. Information on using
Regulations.gov, including instructions
for accessing documents, submitting
comments, and viewing the docket after
the close of the comment period, is
available through the site’s ‘‘User Tips’’
link.
• Postal Mail/Commercial Delivery:
Please send four copies of your
comment (an original and three copies)
to Docket No. APHIS–2006–0106,
Regulatory Analysis and Development,
PPD, APHIS, Station 3A–03.8, 4700
River Road Unit 118, Riverdale, MD
20737–1238. Please state that your
comment refers to Docket No. APHIS–
2006–0106.
Reading Room: You may read any
comments that we receive on this
docket in our reading room. The reading
room is located in room 1141 of the
USDA South Building, 14th Street and
Independence Avenue SW.,
Washington, DC. Normal reading room
hours are 8 a.m. to 4:30 p.m., Monday
through Friday, except holidays. To be
sure someone is there to help you,
please call (202) 690–2817 before
coming.
Other Information: Additional
information about APHIS and its
programs is available on the Internet at
https://www.aphis.usda.gov.
FOR FURTHER INFORMATION CONTACT: Dr.
Kelly Rhodes, Regionalization and
Evaluation Services, Import, Sanitary
Trade Issues Team, National Center for
Import and Export, VS, APHIS, 4700
River Road Unit 38, Riverdale, MD
20737–1231; (301) 734–4356.
SUPPLEMENTARY INFORMATION:
Background
The Animal and Plant Health
Inspection Service (APHIS) of the
United States Department of Agriculture
(USDA) regulates the importation of
animals and animal products into the
United States to guard against the
introduction of animal diseases not
currently present or prevalent in this
country. The regulations in 9 CFR part
94 (referred to below as the regulations)
prohibit or restrict the importation of
specified animals and animal products
to prevent the introduction into the
United States of various animal
diseases, including classical swine fever
(CSF), foot-and-mouth disease (FMD),
and swine vesicular disease (SVD).
These are dangerous and destructive
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communicable diseases of ruminants
and swine.
In a final rule published in the
Federal Register on May 19, 2006 (71
FR 29061–29072, Docket No. 02–046–2),
we amended the regulations to
recognize a region consisting of the 15
Member States of the European Union
(EU) that comprised the EU as of April
30, 2004 (the EU–15), as a single region
of low risk for CSF. The EU–15 consists
of those Member States that we had
recognized as a single region regarding
CSF in a final rule published in the
Federal Register on April 7, 2003 (68 FR
16922–16941, Docket No. 98–090–5),
plus additional Member States. The May
19, 2006, final rule established a
uniform set of importation requirements
related to CSF for the EU–15.
Sections 94.9 and 94.10 of the
regulations list regions of the world that
are declared free of or low-risk for CSF.
The EU–15 is currently the only region
considered low-risk for CSF; §§ 94.24
and 98.38 specify restrictions necessary
to mitigate the risk of introducing CSF
into the United States via pork, pork
products, live swine, and swine semen
from the EU–15.
Section 94.12 of the regulations lists
regions that are declared free of SVD.
Section 94.13 of the regulations lists
regions that have been determined to be
free of SVD, but that are subject to
certain restrictions because of their
proximity to or trading relationships
with SVD-affected regions.
Section 94.1 of the regulations lists
regions of the world that are declared
free of rinderpest or free of both
rinderpest and FMD. Section 94.11 of
the regulations lists regions that have
been determined to be free of rinderpest
and FMD, but that are subject to certain
restrictions because of their proximity to
or trading relationships with rinderpestor FMD-affected regions.
On May 1, 2004, the Czech Republic,
Latvia, Lithuania, and Poland, along
with six other countries, became new
Member States of the EU. As part of the
accession process, these new EU
Member States adopted the legislation
of the European Commission (EC) 1
regarding animal health, welfare, and
identification, including legislation
1 The EC is the EU institution responsible for
representing the EU as a whole. It proposes
legislation, policies, and programs of acton and
implements decisions of the EU Parliament and
Council.
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pertaining to CSF, FMD, and SVD. This
legislation became the basis for new
standard operating procedures for
domestic animal health matters in the
Czech Republic, Latvia, Lithuania, and
Poland by the time of their accession.
The Czech Republic, Latvia, Lithuania,
and Poland also adopted the
harmonized EC legislation regarding
sanitary measures applicable to import
and trade in live animals and animal
products.
In 2003, the Governments of
Lithuania and Poland requested that
APHIS evaluate their animal health
status with respect to CSF and SVD and
provided information in support of
these requests in accordance with 9 CFR
part 92, ‘‘Importation of Animals and
Animal Products; Procedures for
Requesting Recognition of Regions.’’ In
addition, the Government of Lithuania
requested that APHIS evaluate
Lithuania’s animal health status with
respect to FMD. In 2004 and 2005, the
Governments of Latvia and the Czech
Republic also requested that APHIS
evaluate their animal health status with
respect to CSF and SVD. In addition, the
Government of Latvia requested that
APHIS evaluate Latvia’s animal health
status with respect to FMD. Because
rinderpest has not been diagnosed in
Latvia since 1921 and has never been
reported in Lithuania, we are proposing
to recognize these countries as free of
rinderpest.
As part of our evaluation of their
disease status, APHIS identified the
smallest administrative units (AUs)
within each of these EU Member States
that we would consider ‘‘regions’’ in the
event of future animal disease
outbreaks. See the discussion of those
AUs under the section entitled
‘‘Administrative Units.’’
Our determinations concerning these
requests with regard to CSF and SVD in
the Czech Republic, Latvia, Lithuania,
and Poland, and FMD in Latvia and
Lithuania are set forth below.
Summary of Proposed Changes
In this document, we are proposing to
add the Czech Republic, Latvia,
Lithuania, and Poland to the region of
the EU (currently referred to in the
regulations as the EU–15) that we
currently recognize as a low-risk region
for CSF and from which breeding swine,
swine semen, and pork and pork
products may be imported into the
United States under certain conditions.
In order to provide flexibility in the
event that additional Member States
may be added to this region in the
future, we would amend the regulations
to refer to this region as the ‘‘APHISdefined EU CSF region.’’
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We are also proposing to add the
Czech Republic, Latvia, Lithuania, and
Poland to the list of regions recognized
as free of SVD, and to the list of SVDfree regions whose exports of pork and
pork products to the United States are
subject to certain restrictions to prevent
the introduction of SVD into this
country.
Additionally, we are proposing to add
Latvia and Lithuania to the list of
regions recognized as free of FMD and
rinderpest. We are also proposing to add
Latvia and Lithuania to the list of FMD
and rinderpest-free regions whose
exports of ruminant and swine meat and
products to the United States are subject
to certain restrictions to prevent the
introduction of FMD and rinderpest into
this country.
Risk Analyses
APHIS conducted risk analyses to
examine the risk of introducing CSF or
SVD from the importation of swine and
swine products from the Czech
Republic, Latvia, Lithuania, and Poland
and the risk of introducing FMD from
the importation of swine, ruminants,
and swine and ruminant products from
Latvia and Lithuania. These risk
analyses were completed early in 2006
and may be viewed on the
Regulations.gov Web site or in our
reading room. (Instructions for accessing
Regulations.gov and information on the
location and hours of the reading room
are provided under the heading
ADDRESSES at the beginning of this
proposed rule.) The risk analyses may
also be viewed at https://
www.aphis.usda.gov/vs/ncie/regrequest.html by following the link for
‘‘Information previously submitted by
Regions requesting export approval and
their supporting documentation.’’ In the
following paragraphs, we summarize
our findings for each of the 11 factors
set out in our procedures for requesting
recognition of regions in 9 CFR 92.2 and
summarize our risk considerations of
these findings following our discussion
of the factors.
Authority, Organization, and Veterinary
Infrastructure
As stated above, the Czech Republic,
Latvia, Lithuania, and Poland adopted
the legislation of the EC regarding
animal health, welfare, and
identification, as well as sanitary
measures applicable to import and trade
in live animals and animal products. At
the time of accession, Commission
Decisions and Regulations concerning
CSF, SVD, and FMD became directly
applicable in the new EU Member
States, whereas Council Directives were
implemented in national legislation.
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During APHIS site visits, it appeared
that official veterinarians of each
country were familiar with and able to
effectively implement the provisions of
pertinent EC and national legislation.
APHIS concluded that the official
veterinary services of these new EU
Member States have sufficient legal
authority, personnel, and financial
resources to carry out animal health
activities quickly and efficiently.
Regular training is conducted for official
veterinarians. In addition, all offices
visited by APHIS site visit teams were
generally in good condition, with some
undergoing renovations, and were
outfitted with computers with both
Internet and Intranet connections. The
official veterinary services are
hierarchically organized and appear to
have clear lines of command and
reporting, with sufficient autonomy at
the local level to carry out the tasks
assigned. Internal and external auditing
practices are adequate to ensure
compliance with the provisions of
pertinent animal health legislation.
Disease History
CSF: CSF was last reported in
domestic swine in the Czech Republic
in 1997, in Latvia in 1996, in Lithuania
in 1992, and in Poland in 1994. No CSF
outbreaks have occurred in wild boar in
recent years in Latvia, Lithuania, or
Poland. CSF virus was last detected in
wild boar in the Czech Republic in
November 1999. Serologic surveillance
indicates that the virus is present in
segments of the wild boar population in
the Czech Republic along its borders
with Austria and Slovakia, albeit at very
low and decreasing levels.
In addition, veterinary officials
indicated that most small swine
producers keep pigs indoors, which
limits potential exposure to CSF in wild
boar populations, and that most of the
larger farms are confinement operations
with restricted access. Biosecurity
practices on large swine confinement
operations, from which exports to the
United States from the Czech Republic
would most likely be derived, are
sufficient to prevent direct or indirect
exposure of domestic swine to wild
boar.
SVD: SVD has never been reported in
the Czech Republic, Latvia, or
Lithuania. The last reported case of SVD
in Poland occurred in 1972 in domestic
swine (SVD has never been reported in
wild boar in Poland).
FMD: FMD was last reported in Latvia
and Lithuania in 1987 and 1982,
respectively.
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Disease Status of Adjacent Regions
CSF: Latvia, Lithuania, and Poland all
share land borders with non-EU
countries that APHIS considers affected
with CSF, namely Russia, Belarus, and/
or Ukraine. (APHIS considers all
countries affected until the disease
status of a specific country is evaluated
at the request of that foreign country
and we determine otherwise. The
governments of Russia, Belarus, and
Ukraine have not requested such
evaluation.) Belarus last reported a CSF
outbreak in August 1995 and Ukraine in
July 2001; CSF is endemic in parts of
Russia and outbreaks continue to occur.
The Czech Republic and Poland also
border other EU Member States such as
Germany, Estonia, and Slovakia.
Germany is part of the EU region that
APHIS considers low risk for CSF under
§§ 94.9 and 94.10, but CSF is endemic
in segments of its wild boar population.
CSF is also endemic in wild boar in
regions of Slovakia that border the
Czech Republic. APHIS is currently
evaluating the CSF status of Slovakia
and Estonia (which borders Latvia).
Due to the proximity of affected or
potentially affected regions, the risk
analyses concluded that the potential
exists for introduction of CSF into the
Czech Republic, Latvia, Lithuania, or
Poland via wild boar, incoming
vehicular or human traffic, smuggled
swine products, or other routes
discussed below.
SVD: APHIS considers SVD to exist in
Russia, Belarus, and Ukraine since we
have not evaluated their status with
regard to this disease. However, SVD
has never been reported in Russia or
Belarus, and was last reported in
Ukraine in 1977. The Czech Republic,
Latvia, and Poland each border either
Slovakia or Estonia, which APHIS is
currently evaluating for SVD status, but
which have never reported an SVD
outbreak. The Czech Republic, Latvia,
Lithuania, and Poland also share
borders with one another, with each
bordering at least one of the other three.
The risk analyses concluded that the
likelihood of introduction of SVD into
these four Member States from
neighboring regions is low.
FMD: Latvia and Lithuania border
Russia and Belarus, which APHIS does
not consider free of FMD. Belarus last
reported an FMD outbreak in 1982;
sporadic FMD outbreaks continue to
occur in Russia. Latvia and Lithuania
also border each other. Due to the
proximity of affected or potentially
affected regions, the risk analyses
concluded that the potential exists for
introduction of FMD into Latvia or
Lithuania via wild animals, incoming
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vehicular or human traffic, smuggled
animal products, or other routes
discussed below.
Degree of Separation From Adjacent
Regions
The Czech Republic is entirely
surrounded by other EU Member States.
In addition, although parts of Latvia,
Lithuania, and Poland border the Baltic
Sea, they are not separated from regions
of higher risk by a uniform physical
barrier, therefore few impediments exist
to introduction of CSF, SVD, or FMD via
natural movement of wild animals or
human traffic.
The primary wild animals within
these four EU Member States and
neighboring countries that are
susceptible to CSF and SVD are wild
boar. In addition, wild boar and
ruminants such as deer are also
susceptible to FMD. These species are
not considered to be migratory in
nature, but individual animals are
known to travel substantial distances in
search of food, during mating season, or
in response to hunting or other habitat
disruptions.
Extent of an Active Disease Control
Program
None of the four countries have active
disease control programs in place for
CSF or SVD, and Latvia and Lithuania
do not have active disease control
programs in place for FMD, since these
diseases have not been reported for
many years. Surveillance for these
diseases is discussed in more detail
below.
Vaccination
The last vaccination against CSF
occurred in the Czech Republic in 1992,
in Latvia in 1998, in Lithuania in 2000,
and in Poland in 1996. Vaccination
against CSF is now prohibited in all four
countries, although official contingency
plans allow for emergency vaccination
against CSF. None of these countries has
ever vaccinated against SVD and such
vaccination is also now prohibited. In
addition, vaccination against FMD is
prohibited in Latvia and Lithuania,
although as with CSF, the official
contingency plans for FMD for both
countries allow for emergency
vaccination if sanctioned by the EC.
