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Report

WINTER 2015

ORGANIC

Addressing
Organic
Supply
Challenges

Growing the Sector // Labor Issues // Meet OTAs Board


Resolutions and Predictions // New Year, New Congress

FRON T PIECE
Build in g B ri dges

uilding the bridge between organic demand and


supply is a challenge that is becoming more and
more pressing for our sector. On one hand, it is
exciting that demand for organic products continues to
grow by leaps and bounds. At the same time, we cannot
ignore the need to increase domestic production.
Our cover article (beginning on Page 4) explores this
challenge and highlights efforts to bridge this gap,
including the gains for organic in the 2014 Farm Bill and the collection of
updated organic production data that can be used to bring additional
investment to the sector.
This is accompanied by articles highlighting how retailers are ramping up
their organic offerings, the importance of organic imports and exports, and the
labor challenges facing agricultural operations, including organic.
As another year gets started, some of the contents of this magazine offer
encouragement and inspiration. Our End Piece (Page 43), eloquently written by
OTAs first Member of the Year Steve Crider, outlines four seeds of
encouragement. Our centerfold (Pages 2223) provides 10 resolutions offered
by The Organic Center based on recent scientific findings.
Meanwhile, our focus on OTAs Board of Directors (Pages 2931) gives a
clearer sense of those at the helm of our trade association, who are there to
listen to you and to take actions that reflect what you, the members, want for
moving the industry forward.
Still other sectionsthe Legislative Report (Pages 1819) and Organic PAC
article (Pages 3435)are clear reminders of the importance of bridging with
our legislators and with federal agencies. We now have a new Congress in place
in D.C. Some of its members have heard our messages before. Others are new to
serving in Washington. This provides additional opportunities to get out the
organic story, and to continue to cultivate understanding.
Moreover, our Regulatory Update (Pages 1617) shows the importance of
staying on our toes as major regulatory actions develop in the next two years.
We have made great strides for organic in recent years. But our work is not
done.
I would encourage you to attend OTAs Organic Week in Washington April
1416 (Page 34) to be an active part in building bridges for organic. There will
be speakers and discussions on the critical issues facing the organic sector in
member working sessions, a powerhouse Policy Conference, and an advocacy
day in which we will visit legislators and agency officials in pre-arranged
meetings.
Together, we can build lasting bridges that will continue to grow the success
of organic agriculture and trade.

Laura Batcha
OTAs CEO/Executive Director

OTA BOARD OF DIRECTORS


Melissa Hughes
Organic Valley
President
Sarah Bird
Ecologic Brands Inc.
Vice PresidentUSA
Dag Falck
Natures Path Foods
Vice PresidentCanada
Melody Meyer
UNFI
Secretary
Tony Bedard
Frontier Natural Products Co-op
Treasurer
Ryan Benn
Alive Publishing Group Inc.
Samantha Cabaluna
Earthbound Farm
Perry Clutts
Pleasantview Farm
Nicole Dawes
Late July Organic Snacks
Kim Dietz
Smucker Natural Foods
Chris Ely
Applegate Farms
Jesse Laflamme
Pete and Gerrys Organics
Kelly Shea
WhiteWave Foods
Marci Zaroff
Portico Brand Group
Leslie Zuck
Pennsylvania Certified Organic

Contributors
Laura Batcha, Amy Bovaird, Tracy Campany,
Henry Chen, Steve Crider, Kelly Damewood,
Matthew Holmes, Angela Jagiello, Marni
Karlin, Nathaniel Lewis, Linda Lutz, Tracy
Misiewicz, Monique Marez, Maggie McNeil,
Jane Rabinowicz, Linda Richards, Jessica
Shade, Kelly Taveras, Gwendolyn Wyard,
and Tessa Young.
Editor: Barbara Haumann
Design & Production: Lynne Rudi
Copyright 2015, Organic Trade
Association
The Organic Report is published by the
Organic Trade Association as a service to
its members and the organic community.
Re-publication of short excerpts is permitted
without fee. Contact Organic Trade
Association staff to arrange for use of longer
material.
The material contained in this magazine is
for the information of OTA members.
Although the information is believed to be
correct, OTA disclaims all responsibility for
any damage or reliance on the information
contained in this publication.
ORGANIC TRADE ASSOCIATION
Headquarters
Hall of The States, 444 N. Capitol St., NW
Suite 445A, Washington, DC 20001
Member Services
28 Vernon St., Suite 413,
Brattleboro, VT 05301
Web: www.ota.com E-mail: info@ota.com
Phone: 802-275-3800 Fax: 802-275-3801

Organic Report Winter 2015

Contents
FEATURES
4

14
22
29

22

Organic Supply and Demand


Bridging the gap
Retailers ramp up their offerings
Growing imports and exports
Labor Challenges
Organic burger chain enters new growth phase
Organic New Years Resolutions & Predictions
Introducing OTAs Board of Directors

NEWS FROM OTA


34
39

Organic PAC
Organic-Palooza

END PIECE
43

Four seeds of encouragement for 2015

REGULATORY
16
17

Ready, set, GO! A two-year regulatory sprint


Regulatory action timeline

LEGISLATIVE

29

18

New Year, New Congress

EXPORT PROMOTION
36

OTA seminars in Japan, HS Code Task Force,


Sign up for an exporter interview, Events Calendar

43
DEPARTMENTS
20
21
24
25
26
32

Farmers Advisory Council


Update from CCOF Inc.
Focus on Fiber
New Members
Canada News
News & Trends

40
41

New Products
News Bites

Display Ads
5, 7, 12, 13, 15, 19,
32, 33, 34, 42

Cover Photo by Phil Augustavo of P.M. Augustavo Photography: Harvested


wheat flows from a truck into a grain elevator.

Organic Report Winter 2015

ORGAN I C SUPPLY A ND D EMA ND BR I D G I NG T HE G A P


Prov i ding t he proper to o ls to help t he secto r g r ow

By Maggie McNeil
very year, more than 150 applicants from around
the country seek admission to the now 48-year-old organic
farm apprenticeship program at the Santa Cruz campus of
the University of California. In Iowa, organic farmers of all ages and
experience levels have been gathering for almost 15 years in the fall at
the University of Iowa to share tips on
organic farming. Across the state of
Georgia, farmers who want to make
the move into organic are
participating in a brand new program
sponsored by the Georgia
Department of Agriculture that will
pay the costs of obtaining organic
certification.
Throughout the country, programs
old and new are underway to grow
organic acreage and boost organic
outputby teaching current and future
farmers about organic production,
helping to ease the financial burdens of
transitioning into organic, better
disseminating the latest information
and research on organic to organic
stakeholders, and building and
strengthening networks that link
organic farmers to each other and to
the public and private services that can
assist them in their operations.
And these efforts have paid off.
Since the early 1990s, the number of
acres in the U.S. in organic cropland
or organic pastures has risen from
under a million to now almost 5.5
million, according to the U.S.
Department of Agriculture (USDA).
There are now some 15,000 farmers
and ranchers in this country engaged
in organic production, and another
3,000-plus farmers in the process of
converting to organic.
But while organic acreage has
posted a noteworthy fivefold increase,
it still amounts to less than 1 percent
of the nations more than 900 million acres of crops and pastures.
Production of organic produce and organic dairy output have
increased by double digits, but organic output of corn, soybean,
wheat and other major field crops has risen only negligibly.
In the meantime, demand for organic products has soared by
more than 30 times. Annual organic sales amounted to less than a
billion dollars back in the 1990s; by 2013, the U.S. organic market
had ballooned to more than $35 billion. In 2015, it shows no signs of

Students learn about the correct soil


moisture for planting at the organically
managed Alan Chadwick Garden at the
University of California at Santa Cruz.
The Santa Cruz campus trains future
organic farmers through its organic
farm apprenticeship program.
Photo: Damian Parr.

