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California Citrus Growers Sue Florida over Quarantine (DJ)

Source: Dow Jones Newswires
19/12/2007

Sacramento, Dec. 19 - For decades, the little black fungus has been a pest so common and minor that California citrus farmers say they nearly forgot about it.

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So they were taken by surprise earlier this month when it prompted Florida to begin quarantining truckloads of oranges. The move has threatened to cut off one of California's most lucrative domestic markets for oranges, lemons and grapefruits and prompted a lawsuit by the California citrus industry.

"We've stopped shipping to Florida. It's hurting," said Joel Nelson, president of the California Citrus Mutual, a nonprofit representing farmers who grow 200,000 acres of citrus. "The cruise lines are crying, the retail stores are crying, the trucking companies are crying. This affects a lot of people, all along the line."

California exports about $75 million worth of citrus to Florida each year.

Growers and agricultural officials faced off in state court in Tallahassee Tuesday battling over the validity of the quarantine, with a decision by the judge expected as soon as Wednesday.

The fight is unusual territory for the nation's two citrus titans.

The relationship between the Florida and California industries has usually been a cordial one, in large part because their markets are different. Most of Florida's crop is crushed for juice, while most of California's is sold as whole fruit.

But on Dec. 7, Florida officials declared a quarantine on California citrus, idling hundreds of tractor trailers a week that normally are bound for the Sunshine State.

At issue is Septoria citri, a common fungus the U.S. Department of Agriculture has classified as a disease of "minor significance" to citrus crops. Under the quarantine, every container of California citrus must be inspected for Septoria citri spots, treated with a fungicide and stamped with a certificate authorized by the state.

Steve Lyle, spokesman for the California Department of Food and Agriculture, said he doesn't believe any California grower has yet been certified to meet Florida's stringent new requirements. Growers say they will not be able to fully meet the requirements before the end of the season.

California growers are convinced the quarantine is retaliation for federal rules that have banned Florida orange exports to California, Texas and other citrus-growing states. Those rules are an attempt to prevent the spread of the more infectious citrus canker disease.

To meet the Septoria citri requirements, California growers and shippers say they will have to radically change the way they package and haul California citrus to Florida and elsewhere.

Rarely does one tractor trailer deliver to just one state. To meet the new requirements, growers will have to tailor shipments to Florida and document them, a process that will cost more, require more trips and drive up prices, growers say.

Florida officials dispute that the quarantine is malicious or retaliatory.

Rather, state regulators say they have simply decided that enough is enough and that they will do anything necessary to protect Florida growers who have been forced to destroy entire groves to deal with citrus canker, greening disease and leaf miner.

Septoria citri, which isn't found in Florida, could scar more of the state's harvest, Florida officials say.

The disease first appears as small, pitted lesions and ultimately can cause premature fruit drop. Under a microscope, the fungus has dark spores that appear hairy.

South Korea began requiring inspections of citrus from two California counties for Septoria citri four years ago. The U.S. and South Korea remain embroiled in a trade dispute over the inspections.

"They say (citri's) been in California for years, so why do we need to do this now? Well, frankly, we were not aware of how much it was in California and our job is (to) protect our growers. We just don't need another disease in this state right now," said Liz Compton, spokeswoman for the Florida Department of Agriculture and Consumer Services.

"To be clear, we're not saying we don't want (the fruit). We're just saying we don't want the disease."

California growers - led by the citrus nonprofit and Sunkist Growers - have sued the state. They claim the ban on California imports amounts to violations of interstate commerce and unjustifiably discriminates against California products. There were just two documented cases of the fungus in California last year, according to the lawsuit.

"This action is not to protect the health and safety of the Florida citrus industry, but is an improper burden upon interstate commerce that protects the Florida fresh industry at the expense of the California fresh industry," according to the lawsuit.

California growers ship about 7,000 tractor trailers full of citrus to Florida annually.

Florida imports oranges from California because 90% of its commercial orange production is crushed to make fresh orange juice. Only about 21% of California oranges are used to produce juice.

The citrus industries in California and Florida are mirror images in size, about $1.1 billion in annual sales each, according to the lawsuit.

California is seeking an emergency injunction to lift the quarantine. After an all-day hearing Tuesday, 2nd Judicial Circuit Court Judge William L. Gary said he would rule on the case Wednesday, Compton said.



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