Guidelines for requesting and administering Ministerial Exemptions for apples

Import and Interprovincial

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(Modified December 3, 2007)

1. Introduction
2. Evidence of shortage
   • Self-identification of Commercial Storage Operators
3. Availibility of Supply
   • Possible outcomes of inspection and monitoring for compliance with the Fresh Fruit and Vegetable Regulations and assessing shortage
4. Long Term Storage
5. Apples for Repacking Intended for Export
   • (A) Apples Produced in Canada
   • (B) Imported apples (other than Apples Produced in Canada)
6. Application
7. Processing of Applications
   • a) for inter-provincial Ministerial Exemptions for apples
   • b) for an import Ministerial Exemption for apples from the USA
   • c) for an import Ministerial Exemption for apples imported directly from places other than the USA and for which a grade is required
8. Payment for Ministerial Exemptions
9. Amendments to Ministerial Exemptions
10. Payment for Amendments

• Appendix A: Designated Canadian Food Inspection Agency Offices
• Appendix B: Self-Identification Template for Commercial Storage Operatiors
• Appendix C: Request for an Exemption Form CFIA/ACIA 4685
• Appendix D: Example - Ministerial Exemption

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1. Introduction

The Fresh Fruit and Vegetable Regulations (Regulations) under the Canada Agricultural Products Act prescribe packaging, labelling and grade requirements for fresh fruits and vegetables entering into inter-provincial or international trade in Canada. Apples are one of thirty domestically produced commodities whose trade is regulated, whether the product is marketed fresh to consumers or is intended for further processing. Processors or packers are free to source their supplies from the area or supplier of their own choice provided those supplies comply with all the requirements of the Act and the Regulations.

In the case of apples, they must meet mandatory quality standards when being marketed in inter-provincial and international trade. The quality parameters prescribed by the Regulations include minimum size limits, standards for uniformity of shape and maturity, as well as establishing tolerances for the presence of defects (damage and injury) which affect the marketability of product.

Additionally, apples are subject to packaging and labelling rules and are required to be certified as meeting regulatory requirements when marketed in inter-provincial and import trade. Pursuant to subsection 5 (2) of the Regulations, apples, a product for which a grade is established, may not be marketed in import or inter-provincial trade in containers exceeding 200 kg. As such, apples moving in bulk containers (bins, etc.) in excess of 200 kg or without proper markings, whether graded to meet the minimum quality standards or not, do not comply with the regulatory requirements set out in the Regulations for packaging and labelling.

Under certain circumstances, regulatory requirements may be exempted and movement of non-compliant product from another province or country may be permitted. Pursuant to subsection 2.2(2) of the Regulations, the Minister or a delegate of the Minister may exempt a product from minimum grade (quality), labelling or packaging requirements prescribed by the Regulations, where the Minister considers it necessary to prevent or alleviate a shortage in Canada of a type of product.

The labelling, packaging and quality requirements may be waived when a Ministerial Exemption is requested for processing purposes. Generally, only the labelling and packaging requirements may be waived when a Ministerial Exemption is requested for repacking purposes. The quality requirement will be dictated by import or inter-provincial regulatory requirements and in some cases, the applicant's specific requirements e.g. size, firmness (pressure test), etc. It should be noted that in all cases, the practice has never been that health and safety requirements be waived.

Such discretionary authority provides the Minister with the ability to assist packers and/or processors to obtain the supplies necessary to continue operating and to meet demand for products by sourcing available supplies from another province or another country.

These guidelines for requesting and administering Ministerial Exemptions are used by the Minister, or a delegate of the Minister, in exercising his or her discretion to issue Ministerial Exemptions for inter-provincial and import trade of fresh apples. In the case of Ministerial Exemptions for fresh fruit and vegetables, the Minister's authority has been delegated to officials within the Canadian Food Inspection Agency (CFIA). Any reference to the Minister in these Guidelines includes the delegated officials within the CFIA.

2. Evidence of shortage

Since an exemption from the regulatory requirements may only be issued by the Minister where it is necessary to prevent or alleviate a shortage in Canada individuals seeking product should demonstrate, with evidence satisfactory to the Minister, that a shortage in supply exists.