Movement Control From Higher Risk
Regions
Some forms of CSF, SVD, and FMD
are difficult to detect in live animals or
on post-mortem examination without
laboratory testing, and in some
instances detection may be delayed due
to deficiencies in active surveillance or
diagnostic testing capabilities. Any such
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delay in detection of an outbreak could
increase the export risk to the United
States. Consequently, the risk analyses
examined potential pathways for
disease introduction into the Czech
Republic, Latvia, Lithuania, and Poland
such as importation and intraCommunity trade in live animals and
animal products, vehicular and human
traffic, and commodities for personal
consumption.
Import controls: Import of live
animals and animal products into the
Czech Republic, Latvia, Lithuania, and
Poland from non-EU countries occurs at
certain road, rail, air, and/or sea ports
through a border inspection post (BIP)
that has been approved by the EC. The
EC conducts a rigorous inspection of
each BIP prior to approval and carries
out regular audits to monitor the
efficacy of sanitary controls. Each BIP
visited by APHIS appeared sufficiently
able to keep up with required levels of
inspection.
Swine, ruminants, and derived
products such as meat, meat products,
and genetic material are harmonized
commodities under EC legislation,
which means that the requirements for
import from non-EU countries are
standardized across all EU Member
States. Binding EC legislation lists the
non-EU countries, and establishments
within those countries, that are
approved for export of certain
commodities to the EU.
Slaughterhouses, cutting plants, semen
collection centers, and other exporting
establishments are subject to inspection
prior to approval. Veterinary certificates
required for export to the EU outline
comprehensive animal health and
testing requirements and must be
endorsed by an official veterinarian of
the exporting country.
APHIS recognizes all of the countries
approved for export of live swine and
swine semen to the EU as free of SVD
(although some are subject to the
restrictions specified in § 94.13) and all
but Switzerland as free of CSF. APHIS
also considers these countries free of
FMD, although some are subject to the
restrictions in § 94.11. However,
although import practices in the Czech
Republic, Latvia, Lithuania, and Poland
have largely been protective with regard
to CSF, SVD, and FMD, EC legislation
allows EU Member States to import
fresh pork and pork products derived
from swine from several regions that
APHIS has not evaluated and therefore
regards as affected with these diseases.
EU Member States may also import
bovine embryos and meat and meat
products from both domestic and wild
ruminants from regions that APHIS
considers affected with FMD.
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Veterinary inspectors at the entry BIP
check that the documentation
accompanying imported commodities is
in order, including appropriate health
certificates and other movement control
documents, and that the shipment is
properly identified and the
identification matches the
documentation. Veterinary inspectors
also physically examine and sample a
percentage of incoming shipments as
prescribed by EC legislation.
The risk analyses concluded EC
legislation imposes less stringent
restrictions on sourcing of imported
ruminants and swine than do APHIS
requirements, resulting in some risk of
introducing CSF, SVD, or FMD into the
Czech Republic, Latvia, Lithuania,
Poland, or other EU Member States via
imported animals or animal products.
However, this risk is substantially
mitigated by factors such as veterinary
inspection of live animals prior to
shipment, approval of establishments
for export of animal products,
certification of disease status by an
official veterinarian, and veterinary
inspection at the point of entry into the
EU.
Trade controls: As EU Member States,
the Czech Republic, Latvia, Lithuania,
and Poland may engage in intraCommunity trade with other Member
States as governed by EC legislation that
was transposed into national legislation
prior to accession. Live animals and
animal products must be accompanied
by an appropriate health certificate
signed by an official veterinarian of the
country of origin. Intra-Community
trade in swine and swine products,
including semen and embryos, from
CSF or SVD affected regions of EU
Member States is prohibited. There are
no trade restrictions based on FMD
since there are currently no outbreaks
reported in the EU.
Establishments such as
slaughterhouses, cutting plants, milk
processing plants, and semen collection
centers must be approved by the
Member State in which they reside
according to criteria similar to those for
exporting establishments in non-EU
countries. The EC and the official
veterinary services of the Member State
conduct periodic audits to monitor
compliance with approval criteria and
certification requirements. The risk
analyses concluded that the likelihood
of introducing SVD or FMD via intraCommunity trade was low and,
although the likelihood of introducing
CSF was slightly higher, this risk was
largely mitigated by the factors
described above.
Veterinary control of passenger traffic:
In the Czech Republic, Latvia,
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Lithuania, and Poland, the majority of
border crossings from non-EU countries
are controlled by the Customs Service,
without official veterinary control.
Posters are prominently displayed at
border crossings to promote public
awareness of prohibited meat, milk, and
meat and milk products. However, the
EC permits personal consignments of
products that could carry live CSF, SVD,
and/or FMD virus from countries that
APHIS has not evaluated and regards as
affected with these diseases. In some
instances, there is considerable local
passenger and commercial traffic to and
from neighboring non-EU countries that
APHIS does not consider free of CSF,
SVD, and/or FMD. Veterinary officials
indicated that individuals attempting to
cross the border with agricultural
products at a checkpoint without
veterinary inspection are redirected to a
BIP or the products are confiscated.
However, the percentage of incoming
traffic that is inspected for prohibited
agricultural commodities varies among
border crossings. The risk analyses
concluded that, although the likelihood
of introduction of such commodities by
this route is relatively high, existing
production and biosecurity measures
substantially reduce the associated
export risk to the United States.
Livestock Demographics
As stated above, the Czech Republic,
Latvia, Lithuania, and Poland have
adopted the EC legislation with regard
to animal identification. Each country
has in place or is implementing herd
registration and animal identification
plans for ruminants and swine that
include movement tracking through a
central computerized database. Health
certificates and/or a movement
authorization form are required for
internal movement of ruminants and
swine.
Small swine holdings predominate in
each of these countries, and there is
considerable overlap in distribution
with wild boar, although veterinary
authorities indicated that the majority of
pigs are raised indoors. Production and
slaughter systems in each country are
such that large confinement operations
(up to 30,000 pigs) are the most likely
source of swine and swine products for
export. APHIS site visit teams noted
biosecurity measures on the
confinement operations that would
effectively prevent direct or indirect
contact with wild boar, and limit the
likelihood of CSF, SVD, or FMD
introduction by other routes. The risk
analyses concluded that commercial
production and biosecurity practices in
these countries serve to mitigate
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potential export risk to the United
States.
Cattle are distributed throughout
Latvia and Lithuania; agriculture in
these two countries has traditionally
included dairy-beef husbandry. There
are few sheep or goats and these are
generally distributed in small numbers
on individual farms. Biosecurity
measures on ruminant operations are
generally not sufficient to prevent direct
and/or indirect contact with wildlife or
contact with live virus on clothing or
vehicles. However, exports to the
United States will likely be derived
from the larger cattle operations, which
are closely monitored by the official
veterinary services.
Disease Surveillance
CSF: The Czech Republic, Latvia,
Lithuania, and Poland all have national
surveillance programs in place for CSF
in domestic swine and wild boar. Active
surveillance is primarily based on
serology for antibodies to the CSF virus,
as is common throughout the world.
Since antibodies occur late in CSF
infection, serological surveillance
would likely miss an early infection
(e.g., in the first 21 days). In each
country, training and national
simulation exercises aid in passive
surveillance for CSF by developing and
maintaining the ability to quickly detect
these diseases. Passive surveillance is
likely sufficient to detect overt clinical
signs of CSF, but detection may be
delayed in the case of moderate or low
virulence strains. In some instances,
lack of incentive for hunters to sample
wild boar and underreporting of wild
boar found dead may also hinder
detection.
SVD: The Czech Republic, Latvia,
Lithuania, and Poland each conduct
serological surveillance for SVD in
domestic swine at a considerably lower
level than for CSF, and rely more on
passive surveillance for this disease.
Consequently, detection may be delayed
in the absence of overt clinical signs,
although serological surveillance would
eventually detect the historical presence
of the disease.
FMD: Lithuania conducts serological
surveillance for FMD in cattle, domestic
swine, wild boar, and deer at a
relatively low level. Surveillance is not
routinely conducted in reservoir
populations such as sheep and goats.
Latvia conducted serological
surveillance for FMD in cattle and
domestic swine, although not small
ruminants or susceptible wild animals,
through 2003; active surveillance is no
longer conducted. Both countries rely
heavily on passive surveillance for
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FMD, which may delay detection in the
absence of overt clinical signs.
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Diagnostic Capabilities
The Czech Republic, Latvia,
Lithuania, and Poland all have
established accredited national
reference laboratories (NRL) for animal
diseases, including CSF, SVD, and FMD.
Overall, the laboratories are well
organized and equipped, with
experienced scientific and technical
staff. Standard operating procedures and
quality control measures are in place
throughout. Laboratory biosecurity
practices are adequate to prevent the
escape of live virus.
CSF: In each country, the NRL
provides a full range of diagnostic tests
for the diagnosis and confirmation of
CSF. Tests have all been validated and
include well-regarded commercial test
kits used in many countries and tests
developed in-house that are performed
using standard methodology. An APHIS
site visit team expressed concern
regarding the sensitivity of the ELISA
test used for screening for CSF in
Lithuania. Laboratory officials indicated
they are addressing this issue by
phasing in more sensitive tests for the
detection of CSF and are also working
to expand the diagnostic capabilities for
SVD and FMD. The risk analyses
concluded that an index case of CSF
would be diagnosed by these
laboratories if proper samples were
submitted.
SVD and FMD: The NRL of each
country provides a moderate spectrum
of diagnostic testing for SVD and, in
Latvia and Lithuania, for FMD as well.
The risk analyses concluded that each
NRL has the competence to make a
presumptive diagnosis of SVD or FMD;
however, diagnostic capabilities are
limited by reliance on serology, and
samples would be sent to the reference
laboratory in Pirbright, UK, for
confirmatory testing, which would
result in a slight delay in confirming an
outbreak.
Emergency Response Capacity
The Czech Republic, Latvia,
Lithuania, and Poland have contingency
plans in place and supporting
legislation to control and eradicate CSF,
SVD, and/or FMD outbreaks. These
contingency plans conform closely to
the provisions of EC legislation. The EC
has a ‘‘stamping out’’ policy with regard
to CSF, SVD, and FMD. Eradication is
carried out by compulsory destruction
of all animals on the affected premises
with burial or incineration of the
carcasses. All live animals, animal
products, and genetic material moved
off of an affected premises during the
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time between disease introduction and
detection of the outbreak must be traced
and destroyed. Additionally, protection
zones of at least a 3-kilometer radius
and surveillance zones of at least a 10kilometer radius from the affected
premises, respectively, are established,
and the movement of live animals,
animal products, and genetic material is
suspended until the restrictions are
lifted.
the Czech Republic, Latvia, Lithuania,
and Poland to the list in § 94.13 of
regions declared free of SVD whose
exports of pork and pork products are
also subject to restrictions and to add
Latvia and Lithuania to the list in
§ 94.11(a) of regions declared free of
rinderpest and FMD whose exports of
meat and other animal products to the
United States are nevertheless subject to
certain restrictions.
Release Assessment Conclusions
APHIS considers the potential for
introduction of CSF, SVD, and/or FMD
into the Czech Republic, Latvia,
Lithuania, or Poland to be greater than
the potential for the introduction of
CSF, SVD, and/or FMD from the Czech
Republic, Latvia, Lithuania and Poland
into the United States. This is due to the
fact that these countries share common
land borders with several regions APHIS
does not consider to be free of these
diseases, because they engage in free
trade with other EU Member States that
import live animals or animal
commodities from such regions, and
because, under harmonized EC
legislation, they could directly import
live swine or swine commodities from
such regions.
Following our analysis, we have
concluded that the risk profiles for the
Czech Republic, Latvia, Lithuania, and
Poland with regard to CSF are
equivalent in CSF risk to the EU–15.
The EU–15 is considered a low-risk
region for CSF in §§ 94.9 and 94.10 and
is subject to the import restrictions
specified in § 94.24 for live swine, pork,
and pork products, and § 98.38 for
swine semen. Therefore, we are
proposing to include the Czech
Republic, Latvia, Lithuania, and Poland
along with the other countries that
comprise the low-risk region for CSF
currently referred to in our regulations
as the EU–15. As noted previously, to
reflect the addition of those four
countries to that region, and to
accommodate possible future additions
to that region, we would amend the
regulations by replacing references to
the ‘‘EU–15’’ with references to the
‘‘APHIS-defined EU CSF region’’
wherever they appear in parts 93, 94,
and 98.
We are proposing to recognize the
Czech Republic, Latvia, Lithuania, and
Poland as free of SVD and to recognize
Latvia and Lithuania as free of FMD. In
addition to proposing to include the
Czech Republic, Latvia, Lithuania, and
Poland in the list in § 94.12(a) of regions
declared free of SVD, and Latvia and
Lithuania to the list in § 94.1(a)(2) of
regions declared free of both rinderpest
and FMD, we are also proposing to add
Administrative Units
On October 28, 1997, we published in
the Federal Register a final rule (62 FR
56000–56026, Docket No. 94–106–9)
and a policy statement (62 FR 56027–
56033, Docket No. 94–106–8) that
established procedures for recognizing
regions and levels of risk for the
purpose of regulating the importation of
animals and animal products. With the
establishment of those procedures,
APHIS can consider requests to allow
importations from regions based on
levels of risk, as well as to recognize
entire countries free of a disease. In
subsequent rules, we identified the
smallest administrative jurisdictions in
the EU–15 that we would use to
regionalize those Member States in the
event of future animal disease
outbreaks. As discussed in those
documents, we believe that each of
those jurisdictions is the smallest that
can be demonstrated to have effective
oversight of normal animal movements
into, out of, and within that Member
State, and that, in association with
national authorities, if necessary, has
effective control over animal
movements and animal diseases locally.
We have identified the following AUs
for each country: Czech Republicregion, Latvia-district, Lithuania-county,
Poland-district.
Further information on each AU and
why we chose it is available in the risk
analysis for each Member State. If we
receive no substantive comments
regarding our identification of AUs for
these Member States and we finalize
this proposed rule, following the
effective date of the final rule, these
AUs will be used to regionalize those
Member States in the event of future
animal disease outbreaks.