Organic Report Winter 2015

A sign in MOMs Organic Markets new store in D.C.


proudly proclaims all produce sold there is certified
organic. Photo: Erica Federhen.

slowing.
In fact, the biggest constraint for organic demand has
become tight organic supplies.
How we build the bridge between demand and the lack of
raw organic commodity is the organic industrys most critical
challenge, says Laura Batcha, CEO and Executive Director of
the Organic Trade Association (OTA). It is very hard not to
hear about supply shortages across the boardfrom
processors, from retailers. Despite these shortages, however,
OTA forecasts a 15 percent growth in organic demand this
year, with the often-scarce supplies holding the reins on even
greater growth.

FEELING THE PINCH


Exacerbated by the unrelenting drought in California (the
nations most prolific organic producer), unusually cold
weather in parts of the country in early 2014, and the steady
growing appetite for organic, media reports this past year
highlighted empty shelves in grocery stores throughout the
country where organic products should have been. Shortages
of organic eggs were widespread in the spring. Organic milk
shortages were reported in the fall across the U.S. Certain
types of organic produce were either hard to come by or
posting prices that were more than double from a year ago
because of tight supplies.
The most acute shortages have been felt in the organic
dairy and egg aisles. Experts say a big reason for this is that
not enough organic corn and soybeansmaking up a large
Organic Report Winter 2015

portion of the organic feed for chickens and


livestockare being grown domestically.
Organic dairy supplies are a huge problem
right now, due in large part to the inadequate
supply of organic feed grains, says Catherine
Greene, USDA economist and long-time organic
specialist. Weve seen shortages of organic feed
grain on a regular basis for more than a decade.
Certified organic soybean production has
actually stagnated since early 2000, and while
organic corn acreage has slowly increased, it has
not been enough to match the demand for
organic feed grains.
For folks on the ground, on the farms, and in
the grocery stores, the situation is increasingly
urgent.
We continue to be frustrated finding enough
domestic production to meet domestic demand,
Lynn Clarkson, founder and president of organic
grain buyer and handler Clarkson Grain in Illinois,
said in an interview with National Public Radio in
the spring of 2014.
There is an actual shortage, said Lisa de
Lima of MOMs Organic Market retail chain. De
Lima, Vice President of Grocery for MOMs,
oversees dairy, dairy food, milk, and value-added
products. She told the Organic Report that in addition to the
expected shortages in February and March due to weather, the
store has for the past few years been dealing with tight supplies

Helping
organic
grow

throughout the year as demand for


organic has risen, and competition
among organic retailers has increased.
The U.S. food industry is a giant
industry, selling more than $760 billion
worth of food every year. Smaller
specialty retail chains like MOMs with
its dozen stores are dwarfed by WalMart, the nations largest grocer with
more than 4,000 stores, Kroger with its
almost 2,500 stores, and Safeways some
1,400 stores.
Until a few years ago, MOMs biggest
competitor in the organic market was
Whole Foods Market, with its almost
400 stores. But as demand for organic
has skyrocketed, mainstream grocery
retailers have entered the game. Kroger
and Safeway have steadily upped their
organic offerings; big box retailer Costco
has seen dramatic growth in its organic
sales, and the behemoth retailers WalMart and Target (close to 2,000 stores)
made headlines last year when they each
unveiled plans to significantly beef up
the number of their organic selections.
(See Retailers ramp up their organic
offerings article in this issue.)
The worry of the long-term is what
happens as the bigger retailers add more
organic products to their shelves, said
de Lima. We will definitely see organic
demand grow, but the question for the
industry is if we can keep up with that
demand.

Once a producer changes to an organic


production mode, they have altered their
relationship to their immediate
community, a community where there is
likely a long history of personal
relationships. No longer will the organic
producer show much interest in the cost
of inputs such as anhydrous ammonia,
GMO seed or the price of December
corn. Additionally, a neighbor who is a
conventional producer may be viewed as
a threat because of the drift potential of
herbicide and GMO pollen, says Dr.
Kathleen Delate, professor of organic

system readily supplied, and forego the


organic price premium for the first two
crop years, says Delate. These include a
sophisticated array of production aids
such insecticides, herbicides, fungicides,
patented seeds, and fertilizer, as well as
marketing aids, such as the almost
innumerable marketing advisory
services, and dedicated trade entities,
such as Farm Bureau, and the Chicago
Board of Trade where the producer and
their banker can view real-time crop
pricing over a range of dates.
The lack of accurate and up-to-date

BRIDGING THE GAP


Its hard to buck what is now known as
conventional agriculturethe
agricultural production system that has
been almost exclusively promoted by the
federal government and the private agribusiness industry for nearly 70 years.
More than a generation of farmers have
grown up knowing no other system:
they talk shop with their farmer friends
at the local grain elevator or the cafe;
they trade marketing tips at their seed
dealers or with their broker; they have a
network of professional experts to turn
to for almost any question they may
have regarding conventional farming
practices.
Not so when a farmer converts to
organic agriculture, a road still much less
traveled in most parts of the country.
The social aspects of changing
production practices are very important.

