California almonds exporters face new USDA treatment regulation

California almonds exporters face new USDA treatment regulation The U.S. Department of Agriculture has issued new handling guidelines for the export of raw almond grown in California in an effort to reduce the possibility of salmonella contamination.
   The USDA marketing order, which took effect Friday, requires exporters to treat almonds with proven and known technology either on-site or by treatment at off-site facilities. Handlers of exports have until Sept. 1 to comply with the new order.
   The program, being administered locally by the Almond Board of California (ABC), provides for an exemption for handlers who ship untreated almonds under a direct verifiable program to manufacturers within the United States, Canada or Mexico who agree to treat the almonds accordingly. The program also provides for an exemption for handlers who ship untreated almonds to locations outside of the United States, Canada or Mexico. All containers of untreated almonds shipped under the two exemptions must be prominently identified with the term “unpasteurized.”
   In 2001, a salmonella outbreak was identified in Canada, which was linked to a specific retailer, traced back to raw almonds sold in bulk bins, and ultimately traced back to the handler and three California orchards.
   Following an additional outbreak in the spring of 2004 in Oregon, a voluntary action plan was issued calling for treatment of all almonds to reduce the potential for salmonella. Handlers were encouraged to treat the almonds prior to shipment, or ship the almonds to a manufacturer who agreed to treat the almonds. This led to an August 2006 plan to implement Friday's order.
   There are about 6,000 producers of almonds in California and about 115 handlers subject to the order. Additionally, the ABC estimates there will be about 25 process authorities, 53 almond manufacturers, 50 DV program auditors, and 20 off-site California treatment facilities impacted by this rule.
   Data reported by the National Agricultural Statistics Service lists the value of almond exports during the 2003-2005 growing years as $2.04 billion. The average annual producer revenue is about $340,000.
   The almond industry’s 6,000 growers produce about 1 billion pounds annually. Industry members expect production to increase by 50 percent in the next three to five years, due to a significant amount of newly planted acreage that will come into production.
   ABC figures show that about 27 of the more than 100 handlers each process 10 million pounds of crop each year, or 82 percent of the total crop.
   According to data provided by the ABC, about 300 million pounds, or 30 percent of California almonds, are sold domestically. The remaining 70 percent of California almond production is exported to more than 80 countries worldwide. Mexico and Canada account for about 5 percent of export shipments. Sixteen handlers are responsible for 90 percent of domestic shipments. Many of these are among the 38 that are responsible for 90 percent of exports.