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Miscellaneous
We are also proposing to revise the
definition of European Union in § 92.1
to update its list of EU Member States.
There are currently 25 Member States of
the EU, 10 more than when that
definition was added to the regulations.
In part 92, the European Union is
referred to in § 92.3, which states:
‘‘Whenever the European Commission
(EC) establishes a quarantine for a
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disease in the European Union in a
region the Animal and Plant Health
Inspection Service recognizes as one in
which the disease is not known to exist
and the EC imposes prohibitions or
other restrictions on the movement of
animals or animal products from the
quarantined area in the European
Union, such animals and animal
products are prohibited importation into
the United States.’’ Therefore, it is
necessary to update the definition of
European Union to ensure that this
provision applies to all EU Member
States.
We are further proposing to remove
§ 94.1a, ‘‘Criteria for determining the
separate status of a territory or
possession as to rinderpest and footand-mouth disease,’’ from the
regulations. Those provisions, which
were established in 1974, were rendered
unnecessary when we added the current
provisions for the recognition of regions
in 9 CFR part 92.
Finally, in § 98.38(f), we are
proposing to remove a reference to the
Office International des Epizooties and
to refer instead to the World
Organization for Animal Health, as this
is the current, internationally
recognized name for that organization.
Executive Order 12866 and Regulatory
Flexibility Act
This proposed rule has been reviewed
under Executive Order 12866. The rule
has been determined to be not
significant for the purposes of Executive
Order 12866 and, therefore, has not
been reviewed by the Office of
Management and Budget.
We are proposing to amend the
regulations governing the importation of
animals and animal products to add the
Czech Republic, Latvia, Lithuania, and
Poland to the region of the European
Union that we recognize as low risk for
CSF. We are also proposing to add the
Czech Republic, Latvia, Lithuania, and
Poland to the list of regions we consider
free from SVD and to add Latvia and
Lithuania to the list of regions
considered free from FMD and
rinderpest.
The U.S. Swine Industry
The U.S. swine industry plays an
important role in the U.S. economy.
6495
Cash receipts from marketing meat
animals were about $15 billion in 2005
(the average between 2001 and 2005 was
$12.4 billion).2 Additionally, swine and
related product exports generated over
$2.1 billion in sales that year. Other
agricultural and nonagricultural sectors
are dependent on the swine industry for
their economic activity. At present,
international trade in U.S. livestock
proceeds without CSF or SVD related
restrictions. Maintaining such favorable
conditions depends in part on
continued aggressive efforts to prevent
transmission of foreign diseases to U.S.
swine.
As shown in table 1, U.S. pork
production increased from 7,764,000
metric tons (MT) in 1996 to 9,392,000
MT in 2005, an annual growth rate of
about 2.1 percent. Similarly,
consumption increased from 7,619 MT
to 8,671 MT. During the same period,
U.S. exports increased from 440,000 MT
to 1,207,000 MT, by far outpacing
imports. Net exports increased from
159,000 MT to 743,000 MT.
TABLE 1.—U.S. PORK PRODUCTION, CONSUMPTION, PRICE, EXPORTS, AND IMPORTS, 1996–2005
Production
(1,000 MT)
Year
1996 .........................................................
1997 .........................................................
1998 .........................................................
1999 .........................................................
2000 .........................................................
2001 .........................................................
2002 .........................................................
2003 .........................................................
2004 .........................................................
2005 .........................................................
5-year average (2001–2005) ...................
Consumption
(1,000 MT)
7,764
7,835
8,623
8,758
8,596
8,691
8,929
9,056
9,312
9,392
9,076
Price per MT
7,619
7,631
8,305
8,594
8,455
8,389
8,685
8,816
8,817
8,671
8,676
Exports
(1,000 MT)
$1,596
1,562
1,170
1,178
1,413
1,473
1,179
1,298
1,621
1,562
1,427
440
473
558
582
584
707
731
779
989
1,207
883
Imports
(1,000 MT)
281
288
320
375
438
431
486
538
499
464
484
Net exports
(1,000 MT)
159
185
238
207
146
276
245
241
490
743
399
Sources: USDA/FAS, PS&D Online, 1996–2005, https://www.fas.usda.gov/psdonline/psdquery.aspx; prices, reported as $/100 pounds for yearly
pork carcass cut-out values, are converted to dollars per metric ton, and are taken from Red Meat Yearbook (94006), https://
usda.manlib.cornell.edu/ers/94006/wholesaleprices.xls; net exports are calculated as the difference between exports and imports for each year.
jlentini on PROD1PC65 with PROPOSAL
The Swine Industry in the Czech
Republic, Latvia, Lithuania, and Poland
percent of production and export of the
above total.
The four countries (the Czech
Republic, Latvia, Lithuania, and Poland)
together produced an average of 2.522
million MT of pig meat between 2001
and 2005. They are net importers of
pork, which is the focus of this analysis.
They had a 5-year (2001–2005) average
level of pork exports of 130,030 MT and
an average level of imports of 152,954
MT, yielding an average net export of a
negative 22,823 MT. The Czech
Republic and Poland accounted for 95
Potential Costs of Classical Swine Fever,
Swine Vesicular Disease, and Foot and
Mouth Disease
CSF, also known as hog cholera or
swine plague, is a highly contagious and
often fatal disease of pigs. Young
animals are more severely affected than
older animals. Mortality rates may reach
up to 90 percent among young pigs.
SVD is less severe and does not usually
cause death. The overall cost of control
and eradication depends on the
mitigation methods used to control and
eradicate the two diseases.
Potential costs include disease control
measures such as imposing quarantine
measures and movement controls,
indemnity payments, vaccination costs,
surveillance, and laboratory testing. CSF
was eradicated from the United States in
1976 at a cost of about $550 million in
2006 dollars. Several EU countries
experienced small-and-large scale CSF
outbreaks between 1990 and 1997 and
suffered heavy economic losses. One
large outbreak cost producers $917.6
million, the national governments
2 USDA/NASS, Meat Animal Production,
Disposition, and Income: 2005 Summary, April
2006.
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$296.9 million, and the EU $1,040.6
million in 2006 dollars. The cost of a
small scale outbreak was $14 million
and the cost of the medium-scale
outbreak was $268.8 million.3 The
above costs are direct costs of disease
outbreaks and do not include indirect
costs such as losses caused by trade
restrictions. Little information exists on
the cost of control and eradication of
SVD in a previously free region.
FMD is a contagious viral disease that
affects cloven-hoofed animals. Cattle,
pigs, sheep and goats are highly
susceptible to FMD. Although the death
rates are low, it has serious lasting
negative effects on infected animals that
survive the disease. It causes decreased
milk production, decreased pregnancy
rates, weight loss, and lameness. In
addition to these losses, an FMD
outbreak can lead to economic
sanctions, including the loss of export
markets. Any outbreak of FMD in the
United States could result in a loss of
billions of dollars for agriculture and
related industries as indicated by the
most recent FMD outbreak in the United
Kingdom (UK). According to the World
Organization for Animal Health (OIE),
over 6 million cattle, sheep, swine, and
goats were slaughtered to stop the
spread of the disease and the epidemic
is estimated to have cost the UK
economy about $12.9 billion.4
Impact of Potential Pork Imports
In this section, we estimate the impact
of pork imports from the Czech
Republic, Latvia, Lithuania, and Poland
on U.S. production, consumption, and
prices using a net trade welfare model.5
The baseline data used are as shown in
the last row of table 1. The demand and
supply elasticities used are -0.86 and 1,
respectively.6
Based on the four countries’
combined average annual global exports
of 130,130 MT (2001–2005), we model
three potential levels of pork exports to
the United States from the Czech
Republic, Latvia, Lithuania, and Poland:
(1) An amount proportional to the
percentage of the EU–15’s pork exports
sent to the United States (1.87 percent);
(2) an amount proportional to the
percentage of Denmark’s 7 pork exports
sent to the United States (3.99 percent);
and (3) an amount equal to 10 percent
of the global pork exports by the four
countries. Amounts of pork shipped to
the United States under the three
scenarios would be 2,433 MT, 5,192
MT, and 13,013 MT.
TABLE 2.—THE IMPACT OF PORK IMPORTS FROM THE CZECH REPUBLIC, LATVIA, LITHUANIA, AND POLAND ON THE UNITED
STATES ECONOMY
Import
Scenario 1
Assumed pork imports, MT .........................................................................................................
Change in U.S. consumption, MT ...............................................................................................
Change in U.S. production, MT ...................................................................................................
Change in wholesale price of pork, dollars per MT ....................................................................
Change in consumer welfare .......................................................................................................
Change in producer welfare ........................................................................................................
Annual net benefit ........................................................................................................................
Import
Scenario 2
Import
Scenario 3
1 2,433
2 5,192
3 13,013
1,160
¥1,273
¥$0.22
$1,924,230
¥$1,817,020
$107,210
2,475
¥2,717
¥$0.47
$4,106,610
¥$3,877,160
$229,450
6,202
¥6,811
¥$1.19
$10,294,830
¥$9,715,120
$579,710
Note: Welfare and benefit are used interchangeably. The baseline data used is a 5-year annual average for production, consumption, price,
exports and imports as reported in the last row of table 1. The demand and supply elasticities used are ¥0.86 and 1, respectively (John Sullivan, John Wainio, Vernon Roningen, A Database for Trade Liberalization Studies, #AGES89–12, March 1989).
1 Calculated by multiplying the total global exports of the Czech Republic, Latvia, Lithuania, and Poland, 130,130 MT, by the proportion (1.87
percent) of EU–15’s global export sent to the U.S. EU–15 countries including Denmark exported 50,742 MT to the United States from their global
exports of 2,719,698 MT.
2 Calculated by multiplying total global exports of the Czech Republic, Latvia, Lithuania, and Poland by the proportion (3.99 percent) of Denmark exports sent to the United States, 43,037 MT out of 1,077,986 MT.
3 Calculated by multiplying total global exports of the Czech Republic, Latvia, Lithuania, and Poland by 10 percent.
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Table 2 presents the changes resulting
from the assumed U.S. pork imports
from the Czech Republic, Latvia,
Lithuania, and Poland. These include
annual changes in U.S. consumption,
production, wholesale price, consumer
welfare, producer welfare, and net
welfare. Our medium level of pork
imports of 5,192 MT (import scenario 2,
assuming pork imports proportional to
those received from Denmark) would
result in a decline of $0.47 per metric
ton in the wholesale price of pork and
a fall in U.S. production of 2,717 MT.
Consumption would increase by 2,475
MT. Producer welfare would decline by
$3.9 million and consumer welfare
would increase by $4.1 million, yielding
an annual net benefit of about $230,000.
Import scenario 1 presents impacts
assuming a more likely level of pork
imports (proportional to those received
from the EU–15). In this case, price
would decrease by $0.22 per metric ton,
production would decline by 1,273 MT,
and consumption would increase by
1,160 MT. Consumer welfare would
increase by $1.9 million and producer
welfare would decline by $1.8 million.
The annual net benefit would be about
$107,000.
Finally, import scenario 3 presents a
case of expanded trade, with pork
imports by the United States assumed to
equal 10 percent of global exports by the
four countries. The wholesale price of
pork would decline by $1.19 per metric
ton, production would decline by 6,811
MT, and consumption would increase
3 Saatkamp, H. W., P. B. M. Berentsen et al.
‘‘Economic aspects of the control of classical swine
fever outbreaks in the European Union,’’ Vet
Microbiology 73 (2000): 221–237; Stegeman, A., A.
Elbers et al., ‘‘The 1997–98 epidemic of classical
swine fever in the Netherlands,’’ Vet Microbiology,
73 (2000): 183–196.
4 D. Thompson, P. Muriel, D. Russell, P. Osborne,
A. Bromley, M. Rowland, S. Creigh-Tyte, and C.
Brown, ‘‘Economic losses of foot and mouth disease
outbreak in the U.K,’’ Rev. sci. tech. int. epiz., 21
(2002): 675–687.
5 The data used were obtained from Foreign
Agricultural Service (FAS), Production, Supply and
Distribution database (https://www.fas.usda.gov/
psdonline/psdquery.aspx;) USDA/ERS, Red Meat
Yearbook (94006) (https://usda.mannlib.cornell.edu/
usda/ers//wholesaleprices.xls); The Global Trade
Atlas: Global Trade Information Services, Inc.,
country Edition, June 2006; and UN/FAO, FAO stat
data (https://faostat.fao.org).
6 John Sullivan, John Wainio, Vernon Roningen,
A Database for Trade Liberalization Studies,
#AGES89–12, March 1989.
7 Exports from Denmark to the United States are
used as an upper range estimate of possible exports
from these countries. Denmark’s pork industry is
export oriented, and it is the second largest supplier
of pork products to the United States, after Canada.
Using the proportion of its global pork exports that
are shipped to the United States as an estimate of
possible imports from the four countries likely
overstates potential shipments to the United States
from these countries.
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by 6,202 MT. Consumer welfare would
increase by $10.3 million, while
producer welfare would decline by $9.7
million. The annual net benefit would
be about $580,000.
In all cases consumer welfare gains
would outweigh producer welfare
losses. The decline in producer welfare,
even in the last scenario, would
represent less than one-tenth of 1
percent of cash receipts received from
the sale of domestic hogs and pork
products.8 Thus, our analysis indicates
that U.S. entities are unlikely to be
significantly affected by this rule.
The Small Business Administration
(SBA) has established guidelines for
determining which types of firms are to
be considered small under the
Regulatory Flexibility Act. This rule
could affect importers of live animals or
animal products and swine operations
with sales.
Meat processing entities (NAICS
311612) and meat and meat product
merchant wholesalers (NAICS 424470)
may be affected by this rule. Under SBA
standards, meat processing
establishments with no more than 500
employees and meat and meat product
wholesalers with no more than 100
employees are considered small. In
2002, there were 1,335 companies in the
United States that processed and sold
meat. More than 97 percent of these
establishments are considered to be
small entities and had average sales of
$15.4 million, while large meat
processors had average sales of $188
million. In 2002, there were 2,535 meat
and meat product wholesalers in the
United States. Of these establishments,
2,456 (97 percent) employed not more
than 100 employees and are, thus,
considered small by SBA standards.