Field days and farmers trainings are part of efforts to encourage new and
existing farmers on organic farming practices.
Photo: Midwest Organic & Sustainable Education Service.

agriculture at Iowa State University and


the first tenure-track organic research
and extension specialist in the nation
when hired by ISU 17 years ago.
Besides the social and mind-set
changes that can challenge the decision
to switch to organic, the required threeyear transition period before farmers
can become certified organic is probably
the most often-cited factor in
discouraging would-be organic growers.
The 36-month conversion period is
perhaps a universal challenge because
the producer must learn to farm without
the inputs and support their former

data about the organic sector, which


helps organic farmers to make more
informed decisions about what to grow,
what quantities the market needs, and
what prices are available, also has been a
significant impediment to expanding
organic acreage. Paltry funding for
organic research has discouraged USDA,
land-grant universities and other
government-funded research programs
from moving forward in work aimed at
improving organic farm practices,
developing organic-compliant responses
to disease and insect threats, and
developing new seed varieties for
Organic Report Winter 2015

Kathleen Delate (right), who leads Iowa State Universitys Long-Term


Agroecological Research experiment comparing organic and conventional
systems, exchanges information with researchers in Italy during a recent
sabbatical. In the background are organic artichokes.
Photo courtesy Kathleen Delate.

organic farming.
Fortunately, more help is becoming
available to assist farmers in moving to
organic.
The 2014 Farm Bill was viewed as a
coming of age for organic. This
massive legislation, which OTA fought
hard to get passed and made into law,
contains important gains for the organic
industry. These advances include
unprecedented funding increases for
several organic programsmore
assistance with organic certification
costs, an expansion of organic research
and data collection, improvements in
technical assistance and crop
insuranceand the authorization to
USDA to consider an application for an
organic check-off program.
In a major step forward for the
organic industry, and in large part the
result of intense lobbying by OTA,
USDAs National Agricultural Statistics
Service (NASS) is conducting a
comprehensive survey of the U.S.
organic agricultural sector in early
January. The 2014 Organic Survey will
be mailed to all known organic
producers in the United States, and will
look at aspects from organic production
and marketing practices to income and
expenses. The 2014 survey follows the
2008 Organic Production Survey. Full
surveys of the organic sector are planned
Organic Report Winter 2015

their lives to growing healthy food and


protecting the environment is not an
easy one, and choosing to do it the
organic way is an even harder choice.
We all realize that getting started in
any kind of farming is enormously
difficult, says Meg Moynihan, head of the
Minnesota Department of Agricultures
Organic Program and certified organic
dairy farmer. Organic farms are typically
more complex than their conventional
counterparts, and having solid researchbased information is critical to existing
and prospective organic farmsand for
organic farms across the country, not just
in Minnesota.
Regular data about organic
production so that individuals are
comfortable to move into the organic
sector, more financial assistance to folks
making the transition to organic, crop
insurance that gives real protection to
organic growers, and engagement by all
sectors of the industry, from new players
and existing stakeholders to
policymakers and regulatorsare all
tools that will help bridge the gap
between organic supply and organic
demand. //

to be conducted every five years.


The results of the organic survey will
shape future decisions by policymakers
regarding organic farm policy, funding
allocations for the organic sector,
availability of goods
and services in the
organic system, and
other key issues. For
organic stakeholders
and individuals
considering a move to
organic, it will provide
timely information on
the growth trends of
the sector, what types
of lands are
transitioning from
conventional to
organic, current price
and marketing
information, data on
organic production
costs, and a host of
other information
necessary in making
informed business
decisions.
Americas
farmersand its
future farmersare a
,K
careful, intelligent,
skillful lot. Their
,
decision to devote

RETAILERS RA MP UP THEI R O F F ER I NG S

Part of the reason stemmed from


Costcos push for more memberships
s consumers become more
among younger millennials. The
conscious about their health
membership campaign worked, and
and the environment, theyre Costco discovered that millennials buy
demonstrating it in their purchases. The more food products and furthermore
not-too-surprising result is a significant
prefer organic products. Citing Costcos
increase in organic product offerings
organic ground beef as an example,
among retailers.
Galanti pointed out, You have
Past numbers and future projections
somebody who is an organic buyer who
for organic sales certainly reflect this
may leave Costco if we dont have an
growth. U.S. sales
organic alternative. They
grew from less than
[would] go elsewhere for
$4 billion in 1997 to
that product.
MOST
over $21 billion in
In April 2013,
2007, ten years later.
Walmartthe
nations
CONSUMERS
Despite the recession,
largest grocer
organic sales
DONT KNOW
announced its plan to
continued to grow
carry Wild Oats organic
THAT ORGANIC
since then. According
products after an internal
to the Organic Trade
PRODUCTS ARE
survey found nine of
Associations (OTAs)
every 10 shoppers would
NON-GMO. THE
2014 Organic Industry
consider buying
Survey, U.S. organic
affordable organic items
GOVERNMENT
sales overall tallied
at Walmart. The Wild
HASNT DONE A
approximately $35.1
Oats line includes a
billion in 2013. Going
variety of products such
GOOD JOB OF
forward, Nutrition
as salsa, pasta sauce,
Business Journal
EDUCATING
quinoa, and chicken
forecasts organic sales
broth. Our goal is to price
CONSUMERS
reaching over $60
these items at least 25
billion by 2020, with a
percent lower than
ABOUT THAT.
yearly increase of 10
national brand organic
to 12 percent.
products, said Walmart
With that type of
spokesperson Molly
growth come opportunitiesand
Blakeman. We know our customers
challengesfor retailers and producers
count on us to provide them with the
of all sizes.
affordable groceries they want to put on
their dinner table. Organic products
should be no exception.
MAINSTREAM STORES PUSH
Tom Casey, CEO of Wild Oats, said
ORGANIC
the
collaboration is dramatically
Capitalizing on higher consumer interest
expanding
the organic food market in the
and sales, the major mainstream stores
United
States.Additionally,
by playing a
continue to add organic products. In
leadership
role
in
democratizing
the
their earnings calls to investors this past
availability
and
affordability
of
Wild
Oats
fall, Target Corporation and Kroger Co.
Organic
products,
we
feel
our
work
with
reported theyre continuing to boost
Walmart is contributing positively to the
natural food and organic offerings.
education of consumers about the
Meanwhile, in Costco Wholesale
industry, and helping to reinforce the
Corporations October call, Chief
highest possible organic food standards
Financial Officer Richard Galanti said
across a broad range of products, he says.
organic sales were about $3 billion last
year and undergoing dramatic growth.
By Linda Richards

PRICE DROPS
Along with Walmarts plan, other
retailers are noting lower pricing.
Costcos business model has relied on
lower margins than, for example, the
specialty food retailer Whole Foods.
Costco can provide its shoppers more
savings in organic purchases with its
lower mark-up.
This past fall, Whole Foods began a
trial of reducing prices in its more
competitive markets. We feel like were
matching toe-to-toe with all of our
competition where were doing these
[pricing] tests, said David Cannon,
Executive Vice President of Operations,
in the companys November earnings
call. At that time, Cannon said
customers were responding, and
purchases were up.

WINNERS AND LOSERS


With organic prices dropping in some
venues, co-ops and smaller retailers have
been increasingly challenged. Kerry
Owen owns a retail health food store in
Pickens, South Carolina. He also runs
Bee Well Honey Farm, selling
organically grown (but not certified)
honey to 20 Whole Foods stores in his
area and to BI-LO, a regional grocery
chain. His honey business continues to
Organic Report Winter 2015

grow 25 to 30 percent annually, which


he uses each year to finance further
growth.
Weve grown the past 15 years and I
dont see any signs that its going to
change, he says. However, the big-box
stores arent worth the hassle for him. I
have a deal with Sams Club and
Walmart but you have to go through so
much and spend so much money to do
so. Your product has to be in a certain
box and stacked so high. Its just not
worth it for us to sell through Walmart
or Kroger stores.
Meanwhile, he said his health food
store is having a hard time, and that
food co-ops and natural food stores in
general are hurting. We can create a
customer base for almond milk but the
grocery store will buy the same almond
Organic Report Winter 2015

milk and make it difficult for us to


compete. Its the same for our food coops. Sheltons organic turkeys are a big
feature at our local co-op, but now
people can buy them from the
(mainstream) grocery store, he says.

