Agricultural Products, Promote

Establishes standards for Made in Hawaii agricultural and food
products.  Appropriates funds for enforcement.  Appropriates
$100,000 to DBEDT to rent warehouse space in Hawaii and
California to promote Hawaii agricultural products.

HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT


 1      SECTION 1.  Hawaii's agricultural products are second to
 2 none.  Our Kona coffee, Kona beef, macadamia nuts, exotic
 3 flowers, tropical fruits, and fresh vegetables form the basis for
 4 a genuine gourmet market.  Additionally, Hawaii's food processing
 5 contributes $1,300,000,000 in state sales revenues, $110,000,000
 6 in state taxes, and forty per cent of the State's entire
 7 employment in the manufacturing sector.  However, it is difficult
 8 to market our products on the mainland, due to shipping and
 9 advertising costs.  Individual agricultural producers do not have
10 the resources to make a significant impact on mainland markets.
11 State assistance is necessary to help agricultural producers of
12 the State publicize the quality and variety of Hawaii
13 agricultural products.
14      The purpose of this Act is two-fold:  to establish standards
15 and a logo for one hundred per cent made-in-Hawaii food and
16 agricultural products, and to provide funds for the department of
17 agriculture to establish a receiving center in Hawaii, including
18 a warehouse and cooling facility for collection of agricultural
19 products, and a distribution center in California, including a
20 warehouse and a cooling facility, for the promotion and sale of

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                                     H.B. NO.           

 1 agricultural products.  This will boost the state economy through
 2 the revitalization of diversified agriculture.
 3      SECTION 2.  Chapter 486, Hawaii Revised Statutes, is amended
 4 by adding a new section to be appropriately designated and to
 5 read as follows:
 6      "486-    Made in Hawaii agricultural and food products.
 7 (a)  Any agricultural or food product that is either grown in the
 8 State, or fully manufactured in the State, may be labeled with
 9 the "Made in Hawaii" logo described in subsection (b).  Any
10 person who so labels an agricultural or food product that does
11 not meet the standards of this section shall be subject to the
12 penalties stated in section 486-32(b).
13      (b)  The "Made in Hawaii" logo contains the words "Made in"
14 in yellow in a bar, on top of the word "Hawaii" suspended over a
15 hibiscus blossom, with the words "with Aloha" in yellow in a bar
16 beneath the hibiscus.  Use of any logo that is substantially
17 similar to this logo on a product that does not meet the
18 requirements of subsection (a) shall be considered a violation of
19 this chapter.
20      (c)  As used in this section, "agricultural or food product"
21 includes floricultural, horticultural, viticultural, forestry,
22 nut, coffee, dairy, livestock, poultry, bee, farm or plantation
23 products, fish and aquacultural products, as well as food items

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                                     H.B. NO.           

 1 wholly manufactured in the State."
 2      SECTION 3.  Section 486-119, Hawaii Revised Statutes, is
 3 amended to read as follows:
 4      "[[]486-119[]]  Hawaii-made products.  No person shall
 5 keep, offer, display or expose for sale, or solicit for the sale
 6 of any item, product, souvenir, or any other merchandise which is
 7 labeled "made in Hawaii" or which by any other means
 8 misrepresents the origin of the item as being from any place
 9 within the State, which has not been manufactured, assembled,
10 fabricated, or produced within the State and which has not had at
11 least fifty-one per cent of its wholesale value added by
12 manufacture, assembly, fabrication, or production within the
13 State.  This section shall not apply to agricultural or food
14 products covered by section 486-  ."
15      SECTION 4.  There is appropriated out of the general
16 revenues of the State of Hawaii the sum of $          , or so
17 much thereof as may be necessary for fiscal year 1999-2000, for
18 the purpose of enforcing the "Made in Hawaii" law.
19      SECTION 5.  There is appropriated out of the general
20 revenues of the State of Hawaii the sum of $100,000, or so much
21 thereof as may be necessary for fiscal year 1999-2000, to rent
22 warehouse space, including cooling facilities in Hawaii and
23 California to receive, store, sell, and promote Hawaii

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                                     H.B. NO.           

 1 agricultural products, as defined in section 421-1.
 2      SECTION 6.  The sums appropriated shall be expended by the
 3 department of agriculture for the purposes of this Act.
 4      SECTION 7.  This Act shall take effect on July 1, 1999.
 6                           INTRODUCED BY:  _______________________