Evidence of shortage will generally be considered adequate if, as a minimum, applicants verify availability of domestic supply by contacting commercial storage operators within their respective province. A commercial storage operator is considered to be a storage operator who is responsible for marketing the apples stored by them, and who has voluntarily self-identified with the CFIA as a potential supplier of apples for repackaging or processing.

In the case of inter-provincial exemptions, the applicant should verify availability within the receiving province. In the case of import exemptions, applicants should verify availability within the receiving province and neighbouring provinces.

In most cases, the Minister will consider that the requested product is not available if the applicant can demonstrate (e.g., facsimile send report) that no response was received by the applicant within two (2) working days of the receipt of the request for information. In cases where the storage operators indicate that suitable supplies are available, they are encouraged to provide the applicant with satisfactory information on sources of those supplies as soon as possible.

Evidence of shortage should accompany the application. Documentation may be forwarded to the appropriate office of the CFIA (see Appendix A for CFIA contacts in your region) by letter, facsimile, electronic mail messages or other means of printed communication. It is recommended that evidence of shortage documentation be obtained from the commercial storage operator, on their letterhead, and be signed by a responsible representative of the storage facility. Such evidence provided by the commercial storage operators to the applicants should clearly indicate if there is suitable quality and variety supply available in their province or not. If supply is available, the volume, expected date of availability, or other such wording that would indicate the supply situation should be indicated. Commercial storage operators or coordinating bodies are expected to provide prompt written responses to an applicant's request for information. The responses should only indicate if supply is available or not. Notations on the Ministerial Exemption application will not normally be accepted as evidence of shortage.

Applicants may contact commercial storage operators directly without the assistance of a provincial marketing organization in gathering evidence of shortage. However, where provincial marketing organizations provide a coordination role in the Ministerial Exemption application process, the provincial marketing organization is requested, for consistency purposes, to solicit information on availability from commercial storage operators within their province.

As part of providing evidence of shortage, applicants should demonstrate to the Minister that they have contacted commercial storage operators, who as a group represent a significant majority of the total volume of apples available that are destined for fresh consumption or for processing, within their respective province and neighbouring provinces, as the case may be. From time to time, the total volume of apples destined for fresh consumption or for processing will be assessed by the CFIA in consultation with Agriculture and Agri-Food Canada, the Canadian Horticultural Council and provincial organizations using industry crop estimates, storage holding estimates, and any Statistics Canada data that may be available.

In addition, any other information which may be beneficial to the Minister in determining the availability of domestic supply and/or considering the application for exemption may also be taken into consideration.

If supply is determined to be available in Canada, the Minister will reject the application or portion thereof until supply is not available.

Applicants are encouraged to identify dates for shipping and packing of product to assist in establishing appropriate start dates and cut-off dates for the Ministerial Exemption.

• Self-identification of Commercial Storage Operators

To assist the Agency in assessing shortage, commercial storage operators are encouraged to voluntarily self-identify to the CFIA, Fresh Fruit and Vegetable Program, Room 2017, 159 Cleopatra Drive, Ottawa, Ontario, K1A 0Y9; Fax: 613-221-7294 in order to be considered as a potential domestic supplier in the exercise of assessing shortage and availability in considering a request for a Ministerial Exemption for apples.

In this case, commercial storage operators should provide the CFIA with the address of the facility, responsible party's name (and an alternate), e-mail address, and telephone number, including a listing of apple varieties stored by storage method (e.g., cold, controlled atmosphere), volumes stored for each variety, reported in orchard bin totals or kilograms according to end use (fresh, peeler, juice); and an estimate of the quality for each variety. A sample self-identification form is attached to these Guidelines as Appendix B.

From time to time, the CFIA may verify data provided by the commercial storage operators through examination of data derived from the Canadian Apple Storage Reports prepared by Agriculture and Agri-Food Canada. Storage operators are requested to self-identify with the CFIA by December 31 in each crop year.

3. Availibility of Supply

In the evaluation of supply, commercial storage operators, potential suppliers, or provincial coordination bodies are encouraged to consider any additional quality parameters (or special tolerances) that applicants include on the application. For the purposes of these guidelines, Additional quality parameters (or special tolerances) mean any product specifications or quality attributes identified by the applicant in the Special Tolerances field of the Request for an Exemption to the Fresh Fruit and Vegetable Regulations form. Additional quality parameters are those which are quantifiable or measurable and which could be verified through inspection. Other special quality parameters (e.g., organically produced) will be considered on a case by case basis by the Minister. Examples of applicant's quality parameters include, but are not limited to: pressure test (firmness), uniformity of colour on surface of apple, and remarks on size.