BUY LOCAL A CHALLENGE


David Benzaquen, CEO of brand
management and marketing agency
PlantBased Solutions, said that while
organic labeling and the non-GMO
attribute it offers are huge draws, he also
sees the buy local movement as a
challenge.
The local movement is having an
impact on organic products in the coastal
progressive cities like San Francisco, Los
Angeles or New York City where theres a

real growing demand for local products.


Some believe buying local is more
important than organic, and some
believe its more important to buy
organic. Thats because theres not just
one factor for being part of the local
movement. For some, its for health
sustainability but for others, its about
supporting small or local businesses
while opposing big industry.
Benzaquen said acquiring organic
certification, especially for foods or
spices from other parts of the world, is
another challenge, as is competition
from the non-GMO labeling
movement that is gaining steam with
companies like General Mills. Most
consumers dont know that organic
products are non-GMO. The
government hasnt done a good job of
educating consumers about that.
California Certified Organic
Farmers (CCOF), one of the first
organic certification agencies in the
United States, has noticed a significant
increase in California applications
during the past year, from both new
applicants and existing members
seeking to expand organic production.
Theyve hired more staff to handle the
load. From our conversations, we
know that increased demand for
organic from retailers has given many
producers the means to transition to
certified organic production. Many
producers are eager to go organic when
they know that a viable, dependable
market for their product exists, says
CCOFs Policy Director Kelly
Damewood.
Overall, Benzaquen says, the organic
food movement will continue to be
successful as consumers increasingly
demand transparency, safety and
sustainability in the nations food supply.
The millennial generation grew up with
recycling bins in schools and with the
idea that protecting the earth is
essential. These young people will soon
be the consumers with the biggest
buying power, and they are voting with
their dollars, he says. //

GROWING IMPO RTS A ND EX P O RTS

hile demand for organic in


the United States has been
booming, demand for
organic products around the world has
also been exploding. Even though there
are limited statistics available on U.S.
organic international trade, a
preliminary picture is emerging to show
U.S. organic exports are
growing overall, while
imports rise counterseasonally to domestic crop
production.
This is good news and
supports our work in
international trade, helping
sustain our processing and
produce industries in the offseasons, says Bob Anderson
of Sustainable Strategies LLC,
the Organic Trade
Associations (OTAs) Senior
Trade Advisor.
According to preliminary
findings (the final report is
not yet published) from an
analysis conducted for OTA
by Dr. Ted Jaenicke,
agricultural economist at
Penn State University, U.S.
organic product exports
reached a new high of $537
million in 2013, up more than 20
percent from the previous year, with
export sales at nearly $400 million for
the first three quarters of 2014. Based on
dollar value, apples, lettuce and grapes
were the top three U.S. organic exports.
Meanwhile, organic product imports
tracked in 2013 added up to nearly
$1.3 billion and nearly $1 billion for the
first three quarters of 2014. Coffee, wine,
soybeans and olive oil led imports.
Actual organic exports and imports
undoubtedly are much higher than these
numbers. This is because these findings
are based on the U.S. Department of
Agricultures (USDAs) Global
Agricultural Trade System (GATS),
which only began gathering trade for
organic products in 2011. In that year,
GATS included export data for only 23
organic products and import data for 20
organic products. Since then, USDA has
added additional product categories.

10

Taken into account in the analysis were


26 exported products and 35 imports.
Until the United States started using
HS (harmonized system) codes for
organic, there was no way of measuring
the organic products coming in and
going out of the country, or globally.
While there are thousands of HS codes

U.S. organic companies take part in


international trade shows as part of
OTAs Export Promotion Program.

in place today, there are only handfuls


for organic-specific products.
Formal submission requests for new
codes are accepted a few times a year
through the Office of Tariff Affairs and
Trade Agreements of the U.S.
International Trade Commission. There
are some key requirements for a code to
even be considered. First, the product
needs to generate at least $1 million U.S.
in trade annually. Next, this trade floor
minimum must be generated by at least
three exporting entities to protect
company-specific trade information.
OTAs most recent submission
requesting additional organic HS codes
resulted in the creation of 11 new codes
for organic products. These latest codes,

which went into effect Jan. 1, 2015, cover


organic salad mixes in both large and
small packages, carrots reduced in size
and baby carrots, beets, peas, asparagus,
limes, watermelons, peaches and berries.
The next round of submissions is
due April 1. As OTA continues to
promote equivalency arrangements with
major trading partners, and
the organic industry as a
whole continues to grow,
OTA aims to have the
government increase the
number of export codes
tracked to expand the data
available to more accurately
measure the impact of global
organic trade.
According to Anderson,
additional correlations
analysis will help OTAs
Export Promotion Program
determine future market
opportunities, and should
provide the methodology to
estimate increases that
support OTAs international
trade efforts to expand
markets for U.S. organic
producers.
Already opening new
markets for U.S. organic
farmers and handlers have been
successfully negotiated organic trade
arrangements between the United States
and Canada, the European Union, Japan,
and Korea. Before these agreements,
growers and companies wanting to trade
organic products had to obtain separate
certifications to two different standards.
Now, with these arrangements, a
product certified organic by one party
can be sold as certified organic across
the border of a partner country.
A recent OTA survey of the U.S.
organic industry shows a growing
number of organic stakeholders involved
in the export marketjust over 60
percent of respondents surveyed said
they export all or some of their organic
products, with an additional 20 percent
reporting that they plan to get into the
international arena.
Since the mid-1990s, OTA has been
working to help promote organic
Organic Report Winter 2015

agricultural products in international


markets and to connect buyers and sellers.
The first year OTA participated in USDAs
Market Access Program was 1999. OTAs
membership now represents about 85
percent of U.S. organic exports, and the
market promotion activities administered

by OTA are open to the entire organic


industry, not just OTA members.
Healthy growth in organic demand
is occurring in all regions, from Japan,
South Korea and China, to Canada and
the European Union and the Middle
East, says Monique Marez, OTAs Senior

International Trade Manager. It is our


goal to help organic producers and
distributors explore and connect with
these developing and often untapped
markets and educate consumers
everywhere about the benefits of
organic. //

LABOR CHA LLE NGE S


W h e r e are t he worker s?

Phil LaRocca (front, far right) and his neighbors, friends, employees and family worked together
to pick the small Pinot Noir harvest in 2014. Photo: Phaedra LaRocca Morrill.