Small wholesalers had average sales of
$9.3 million, while large entities had
average sales of $131 million.9
Other entities that could theoretically
be affected include refrigerated longdistance trucking firms (NAICS 484230),
freight forwarders (NAICS 488510), and
deep sea freight transport companies
(NAICS 483111). The SBA classifies
trucking firms as small if their annual
receipts are not more than $23.5
million; freight forwarding firms are
small if their annual receipts are not
more than $6.5 million, and deep sea
freight transport firms are small if they
have not more than 500 workers.
According to the 2002 Economic
Census, there were 3,429 trucking firms,
3,827 freight forwarders, and 195 deep
sea freight transport companies. Over 99
percent of trucking firms, 96 percent
freight forwarders, and 97 percent of
deep sea freight transport firms are
considered to be small. Thus,
predominant numbers of meat
processors, wholesale traders, and
transport firms that could be affected by
the rule are considered to be small by
SBA standards. Average sales of even
the smallest packers and wholesalers are
6497
large compared to the amount of pork
expected to be imported from the four
countries.
U.S. swine and pork producers
(NAICS 112210) might be potentially
affected by the proposed rule.
According to the 2002 Census of
Agriculture, there were 82,028 hog and
pig operations with sales of 184,997,686
hogs and pigs valued at $12.4 billion.
These facilities are considered to be
small if their annual receipts are not
more than $750,000. Over 83 percent of
these operations (or 68,083) are
considered to be small and had sales of
fewer than 2,000 hogs and pigs. Small
operations had a total inventory of
16,297,158 (8.81 percent) with an
average inventory of 237 hogs, while
large operations (or 13,945) had sales of
168,700,528 (91.19 percent) with an
average inventory of 12,714 hogs. Based
on inventory share, small operations
had annual sales of $1.3 billion and an
average income of about $19,400, while
large operations had sales of $11 billion
with an average income of about
$834,000. As shown in table 3, the
impact of potential pork imports on U.S.
producers as a result of this rule would
be small. The decrease in producer
welfare per small entity is less than
$133 or about 0.6 percent of average
annual sales of small entities when we
assume that 10 percent of combined
global pork exports by the four countries
would be sent to the United States.
TABLE 3.—THE ECONOMIC IMPACT OF POTENTIAL PORK IMPORTS FROM THE CZECH REPUBLIC, LATVIA, LITHUANIA, AND
POLAND ON U.S. SMALL ENTITIES, ASSUMING 10 PERCENT OF COMBINED GLOBAL PORK EXPORTS BY THE FOUR
COUNTRIES ARE SENT TO THE UNITED STATES, 2005 DOLLARS
Total decline in producer welfare 1 ..........................................................................................................................................................
Decrease in welfare incurred by small entities 2 .....................................................................................................................................
Average decrease per head of inventory, small entities 3 .......................................................................................................................
Average decrease per small entity 4 ........................................................................................................................................................
Average decrease as percentage of average sales, small entities 5 ......................................................................................................
$9,715,120
855,902
0.05
124
0.6%
1 From
table 2. The change in producer welfare is negative indicating a decline.
in producer welfare multiplied by 8.81 percent from the above text. We assume that the change in producer welfare would be proportional to inventory share.
3 Decrease in producer welfare for small entities divided by 16,297,158 (see text above).
4 Average decrease per head of inventory multiplied by 237 (see text above).
5 Average decrease per small entity divided by $19,400 (see text above).
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2 Change
Because quantities of swine, swine
semen, ruminants, and ruminant
products imported from these countries,
if such imports were to occur, are likely
to be very small, effects of the rule with
respect to these commodities are not
included in the analysis.
The amounts of pork shipped to the
United States under the three scenarios
discussed above would be 2,433 MT,
5,192 MT, and 13,013 MT. Even when
the largest import quantity is assumed,
the welfare effect for U.S. small-entity
producers would be equivalent to less
than 1 percent of their average revenue.
Predominant numbers of producers,
meat processors, and wholesale traders
are considered to be small entities.
Other small entities that could
theoretically be affected by the proposed
rule include refrigerated long-distance
trucking firms, freight forwarders, and
deep sea freight transport companies. In
all cases, any effects of the proposed
rule for these types of businesses are
expected to be very minor.
8 $9.7 million divided by $12.4 billion equals 0.08
percent.
9 U.S. Census Bureau, 2002 Economic Census:
Manufacturing—Industries Series, Wholesale
Trade—Subject Series and Transportation and
Warehousing—Subject Series, issued August 2006;
and SBA, Small business Size Standards matched
to North American Industry Classification System
2002, effective July 2006.
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Under these circumstances, the
Administrator of the Animal and Plant
Health Inspection Service has
determined that this action would not
have a significant economic impact on
a substantial number of small entities.
Executive Order 12988
This proposed rule has been reviewed
under Executive Order 12988, Civil
Justice Reform. If this proposed rule is
adopted: (1) All State and local laws and
regulations that are inconsistent with
this rule will be preempted; (2) no
retroactive effect will be given to this
rule; and (3) administrative proceedings
will not be required before parties may
file suit in court challenging this rule.
jlentini on PROD1PC65 with PROPOSAL
National Environmental Policy Act
To provide the public with
documentation of APHIS’ review and
analysis of any potential environmental
impacts associated with the proposed
addition of the Czech Republic, Latvia,
Lithuania, and Poland to the list of EU
countries considered to be low risk for
CSF and to the list of regions recognized
as free of SVD, but that are subject to
certain import restrictions, and the
addition of Latvia and Lithuania to the
list of regions recognized as free of FMD
and rinderpest, but that are subject to
certain import restrictions, we have
prepared environmental assessments for
each country.
The environmental assessments were
prepared in July or August 2006 and in
accordance with: (1) The National
Environmental Policy Act of 1969
(NEPA), as amended (42 U.S.C. 4321 et
seq.), (2) regulations of the Council on
Environmental Quality for
implementing the procedural provisions
of NEPA (40 CFR parts 1500–1508), (3)
USDA regulations implementing NEPA
(7 CFR part 1b), and (4) APHIS’ NEPA
Implementing Procedures (7 CFR part
372).
The environmental assessments may
be viewed on the Regulations.gov Web
site or in our reading room. We invite
the public to comment on those
environmental assessments. Comments
on the environmental assessments may
be submitted using the same process as
comments on the proposed rule.
(Instructions for accessing
Regulations.gov and for submitting
comments, and information on the
location and hours of the reading room
are provided under the heading
ADDRESSES at the beginning of this
proposed rule. In addition, copies may
be obtained by calling or writing to the
individual listed under FOR FURTHER
INFORMATION CONTACT.
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Paperwork Reduction Act
This proposed rule contains no
information collection or recordkeeping
requirements under the Paperwork
Reduction Act of 1995 (44 U.S.C. 3501
et seq.).
List of Subjects
PART 93—IMPORTATION OF CERTAIN
ANIMALS, BIRDS, FISH, AND
POULTRY, AND CERTAIN ANIMAL,
BIRD, AND POULTRY PRODUCTS;
REQUIREMENTS FOR MEANS OF
CONVEYANCE AND SHIPPING
CONTAINERS
3. The authority citation for part 93
would continue to read as follows:
9 CFR Part 92
Animal diseases, Imports, Livestock,
Poultry and poultry products, Region,
Reporting and recordkeeping
requirements.
Authority: 7 U.S.C. 1622 and 8301–8317;
21 U.S.C. 136 and 136a; 31 U.S.C. 9701; 7
CFR 2.22, 2.80, and 371.4.
9 CFR Part 93
Animal diseases, Imports, Livestock,
Poultry and poultry products,
Quarantine, Reporting and
recordkeeping requirements.
4. In § 93.500, the definition of
European Union-15 (EU–15) would be
removed and a definition of APHISdefined EU CSF region would be added,
in alphabetical order, to read as follows:
§ 93.500
9 CFR Part 94
Animal diseases, Imports, Livestock,
Meat and meat products, Milk, Poultry
and poultry products, Reporting and
recordkeeping requirements.
9 CFR Part 98
Animal diseases, Imports.
Accordingly, we propose to amend 9
CFR parts 92, 93, 94, and 98 as follows:
PART 92—IMPORTATION OF ANIMALS
AND ANIMAL PRODUCTS:
PROCEDURES FOR REQUESTING
RECOGNITION OF REGIONS
1. The authority citation for part 92
would continue to read as follows:
Authority: 7 U.S.C. 1622 and 8301–8317;
21 U.S.C. 136 and 136a; 31 U.S.C. 9701; 7
CFR 2.22, 2.80, and 371.4.
2. In § 92.1, the definition of
European Union would be revised to
read as follows:
§ 92.1
Definitions.
*
*
*
*
*
European Union. The organization of
Member States consisting of Austria,
Belgium, Cyprus, the Czech Republic,
Denmark, Estonia, Finland, France,
Germany, Greece, Hungary, Italy, Latvia,
Lithuania, Luxembourg, Malta, the
Netherlands, Poland, Portugal, Slovakia,
Slovenia, Republic of Ireland, Spain,
Sweden, and the United Kingdom
(England, Scotland, Wales, the Isle of
Man, and Northern Ireland).
*
*
*
*
*
PO 00000
Frm 00009
Fmt 4702
Sfmt 4702
Definitions.
*
*
*
*
*
APHIS-defined EU CSF region. The
European Union Member States of
Austria, Belgium, the Czech Republic,
Denmark, Finland, France, Germany,
Greece, Italy, Latvia, Lithuania,
Luxembourg, the Netherlands, Poland,
Portugal, Republic of Ireland, Spain,
Sweden, and the United Kingdom
(England, Scotland, Wales, the Isle of
Man, and Northern Ireland).
*
*
*
*
*
§ 93.505
[Amended]
5. In § 93.505, paragraph (a), the
words ‘‘region consisting of the EU–15
for the purposes of classical swine
fever’’ would be removed and the words
‘‘APHIS-defined EU CSF region’’ would
be added in their place, and the note at
the end of the paragraph would be
removed.
PART 94—RINDERPEST, FOOT-ANDMOUTH DISEASE, FOWL PEST (FOWL
PLAGUE), EXOTIC NEWCASTLE
DISEASE, AFRICAN SWINE FEVER,
CLASSICAL SWINE FEVER, AND
BOVINE SPONGIFORM
ENCEPHALOPATHY: PROHIBITED
AND RESTRICTED IMPORTATIONS
6. The authority citation for part 94
would continue to read as follows:
Authority: 7 U.S.C. 450, 7701–7772, 7781–
7786, and 8301–8317; 21 U.S.C. 136 and
136a; 31 U.S.C. 9701; 7 CFR 2.22, 2.80, and
371.4.
7. In § 94.0, the definition of
European Union–15 (EU–15) would be
removed and a definition of APHISdefined EU CSF region would be added,
in alphabetical order, to read as follows:
§ 94.0
Definitions.
*
*
*
*
*
APHIS-defined EU CSF region. The
European Union Member States of
Austria, Belgium, the Czech Republic,
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Federal Register / Vol. 72, No. 28 / Monday, February 12, 2007 / Proposed Rules
Denmark, Finland, France, Germany,
Greece, Italy, Latvia, Lithuania,
Luxembourg, the Netherlands, Poland,
Portugal, Republic of Ireland, Spain,
Sweden, and the United Kingdom
(England, Scotland, Wales, the Isle of
Man, and Northern Ireland).
*
*
*
*
*
§ 94.1
[Amended]
8. In § 94.1, paragraph (a)(2) would be
amended by adding the words ‘‘Latvia,
Lithuania,’’ immediately after the word
‘‘Japan,’’.
§ 94.1a
[Removed]
9. Section 94.1a would be removed.
§ 94.9
[Amended]
10. In § 94.9, paragraphs (b) and (c),
the words ‘‘EU–15’’ would be removed
and the words ‘‘APHIS-defined EU CSF
region’’ added in their place.
§ 94.10
[Amended]
11. In § 94.10, paragraphs (b) and (c),
the words ‘‘EU–15’’ would be removed
and the words ‘‘APHIS-defined EU CSF
region’’ added in their place.
§ 94.11
[Amended]
12. In § 94.11, paragraph (a) would be
amended by adding the words ‘‘Latvia,
Lithuania,’’ immediately after the word
‘‘Japan,’’.
13. In § 94.12, paragraph (a) would be
revised to read as follows:
jlentini on PROD1PC65 with PROPOSAL
§ 94.12 Pork and pork products from
regions where swine vesicular disease
exists.
(a) Swine vesicular disease is
considered to exist in all regions of the
world except Australia, Austria, the
Bahamas, Belgium, Bulgaria, Canada,
Central American countries, Chile, the
Czech Republic, Denmark, Dominican
Republic, Fiji, Finland, France,
Germany, Greece, Greenland, Haiti,
Hungary, Iceland, Latvia, Lithuania,
Luxembourg, Mexico, the Netherlands,
New Zealand, Norway, Panama, Poland,
Portugal, Republic of Ireland, Romania,
Spain, Sweden, Switzerland, Trust
Territories of the Pacific, the United
Kingdom (England, Scotland, Wales, the
Isle of Man, and Northern Ireland),
Yugoslavia, and the Regions in Italy of
Friuli, Liguria, Marche, and Valle
d’Aosta.
*
*
*
*
*
14. In § 94.13, in the introductory text
of the section, the first sentence would
be revised to read as follows:
§ 94.13 Restrictions on importation of pork
or pork products from specified regions.