In the case of apples for repackaging, supply will generally be considered to be available if a bulk lot of apples is available for shipping and, at the time when the bulk lot would be shipped, the bulk lot of apples meets the applicant's additional quality parameters (or special tolerances), if any, and the standards for the grade declared on the application. An additional administrative tolerance of 15%, including not more than 3% of the apples affected by decay will generally be applied to the tolerances established in the Fresh Fruit and Vegetable Regulations for apples. Additional quality parameters (or special tolerances) generally will not be subject to the additional tolerance of 15%. General Tolerances at the Time of Shipping or Repacking established in the Grades and Standards for Apples can be found in Schedule I, Part I of the Fresh Fruit and Vegetable Regulations. Please refer to the Tolerances Table - Ministerial Exemption Guidelines for Apples [September 25, 2007] attached to these Guidelines for further information.

Generally, in the case of apples for processing, the product need not meet one of the grades specified in the Fresh Fruit and Vegetable Regulations, but may be subject to applicant quality parameters specified on the application.

In addition to the above noted tolerances, supply will normally be considered to be available if fifty (50) bins or more of apples are available at one location.

To assist the Minister and potential suppliers in assessing shortage or available supply, applicants are requested to include any additional quality parameter requirements on the Special Remarks section of the Ministerial Exemption application.

From time to time, availability may be subject to review in the exercise of determining shortage for apples. In these instances, the supplier or receiver (applicant) may request an inspection from the CFIA pursuant to Part VII, paragraph 40(2) of the Fresh Fruit and Vegetable Regulations. Requests for inspection should be submitted in writing to the nearest CFIA office and make reference to the Ministerial Exemption application or contract number.

The inspection may be performed at either the shipping or receiving point. It should be noted that, consistent with section 43 of the Fresh Fruit and Vegetable Regulations, requests for inspection can only be made by persons having a financial interest in the produce (i.e., supplier or receiver). Generally, in cases where an applicant alleges that the suitability of the lot of apples is not consistent with the quality requested in the Ministerial Exemption application, the applicant should provide evidence in the form of a CFIA inspection report to confirm the quality in question.

The CFIA may, in addition to the inspection request, monitor/inspect product at the point of shipment or may monitor grading and packing at the packer's establishment to verify suitability of supply. The CFIA will consider the results of any inspection performed, the results of any monitoring performed, the details of the Ministerial Exemption application, and minimum regulatory requirements in determining shortage and available supply. The CFIA will advise the parties regarding the decision reached and any follow up actions that may be required by the parties.

• Possible Outcomes of Inspection and Monitoring for Compliance with the Fresh Fruit and Vegetable Regulations and assessing shortage

Should the CFIA determine through either inspection or monitoring that the apple quality is not suitable as per the conditions of the Ministerial Exemption application and the Fresh Fruit and Vegetable Regulations the storage operator will be notified of the problem.

As a first step, the storage operator will be provided with an opportunity to provide an alternate lot for the purpose of supplying the product required, if it can be made available within a reasonable amount of time (generally within one business day) and be of suitable quality. In these situations, on a case-by-case basis, the Minister may grant a portion of the Ministerial Exemption request while suitable supply is being determined. This second lot or replacement lot presented by the storage operator may be subject to inspection by the CFIA. The responsibility for making the product available for inspection and providing suitable inspection facilities is generally considered to be the responsibility of the storage operator. If the replacement lot is not satisfactory, the storage operator will be notified that the product is not considered to be suitable supply. Generally, the applicant will be granted permission to source supply from elsewhere through a Ministerial Exemption. Should the replacement lot be determined to be satisfactory, the applicant generally will not be granted an exemption if suitable product is available within the province.

In the case where the second or replacement lot presented is found to be unsatisfactory, the storage operator will be advised that further shipments of apples, required to meet the same or similar quality parameters from their respective facility, may be subject to mandatory inspection at point of shipment for a minimum of three (3) loads.

