Organic 101 Greg Johnson, Editor The Packer
Organic is Thriving 24,650 ORGANIC FARMS + BUSINESSES The nearly $50 billion-a-year industry is supported by more than 24,650 certified organic operations nationwide, from strawberries to beef, wheat to eggs, and cotton to cosmetics. Source: OTA.com
Top 10 States in Organic Sales Ten states account for 78% of U.S. certified organic sales (farm gate) $ million California $2,436 Washington $626 Pennsylvania $332 Oregon $269 Wisconsin $222 New York $221 Texas $210 Michigan $187 Colorado $155 Arizona $129 Source: United States Department of Agriculture
Organic Food Sales The $15.6-billion organic fruits and vegetables sector accounted for almost 40 percent of all organic food sales. Across all organic food categories, shoppers are placing high value on freshness and convenience. In produce, grab-and-go salads and ready-to-eat veggies (fresh or frozen), were top sellers. Source: OTA.com
Organic Sales by category Source: FreshLook Marketing retail scan data
Organic Sales by category Source: FreshLook Marketing retail scan data
Overview of the USDA National Organic Program Organic 101 January 26, 2018 Presented by Ramkrishnan Balasubramanian Quality Certification Services www.qcsinfo.org
National Organic Program Based on the Organic Food Productions Act (part of the 1990 Farm Bill) National Organic Program Final Rule (October 21, 2002) Regulates who can use the term organic on food and fiber products in the US
Organic Production - Basic Principles Site-specific cultural, biological and mechanical system of crop production that fosters cycling of resources, promote ecological balance and conserve biodiversity. System managed in accordance with OFPA
Who has to be certified? Any farm operation with $5,000 annual gross organic sales must be certified. Civil penalties for selling non-certified products or making false statements.
Exemptions to Certification Farm operation with less than $5,000 annual gross sales Must comply with all organic regulations Must have records to demonstrate compliance Cannot use the USDA seal Products cannot be used as organic ingredients by another handling operation Exclusions apply only to handling operations (i.e. grocery stores and restaurants)
Organic System Plan Overview 7 CFR 205.201 1. Production and handling practices 2. Inputs 3. Monitoring 4. Record-keeping 5. Prevention of commingling and contact w/ prohibited substances 6. Additional info needed by certifier
Developing and Organic System Plan Certified Operations Certification Application is your OSP Certification based on implementation of OSP Notify certifier and get approval prior to changing your plan Exempt Operations Organic System Plan is optional
Prohibited Practices 7 CFR 205.105 Synthetic substances unless on the National List Use of non-synthetic substances on 7 CFR 205.602 Treated wood in contact with crop, soil or livestock Recombinant DNA technology (Excluded Method) Sewage Sludge Ionizing Radiation
Recordkeeping requirements 7 CFR 205.103 Adapt records to your operation Fully disclose all activities and transactions in sufficient detail to be readily understood and audited Maintain for 5 years (certified) or 3 years (exempt) Able to demonstrate compliance Make available for inspection
Why so much paperwork? 7 CFR 205.103 Certified Operations Demonstrate implementation of OSP Inspection is only a snapshot Traceability from harvest to sales Exempt Operations To demonstrate that your practices meet the standards in the event of an audit
Labeling Certified Organic 100% Organic or Organic 100% Organic cannot be used if crops are sanitized post harvest Use of USDA seal is optional if used, must be exact seal, no alterations Must identify the certifier on the information panel: Certified organic by Must display production lot number on non-retail containers, if applicable
Labeling Non-Certified Exempt Cannot say 100% Organic Cannot use the USDA Seal Cannot make reference to certification Cannot be represented as organic in a product processed by another operation
Steps to Certification Request and complete Organic System Plan application and submit to certifier Implementation of OSP by the operation Review of OSP by the certifying agent Inspection of the operation to verify compliance Review of inspection report by certifier Certification Decision
Additional Resources National Organic Program: www.ams.usda.gov/nop OSP forms and record-keeping templates from ATTRA: https://attra.ncat.org/attra-pub/pdf/producerforms.pdf Small Scale Organics Guidebook: http://kerrcenter.com/publications/small-scaleorganics.pdf Organic Materials Review Institute: www.omri.org
Thank you! Ramkrishnan Balasubramanian Chief Operating Officer Quality Certification Services (QCS) Phone: (352) 377-0133 Fax: 866-456-0091 E-mail: Ram@qcsinfo.org www.qcsinfo.org QCS Main Office PO Box 12311 Gainesville FL 32604 Phone: 352-377-0133; Fax: 352-377-8363 www.qcsinfo.org
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Organic 101 Erica Renaud, Regional Business Manager Vitalis Organic Seed
Organic 101