Organic industry looking for help against fraud

Organic farming in the U.S. is a blossoming business opportunity for farmers across the country. Overall industry sales totaled $1 billion in 1990 when the nation’s organic laws passed, and then reached a recent high of $55 billion. Unfortunately, there are some unintended loopholes in the regulations that allow non-organic products to be labeled as organic. The industry is concerned about the effect on the credibility of their label.

Organic
The U.S. organic industry is concerned about the credibility of the label and are looking to strengthen enforcement rules governing the industry. (photo from geneticliteracyproject.org)

The Organic Trade Association is one of several groups working on closing the loopholes and making enforcement of the regulations more uniform. They’ve been working on it since 2017 when the Washington Post reported on 36 million pounds of fraudulently labeled soybeans that entered the United States.

“We started our legislative work in 2018 when the new farm bill went into effect,” said Gwendolyn Wyard, the Vice President of Regulatory and Technical Affairs. “That gave the National Organic Program the support, funding, and the authorization to do its work.”

The USDA released a proposed rule last July designed to detect and deter the kind of fraud the industry is fighting. The National Farmers Union points out that millions of dollars of non-organic products have been intentionally mislabeled and sold in the U.S. The scale of the problem is large and requires equally large solutions.

Wyard says this is the largest single piece of rule-making since the USDA organic regulations first went into effect in 2002. She calls it a complete overhaul of the rules that will strengthen the oversight and enforcement of rules governing the production and sale of products. “It will close gaps in the supply chain and strengthen regulations to prevent fraud,” Wyard added.

“We must do this, and we do it right,” she said. “Shoppers need to know that organic standards are strong. Fraud takes the value out of the supply chain and hurts producers wherever they farm. We rely entirely on consumer trust.”

Here’s the rest of the conversation.

Organic farmers get to give their opinions to MDA

Organic farmers, the Minnesota Department of Agriculture wants to know what’s been on your mind lately. Feels a little like a rhetorical question but let’s go with it. There’s a survey on the way to your mailbox and it’s a great chance to tell the state’s Ag Department wants going on out there on the ground.

organic farmers

The state currently has 800 certified organic operations and they’re all getting a survey in the mail this month. The survey will ask Minnesota’s organic farmers to share both their opinions and experiences in the business these days. The survey will include 27 questions about several important topics, including profitability, production costs and challenges, research needs, marketing, and your overall outlook.

“The insights that organic farmers share helps us to focus programs and resources on areas that will make a difference in their bottom lines,” says Assistant Commissioner Patrice Bailey. “Organic market demand is very strong, and we want to do all we can to help existing and new organic farmers to capitalize on that fact.”

Minnesota’s organi farmers have an opportunity to share their opinions and insights in a survey coming from the Minnesota Department of Agriculture. It’ll land in the mailboxes of the 800 certified operations in the state very soon. (Photo from allianceforscience.cornell.edu.)

Organic products just continue to grow in popularity, and not just in Minnesota. The U.S. organic market hit a new record high in 2018, topping out at $52.5 billion in sales. The 2019 Organic Industry Survey from the Organic Trade Association says that’s up 6.3 percent from the previous year.

If you’re a certified organic farmer that doesn’t see a survey show up in the mailbox, contact MDA’s Organic Specialist Cassie Dahl at 651-201-6134 to get a copy of the survey. It’s your chance to tell the MDA what’s going on in the world of organic farming, as well as a chance to offer some opinions on how things can be even better.

The MDA says the survey results will be available on their website this fall.

Organic Farming adding acres and operations

Organic farming is growing to meet the increasing demand for its products. A report from Mercaris, an organic industry data service, says the U.S. now has roughly 6.5 million acres of organically certified land. The number of certified organic farms is three percent higher this year than in 2017. Laura Batcha, CEO/Executive Director of the Organic Trade Association, says that great is news.

Organic Farming
Laura Batcha, CEO/Executive Director of the Organic Trade Association, says they’re pleased with the numbers in the Mercaris report that show the organic industry is growing at a steady rate across America. (Photo from OTA.com)

“We always welcome seeing an increase in U.S. acres dedicated to organic farming,” Batcha said. “It’s something very important to see an increase in the overall value chain and the sustainability of the industry, as a whole.

“We’ve been investing in some particular initiatives that have an emphasis on increasing production in terms of row crops, including row crops and small grains,” Batcha added. “It’s really nice to see the number of acres has grown in the last year. Our members worked on projects to help to increase knowledge transfer that would support farmers transitioning their acres (to organic), so it’s nice to see that particular crop types and geographies are showing an increase.”

Some of those geographies include states along the East Coast, through the Corn Belt, and through the West. Those areas reported the largest gains in total certified operations. Just those three regions alone added 430 certified organic farming operations. Batcha is pleased that organic is spreading to different locations.

 

 

 

Batcha said the goal is to keep a nice and steady growth in the number of organic areas and operations across the country. That’s not necessarily an easy thing to do because there’s no one way of doing things in organic production that applies to all products.

“It’s tough to talk about keys to growing the industry as a whole because you have to look at it from a crop-specific perspective,” she said. “You also need to look at things from a regional perspective. What works for specialty crops in California won’t be the same thing that works for small grains in the Great Plains.

“The industry is focusing on several things right now,” Batcha added. “Organic regulations require crop rotation and cover-cropping. Organic farms have longer and more complex crop rotations (than traditional farming). What is needed is for crops in different rotations to have access to markets. It’s an emphasis the whole supply chain is looking at. Some of our farms may have six or seven different crops and we want healthy markets for all of them.

“The other thing the (Mercaris) report calls out is improving transparency in terms of data and statistics in the organic industry,” Batcha said. “But there are still gaps. The report recommended the same thing that our members have already brought to the Department of Agriculture. The recommendation we want is to see that the reporting of acreage from the certified agencies to the USDA to be a mandatory data transfer on an annual basis. It’s not only important for good statistics that inform policy choices, as well as farmer decision-making out in their fields.”

There are now 17,648 U.S. farms certified as compliant with the USDA National Organic Farming Program standards for organic row crop production. Total organic acres increased from 6.4 million acres in 2017.

The data company calls the report the only trusted information source on organic farmland statistics because the Department of Agriculture’s National Agricultural Statistics Service will not be issuing data on organic acreage for 2018.