Repeated failures on the part of the storage operator to provide suitable quality fruit may result in the CFIA removing the facility from the list of Commercial Storage Operators considered as being a potential supplier.

As a second step, where product is found to be suitable and proceeds to the applicant's premises, it would be advisable for the packer to notify CFIA of when they intend to begin packing the product and not begin packing until CFIA inspection staff is on site. The CFIA will be present to monitor the grading and packing of the product. Should it be determined that excessive grade out of product is occurring, the applicant's privilege of providing additional quality parameters could be suspended for a minimum of three (3) Ministerial Exemption applications.

Among other measures, if non-compliance of the system is determined, the Minister may refuse to consider Ministerial Exemption applications or letters providing evidence of availability.

Inspection costs will be borne by the party requesting the inspection.

4. Long Term Storage

Ministerial Exemptions may be used as a vehicle to permit the movement of ungraded fruit in bulk packaging formats to storage operator facilities in another jurisdiction/province solely for the purpose of long term storage or for long term storage and marketing later in the crop year.

An application for a Ministerial Exemption must be provided prior to conveyance of the apples to the province of storage.

The Minister will generally consider applications to move ungraded fruit in bulk packaging formats to storage facilities for the purposes of marketing under the following conditions:

a) The variety sought is not available within the province of storage in commercial quantities; or,

b) The variety sought is available within the province of storage however, a crop failure or weather event (or other such circumstances that would result in diminished marketability) has diminished available supply within the province, of the same variety, by 20%.

In cases other than those mentioned in the preceding paragraph and sub-paragraphs (a) and (b) above, and for the purposes of long term storage only, evidence of shortage is not required at the time of conveyance. Evidence of shortage must be provided, in accordance with sections 2 and 3 of these Guidelines, prior to the intent to market the apples from long term storage. If supply is determined to be available at that time, the Minister may reject the application or portion thereof.

As in other situations, the Ministerial Exemption application form should be used by applicants when applying for permission to move fruit for long term storage purposes. To provide for proper consideration of the request, applicants are requested to indicate that the purpose of the request is for Long Term Storage.

5. Apples for Repacking Intended for Export

(A) Apples Produced in Canada

Generally speaking, where an applicant has a contract for supply of packaged apples to a foreign destination outside Canada, and there is no written evidence the product to be packed must be of an origin other than Canadian, applicants and potential suppliers should follow the Guidelines outlined in sections 2 and 3 above.

(B) Imported Apples (other than Apples Produced in Canada)

Generally speaking, shortage will be recognized for Ministerial Exemption applications for apples for repackaging intended for export outside of Canada when the applicant provides written evidence to the CFIA that their contract for supply of packaged product requires that the apples be of an origin other than Canadian (e.g., preparing packed product for US School Lunch Program, etc).

To assist the Minister in considering the application, applicants should indicate on the Ministerial Exemption application the intended end use for the product and should identify that special origin requirements are required (e.g., import for re-export to supply US School Lunch Program, import for re-export to supply attached contract). Applications submitted without the additional documentation will be subject to the process in section 2 and 3 of these Guidelines. Applicants are encouraged to identify delivery dates for packaged product to assist in establishing appropriate start dates and cut-off dates for the Ministerial Exemption.

Applicant's records may be reviewed by the CFIA to verify product was exported. Should it be determined, the package product was diverted into the Canadian market, future requests for Ministerial Exemptions from the applicant may be subject to the general procedures outlined in sections 2 and 3 of these Guidelines.

As it relates to both sections A and B of this part of the Guidelines, should repeated non-compliance of the Regulations and/or Guidelines be determined, the Minister may refuse to accept requests for Ministerial Exemptions from the applicant.

6. Application

The applicant completes an application for a Ministerial Exemption and submits it to the CFIA office in the receiving province along with the supporting evidence and payment for the number of loads requested.

A standardized Request for an Exemption to the Fresh Fruit and Vegetable Regulations form is attached to these guidelines (Appendix C). This form may be photocopied or typeset copies may be obtained from designated CFIA offices (See Section 8 Payment for Ministerial Exemptions).

The applicant is responsible for verifying that the apples for which a Ministerial Exemption is requested are in compliance with any other applicable Acts and Regulations, e.g., Food and Drugs Act and Regulations, Plant Protection Act and Regulations, etc.