By Barbara Haumann
n normal times, 70 to 90 farm
workers show up at harvest time
and wait to be chosen to fill the
45 grape picking positions at the organic
LaRocca Vineyards in California,
according to owner Philip LaRocca.
These are not normal times. When the
grapes were ready for picking during
this past harvest, no one showed up.
I am in my 30th year of owning my
own organic winery. I knew labor was
short, but this was shocking, he recalls.
After he knocked on a lot of doors,
his vineyard was able to get a 14-worker
picking crew made up of parolees.
What happened at LaRoccas
vineyard has become an increasingly
widespread problem across agriculture.
A 2013 report entitled The Paradox
Organic Report Winter 2015

of Worker Shortages at a Time of High


National Unemployment written by
Darrell M. West, vice president and
director of Governance Studies at the
Brookings Institute, points out, On the
labor-intensive side of the economy,
agricultural companies report difficulty
finding workers to pick vegetables and
fruits.
Vineyards, vegetable and fruit
growers, and many other farms are
heavily dependent on foreign workers. A
recent National Agricultural Works
Survey found that only 27 percent of
farm workers are American citizens.
Nearly three-quarters are immigrants,
with 52 percent undocumented and 21
percent being authorized immigrants.
According to the American Farm
Bureau Foundation, because agricultural
work is physically demanding, not many

Americans want to work in the fields. It


is hard work, and it is difficult to get
Americans to do the job. They dont
show up, and dont last long if they do.
And now, even the foreign laborers
coming into the United States are often
turning away from work on the farms
and choosing to work in construction or
in restaurants.
The challenge to find laborers is not
a matter of wage, says LaRocca. He pays
by the piece: good pickers, particularly
laborers from Mexico, can earn $27 an
hour, while those who are slower
generally earn around $17 an hour.
There just werent any available to
pick this past harvest, he explains.
Because laborers available this past
year were obtained through an agency,
the wage was $17 an hour, with the
pickers getting only $9 an hour. The

11

crew of 14 only picked three and a half


tons of grapes in a seven-hour day.
Generally, Mexican crews of seven
harvest about 6 to 7 tons in a six-hour
day, he says.
A second crew rounded up to pick at
his family vineyard were let go because
they were unreliable or unproductive.
He did manage to use another crew for a
weekend provided by a friend whose
olives werent quite ready for picking.
We had no days off, and we actually
pulled the harvest off. Part of that was
because we had had a freeze, so some of
the varieties produced less fruit this past
year. And, he admits, the crew lent to
him from his friend really helped out.
LaRocca was fortunate he was able to
get his harvest in. According to Wests
report on the labor shortage, the lack of
access to workers has, in the most
extreme cases, caused some of the
nations most productive farms to close
down. The report says it has forced
farmers from states like Wisconsin,
North Carolina, Maryland, Louisiana
and Washington to delay expansion
plans, and has led to food processing

operations for frozen broccoli and


cauliflower moving to Mexico.

A WIDESPREAD CHALLENGE
Every year, the labor shortage has been
getting worse. It has been getting
progressively harder, and the pool of
workers is shrinking. Everyone is trying to
get workers from that pool, and you have
to grab them when you can and you are
dependent on when the harvest is ready,
says LaRocca, who has farmed for 47
years.
LaRocca recalls that in the early days
of his business, there was a workers
program that gave temporary work visas
to immigrants willing to do farm labor.
That doesnt exist anymore.
The government isnt making the
labor situation any easier, says LaRocca,
urging that steps be taken to free up the
borders so that the U.S. agricultural
sector will have more access to laborers
eager to work.
When skill and labor shortages
arent met, the economy suffers, the
Brookings report says. A smart
immigration system can help prevent
this by filling needs so companies can

expand operations in the U.S. and dont


have to move them overseas. But
Americas immigration system is not
designed for todays economy, and
remains largely unchanged since 1965.
In fact, of the approximately one million
green cards given out by the U.S. in
2011, around 139,000 (or 13 percent)
were given out for economic reasons, a
number far too small to meet the needs
of the worlds largest economy. By
comparison Canada provides a much
higher percentage of employment-based
visas than the U.S. even though it has a
much smaller population.
Moreover, one of the key challenges
is the highly seasonal nature of the work.
Even with increased reliance on
mechanical harvesting equipment,
farmers have huge time pressures given
the narrow windows for planting,
cultivation and harvesting.
When particular commodities are
ripe, they need to be harvested in a
matter of days or weeks. Failure to have
sufficient workers means rotted fruits,
unpicked vegetables and lost revenue,
the report notes. //

S M U CK ER N AT U RA L F OODS , I N C

We are passionate about


offering the best natural and
organic food while doing our
part to better the world
around us. In doing so, we
help bring more families
together for memorable
meals and moments.

12

Organic Report Winter 2015

ORGANIC TRADE ASSOCIATIONS

2015 ANNUAL FUND


O Organic is positioned for success

But we now need to make sure our hard-won provisions in the 2014 Farm Bill are
implemented. OTA policy staff advocates on your behalf every day with
national policymakers and regulators.

I think we should let consumers make their own decisions about what
kinds of foods they purchase, and if theres a market for organic products,
we should support it.
Rep. Reid Ribble (R-WI), The New York Times, March 8, 2014

O OTAs promotion of organic has reached new heights

OTA turned up its public and media relations activities in 2014 to full throttle, resulting in
several major media placements and its rst-ever social media festival, reaching over 15
million consumers, media, thought-leaders and bloggers.

O OTA takes on critical issues, helping shape solutions that directly


affect your business

OF PARENTS TURN TO
SOCIAL MEDIA TO SHARE
INFORMATION AND IDEAS
ABOUT ORGANIC

OTA is actively engaged in important regulatory issues and works closely with regulators to
ensure our food system meets the needs of organic consumers and that proposed solutions align with regulations being
followed by organic farmers. Were up against biotech companies with real money, which requires resources and expertise
to ght back.

O OTA is taking a bold step to broaden and diversify our footprint

OTAs Farmer Advisory Council (FAC) gives a powerful voice to producers and enables them to collaborate on critical issues.
OTA worked with organic certicate holders to ne-tune a framework for an organic research and promotion program
(aka check-off) to support additional transition to organic acreage and promote the benets of organic agriculture.

We need to pay attention to growing the marketplace, to growing the infrastructure and
having the research tools in place for organic farmers to solve technical problems, and thus to
grow more acres as well as more organic farmers.
Marty Mesh, Organic Farmer, Executive Director of Florida Organic Growers
and Consumers, Recepient of OTAs 2014 Growing the Organic Industry Award

YOU ARE CRUCIAL to all that OTA hopes to accomplish in 2015. Without your nancial
support, the progress that OTA has made on your behalf would not be possible. The
Annual Fund provides one-fth of your trade associations income.
Please join our unied voice and support the 2015 Annual Fund Campaign
at ota.com/support-ota.

