(Adopted April 25, 2003, Amended May 22, 2009)

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1 DRC GOOD ARRIVAL GUIDELINES (Adopted April 25, 2003, Amended May 22, 2009) Section 16 of the DRC Trading Standards policy on grade and condition standards for commodities stipulates: With regard to grade and condition of product, the parties may agree to any specific standards prior to shipment on the condition that such standards are in compliance with any applicable minimum grade and condition standards that have been established by the importing or exporting country. In the absence of an agreement on grade, no grade will be assumed, but the calculation of conformance to contract will default to the Corporation s Good Arrival s. With a few exceptions, the Corporation s Good Arrival s are the 5 Day FOB Good Delivery s. In Canada, the Corporation s Good Arrival s are a combination of the 5 Day FOB s and Canadian Statutory Destination Tolerances and Suitable s. In default situations in Canada the Corporation will use the 5 Day s for all commodities, with the exception of the thirty (30) commodities for which there are minimum standards under the Canadian Fresh Fruit & Vegetable Regulations and for which the Canadian Board of Arbitration have established Suitable Shipping Condition s. The Corporation s Good Arrival s assume sales are FOB shipping point with regard to risk, regardless of how freight is billed. Those claiming contracts with different tolerances or transit risk passing at locations other than shipping point will bear that burden of proof. This table represents a comparison of the percentage of defects allowed by various regulatory bodies. The first column contains the most common fruits and vegetables in alphabetical order. The second column represents a summary of the tolerance of the US Grade Standards. They are for US #1 unless otherwise noted. The first number is the total number of defects allowed by the grade. The middle number is the maximum number of serious defects allowed by the grade. Not all products have a separate tolerance for serious damage. The last number represents the maximum amount of decay allowed by the grade. Some products have both origin and destination tolerances established, for those commodities the destination tolerance has been shown. Page 65

2 The third column is the used by to determine if the shipper has complied with the warranty of suitable shipping condition. It is an attempt to define the maximum defects allowed at destination for an FOB shipping point transaction. The additional tolerances allowed by good delivery over the USDA grade standards are for condition defects only. Statutory Standards are established only for head lettuce. for all other commodities are established on a case by case basis. These numbers should be viewed only as guidelines. These guidelines are used only for contracts where risk is designated as FOB shipping point. The fourth column is the used in Canada to determine if the shipper has complied with the warranty of suitable shipping condition. It covers the thirty-one commodities for which Canadian Grade Standards have been established and it defines the maximum defects allowed at destination for an FOB shipping point transaction. The standards for thirty commodities are mandatory and they establish the minimum requirements for import and interprovincial trade. The grade for strawberries is voluntary (marked with an asterisk). Condition defects do not apply against the grade for the remaining twenty-one commodities. The first number is the total number of defects allowed by the grade. The second number is the total amount of permanent (grade) defects allowed. The third number is the maximum permitted for any single permanent (grade) defect. The fourth number is the maximum permitted for any single condition defect (not all products have a separate tolerance for this). The last number represents the maximum amount of decay allowed by the grade. Page 66

3 s 2 A Anise, Sweet Apples Apricots Artichokes Asparagus Avocados B Bananas No Stds.? Beans, Fava No Stds Beans, Lima Beans, Snap Beets Blackberries & Dewberries Blueberries Broccoli * *No more than 1% foreign material Brussels Sprouts C Cabbage Cantaloupes Carrots, Bunched Carrots, Topped Carrots, Trimmed Tops Cauliflower Page 67

4 s 2 Celery Cherries, Sweet (US #1) Cherries, Sweet (Wash.#1) Corn Crabapples Cranberries 5-5? Cucumbers Cucumbers, Greenhouse E Eggplant Endive, Escarole, Chicory G Garlic Grapes, American Type Grapes, European Type Grapes, Juice Grapes, Muscadine Grapefruit, Florida Grapefruit, Texas See Stds. 15-[8 vsd]-4 Grapefruit, CA and AZ Greens, Beet Greens, Broccoli &Collard Greens, Dandelion Greens, Mustard & Turnip Page 68

5 s 2 H Horseradish Root K Kale Kiwifruit L Lemons Lettuce, Leaf Lettuce, Head (Iceberg) Limes M Mangoes Melons, Honeydew Mushrooms N Nectarines O Okra Onions, Grano/Granex Onions, Other Than Onions, Green Onions, Creole Oranges, Florida Oranges, Texas See Stds * *Applies to all onions Page 69

6 s 2 Oranges, CA and AZ P Parsley Parsnips Peas Peas, Snow Peas, Southern ? Peaches Pears, All Types Peppers, Sweet Pineapple Plums & Prunes (Italian) See Stds. Plums, All Other Types Potatoes, Seed Potatoes, Table R See Stds. 10-[7 int., 7 ext]-2 14-[10 int., 10 ext]-3 Radishes Raspberries * *no more than 3% hollow heart, 5% undersized, 5% oversized Rhubarb Romaine Rutabagas S Shallots Page 70

7 s 2 Spinach, Plants Spinach, Leaves Spinach, Bunched Squash, Summer Types Squash, Winter Types Strawberries * Sweet Potatoes T Tangerines, Florida Tangerines, Other Tomatoes, Greenhouse Tomatoes, Fresh & Cherry 15-[10 SDA][10 other]-[5 vsd]-5 20-[15 SDA][15 other][8 vsd]-8 Tomatoes (TOV) Turnips W Watermelon Canada Tolerances (Unless otherwise noted) 5 part Total - total permanent - same permanent - same condition - decay 2 - US Tolerances (Unless otherwise noted) 2 part Total - decay 3 part Total - serious decay 3 not enough cases have been filed with the to establish a definite guideline Page 71

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