Inspection Grading and Standardization

To develop and apply standards of quality and condition for agricultural commodities; to participate and assist in the development of international agricultural standards; and to conduct quarterly inspections of egg handlers and hatcheries.


Agency - Department of Agriculture

Established in 1862, the Department of Agriculture serves all Americans through anti-hunger efforts, stewardship of nearly 200 million acres of national forest and rangelands, and through product safety and conservation efforts. The USDA opens markets for American farmers and ranchers and provides food for needy people around the world.

Office - Local Agricultural Marketing Service inspection, grading, and classing offices are listed in Appendix IV of the Catalog.


Program Accomplishments

Number of bales of cotton classed in (thousands) fiscal year 2004, 18,306; fiscal year 2005, estimate 20,193; and fiscal year 2006 estimate, 17,726. Number of tobacco auction markets inspected fiscal year 2004, 100; fiscal year 2005, estimate 80; and fiscal year 2006, estimate 0. Pounds of imported and domestic tobacco inspected in (millions) fiscal year 2004, 1,246; fiscal year 2005, estimate 466; and fiscal year 2006, estimate 60. Pounds of poultry products graded (in millions) fiscal year 2004, 12,623; fiscal year 2005, 12,886; and fiscal year 2006, 13,102. Pounds of meat graded or accepted (in millions) fiscal year 2004, 39,745; fiscal year 2005, estimate 40,000; and fiscal year 2006, estimate 40,500. Shell eggs grading (mil. dz.) fiscal year 2004, 2,620; fiscal year 2005, estimate 2,690; and fiscal year 2006, estimate 2,750. Processed fruit and vegetable grading (mil. lbs.) fiscal year 2004, 20,131; fiscal year 2005, estimate 20,250; and fiscal year 2006, estimate 20,500. Fresh fruit and vegetable grading (mil. lbs.) fiscal year 2004, 76,000; fiscal year 2005, estimate 72,200; and fiscal year 2006, estimate 70,000. Livestock grading (mil. lbs.) fiscal year 2004, 40; fiscal year 2005, estimate 40; and fiscal year 2006, estimate 40. Dairy products grading (mil. lbs.) fiscal year 2004, 1,600; fiscal year 2005, estimate 1,560; and fiscal year 2006, estimate 1,570.

Uses and Use Restrictions

USDA grades are used by the owners of agricultural commodities and by dealers in these commodities to Hatcheries and shell egg handlers, except for producer-packers with an annual production from 3,000 hens or less packing for the retail consumer are required to be checked quarterly to determine the disposition of certain undergrade eggs.



Eligibility Requirements

Applicant Eligibility

Any owner of or dealer in agricultural commodities who (a) has a financial interest in the commodity to be graded and (b) is located within the United States and its Territories.

All hatcheries and shell egg handlers having an annual production from 3,000 or more hens who pack for the retail consumer and are located within the U.S.

or its Territories.

Beneficiary Eligibility

Buyers and sellers of agricultural commodities. Shell egg handlers having an annual production from 3,000 or more hens who pack for the retail consumer and are located in the U.S. or its Territories.

Credentials/Documentation

None.

Aplication and Award Process

Preapplication Coordination

None.

This program is excluded from coverage under E.O.

12372.

Application Procedures

Request for grading of a commodity must be submitted to local AMS grading office in writing. Eligible hatcheries apply for registration by contacting: Chief, Poultry Grading Branch, Agricultural Marketing Service, Department of Agriculture, Washington, DC 20250.

Award Procedures

Eligible hatcheries and shell egg handlers must complete registration forms.

Deadlines

None.

Authorization

Agricultural Marketing Act of 1946, 7 U.S.C. 1622a-J, 1-n; Cotton Statistics and Estimates Act, 7 U.S.C. 473d; Cotton Futures Act, 7 U.S.C. 15b; Cotton Standards Act, 7 U.S.C. 51-65; Naval Stores Act, 7 U.S.C. 91-99; Tobacco Inspection Act, 7 U.S.C. 511 i-q; Wool Standards Act, 7 U.S.C. 415b-d; Egg Products Inspection Act, Public Law 91-597, 21 U.S.C. 1031-1056; Dairy and Tobacco Adjustment Act of 1983, 7 U.S.C. 4501-4513; Tobacco Statistics Act, 7 U.S.C. 501-508; Food Security Act of 1985, as amended.

Range of Approval/Disapproval Time

None.

Appeals

In cases in which applicants do not agree with the grade given, they may appeal for a review of the grade to the local AMS office.

Renewals

None.

Assistance Considerations

Formula and Matching Requirements

None.

Length and Time Phasing of Assistance

None.

Post Assistance Requirements

Reports

None.

Audits

In accordance with the provisions of 7 CFR Part 3052, which implement OMB Circular No. A-133 (Revised, June 27, 2003), Audits of States, Local Governments, and Nonprofit Organizations; nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 7 CFR 3052.

Records

None.

Financial Information

Account Identification

12-2500-0-1-352; 12-8015-0-7-352.

Obigations

FY 07 $192,129,000; FY 08 est $198,132,000; and FY 09 est not reported.

Range and Average of Financial Assistance

Not applicable.

Regulations, Guidelines, and Literature

7 CFR 26-32, 41-70, 160- 171, 205; AH-533, "USDA Standards for Food and Farm Products;" Marketing Bulletin No. 37, "The Story of Cotton;" "Annual Report on Tobacco Statistics, AH-566, The Classification of Cotton;" Misc. Pub. No. 867, "Tobacco in the U.S.;" quarterly report-- "Tobacco Stocks Reports as of Jan. 1, April 1, July 1, and October 1;" MS-82, "Cotton Testing Service;" AMS-180 MB-41, "Market News Service on Cotton; " MB-43, 7 CFR 2851, 2852, 2853, 2855, 2856, 2858, 2870, 28171; AH-341, "USDA Standards for Food and Farm Products." AH-31, "Poultry Grading Manual." AH-75, "Egg Grading Manual." Egg and Egg Products Inspection Regulations (7 CFR Part 2859); POB-FL-33, Tobacco Market Review for Flue-cured; POB-LA-34, Tobacco Market Review for Burley; POB-LA-33, Tobacco Market Review for Fire and Dark Air.

Information Contacts

Regional or Local Office

Local Agricultural Marketing Service inspection, grading, and classing offices are listed in Appendix IV of the Catalog.

Headquarters Office

Associate Administrator, Agricultural Marketing Service, Department of Agriculture, Washington, DC 20250. Telephone: (202) 720-4276. Contact: Dr. Ken Clayton.

Criteria for Selecting Proposals

None.



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