This regulation establishes an exemption from the requirement of a tolerance for residues of the microbial pesticide Streptomyces lydicus WYEC 108 on all agricultural commodities when applied/used in accordance with label directions. Natural Industries, Inc. submitted a petition to EPA under the Federal Food, Drug, and Cosmetic Act (FFDCA), as amended by the Food Quality Protection Act of 1996 (FQPA), requesting an exemption from the requirement of a tolerance. This regulation eliminates the need to establish a maximum permissible level for residues of Streptomyces lydicus WYEC 108.