Austria, the Bahamas, Belgium,
Bulgaria, Chile, the Czech Republic,
Denmark, France, Germany, Hungary,
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Latvia, Lithuania, Luxembourg, the
Netherlands, Poland, Portugal, Republic
of Ireland, Spain, Switzerland, the
United Kingdom (England, Scotland,
Wales, the Isle of Man, and Northern
Ireland), Yugoslavia, and the Regions in
Italy of Friuli, Liguria, Marche, and
Valle d’Aosta are declared free of swine
vesicular disease in § 94.12(a) of this
part. * * *
*
*
*
*
*
§ 94.24
[Amended]
15. Section 94.24 would be amended
as follows:
a. In the section heading, by removing
the words ‘‘EU–15’’ and adding the
words ‘‘APHIS-defined EU CSF region’’
in their place.
b. In paragraph (a), introductory text,
and paragraph (a)(1)(i), by removing the
words ‘‘EU–15’’ and adding the words
‘‘APHIS-defined EU CSF region’’ in
their place.
c. In paragraphs (a)(1)(ii) and
(a)(1)(iii), by removing the words ‘‘the
EU–15’’ and adding the words ‘‘the
APHIS-defined EU CSF region’’ in their
place and by removing the words ‘‘an
EU–15’’ and adding the word ‘‘the’’ in
their place.
d. In paragraph (a)(5), by removing the
words ‘‘EU–15’’ and adding the words
‘‘APHIS-defined EU CSF region’’ in
their place.
e. In paragraph (b), introductory text,
and paragraph (b)(2)(i), by removing the
words ‘‘EU–15’’ and adding the words
‘‘APHIS-defined EU CSF region’’ in
their place.
f. In paragraph (b)(2)(ii) and (b)(2)(iii),
by removing the words ‘‘the EU–15’’
and adding the words ‘‘the APHISdefined EU CSF region’’ in their place
and by removing the words ‘‘an EU–15’’
and adding the word ‘‘the’’ in their
place.
g. In paragraph (b)(6), by removing the
words ‘‘EU–15’’ and adding the words
‘‘APHIS-defined EU CSF region’’ in
their place.
PART 98—IMPORTATION OF CERTAIN
ANIMAL EMBRYOS AND ANIMAL
SEMEN
16. The authority citation for part 98
would continue to read as follows:
Authority: 7 U.S.C. 1622 and 8301–8317;
21 U.S.C. 136 and 136a; 31 U.S.C. 9701; 7
CFR 2.22, 2.80, and 371.4.
APHIS-defined EU CSF region. The
European Union Member States of
Austria, Belgium, the Czech Republic,
Denmark, Finland, France, Germany,
Greece, Italy, Latvia, Lithuania,
Luxembourg, the Netherlands, Poland,
Portugal, Republic of Ireland, Spain,
Sweden, and the United Kingdom
(England, Scotland, Wales, the Isle of
Man, and Northern Ireland).
*
*
*
*
*
§ 98.38
[Amended]
18. Section 98.38 would be amended
as follows:
a. In the section heading, by removing
the words ‘‘EU–15’’ and adding the
words ‘‘APHIS-defined EU CSF region’’
in their place.
b. In the introductory text of the
section, paragraph (a), and paragraph
(b)(1), by removing the words ‘‘EU–15’’
and adding the words ‘‘APHIS-defined
EU CSF region’’ in their place.
c. In paragraph (b)(2), by removing the
words ‘‘the EU–15’’ and adding the
words ‘‘the APHIS-defined EU CSF
region’’ in their place and by removing
the words ‘‘an EU–15’’ and adding the
word ‘‘the’’ in their place.
d. In paragraph (b)(3), by removing
the words ‘‘EU–15 established’’ and
adding the words ‘‘APHIS-defined EU
CSF region established ‘‘ in their place
and by removing the words ‘‘EU–15’’
immediately before the word
‘‘Member’’.
e. In paragraph (f), by removing the
words ‘‘Office International des
Epizooties’’ and the parentheses
surrounding the words ‘‘World
Organization for Animal Health’’.
f. In paragraph (i), by removing the
words ‘‘EU–15’’ and adding the words
‘‘APHIS-defined EU CSF region’’ in
their place.
Done in Washington, DC, this 6th day of
February 2007.
Kevin Shea,
Acting Administrator, Animal and Plant
Health Inspection Service.
[FR Doc. E7–2327 Filed 2–9–07; 8:45 am]
BILLING CODE 3410–34–P
17. In § 98.30, the definition of
European Union-15 (EU–15) would be
removed and a definition of APHISdefined EU CSF region would be added,
in alphabetical order, to read as follows:
§ 98.30
*
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*
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*
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Agencies
[Federal Register Volume 72, Number 28 (Monday, February 12, 2007)]
[Proposed Rules]
[Pages 6490-6499]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-2327]
========================================================================
Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
========================================================================
Federal Register / Vol. 72, No. 28 / Monday, February 12, 2007 /
Proposed Rules
[[Page 6490]]
DEPARTMENT OF AGRICULTURE
Animal and Plant Health Inspection Service
9 CFR Parts 92, 93, 94, and 98
[Docket No. APHIS-2006-0106]
RIN 0579-AC33
Importation of Live Swine, Swine Semen, Pork, and Pork Products
From the Czech Republic, Latvia, Lithuania, and Poland
AGENCY: Animal and Plant Health Inspection Service, USDA.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: We are proposing to amend the regulations governing the
importation of animals and animal products to add the Czech Republic,
Latvia, Lithuania, and Poland to the region of the European Union that
we recognize as low risk for classical swine fever (CSF). We are also
proposing to add the Czech Republic, Latvia, Lithuania, and Poland to
the list of regions we consider free from swine vesicular disease (SVD)
and to add Latvia and Lithuania to the list of regions considered free
from foot-and-mouth disease (FMD) and rinderpest. These proposed
actions would relieve some restrictions on the importation into the
United States of certain animals and animal products from those
regions, while continuing to protect against the introduction of CSF,
SVD, and FMD, and rinderpest into the United States.
DATES: We will consider all comments that we receive on or before April
13, 2007.
ADDRESSES: You may submit comments by either of the following methods:
Federal eRulemaking Portal: Go to https://www.regulations.gov,
select ``Animal and Plant Health Inspection Service'' from the agency
drop-down menu, then click ``Submit.'' In the Docket ID column, select
APHIS-2006-0106 to submit or view public comments and to view
supporting and related materials available electronically. Information
on using Regulations.gov, including instructions for accessing
documents, submitting comments, and viewing the docket after the close
of the comment period, is available through the site's ``User Tips''
link.
Postal Mail/Commercial Delivery: Please send four copies
of your comment (an original and three copies) to Docket No. APHIS-
2006-0106, Regulatory Analysis and Development, PPD, APHIS, Station 3A-
03.8, 4700 River Road Unit 118, Riverdale, MD 20737-1238. Please state
that your comment refers to Docket No. APHIS-2006-0106.
Reading Room: You may read any comments that we receive on this
docket in our reading room. The reading room is located in room 1141 of
the USDA South Building, 14th Street and Independence Avenue SW.,
Washington, DC. Normal reading room hours are 8 a.m. to 4:30 p.m.,
Monday through Friday, except holidays. To be sure someone is there to
help you, please call (202) 690-2817 before coming.
Other Information: Additional information about APHIS and its
programs is available on the Internet at https://www.aphis.usda.gov.
FOR FURTHER INFORMATION CONTACT: Dr. Kelly Rhodes, Regionalization and
Evaluation Services, Import, Sanitary Trade Issues Team, National
Center for Import and Export, VS, APHIS, 4700 River Road Unit 38,
Riverdale, MD 20737-1231; (301) 734-4356.
SUPPLEMENTARY INFORMATION:
Background
The Animal and Plant Health Inspection Service (APHIS) of the
United States Department of Agriculture (USDA) regulates the
importation of animals and animal products into the United States to
guard against the introduction of animal diseases not currently present
or prevalent in this country. The regulations in 9 CFR part 94
(referred to below as the regulations) prohibit or restrict the
importation of specified animals and animal products to prevent the
introduction into the United States of various animal diseases,
including classical swine fever (CSF), foot-and-mouth disease (FMD),
and swine vesicular disease (SVD). These are dangerous and destructive
communicable diseases of ruminants and swine.
In a final rule published in the Federal Register on May 19, 2006
(71 FR 29061-29072, Docket No. 02-046-2), we amended the regulations to
recognize a region consisting of the 15 Member States of the European
Union (EU) that comprised the EU as of April 30, 2004 (the EU-15), as a
single region of low risk for CSF. The EU-15 consists of those Member
States that we had recognized as a single region regarding CSF in a
final rule published in the Federal Register on April 7, 2003 (68 FR
16922-16941, Docket No. 98-090-5), plus additional Member States. The
May 19, 2006, final rule established a uniform set of importation
requirements related to CSF for the EU-15.
Sections 94.9 and 94.10 of the regulations list regions of the
world that are declared free of or low-risk for CSF. The EU-15 is
currently the only region considered low-risk for CSF; Sec. Sec. 94.24
and 98.38 specify restrictions necessary to mitigate the risk of
introducing CSF into the United States via pork, pork products, live
swine, and swine semen from the EU-15.
Section 94.12 of the regulations lists regions that are declared
free of SVD. Section 94.13 of the regulations lists regions that have
been determined to be free of SVD, but that are subject to certain
restrictions because of their proximity to or trading relationships
with SVD-affected regions.
Section 94.1 of the regulations lists regions of the world that are
declared free of rinderpest or free of both rinderpest and FMD. Section
94.11 of the regulations lists regions that have been determined to be
free of rinderpest and FMD, but that are subject to certain
restrictions because of their proximity to or trading relationships
with rinderpest-or FMD-affected regions.
On May 1, 2004, the Czech Republic, Latvia, Lithuania, and Poland,
along with six other countries, became new Member States of the EU. As
part of the accession process, these new EU Member States adopted the
legislation of the European Commission (EC) \1\ regarding animal
health, welfare, and identification, including legislation
[[Page 6491]]
pertaining to CSF, FMD, and SVD. This legislation became the basis for
new standard operating procedures for domestic animal health matters in
the Czech Republic, Latvia, Lithuania, and Poland by the time of their
accession. The Czech Republic, Latvia, Lithuania, and Poland also
adopted the harmonized EC legislation regarding sanitary measures
applicable to import and trade in live animals and animal products.
---------------------------------------------------------------------------
\1\ The EC is the EU institution responsible for representing
the EU as a whole. It proposes legislation, policies, and programs
of acton and implements decisions of the EU Parliament and Council.
---------------------------------------------------------------------------
In 2003, the Governments of Lithuania and Poland requested that
APHIS evaluate their animal health status with respect to CSF and SVD
and provided information in support of these requests in accordance
with 9 CFR part 92, ``Importation of Animals and Animal Products;
Procedures for Requesting Recognition of Regions.'' In addition, the
Government of Lithuania requested that APHIS evaluate Lithuania's
animal health status with respect to FMD. In 2004 and 2005, the
Governments of Latvia and the Czech Republic also requested that APHIS
evaluate their animal health status with respect to CSF and SVD. In
addition, the Government of Latvia requested that APHIS evaluate
Latvia's animal health status with respect to FMD. Because rinderpest
has not been diagnosed in Latvia since 1921 and has never been reported
in Lithuania, we are proposing to recognize these countries as free of
rinderpest.
As part of our evaluation of their disease status, APHIS identified
the smallest administrative units (AUs) within each of these EU Member
States that we would consider ``regions'' in the event of future animal
disease outbreaks. See the discussion of those AUs under the section
entitled ``Administrative Units.''
Our determinations concerning these requests with regard to CSF and
SVD in the Czech Republic, Latvia, Lithuania, and Poland, and FMD in
Latvia and Lithuania are set forth below.
Summary of Proposed Changes
In this document, we are proposing to add the Czech Republic,
Latvia, Lithuania, and Poland to the region of the EU (currently
referred to in the regulations as the EU-15) that we currently
recognize as a low-risk region for CSF and from which breeding swine,
swine semen, and pork and pork products may be imported into the United
States under certain conditions. In order to provide flexibility in the
event that additional Member States may be added to this region in the
future, we would amend the regulations to refer to this region as the
``APHIS-defined EU CSF region.''
We are also proposing to add the Czech Republic, Latvia, Lithuania,
and Poland to the list of regions recognized as free of SVD, and to the
list of SVD-free regions whose exports of pork and pork products to the
United States are subject to certain restrictions to prevent the
introduction of SVD into this country.
Additionally, we are proposing to add Latvia and Lithuania to the
list of regions recognized as free of FMD and rinderpest. We are also
proposing to add Latvia and Lithuania to the list of FMD and
rinderpest-free regions whose exports of ruminant and swine meat and
products to the United States are subject to certain restrictions to
prevent the introduction of FMD and rinderpest into this country.
Risk Analyses
APHIS conducted risk analyses to examine the risk of introducing
CSF or SVD from the importation of swine and swine products from the
Czech Republic, Latvia, Lithuania, and Poland and the risk of
introducing FMD from the importation of swine, ruminants, and swine and
ruminant products from Latvia and Lithuania. These risk analyses were
completed early in 2006 and may be viewed on the Regulations.gov Web
site or in our reading room. (Instructions for accessing
Regulations.gov and information on the location and hours of the
reading room are provided under the heading ADDRESSES at the beginning
of this proposed rule.) The risk analyses may also be viewed at https://
www.aphis.usda.gov/vs/ncie/reg-request.html by following the link for
``Information previously submitted by Regions requesting export
approval and their supporting documentation.'' In the following
paragraphs, we summarize our findings for each of the 11 factors set
out in our procedures for requesting recognition of regions in 9 CFR
92.2 and summarize our risk considerations of these findings following
our discussion of the factors.
Authority, Organization, and Veterinary Infrastructure
As stated above, the Czech Republic, Latvia, Lithuania, and Poland
adopted the legislation of the EC regarding animal health, welfare, and
identification, as well as sanitary measures applicable to import and
trade in live animals and animal products. At the time of accession,
Commission Decisions and Regulations concerning CSF, SVD, and FMD
became directly applicable in the new EU Member States, whereas Council
Directives were implemented in national legislation. During APHIS site
visits, it appeared that official veterinarians of each country were
familiar with and able to effectively implement the provisions of
pertinent EC and national legislation.
APHIS concluded that the official veterinary services of these new
EU Member States have sufficient legal authority, personnel, and
financial resources to carry out animal health activities quickly and
efficiently. Regular training is conducted for official veterinarians.