Contact Amy Bovaird, Associate Director, Member Relations and Fundraising


abovaird@ota.com (802) 2753812

FEAT URE

Organic burger chain enters new growth phase

By Linda Richards
n 2002, Hans Hess set out to
change the world. His mission:
organic, grass-fed, antibiotic-free
beef that not only tasted better than
grain-fed beef, but was healthier for
humans and environmentally kind to the
planet. Opening his first restaurant
outside Washington, D.C., Elevation
Burger became the first organic burger
chain in the country.
Its also the largest organic burger
chain, with 50 franchises at the end of
2014. In each store, the organic beef is
ground on the premises, the French fries
are fresh cut and fried in Bertolli olive
oil, and two veggie burger options are
offered.
As the chain grew, Hess
realized it was time for
the chain to evolve from
its founder, family-run
roots. In early 2014,
Rick Altizer, a former
McDonalds
executive who had
managed 500
franchises, was hired
as the new CEO to
move the
company into a
professionally
managed growth
stage, with Hess chairing
the board.
Im looking to add
more talent each year over
the next three to four years,
says Altizer. But hes also clear about
his main objectiveto make Elevation
Burger the best burger on the planet,
and for the planet.

MORE THAN BEEF


For the first time in five years, menu
changes are occurring. For limited times,
the restaurants feature burgers and
seasonal shakes, such as an organic
Barbecue Bacon Cheddar Burger, or
gingerbread shake during the holiday
season.

14

Organic chicken is the big upcoming


addition.
Chicken is something customers
were asking for so were introducing it in
late January. By the end of the first
quarter of 2015, organic chicken will be
available in all 50 of our stores as a
sandwich, a side or in salad, says Altizer.

NEW AND FUTURE STORES


While organic burger seekers can find
Elevation Burger restaurants in the East,
Southeast and Midwest, nearly one-third
of the 50 Elevation Burger restaurants
are located overseas in the Middle East.
It wasnt part of the companys plan.
Altizer explains that much of the

expanded the brand in Saudi Arabia,


Bahrain and other Middle East countries.
There are now six Elevation Burger
stores in Kuwait, with an additional three
to four planned in the next year.
Going forward, Elevation Burger is
adding 15 to 20 stores in 2015. Were
focused on Texas as a growth market
and filling in some markets in the East
and Midwest. We plan to eventually
make our way west by way of Denver,
Altizer says, acknowledging that after
some restaurants closed in the early
years, the company focuses on using best
practices in franchisee selection, training
and store support.
Michael Tater became a franchisee in
Ann Arbor, Michigan, nearly two years

We dont try to fool you with


meaningless marketing jargon.
The terms we use organic,
grass-fed, free-range and notrans-fat all have real meaning
that impact your health, the
planet, and the way our food
tastes. We source organic
beef because its better for you
and your family.
From Elevation Burgers website
expansion overseas began when a
student from Kuwait fell in love with the
product at the Falls Church restaurant.
Since organic practices entail humane
slaughtering, the beef followed Islamic
halal practices so it is acceptable to
Muslims. The student approached
Elevation Burger about opening
franchises in Kuwait.
We werent expanding at that time,
but over time he convinced us it was the
right thing to do, says Altizer, adding
that family members have successfully

ago, with a second scheduled to open in


early 2015. When Tater and his family
lived in Austin, Texas, Elevation Burger
became their favorite restaurant.
It was in line with how we view
nutrition and the environment, so when
we planned to return to Ann Arbor and
I was looking for entrepreneurial
opportunities, it was a natural fit for us,
Tater says. Helping the stores success is
Ann Arbors highly educated population,
with many interested in quality, organic
or vegetarian food.

Organic Report Winter 2015

QUALITY SOURCING
Elevation Burger restaurants are built
and equipped using environmentally
sustainable and non-hazardous
construction and operating practices.
Franchisees donate used olive oil for
biodiesel fuel instead of selling to third
parties that could potentially include
animal feed. Altizer says they will be
expanding sustainability practices in the
future, but its the way cattle are treated
that is the most important feature.
As Elevation Burgers website states,
free-range cattle ranching is the only
humane, natural way to raise cattle. The
company emphasizes that the organic
beef from grass-fed cattle contains
higher levels of healthy Omega-3 fatty
acids, fewer calories, and tastes better
than conventionally raised beef. The
cattle are free of antibiotics, and the land
has seen no application of synthetic
fertilizers and pesticides.
As the market and demand for
organic beef continue to grow, Elevation

Burger prides itself on a


solid source of organic,
grass-fed free-range beef.
We are one of the largest
buyers and sellers of organic
beef in the restaurant
category, and that allows us
to work with our cattle
partners in preparing for our
needs going forward, says Jay Wisse, who
was hired in 2014 as Vice President of
Marketing. Totaling sourcing from 140
farms, Elevation Burger has added 50
farms in the past six months. Each family
farm is dedicated to raising grass-fed
organic cattle, and is part of a co-op that
ensures a fair and consistent return.
A stable organic supply and a strong
brand are vital to Elevation Burger as it
grows, taking advantage of consumer
demand for quality food and, in
particular, better burger restaurants. But
while burger competitors like Five Guys
and Smashburgers use terms like Natural
and Angus, Wisse points out that very

Rick Altizer, a former McDonalds


executive, is now the CEO of
Elevation Burger.

few serve organic beef.


Those are marketing terms that
dont really mean very much in terms of
quality of the beef, the conditions of the
cattle-raising, and the environmental
impact of their processes, says Wisse.
Organic beef has always been our
entire foundation, and we dont see
anyone else out there with our
experience, supply chain and
commitment to organic beef. //

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REGULATORY U PDATE

Ready, set, GO! A two-year regulatory sprint


By Gwendolyn Wyard,
OTAs Regulatory Director,
Organic Standards &
Food Safety

he National Organic
Programs (NOPs)
organic plate is full and the pace is
set on HIGH, according to the Agency
Rule schedule published by the Office of
Information and Regulatory Affairs.
Besides the origin of livestock rules,
NOP plans to release proposed
aquaculture standards in February,
proposed pet food standards by the end
of April, and proposed apiculture
standards in July.
But thats not all. We also know NOP
is working to get a proposed rule out on
animal welfare standards as well as final
and draft guidance on a number of
critical issuessuch as nanotechnology
and classification of farm and handling
inputsimpacting the organic sector.
With only two years left under the
Obama Administration and several
unknown changes to come, time is of
the essence. Not surprisingly, the
rigorous schedule of final actions NOP
is working under is slated for
completion by the end of 2016.
The good news for NOP is that
most of the heavy lifting in terms of
writing the proposed rules is done.
Although NOP is still in the process of
drafting the animal welfare standards
based on National Organic Standards
Board (NOSB) recommendations, the
other four have left NOPs office for
legal review and hopefully clearance,
followed by a final review from the
Office of Management and Budget
(OMB). Once the administrative
hurdles are cleared, they will be posted
for public review and comment.
The release of the proposed rules
scheduled for 2015 is a major milestone
for NOP and the organic sector at large.
Not only will these new standards open
up new markets, help to ensure
consistency in certification, and

16

eliminate confusion in the


marketplace, they have all been
under development for at least 8
years! For some, the genesis of
these proposed rules may be
unknown or forgotten, and for
others a recap may instill a sense
of appreciated nostalgia. Any way
you look at it, OTA members can
expect a busy 2015 because we need
your input! In preparation for the flurry
of task force participation and comment
writing to come, lets take a quick dive
into the topics at hand.

