2006 Annual Report 4d.Progress report. This report serves to document research conducted under a specific cooperative agreement between ARS and Rutgers University. Additional details of research can be found in the report for the parent project 1275-22000-242-00D, “Biological Control of the Coffee Berry Borer.” A serious problem in the coffee industry is the presence of a toxic chemical known as ochratoxin A, produced by some fungi in the genera Aspergillus and Penicillium. A fungus isolated from the coffee berry borer parasitoid Prorops nasuta, identified as Aspergillus westerdijkiae, tested positive for ochratoxin A production, with levels varying depending upon the media in which it was grown. These results raise the possibility that an insect parasitoid might be disseminating an ochratoxin-producing fungus in coffee plantations. Studies aimed at understanding biocompetition between fungal endophytes in coffee and the fungal insect pathogen Beauveria bassiana are on-going.