In addition, all offices visited by APHIS site visit teams were
generally in good condition, with some undergoing renovations, and were
outfitted with computers with both Internet and Intranet connections.
The official veterinary services are hierarchically organized and
appear to have clear lines of command and reporting, with sufficient
autonomy at the local level to carry out the tasks assigned. Internal
and external auditing practices are adequate to ensure compliance with
the provisions of pertinent animal health legislation.
Disease History
CSF: CSF was last reported in domestic swine in the Czech Republic
in 1997, in Latvia in 1996, in Lithuania in 1992, and in Poland in
1994. No CSF outbreaks have occurred in wild boar in recent years in
Latvia, Lithuania, or Poland. CSF virus was last detected in wild boar
in the Czech Republic in November 1999. Serologic surveillance
indicates that the virus is present in segments of the wild boar
population in the Czech Republic along its borders with Austria and
Slovakia, albeit at very low and decreasing levels.
In addition, veterinary officials indicated that most small swine
producers keep pigs indoors, which limits potential exposure to CSF in
wild boar populations, and that most of the larger farms are
confinement operations with restricted access. Biosecurity practices on
large swine confinement operations, from which exports to the United
States from the Czech Republic would most likely be derived, are
sufficient to prevent direct or indirect exposure of domestic swine to
wild boar.
SVD: SVD has never been reported in the Czech Republic, Latvia, or
Lithuania. The last reported case of SVD in Poland occurred in 1972 in
domestic swine (SVD has never been reported in wild boar in Poland).
FMD: FMD was last reported in Latvia and Lithuania in 1987 and
1982, respectively.
[[Page 6492]]
Disease Status of Adjacent Regions
CSF: Latvia, Lithuania, and Poland all share land borders with non-
EU countries that APHIS considers affected with CSF, namely Russia,
Belarus, and/or Ukraine. (APHIS considers all countries affected until
the disease status of a specific country is evaluated at the request of
that foreign country and we determine otherwise. The governments of
Russia, Belarus, and Ukraine have not requested such evaluation.)
Belarus last reported a CSF outbreak in August 1995 and Ukraine in July
2001; CSF is endemic in parts of Russia and outbreaks continue to
occur.
The Czech Republic and Poland also border other EU Member States
such as Germany, Estonia, and Slovakia. Germany is part of the EU
region that APHIS considers low risk for CSF under Sec. Sec. 94.9 and
94.10, but CSF is endemic in segments of its wild boar population. CSF
is also endemic in wild boar in regions of Slovakia that border the
Czech Republic. APHIS is currently evaluating the CSF status of
Slovakia and Estonia (which borders Latvia).
Due to the proximity of affected or potentially affected regions,
the risk analyses concluded that the potential exists for introduction
of CSF into the Czech Republic, Latvia, Lithuania, or Poland via wild
boar, incoming vehicular or human traffic, smuggled swine products, or
other routes discussed below.
SVD: APHIS considers SVD to exist in Russia, Belarus, and Ukraine
since we have not evaluated their status with regard to this disease.
However, SVD has never been reported in Russia or Belarus, and was last
reported in Ukraine in 1977. The Czech Republic, Latvia, and Poland
each border either Slovakia or Estonia, which APHIS is currently
evaluating for SVD status, but which have never reported an SVD
outbreak. The Czech Republic, Latvia, Lithuania, and Poland also share
borders with one another, with each bordering at least one of the other
three. The risk analyses concluded that the likelihood of introduction
of SVD into these four Member States from neighboring regions is low.
FMD: Latvia and Lithuania border Russia and Belarus, which APHIS
does not consider free of FMD. Belarus last reported an FMD outbreak in
1982; sporadic FMD outbreaks continue to occur in Russia. Latvia and
Lithuania also border each other. Due to the proximity of affected or
potentially affected regions, the risk analyses concluded that the
potential exists for introduction of FMD into Latvia or Lithuania via
wild animals, incoming vehicular or human traffic, smuggled animal
products, or other routes discussed below.
Degree of Separation From Adjacent Regions
The Czech Republic is entirely surrounded by other EU Member
States. In addition, although parts of Latvia, Lithuania, and Poland
border the Baltic Sea, they are not separated from regions of higher
risk by a uniform physical barrier, therefore few impediments exist to
introduction of CSF, SVD, or FMD via natural movement of wild animals
or human traffic.
The primary wild animals within these four EU Member States and
neighboring countries that are susceptible to CSF and SVD are wild
boar. In addition, wild boar and ruminants such as deer are also
susceptible to FMD. These species are not considered to be migratory in
nature, but individual animals are known to travel substantial
distances in search of food, during mating season, or in response to
hunting or other habitat disruptions.
Extent of an Active Disease Control Program
None of the four countries have active disease control programs in
place for CSF or SVD, and Latvia and Lithuania do not have active
disease control programs in place for FMD, since these diseases have
not been reported for many years. Surveillance for these diseases is
discussed in more detail below.
Vaccination
The last vaccination against CSF occurred in the Czech Republic in
1992, in Latvia in 1998, in Lithuania in 2000, and in Poland in 1996.
Vaccination against CSF is now prohibited in all four countries,
although official contingency plans allow for emergency vaccination
against CSF. None of these countries has ever vaccinated against SVD
and such vaccination is also now prohibited. In addition, vaccination
against FMD is prohibited in Latvia and Lithuania, although as with
CSF, the official contingency plans for FMD for both countries allow
for emergency vaccination if sanctioned by the EC.
Movement Control From Higher Risk Regions
Some forms of CSF, SVD, and FMD are difficult to detect in live
animals or on post-mortem examination without laboratory testing, and
in some instances detection may be delayed due to deficiencies in
active surveillance or diagnostic testing capabilities. Any such delay
in detection of an outbreak could increase the export risk to the
United States. Consequently, the risk analyses examined potential
pathways for disease introduction into the Czech Republic, Latvia,
Lithuania, and Poland such as importation and intra-Community trade in
live animals and animal products, vehicular and human traffic, and
commodities for personal consumption.
Import controls: Import of live animals and animal products into
the Czech Republic, Latvia, Lithuania, and Poland from non-EU countries
occurs at certain road, rail, air, and/or sea ports through a border
inspection post (BIP) that has been approved by the EC. The EC conducts
a rigorous inspection of each BIP prior to approval and carries out
regular audits to monitor the efficacy of sanitary controls. Each BIP
visited by APHIS appeared sufficiently able to keep up with required
levels of inspection.
Swine, ruminants, and derived products such as meat, meat products,
and genetic material are harmonized commodities under EC legislation,
which means that the requirements for import from non-EU countries are
standardized across all EU Member States. Binding EC legislation lists
the non-EU countries, and establishments within those countries, that
are approved for export of certain commodities to the EU.
Slaughterhouses, cutting plants, semen collection centers, and other
exporting establishments are subject to inspection prior to approval.
Veterinary certificates required for export to the EU outline
comprehensive animal health and testing requirements and must be
endorsed by an official veterinarian of the exporting country.
APHIS recognizes all of the countries approved for export of live
swine and swine semen to the EU as free of SVD (although some are
subject to the restrictions specified in Sec. 94.13) and all but
Switzerland as free of CSF. APHIS also considers these countries free
of FMD, although some are subject to the restrictions in Sec. 94.11.
However, although import practices in the Czech Republic, Latvia,
Lithuania, and Poland have largely been protective with regard to CSF,
SVD, and FMD, EC legislation allows EU Member States to import fresh
pork and pork products derived from swine from several regions that
APHIS has not evaluated and therefore regards as affected with these
diseases. EU Member States may also import bovine embryos and meat and
meat products from both domestic and wild ruminants from regions that
APHIS considers affected with FMD.
[[Page 6493]]
Veterinary inspectors at the entry BIP check that the documentation
accompanying imported commodities is in order, including appropriate
health certificates and other movement control documents, and that the
shipment is properly identified and the identification matches the
documentation. Veterinary inspectors also physically examine and sample
a percentage of incoming shipments as prescribed by EC legislation.
The risk analyses concluded EC legislation imposes less stringent
restrictions on sourcing of imported ruminants and swine than do APHIS
requirements, resulting in some risk of introducing CSF, SVD, or FMD
into the Czech Republic, Latvia, Lithuania, Poland, or other EU Member
States via imported animals or animal products. However, this risk is
substantially mitigated by factors such as veterinary inspection of
live animals prior to shipment, approval of establishments for export
of animal products, certification of disease status by an official
veterinarian, and veterinary inspection at the point of entry into the
EU.
Trade controls: As EU Member States, the Czech Republic, Latvia,
Lithuania, and Poland may engage in intra-Community trade with other
Member States as governed by EC legislation that was transposed into
national legislation prior to accession. Live animals and animal
products must be accompanied by an appropriate health certificate
signed by an official veterinarian of the country of origin. Intra-
Community trade in swine and swine products, including semen and
embryos, from CSF or SVD affected regions of EU Member States is
prohibited. There are no trade restrictions based on FMD since there
are currently no outbreaks reported in the EU.
Establishments such as slaughterhouses, cutting plants, milk
processing plants, and semen collection centers must be approved by the
Member State in which they reside according to criteria similar to
those for exporting establishments in non-EU countries. The EC and the
official veterinary services of the Member State conduct periodic
audits to monitor compliance with approval criteria and certification
requirements. The risk analyses concluded that the likelihood of
introducing SVD or FMD via intra-Community trade was low and, although
the likelihood of introducing CSF was slightly higher, this risk was
largely mitigated by the factors described above.
Veterinary control of passenger traffic: In the Czech Republic,
Latvia, Lithuania, and Poland, the majority of border crossings from
non-EU countries are controlled by the Customs Service, without
official veterinary control. Posters are prominently displayed at
border crossings to promote public awareness of prohibited meat, milk,
and meat and milk products. However, the EC permits personal
consignments of products that could carry live CSF, SVD, and/or FMD
virus from countries that APHIS has not evaluated and regards as
affected with these diseases. In some instances, there is considerable
local passenger and commercial traffic to and from neighboring non-EU
countries that APHIS does not consider free of CSF, SVD, and/or FMD.
Veterinary officials indicated that individuals attempting to cross the
border with agricultural products at a checkpoint without veterinary
inspection are redirected to a BIP or the products are confiscated.
However, the percentage of incoming traffic that is inspected for
prohibited agricultural commodities varies among border crossings. The
risk analyses concluded that, although the likelihood of introduction
of such commodities by this route is relatively high, existing
production and biosecurity measures substantially reduce the associated
export risk to the United States.
Livestock Demographics
As stated above, the Czech Republic, Latvia, Lithuania, and Poland
have adopted the EC legislation with regard to animal identification.
Each country has in place or is implementing herd registration and
animal identification plans for ruminants and swine that include
movement tracking through a central computerized database. Health
certificates and/or a movement authorization form are required for
internal movement of ruminants and swine.
Small swine holdings predominate in each of these countries, and
there is considerable overlap in distribution with wild boar, although
veterinary authorities indicated that the majority of pigs are raised
indoors. Production and slaughter systems in each country are such that
large confinement operations (up to 30,000 pigs) are the most likely
source of swine and swine products for export. APHIS site visit teams
noted biosecurity measures on the confinement operations that would
effectively prevent direct or indirect contact with wild boar, and
limit the likelihood of CSF, SVD, or FMD introduction by other routes.
The risk analyses concluded that commercial production and biosecurity
practices in these countries serve to mitigate potential export risk to
the United States.
Cattle are distributed throughout Latvia and Lithuania; agriculture
in these two countries has traditionally included dairy-beef husbandry.
There are few sheep or goats and these are generally distributed in
small numbers on individual farms. Biosecurity measures on ruminant
operations are generally not sufficient to prevent direct and/or
indirect contact with wildlife or contact with live virus on clothing
or vehicles. However, exports to the United States will likely be
derived from the larger cattle operations, which are closely monitored
by the official veterinary services.
Disease Surveillance
CSF: The Czech Republic, Latvia, Lithuania, and Poland all have
national surveillance programs in place for CSF in domestic swine and
wild boar. Active surveillance is primarily based on serology for
antibodies to the CSF virus, as is common throughout the world. Since
antibodies occur late in CSF infection, serological surveillance would
likely miss an early infection (e.g., in the first 21 days). In each
country, training and national simulation exercises aid in passive
surveillance for CSF by developing and maintaining the ability to
quickly detect these diseases. Passive surveillance is likely
sufficient to detect overt clinical signs of CSF, but detection may be
delayed in the case of moderate or low virulence strains. In some
instances, lack of incentive for hunters to sample wild boar and
underreporting of wild boar found dead may also hinder detection.
SVD: The Czech Republic, Latvia, Lithuania, and Poland each conduct
serological surveillance for SVD in domestic swine at a considerably
lower level than for CSF, and rely more on passive surveillance for
this disease. Consequently, detection may be delayed in the absence of
overt clinical signs, although serological surveillance would
eventually detect the historical presence of the disease.
FMD: Lithuania conducts serological surveillance for FMD in cattle,
domestic swine, wild boar, and deer at a relatively low level.
Surveillance is not routinely conducted in reservoir populations such
as sheep and goats. Latvia conducted serological surveillance for FMD
in cattle and domestic swine, although not small ruminants or
susceptible wild animals, through 2003; active surveillance is no
longer conducted. Both countries rely heavily on passive surveillance
for
[[Page 6494]]
FMD, which may delay detection in the absence of overt clinical signs.
Diagnostic Capabilities
The Czech Republic, Latvia, Lithuania, and Poland all have
established accredited national reference laboratories (NRL) for animal
diseases, including CSF, SVD, and FMD. Overall, the laboratories are
well organized and equipped, with experienced scientific and technical
staff. Standard operating procedures and quality control measures are
in place throughout. Laboratory biosecurity practices are adequate to
prevent the escape of live virus.
CSF: In each country, the NRL provides a full range of diagnostic
tests for the diagnosis and confirmation of CSF. Tests have all been
validated and include well-regarded commercial test kits used in many
countries and tests developed in-house that are performed using
standard methodology. An APHIS site visit team expressed concern
regarding the sensitivity of the ELISA test used for screening for CSF
in Lithuania. Laboratory officials indicated they are addressing this
issue by phasing in more sensitive tests for the detection of CSF and
are also working to expand the diagnostic capabilities for SVD and FMD.