ORIGIN OF LIVESTOCK
The current regulations provide two
tracks for replacing dairy animals, tied
to how dairy farmers transition to
organic production. Farmers who
transition an entire distinct herd must
thereafter replace dairy animals with
livestock that has been under organic
management from the last third of
gestation. Farmers who do not
transition an entire distinct herd may
perpetually obtain replacement animals
that have been managed organically for
12 months prior to marketing milk or
milk products as organic.
The proposed action we expect to
see would eliminate the two-track
system and require that upon transition,
all existing and replacement dairy
animals from which milk or milk
products are intended to be sold,
labeled, or represented as organic must
be managed organically from the last
third of gestation. NOP is scheduled to
release a proposed rule in January 2015
and a final rule by May 2016.
OTA, through its task force process,
wrote a White Paper on this topic in
2011 and submitted it to NOP to assist
with drafting the proposed rule. In
continuation of our work and strong
support for a consistently implemented
standard, OTA will convene its task
force and engage members once again to
develop OTAs comments on this critical
topic.

AQUACULTURE
Currently, U.S. organic standards do not
exist for either wild-caught or farm-raised
fish. However, the Organic Foods
Production Act (OFPA) does include
seafood, making the creation of organic
standards possible. In 2005, the Secretary
of Agriculture appointed an Aquaculture
Working Group to advise NOSB on
drafting a recommendation on the
production of organic farmed aquatic
animals. NOSB considered the
Aquaculture Working Groups draft
recommendations and provided USDA
with a series of five recommendations
from 2007-2009 for technical standards
for the production and certification of
organic farmed aquatic animals.
Based on NOSB recommendations,
this action proposed to establish
standards for organic production and
certification of farmed aquatic animals
and their products in USDA organic
regulations. This action would also add
aquatic animals as an area of certification
and accreditation under NOP. NOP is
scheduled to release a proposed rule and
open comment period in February and a
final rule by July 2016.
Although OTA doesnt have any
members farming aquatic animals, it
remains committed to organic standards
incorporating the fundamental tenets of
organic production such as ecological
balance, environmental stewardship and
preference for natural substances.

PET FOOD
In 2004, NOSB initiated the development
of organic pet food standards by forming
a task force that included pet food
manufacturers and organic consultants.
Collectively, these experts drafted organic
pet food standards consistent with OFPA,
Food and Drug Administration
requirements, and the Association of
American Feed Control Officials
(AAFCO) Model Regulations for Pet and
Specialty Pet Food. The AAFCO
regulations are scientifically based
regulations for voluntary adoption by
Organic Report Winter 2015

State jurisdictions to ensure the safety,


quality, and effectiveness of feed.
In November 2008, NOSB approved
a final recommendation for organic pet
food standards incorporating the
provisions drafted by the Pet Food Task
Force. NOP is scheduled to release a
proposed rule and open comment
period in April, and a final rule by
August 2016.
The pet food industry and other
organic stakeholders eagerly await
standards providing clear and
consistent compositionand labeling
requirements for organic pet food. OTA
will continue to monitor the process
and engage members as soon as the
proposed rule is released.

APICULTURE
This action proposes to amend the
organic regulations to reflect an October
2010 NOSB recommendation
concerning the production of organic
apicultural (beekeeping) products.
Currently, certifying agents adapt the
organic livestock standards to certify
organic apiaries. Instead of continuing to
allow certifying agents to certify
apiculture to the organic livestock
standards, this action would establish
certification standards specifically for
organic bees and bee products.
NOP is scheduled to release a
proposed rule and open comment
period in July, and a final rule by
December 2016. Ultimately, this action
will help ensure consistency across
certifying agents in the inspection and
certification of apiculture operations.
OTA strongly supports the clear
establishment of apiculture as a unique
production system within the organic
regulations, and looks forward to
engaging members when the proposed
rule is released.

ANIMAL WELFARE
STANDARDS
The organic regulations include practice
standards for livestock health and living
conditions. They require that
accommodation for an animals health
and natural behavior forms the
foundation of any organic livestock

Organic Report Winter 2015

management strategy. Because livestock


operations are inherently complex and
regulations lack specificity concerning
stocking rates and outdoor access areas,
the need for further elaboration was
identified at the time the regulations
were implemented. NOSB made
recommendations in April 2002,
November 2009, and December 2011.
Although a Pasture Rule was fully
implemented on June 17, 2011, additional
action is still needed to further address
living/housing conditions, stocking rates,
and outdoor access requirements,
particularly for poultry. NOP recently
announced it is moving forward with
rulemaking in response to the animal
welfare standards recommended by
NOSB on December 2, 2011.
Animal welfare is a basic principle of
organic production, and we agree that
clarifications are needed in the
regulations so that desired outcomes are
clear, measurable, and enforceable. OTA
will be convening an animal welfare task
force to help shape OTAs comments to
NOP.

MEMBER FEEDBACK SOUGHT


OTA looks forward to the long-awaited
proposed rules for origin of livestock,
animal welfare, aquaculture, apiculture
and pet food. The proposed rules will
reflect recommendations made by NOSB
that were developed in response to
comments and suggestions from OTA
members and other organic stakeholders
for many years. Now is the time to
complete all of the tremendous effort
and work that has literally been in
progress for a decade.
Organic stakeholder participation
has never been more important, and a
two-year window of dedicated time and
commitment awaits us. Look for
announcements and calls for action via
our weekly and dedicated News Flashes
in the coming year. Also check out the
Open Comment Periods page on our
new website where you can find up-todate information on proposed rules
with instructions on how to get involved
and how to file comments. Lets make
this happen! //

REGULATORY ACTION
TIMELINE
NOP rules in clearance
Origin of Livestock Proposed
Rule
NPRM*: Dec 2014
Final Action: May 2016
Aquaculture Proposed Rule
NPRM: Feb 2015
Final Action: July 2016
Pet Food Proposed Rule
NPRM: April 2015
Final Action: August 2016
Apiculture
NPRM: July 2015
Final Action:
December 2016
*NPRM: Notice of Proposed Rule
Making

OTHER RULES IN
PROGRESS FOR
2015
Animal Welfare

OTHER STANDARDS
PROJECTS FOR 2015
Final NOP Guidance
Classification of Materials
Permitted Substance List
for Organic Crop Production
Post-Harvest Handling
Draft NOP Guidance,
Policy
Responding to pesticide
drift
Nanotechnology

