---
kind: "range"
citation: "7 C.F.R. §§ 930.55–930.57"
title: "7"
from: "930.55"
to: "930.57"
count: 3
url: "https://uscodex.org/cfr/7/930.55..930.57"
---

# §930.55. Primary inventory reserves.

- (a) Whenever the Secretary has fixed the free market tonnage and restricted percentages for any fiscal period, as provided for in [§ 930.51(a)](/cfr/7/930.51.md?p=a), each handler in a regulated district shall place in his or her primary inventory reserve for such period, at such time, and in such manner, as the Board may prescribe, or otherwise divert, according to [§ 930.59](/cfr/7/930.59.md), a portion of the cherries acquired during such period.
- (b) The form of the cherries, frozen, canned in any form, dried, or concentrated juice, placed in the primary inventory reserve is at the option of the handler. The product(s) placed by the handler in the primary inventory reserve must have been produced in either the current or the preceding two crop years. Except as may be limited by [§ 930.50(i)](/cfr/7/930.50.md?p=i) or as may be permitted pursuant to §§ [930.59](/cfr/7/930.59.md) and [930.62](/cfr/7/930.62.md), such inventory reserve portion shall be equal to the sum of the products obtained by multiplying the weight or volume of the cherries in each lot of cherries acquired during the fiscal period by the then effective restricted percentage fixed by the Secretary; Provided, That in converting cherries in each lot to the form chosen by the handler, the inventory reserve obligations shall be adjusted in accordance with uniform rules adopted by the Board in terms of raw fruit equivalent.
- (c) Inventory reserve cherries shall meet such standards of grade, quality, or condition as the Board, with the approval of the Secretary, may establish. All such cherries shall be inspected by USDA. A certificate of such inspection shall be issued which shall show, among other things, the name and address of the handler, the number and type of containers in the lot, the grade of the product, the location where the lot is stored, identification marks (can codes or lot stamp), and a certification that the cherries meet the prescribed standards. Promptly after inspection and certification, each such handler shall submit, or cause to be submitted, to the Board, at the place designated by the Board, a copy of the certificate of inspection issued with respect to such cherries.
- (d) Handlers shall be compensated for inspection costs incurred on cherries placed in the primary inventory reserve. All reporting of cherries placed in, rotated in and out, or released from an inventory reserve shall be in accordance with rules and procedures established by the Board, with the approval of the Secretary. The Board could, with the approval of the Secretary, also limit the number of inspections of reserve cherries being rotated into inventory reserves for which the Board would be financially liable.
- (e) Except as provided in [§ 930.54](/cfr/7/930.54.md), handlers may not sell inventory reserve cherries prior to their official release by the Board. Handlers may rotate cherries in their inventory reserves with prior notification to the Board. All cherries rotated into the inventory reserve must meet the applicable inspection requirements.

# §930.56. Off-premise inventory reserve.


Any handler may, upon notification to the Board, arrange to hold inventory reserve, of his or her own production or which was purchased, on the premises of another handler or in an approved commercial storage facility in the same manner as though the inventory reserve were on the handler's own premises.


# §930.57. Secondary inventory reserve.

- (a) In the event the inventory reserve established under [§ 930.55](/cfr/7/930.55.md) of this part is at its maximum volume, and the Board has announced, in accordance with [§ 930.50](/cfr/7/930.50.md), that volume regulation will be necessary to maintain an orderly supply of quality cherries for the market, handlers in a regulated district may elect to place in a secondary inventory reserve all or a portion of the cherries the volume regulation would otherwise require them to divert in accordance with [§ 930.59](/cfr/7/930.59.md).
- (b) Should any handler in a regulated district exercise his or her right to establish a secondary inventory reserve under [paragraph (a)](#a) of this section, all costs of maintaining that reserve, as well as inspection costs, will be the responsibility of the individual handler.
- (c) The secondary inventory reserve shall be established in accordance with §§ [930.55 (b)](/cfr/7/930.55.md?p=b) and [(c)](/cfr/7/930.55.md?p=c) and such other rules and regulations which the Board, with the approval of the Secretary, may establish.
- (d) The Board shall retain control over the release of any cherries from the secondary inventory reserve. No cherries may be released from the secondary reserve until all cherries in any primary inventory reserve established under [§ 930.55](/cfr/7/930.55.md) have been released. Any release of the secondary inventory reserve shall be in accordance with the annual marketing policy and with [§ 930.54](/cfr/7/930.54.md).