The risk analyses concluded that an index case of CSF would be
diagnosed by these laboratories if proper samples were submitted.
SVD and FMD: The NRL of each country provides a moderate spectrum
of diagnostic testing for SVD and, in Latvia and Lithuania, for FMD as
well. The risk analyses concluded that each NRL has the competence to
make a presumptive diagnosis of SVD or FMD; however, diagnostic
capabilities are limited by reliance on serology, and samples would be
sent to the reference laboratory in Pirbright, UK, for confirmatory
testing, which would result in a slight delay in confirming an
outbreak.
Emergency Response Capacity
The Czech Republic, Latvia, Lithuania, and Poland have contingency
plans in place and supporting legislation to control and eradicate CSF,
SVD, and/or FMD outbreaks. These contingency plans conform closely to
the provisions of EC legislation. The EC has a ``stamping out'' policy
with regard to CSF, SVD, and FMD. Eradication is carried out by
compulsory destruction of all animals on the affected premises with
burial or incineration of the carcasses. All live animals, animal
products, and genetic material moved off of an affected premises during
the time between disease introduction and detection of the outbreak
must be traced and destroyed. Additionally, protection zones of at
least a 3-kilometer radius and surveillance zones of at least a 10-
kilometer radius from the affected premises, respectively, are
established, and the movement of live animals, animal products, and
genetic material is suspended until the restrictions are lifted.
Release Assessment Conclusions
APHIS considers the potential for introduction of CSF, SVD, and/or
FMD into the Czech Republic, Latvia, Lithuania, or Poland to be greater
than the potential for the introduction of CSF, SVD, and/or FMD from
the Czech Republic, Latvia, Lithuania and Poland into the United
States. This is due to the fact that these countries share common land
borders with several regions APHIS does not consider to be free of
these diseases, because they engage in free trade with other EU Member
States that import live animals or animal commodities from such
regions, and because, under harmonized EC legislation, they could
directly import live swine or swine commodities from such regions.
Following our analysis, we have concluded that the risk profiles
for the Czech Republic, Latvia, Lithuania, and Poland with regard to
CSF are equivalent in CSF risk to the EU-15. The EU-15 is considered a
low-risk region for CSF in Sec. Sec. 94.9 and 94.10 and is subject to
the import restrictions specified in Sec. 94.24 for live swine, pork,
and pork products, and Sec. 98.38 for swine semen. Therefore, we are
proposing to include the Czech Republic, Latvia, Lithuania, and Poland
along with the other countries that comprise the low-risk region for
CSF currently referred to in our regulations as the EU-15. As noted
previously, to reflect the addition of those four countries to that
region, and to accommodate possible future additions to that region, we
would amend the regulations by replacing references to the ``EU-15''
with references to the ``APHIS-defined EU CSF region'' wherever they
appear in parts 93, 94, and 98.
We are proposing to recognize the Czech Republic, Latvia,
Lithuania, and Poland as free of SVD and to recognize Latvia and
Lithuania as free of FMD. In addition to proposing to include the Czech
Republic, Latvia, Lithuania, and Poland in the list in Sec. 94.12(a)
of regions declared free of SVD, and Latvia and Lithuania to the list
in Sec. 94.1(a)(2) of regions declared free of both rinderpest and
FMD, we are also proposing to add the Czech Republic, Latvia,
Lithuania, and Poland to the list in Sec. 94.13 of regions declared
free of SVD whose exports of pork and pork products are also subject to
restrictions and to add Latvia and Lithuania to the list in Sec.
94.11(a) of regions declared free of rinderpest and FMD whose exports
of meat and other animal products to the United States are nevertheless
subject to certain restrictions.
Administrative Units
On October 28, 1997, we published in the Federal Register a final
rule (62 FR 56000-56026, Docket No. 94-106-9) and a policy statement
(62 FR 56027-56033, Docket No. 94-106-8) that established procedures
for recognizing regions and levels of risk for the purpose of
regulating the importation of animals and animal products. With the
establishment of those procedures, APHIS can consider requests to allow
importations from regions based on levels of risk, as well as to
recognize entire countries free of a disease. In subsequent rules, we
identified the smallest administrative jurisdictions in the EU-15 that
we would use to regionalize those Member States in the event of future
animal disease outbreaks. As discussed in those documents, we believe
that each of those jurisdictions is the smallest that can be
demonstrated to have effective oversight of normal animal movements
into, out of, and within that Member State, and that, in association
with national authorities, if necessary, has effective control over
animal movements and animal diseases locally.
We have identified the following AUs for each country: Czech
Republic-region, Latvia-district, Lithuania-county, Poland-district.
Further information on each AU and why we chose it is available in
the risk analysis for each Member State. If we receive no substantive
comments regarding our identification of AUs for these Member States
and we finalize this proposed rule, following the effective date of the
final rule, these AUs will be used to regionalize those Member States
in the event of future animal disease outbreaks.
Miscellaneous
We are also proposing to revise the definition of European Union in
Sec. 92.1 to update its list of EU Member States. There are currently
25 Member States of the EU, 10 more than when that definition was added
to the regulations. In part 92, the European Union is referred to in
Sec. 92.3, which states: ``Whenever the European Commission (EC)
establishes a quarantine for a
[[Page 6495]]
disease in the European Union in a region the Animal and Plant Health
Inspection Service recognizes as one in which the disease is not known
to exist and the EC imposes prohibitions or other restrictions on the
movement of animals or animal products from the quarantined area in the
European Union, such animals and animal products are prohibited
importation into the United States.'' Therefore, it is necessary to
update the definition of European Union to ensure that this provision
applies to all EU Member States.
We are further proposing to remove Sec. 94.1a, ``Criteria for
determining the separate status of a territory or possession as to
rinderpest and foot-and-mouth disease,'' from the regulations. Those
provisions, which were established in 1974, were rendered unnecessary
when we added the current provisions for the recognition of regions in
9 CFR part 92.
Finally, in Sec. 98.38(f), we are proposing to remove a reference
to the Office International des Epizooties and to refer instead to the
World Organization for Animal Health, as this is the current,
internationally recognized name for that organization.
Executive Order 12866 and Regulatory Flexibility Act
This proposed rule has been reviewed under Executive Order 12866.
The rule has been determined to be not significant for the purposes of
Executive Order 12866 and, therefore, has not been reviewed by the
Office of Management and Budget.
We are proposing to amend the regulations governing the importation
of animals and animal products to add the Czech Republic, Latvia,
Lithuania, and Poland to the region of the European Union that we
recognize as low risk for CSF. We are also proposing to add the Czech
Republic, Latvia, Lithuania, and Poland to the list of regions we
consider free from SVD and to add Latvia and Lithuania to the list of
regions considered free from FMD and rinderpest.
The U.S. Swine Industry
The U.S. swine industry plays an important role in the U.S.
economy. Cash receipts from marketing meat animals were about $15
billion in 2005 (the average between 2001 and 2005 was $12.4
billion).\2\ Additionally, swine and related product exports generated
over $2.1 billion in sales that year. Other agricultural and
nonagricultural sectors are dependent on the swine industry for their
economic activity. At present, international trade in U.S. livestock
proceeds without CSF or SVD related restrictions. Maintaining such
favorable conditions depends in part on continued aggressive efforts to
prevent transmission of foreign diseases to U.S. swine.
---------------------------------------------------------------------------
\2\ USDA/NASS, Meat Animal Production, Disposition, and Income:
2005 Summary, April 2006.
---------------------------------------------------------------------------
As shown in table 1, U.S. pork production increased from 7,764,000
metric tons (MT) in 1996 to 9,392,000 MT in 2005, an annual growth rate
of about 2.1 percent. Similarly, consumption increased from 7,619 MT to
8,671 MT. During the same period, U.S. exports increased from 440,000
MT to 1,207,000 MT, by far outpacing imports. Net exports increased
from 159,000 MT to 743,000 MT.
Table 1.--U.S. Pork Production, Consumption, Price, Exports, and Imports, 1996-2005
--------------------------------------------------------------------------------------------------------------------------------------------------------
Production Consumption Exports Imports Net exports
Year (1,000 MT) (1,000 MT) Price per MT (1,000 MT) (1,000 MT) (1,000 MT)
--------------------------------------------------------------------------------------------------------------------------------------------------------
1996.................................................... 7,764 7,619 $1,596 440 281 159
1997.................................................... 7,835 7,631 1,562 473 288 185
1998.................................................... 8,623 8,305 1,170 558 320 238
1999.................................................... 8,758 8,594 1,178 582 375 207
2000.................................................... 8,596 8,455 1,413 584 438 146
2001.................................................... 8,691 8,389 1,473 707 431 276
2002.................................................... 8,929 8,685 1,179 731 486 245
2003.................................................... 9,056 8,816 1,298 779 538 241
2004.................................................... 9,312 8,817 1,621 989 499 490
2005.................................................... 9,392 8,671 1,562 1,207 464 743
5-year average (2001-2005).............................. 9,076 8,676 1,427 883 484 399
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sources: USDA/FAS, PS&D Online, 1996-2005, https://www.fas.usda.gov/
psdonline/psdquery.aspx; prices, reported as $/100 pounds for yearly pork carcass cut-
out values, are converted to dollars per metric ton, and are taken from Red Meat Yearbook (94006), https://usda.manlib.cornell.
edu/ers/94006/wholesaleprices.xls; net exports are calculated as the difference between exports and imports for each year.
The Swine Industry in the Czech Republic, Latvia, Lithuania, and Poland
The four countries (the Czech Republic, Latvia, Lithuania, and
Poland) together produced an average of 2.522 million MT of pig meat
between 2001 and 2005. They are net importers of pork, which is the
focus of this analysis. They had a 5-year (2001-2005) average level of
pork exports of 130,030 MT and an average level of imports of 152,954
MT, yielding an average net export of a negative 22,823 MT. The Czech
Republic and Poland accounted for 95 percent of production and export
of the above total.
Potential Costs of Classical Swine Fever, Swine Vesicular Disease, and
Foot and Mouth Disease
CSF, also known as hog cholera or swine plague, is a highly
contagious and often fatal disease of pigs. Young animals are more
severely affected than older animals. Mortality rates may reach up to
90 percent among young pigs. SVD is less severe and does not usually
cause death. The overall cost of control and eradication depends on the
mitigation methods used to control and eradicate the two diseases.
Potential costs include disease control measures such as imposing
quarantine measures and movement controls, indemnity payments,
vaccination costs, surveillance, and laboratory testing. CSF was
eradicated from the United States in 1976 at a cost of about $550
million in 2006 dollars. Several EU countries experienced small-and-
large scale CSF outbreaks between 1990 and 1997 and suffered heavy
economic losses. One large outbreak cost producers $917.6 million, the
national governments
[[Page 6496]]
$296.9 million, and the EU $1,040.6 million in 2006 dollars. The cost
of a small scale outbreak was $14 million and the cost of the medium-
scale outbreak was $268.8 million.\3\ The above costs are direct costs
of disease outbreaks and do not include indirect costs such as losses
caused by trade restrictions. Little information exists on the cost of
control and eradication of SVD in a previously free region.
---------------------------------------------------------------------------
\3\ Saatkamp, H. W., P. B. M. Berentsen et al. ``Economic
aspects of the control of classical swine fever outbreaks in the
European Union,'' Vet Microbiology 73 (2000): 221-237; Stegeman, A.,
A. Elbers et al., ``The 1997-98 epidemic of classical swine fever in
the Netherlands,'' Vet Microbiology, 73 (2000): 183-196.
---------------------------------------------------------------------------
FMD is a contagious viral disease that affects cloven-hoofed
animals. Cattle, pigs, sheep and goats are highly susceptible to FMD.
Although the death rates are low, it has serious lasting negative
effects on infected animals that survive the disease. It causes
decreased milk production, decreased pregnancy rates, weight loss, and
lameness. In addition to these losses, an FMD outbreak can lead to
economic sanctions, including the loss of export markets. Any outbreak
of FMD in the United States could result in a loss of billions of
dollars for agriculture and related industries as indicated by the most
recent FMD outbreak in the United Kingdom (UK). According to the World
Organization for Animal Health (OIE), over 6 million cattle, sheep,
swine, and goats were slaughtered to stop the spread of the disease and
the epidemic is estimated to have cost the UK economy about $12.9
billion.\4\
---------------------------------------------------------------------------
\4\ D. Thompson, P. Muriel, D. Russell, P. Osborne, A. Bromley,
M. Rowland, S. Creigh-Tyte, and C. Brown, ``Economic losses of foot
and mouth disease outbreak in the U.K,'' Rev. sci. tech. int. epiz.,
21 (2002): 675-687.
---------------------------------------------------------------------------
Impact of Potential Pork Imports
In this section, we estimate the impact of pork imports from the
Czech Republic, Latvia, Lithuania, and Poland on U.S. production,
consumption, and prices using a net trade welfare model.\5\ The
baseline data used are as shown in the last row of table 1. The demand
and supply elasticities used are -0.86 and 1, respectively.\6\
---------------------------------------------------------------------------
\5\ The data used were obtained from Foreign Agricultural
Service (FAS), Production, Supply and Distribution database (https://
www.fas.usda.gov/psdonline/
psdquery.aspx;) USDA/ERS, Red Meat Yearbook (94006) (https://
usda.mannlib.cornell. edu/usda/ers//
wholesaleprices.xls); The Global Trade Atlas: Global Trade
Information Services, Inc., country Edition, June 2006; and UN/FAO,
FAO stat data (https://faostat.fao.org).
\6\ John Sullivan, John Wainio, Vernon Roningen, A Database for
Trade Liberalization Studies, AGES89-12, March 1989.