7. Processing of Applications

Upon receipt of an application, to the appropriate CFIA office, (refer to Appendix A to these Guidelines for contact information) CFIA officials shall:

• Review the application, and submitted evidence to ascertain the completeness of the submission; and
• Ensure the proper payment for the Ministerial exemption is received.

If deficiencies are apparent, the applicant will be advised and the application will be placed on hold until the required information has been supplied or the proper payment has been received.

When the application appears to be complete, the delegate of the Minister will:

• Verify, prior to approval, any plant health requirements; and,
• If necessary, seek additional information relating to the application from other relevant parties in order to arrive at a decision.

a) For inter-provincial Ministerial Exemptions for apples:

• When satisfied, the Minister will generally approve the requested Ministerial Exemption, approve a portion of it or deny the request if an apparent shortage in the available supply from domestic production is not confirmed.
• The Ministerial Exemption will be issued on CFIA letterhead with a contract number. This Ministerial Exemption will indicate the total number of loads granted.
• A subsequent document must be requested from the point of origin (shipping point), whereby Ministerial Exemptions will be printed for each individual load and authorized by a CFIA official.

b) For import Ministerial Exemptions for apples:

• When satisfied, a CFIA official will recommend approval of the requested Ministerial Exemption, recommend approval of a portion of it, or recommend that the request be denied if an apparent shortage in the available supply from domestic production is not confirmed.
• Upon receipt of the recommendation, the delegate of the Minister in the CFIA's Agrifood Division will commence a review of the information and, if necessary, seek additional information relating to the application from other relevant parties in order to arrive at a decision.
• When satisfied, the Ministerial Exemption will be issued on CFIA letterhead with a contract number. This Ministerial Exemption will indicate the total number of loads granted.
• The CFIA's Agrifood Division will fax the issued Ministerial Exemption to the USDA, to the appropriate Area or Regional office, and the applicant.
• The USDA shipping point inspector will issue an inspection certificate certifying that this particular load meets the requirements of the Ministerial Exemption issued by the Minister under Contract No. . This inspection certificate will be in the form of a Memorandum of Inspection for Canadian Destinations, (FV-205).

c) For import Ministerial Exemptions for apples imported directly from places other than the US and for which a grade is required:

Directly imported means that the load is entering Canada without passing through any other country or is passing through the US under a Customs Bond.

The control measures and requirements are explained under 7 b) of these Guidelines and will apply in this situation, except the Ministerial Exemption is not forwarded to USDA by CFIA. In this situation, the applicant must ensure that the original Ministerial Exemption(s) are at the point of entry when the load(s) enter Canada (e.g., courier the original Ministerial Exemption to the Customs' Broker at the point of entry, to ensure that every load is accompanied by an original Ministerial Exemption).

The applicant is required to notify the nearest CFIA inspection office of its arrival, whereby an inspection will be performed to ensure compliance with the required grade as per the Fresh Fruit and Vegetable Regulations.

Should the bulk load not comply with the required grade, the applicant will be given options for its disposal.

Failure to notify the nearest CFIA inspection office on the arrival of each and every load will result further control measures to ensure that loads are subject to inspection.

Other information such as border crossing, Plant Health arrangements or other comments may be included on the Ministerial Exemption application form and may be included on the Ministerial Exemption.

When an exemption for only a portion of the volume requested on the original application is granted, CFIA will advise the applicant of the change in volume. Additionally, when an application is denied, the CFIA will notify the applicant of the decision in writing, return the application with a statement that the request has been denied and return the applicable payment.

8. Payment for Ministerial Exemptions

As noted in Section 6, the applicant must submit payment of the fee with the application for an exemption from the Fresh Fruit and Vegetable Regulations.

In accordance with section 2 of Part 6 of the Canadian Food Inspection Agency Fees Notice pursuant to the Canadian Food Inspection Agency Act, the fees prescribed for Ministerial Exemptions shall be paid at the time of the request for an exemption or the fee prescribed by this Notice is payable on receipt of a statement for services supplied by the CFIA.

The fee that is payable for a Ministerial Exemption conferred under Item 1 of the Table in Part 6 of the Canadian Food Inspection Agency Fees Notice is $20.00 per load.