---------------------------------------------------------------------------
Based on the four countries' combined average annual global exports
of 130,130 MT (2001-2005), we model three potential levels of pork
exports to the United States from the Czech Republic, Latvia,
Lithuania, and Poland: (1) An amount proportional to the percentage of
the EU-15's pork exports sent to the United States (1.87 percent); (2)
an amount proportional to the percentage of Denmark's \7\ pork exports
sent to the United States (3.99 percent); and (3) an amount equal to 10
percent of the global pork exports by the four countries. Amounts of
pork shipped to the United States under the three scenarios would be
2,433 MT, 5,192 MT, and 13,013 MT.
---------------------------------------------------------------------------
\7\ Exports from Denmark to the United States are used as an
upper range estimate of possible exports from these countries.
Denmark's pork industry is export oriented, and it is the second
largest supplier of pork products to the United States, after
Canada. Using the proportion of its global pork exports that are
shipped to the United States as an estimate of possible imports from
the four countries likely overstates potential shipments to the
United States from these countries.
Table 2.--The Impact of Pork Imports From the Czech Republic, Latvia, Lithuania, and Poland on the United States
Economy
----------------------------------------------------------------------------------------------------------------
Import Import Import
Scenario 1 Scenario 2 Scenario 3
----------------------------------------------------------------------------------------------------------------
Assumed pork imports, MT........................................ \1\ 2,433 \2\ 5,192 \3\ 13,013
Change in U.S. consumption, MT.................................. 1,160 2,475 6,202
Change in U.S. production, MT................................... -1,273 -2,717 -6,811
Change in wholesale price of pork, dollars per MT............... -$0.22 -$0.47 -$1.19
Change in consumer welfare...................................... $1,924,230 $4,106,610 $10,294,830
Change in producer welfare...................................... -$1,817,020 -$3,877,160 -$9,715,120
Annual net benefit.............................................. $107,210 $229,450 $579,710
----------------------------------------------------------------------------------------------------------------
Note: Welfare and benefit are used interchangeably. The baseline data used is a 5-year annual average for
production, consumption, price, exports and imports as reported in the last row of table 1. The demand and
supply elasticities used are -0.86 and 1, respectively (John Sullivan, John Wainio, Vernon Roningen, A
Database for Trade Liberalization Studies, AGES89-12, March 1989).
\1\ Calculated by multiplying the total global exports of the Czech Republic, Latvia, Lithuania, and Poland,
130,130 MT, by the proportion (1.87 percent) of EU-15's global export sent to the U.S. EU-15 countries
including Denmark exported 50,742 MT to the United States from their global exports of 2,719,698 MT.
\2\ Calculated by multiplying total global exports of the Czech Republic, Latvia, Lithuania, and Poland by the
proportion (3.99 percent) of Denmark exports sent to the United States, 43,037 MT out of 1,077,986 MT.
\3\ Calculated by multiplying total global exports of the Czech Republic, Latvia, Lithuania, and Poland by 10
percent.
Table 2 presents the changes resulting from the assumed U.S. pork
imports from the Czech Republic, Latvia, Lithuania, and Poland. These
include annual changes in U.S. consumption, production, wholesale
price, consumer welfare, producer welfare, and net welfare. Our medium
level of pork imports of 5,192 MT (import scenario 2, assuming pork
imports proportional to those received from Denmark) would result in a
decline of $0.47 per metric ton in the wholesale price of pork and a
fall in U.S. production of 2,717 MT. Consumption would increase by
2,475 MT. Producer welfare would decline by $3.9 million and consumer
welfare would increase by $4.1 million, yielding an annual net benefit
of about $230,000.
Import scenario 1 presents impacts assuming a more likely level of
pork imports (proportional to those received from the EU-15). In this
case, price would decrease by $0.22 per metric ton, production would
decline by 1,273 MT, and consumption would increase by 1,160 MT.
Consumer welfare would increase by $1.9 million and producer welfare
would decline by $1.8 million. The annual net benefit would be about
$107,000.
Finally, import scenario 3 presents a case of expanded trade, with
pork imports by the United States assumed to equal 10 percent of global
exports by the four countries. The wholesale price of pork would
decline by $1.19 per metric ton, production would decline by 6,811 MT,
and consumption would increase
[[Page 6497]]
by 6,202 MT. Consumer welfare would increase by $10.3 million, while
producer welfare would decline by $9.7 million. The annual net benefit
would be about $580,000.
In all cases consumer welfare gains would outweigh producer welfare
losses. The decline in producer welfare, even in the last scenario,
would represent less than one-tenth of 1 percent of cash receipts
received from the sale of domestic hogs and pork products.\8\ Thus, our
analysis indicates that U.S. entities are unlikely to be significantly
affected by this rule.
---------------------------------------------------------------------------
\8\ $9.7 million divided by $12.4 billion equals 0.08 percent.
---------------------------------------------------------------------------
The Small Business Administration (SBA) has established guidelines
for determining which types of firms are to be considered small under
the Regulatory Flexibility Act. This rule could affect importers of
live animals or animal products and swine operations with sales.
Meat processing entities (NAICS 311612) and meat and meat product
merchant wholesalers (NAICS 424470) may be affected by this rule. Under
SBA standards, meat processing establishments with no more than 500
employees and meat and meat product wholesalers with no more than 100
employees are considered small. In 2002, there were 1,335 companies in
the United States that processed and sold meat. More than 97 percent of
these establishments are considered to be small entities and had
average sales of $15.4 million, while large meat processors had average
sales of $188 million. In 2002, there were 2,535 meat and meat product
wholesalers in the United States. Of these establishments, 2,456 (97
percent) employed not more than 100 employees and are, thus, considered
small by SBA standards. Small wholesalers had average sales of $9.3
million, while large entities had average sales of $131 million.\9\
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\9\ U.S. Census Bureau, 2002 Economic Census: Manufacturing--
Industries Series, Wholesale Trade--Subject Series and
Transportation and Warehousing--Subject Series, issued August 2006;
and SBA, Small business Size Standards matched to North American
Industry Classification System 2002, effective July 2006.
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Other entities that could theoretically be affected include
refrigerated long-distance trucking firms (NAICS 484230), freight
forwarders (NAICS 488510), and deep sea freight transport companies
(NAICS 483111). The SBA classifies trucking firms as small if their
annual receipts are not more than $23.5 million; freight forwarding
firms are small if their annual receipts are not more than $6.5
million, and deep sea freight transport firms are small if they have
not more than 500 workers. According to the 2002 Economic Census, there
were 3,429 trucking firms, 3,827 freight forwarders, and 195 deep sea
freight transport companies. Over 99 percent of trucking firms, 96
percent freight forwarders, and 97 percent of deep sea freight
transport firms are considered to be small. Thus, predominant numbers
of meat processors, wholesale traders, and transport firms that could
be affected by the rule are considered to be small by SBA standards.
Average sales of even the smallest packers and wholesalers are large
compared to the amount of pork expected to be imported from the four
countries.
U.S. swine and pork producers (NAICS 112210) might be potentially
affected by the proposed rule. According to the 2002 Census of
Agriculture, there were 82,028 hog and pig operations with sales of
184,997,686 hogs and pigs valued at $12.4 billion. These facilities are
considered to be small if their annual receipts are not more than
$750,000. Over 83 percent of these operations (or 68,083) are
considered to be small and had sales of fewer than 2,000 hogs and pigs.
Small operations had a total inventory of 16,297,158 (8.81 percent)
with an average inventory of 237 hogs, while large operations (or
13,945) had sales of 168,700,528 (91.19 percent) with an average
inventory of 12,714 hogs. Based on inventory share, small operations
had annual sales of $1.3 billion and an average income of about
$19,400, while large operations had sales of $11 billion with an
average income of about $834,000. As shown in table 3, the impact of
potential pork imports on U.S. producers as a result of this rule would
be small. The decrease in producer welfare per small entity is less
than $133 or about 0.6 percent of average annual sales of small
entities when we assume that 10 percent of combined global pork exports
by the four countries would be sent to the United States.
Table 3.--The Economic Impact of Potential Pork Imports From the Czech
Republic, Latvia, Lithuania, and Poland on U.S. Small Entities, Assuming
10 Percent of Combined Global Pork Exports by the Four Countries Are
Sent to the United States, 2005 Dollars
------------------------------------------------------------------------
------------------------------------------------------------------------
Total decline in producer welfare \1\...................... $9,715,120
Decrease in welfare incurred by small entities \2\......... 855,902
Average decrease per head of inventory, small entities \3\. 0.05
Average decrease per small entity \4\...................... 124
Average decrease as percentage of average sales, small 0.6%
entities \5\..............................................
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\1\ From table 2. The change in producer welfare is negative indicating
a decline.
\2\ Change in producer welfare multiplied by 8.81 percent from the above
text. We assume that the change in producer welfare would be
proportional to inventory share.
\3\ Decrease in producer welfare for small entities divided by
16,297,158 (see text above).
\4\ Average decrease per head of inventory multiplied by 237 (see text
above).
\5\ Average decrease per small entity divided by $19,400 (see text
above).
Because quantities of swine, swine semen, ruminants, and ruminant
products imported from these countries, if such imports were to occur,
are likely to be very small, effects of the rule with respect to these
commodities are not included in the analysis.
The amounts of pork shipped to the United States under the three
scenarios discussed above would be 2,433 MT, 5,192 MT, and 13,013 MT.
Even when the largest import quantity is assumed, the welfare effect
for U.S. small-entity producers would be equivalent to less than 1
percent of their average revenue.
Predominant numbers of producers, meat processors, and wholesale
traders are considered to be small entities. Other small entities that
could theoretically be affected by the proposed rule include
refrigerated long-distance trucking firms, freight forwarders, and deep
sea freight transport companies. In all cases, any effects of the
proposed rule for these types of businesses are expected to be very
minor.
[[Page 6498]]
Under these circumstances, the Administrator of the Animal and
Plant Health Inspection Service has determined that this action would
not have a significant economic impact on a substantial number of small
entities.
Executive Order 12988
This proposed rule has been reviewed under Executive Order 12988,
Civil Justice Reform. If this proposed rule is adopted: (1) All State
and local laws and regulations that are inconsistent with this rule
will be preempted; (2) no retroactive effect will be given to this
rule; and (3) administrative proceedings will not be required before
parties may file suit in court challenging this rule.
National Environmental Policy Act
To provide the public with documentation of APHIS' review and
analysis of any potential environmental impacts associated with the
proposed addition of the Czech Republic, Latvia, Lithuania, and Poland
to the list of EU countries considered to be low risk for CSF and to
the list of regions recognized as free of SVD, but that are subject to
certain import restrictions, and the addition of Latvia and Lithuania
to the list of regions recognized as free of FMD and rinderpest, but
that are subject to certain import restrictions, we have prepared
environmental assessments for each country.
The environmental assessments were prepared in July or August 2006
and in accordance with: (1) The National Environmental Policy Act of
1969 (NEPA), as amended (42 U.S.C. 4321 et seq.), (2) regulations of
the Council on Environmental Quality for implementing the procedural
provisions of NEPA (40 CFR parts 1500-1508), (3) USDA regulations
implementing NEPA (7 CFR part 1b), and (4) APHIS' NEPA Implementing
Procedures (7 CFR part 372).
The environmental assessments may be viewed on the Regulations.gov
Web site or in our reading room. We invite the public to comment on
those environmental assessments. Comments on the environmental
assessments may be submitted using the same process as comments on the
proposed rule. (Instructions for accessing Regulations.gov and for
submitting comments, and information on the location and hours of the
reading room are provided under the heading ADDRESSES at the beginning
of this proposed rule. In addition, copies may be obtained by calling
or writing to the individual listed under FOR FURTHER INFORMATION
CONTACT.
Paperwork Reduction Act
This proposed rule contains no information collection or
recordkeeping requirements under the Paperwork Reduction Act of 1995
(44 U.S.C. 3501 et seq.).
List of Subjects
9 CFR Part 92
Animal diseases, Imports, Livestock, Poultry and poultry products,
Region, Reporting and recordkeeping requirements.
9 CFR Part 93
Animal diseases, Imports, Livestock, Poultry and poultry products,
Quarantine, Reporting and recordkeeping requirements.
9 CFR Part 94
Animal diseases, Imports, Livestock, Meat and meat products, Milk,
Poultry and poultry products, Reporting and recordkeeping requirements.
9 CFR Part 98
Animal diseases, Imports.
Accordingly, we propose to amend 9 CFR parts 92, 93, 94, and 98 as
follows:
PART 92--IMPORTATION OF ANIMALS AND ANIMAL PRODUCTS: PROCEDURES FOR
REQUESTING RECOGNITION OF REGIONS
1. The authority citation for part 92 would continue to read as
follows:
Authority: 7 U.S.C. 1622 and 8301-8317; 21 U.S.C. 136 and 136a;
31 U.S.C. 9701; 7 CFR 2.22, 2.80, and 371.4.
2. In Sec. 92.1, the definition of European Union would be revised
to read as follows:
Sec. 92.1 Definitions.
* * * * *
European Union. The organization of Member States consisting of
Austria, Belgium, Cyprus, the Czech Republic, Denmark, Estonia,
Finland, France, Germany, Greece, Hungary, Italy, Latvia, Lithuania,
Luxembourg, Malta, the Netherlands, Poland, Portugal, Slovakia,
Slovenia, Republic of Ireland, Spain, Sweden, and the United Kingdom
(England, Scotland, Wales, the Isle of Man, and Northern Ireland).
* * * * *
PART 93--IMPORTATION OF CERTAIN ANIMALS, BIRDS, FISH, AND POULTRY,
AND CERTAIN ANIMAL, BIRD, AND POULTRY PRODUCTS; REQUIREMENTS FOR
MEANS OF CONVEYANCE AND SHIPPING CONTAINERS
3. The authority citation for part 93 would continue to read as
follows:
Authority: 7 U.S.C. 1622 and 8301-8317; 21 U.S.C. 136 and 136a;
31 U.S.C. 9701; 7 CFR 2.22, 2.80, and 371.4.
4. In Sec. 93.500, the definition of European Union-15 (EU-15)
would be removed and a definition of APHIS-defined EU CSF region would
be added, in alphabetical order, to read as follows:
Sec. 93.500 Definitions.
* * * * *
APHIS-defined EU CSF region. The European Union