No refund will be given for unused portions of an approved Ministerial Exemption, except in the case where the CFIA has terminated the Ministerial Exemption earlier than stated on the Ministerial Exemption. Unused portions of  an issued Ministerial Exemption may be transferred to a new application provided the applicant can substantiate there are loads remaining (e.g., letter from Customs Broker, return of unused contracts, etc). See sections 9 and 10 below for application process when requesting a transfer of unused portions.

When a request for Ministerial Exemption is denied, the CFIA will return the application along with the payment to the applicant.

9. Amendments to Ministerial Exemptions

The applicant must complete a new application for any amendment to an existing Ministerial Exemption. The application for an amendment must be submitted to the Program Network Specialist in the receiving region.

In certain circumstances, the applicant may be asked to provide additional evidence that the product is still in shortage. This will especially be true at the beginning of Canadian harvest periods.

10. Payment for Amendments

No fee will be charged for an amendment to an existing Ministerial Exemption when the amendment is for a change to:

• The name and address of shipper(s);
• The quality requirements (i.e., grade, size, or applicant's quality parameters); or
• The cut-off date.

A new Ministerial Exemption must be issued and payment will be requested when the applicant wishes to increase the quantity from what was originally applied for.

A new Ministerial Exemption must be issued when the applicant wishes to change the state when importing from the United States.

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Appendix A - Designated Canadian Food Inspection Agency Offices

Alberta
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
Room W1-03, 1115-57 Avenue North East
Calgary, Alberta
T2G 4X3
Telephone: 403-292-6746
Facsimile: 403-292-6629

Atlantic
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
850 Lincoln Road
P.O. Box 2222
Fredericton, New Brunswick
E3B 5G4
Telephone: 506-452-3453
Facsimile: 506-452-3923

British Columbia
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
4321 Still Creek Drive, Suite 400
Burnaby, British Columbia
V5C 6S7
Telephone: 604-666-7778
Facsimile: 604-666-1963

Manitoba/Saskatchewan
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
762-269 Main Street 
Winnipeg, Manitoba
R3C 1B2
Telephone: 204-984-6186
Facsimile: 204-983-8022

Ontario
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
174 Stone Road 
Guelph, Ontario
N1G 4S9
Telephone: 519-837-9400
Facsimile: 519-837-9772

Quebec
Fresh Fruit and Vegetable Program Network Specialist / Agrifood Division
7^th Floor, University Street Montreal, Quebec
H3A 3N2
Telephone: 514-283-8888
Facsimile: 514-283-3272

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Appendix B:

Self-Identification Template for Commercial Storage Operators for Peelers

PDF (123 kb)

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Self-Identification Template for Commercial Storage Operators for Repackaging

PDF (123 kb)

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Self-Identification Template for Commercial Storage Operators for Processing

PDF (123 kb)

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Appendix C:

Request for an Exemption Form: CFIA/ACIA 4685

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Appendix D:

Example - Ministerial Exemption

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Tolerances Table - Ministerial Exemption Guidelines for Apples

General Tolerances at the Time of Shipping for Apples
Fresh Fruit and Vegetable Regulations

Total General Tolerance at the time of Shipping

Quality

10% Total Grade Defects;

• with no more than 5% same defect allowed; and,
• including not more than 2% for Decay

Size

• 5% undersize (for example, under 2 3/8 inches)
• 15% (including Grade Defects and undersize)

Additional Administrative Tolerance

Total General and Additional Administrative Tolerance

15% Applied to Grade Defects and Undersize (2 3/8 inches)

• including, not more than an additional 3% for decay.

The Additional Administrative Tolerance can be applied to either Grade or Undersize or combination thereof, but not to exceed 15%

30% Grade Defects including not more than 5% decay

Maximum tolerances permitted:

• 25% Grade Defects maximum, plus 5% Undersize; or
• 10% Grade Defects maximum, plus 20% Undersize; or
• Any combination of defects (quality and size) not exceeding 30%, including not more than 20% for undersize.

Example: An applicant requests Canada Fancy Grade, 60% 2 ½ inches and up

If inspection of the lot intended to supply the request for Canada Fancy Grade, 60% 2 ½ inches and up results in 10% Grade Defects and 20% Undersize (under 2 3/8) with 60% of remaining apples in lot meeting or exceeding 2 ½ minimum diameter being reported; generally, the lot would be considered as available or suitable supply.