17

LEGISLATIV E RE PO RT

N ew Ye a r, N e w Con g res s
Introducing a new generation of leaders to organic
By Marni Karlin
OTAs Vice President of
Government Affairs/
General Counsel

ts an odd-numbered
year, which means no
national electionsbut
its time again to welcome a new class of
Representatives and Senators to our
nations capital. While this could be seen
as a challenge (many experienced
Senators and Members of Congress have
moved on), I prefer to see it as an
opportunity to teach a new generation of
legislators about organic, our businesses

and livelihoods, and how


important the policies they enact
are to our rural and urban
economies.
With 52 new Representatives
and 12 new Senators coming to
Washington this year, we have
the opportunity to introduce
them to organic. We have the
chance to explain to them what organic
means, and what we look like in their
districts and across the country. This is
our opportunity to develop
relationships, and make sure they have
an accurate perception of what organic
is, and who we are.
We can share with the new legislators

the advances weve made over recent


yearsFarm Bill wins, Secretary
Vilsacks guidance on prioritizing
organicand encourage them to be part
of the future of diversified American
agriculture.
We can share with them the
advances we continue to make to exempt
all certified organic and 100 percent
organic products from assessment
under conventional commodity checkoff programsso organic producers,
handlers, processors and importers can
use their money to support research and
promotion that benefit them.
We can urge them to be vigilant in
opposing any rollbacks to the advances

AGENCIES DISCRETION TO KEEP MOVING POLICIES FORWARD

ow can we affect policy change in a year when there may


not be much legislationand there will certainly be no
Farm Bill? Congress is one pathway to policy, but the executive
branch is another. In the final two years of a Presidents second
term, we may see increased action by agencies, demonstrating
leadership when Congress does not.
The federal government has three brancheseach of
which has distinct powers. Congress makes laws, the executive
branch implements them, and the judicial branch determines
whether those laws and the regulations implementing them
are lawful.
When Congress doesnt speak directly and precisely on
how an executive agency should implement a law, the agency
has relatively broad discretion. If an agencys determination is
based on a permissible construction of the statute, it is
allowed. This is known as Chevron deference (named after a
1984 Supreme Court case), and it guides the judicial branch in
determining the lawfulness of certain agency actions. (Another
Supreme Court case, Mourning, holds that if an interpretation
is reasonably related to the statutes purpose, it should be
upheld.)
Taken together, these doctrines mean that, unless Congress
spoke specifically about a particular situation, an agency has
the authority to interpret the law in any permissible manner
that is reasonably related to its purpose, and courts will defer
to the agencys determination of how best to implement that
law.
So what does this mean for us? In the face of
congressional inaction, we should encourage agencies like the
U.S. Department of Agriculture (USDA) to act within the
scope of their authority to fully implement the laws that have

18

been passed. An example of this is in the area of Materials


Review Organization (MRO) accreditation. The Organic
Foods Production Act (OFPA) says nothing about the
accreditation of MROs, and is silent regarding the means by
which USDA is to determine whether materials are consistent
with National Organic Program (NOP) requirements.
In the face of no explicit congressional grant of authority,
would it be permissible for USDA to interpret the law as
allowing accreditation of MROs? Yes. OFPA states that USDA
shall issue proposed regulations to carry out this chaptera
broad grant of authority to enact implementing regulations.
Moreover, providing a means to determine whether
materials are acceptable for use in organic production and
handling is reasonably related to the purposes of OFPA, to
establish national standards governing the marketing of
certain agricultural products [as organic], and to assure
consumers that organically produced products meet a
consistent standard.
OFPA also includes a general requirement that certifying
agents be able to fully implement the applicable organic
certification programwhich of necessity requires that a
certifying agent be able to determine whether a material is
synthetic (and therefore not authorized for use in organic
agriculture unless placed on the National List). This is not
fully actualized in the current system of inconsistent MRO
determinationsand can only be actualized by creating a
consistent system of MRO accreditation.
Given USDAs authority within its discretion to implement
permissible interpretations of OFPA, the ball is in its court.
Thus, we should urge USDA to exercise its lawful authority to
create a system of MRO accreditation.
Organic Report Winter 2015

made in last years Farm Bill. We can


urge them to oppose legislation, such as
the Pompeo Bill, that purports to create
GMO labeling schemes, but really
preempts states and the Food and Drug
Administration from implementing
rules about the labeling of GMOs in
food that over 90 percent of consumers
desire.
Of course, our efforts should not be
focused solely on new Senators and
Representatives. Our long-time
champions are critical to continued
policy advances for the organic sector.
Their leadership and passion, combined
with the fresh perspectives of the new
legislators, will grow our influence in
Washington.

OUR NEW WEBSITE


MAKES IT EASY TO ENGAGE
WITH POLICYMAKERS
OTA makes it easy for you to engage
with your policymakers. Check out our
brand new website, www.ota.com, for

advocacy tools that make reaching out to


Washington much easier.
Click on our Advocacy Action
Center to reach out to your legislators
on a particular issue of importance that
we have identified. There, youll find
suggested letters on organic priorities
that, with a few clicks of the mouse, can
be personalized and sent right to your
legislators. These Action Alerts can be
very effective. Late last year, in advance
of a hearing on GMO labeling, an OTAled action alert garnered nearly 1,000
letters on the issue in its first 12 hours of
being live.
If youd like to comment on pending
proposed rules and regulations, check
out the Open Comment Periods page on
our website. There, with a few clicks,
you can read our one-pagers on
proposed rules with an open comment
period, customize your own comment,
and file it electronically with the relevant
agency.
One of the most fun ways to engage
with your legislators is through a visit

either in their D.C. offices, or back


home. On our website, use our Visit
Your Legislators page for resources to
make a visit happen. Find presentations
on what to expect when visiting a
Senator or Representative, and onepagers you can use to prepare and leave
behind for the legislator and his or her
staff. Dont wait for our annual Policy
Conference (April 14join us!). Let us
help you plan a trip to D.C. to advocate
for your priorities.
Or, let us help you invite your
legislators to visit your farm or facility
show what organic brings to his or her
district! Last year, members Uncle
Matts, UNFI, and Organic Valley all
hosted legislators at their facilities, and
gave them and their staff a clearer
understanding of the benefits of organic
agriculture to their local economies. In
2015, lets increase the number of OTA
members who host their Senators or
Representatives, and show off the value
of organic. //

GREA
EA
AT TA
ASTES!
Go Out Of Style.

The Original
3VKERMG*PEZSV'SQTER]

REP
3VKERMG*PEZSVW


VEGXW
'SRGIRXVEXIW
Q
973-589-1230


Organic Report Winter 2015

19

FARM ER S A DV ISORY CO UNCI L UP D AT E

FAC advances voice of organic farmers


By Nathaniel Lewis
OTAs Senior Crops and
Livestock Specialist

he momentum that OTAs


Farmers Advisory Council (FAC)
built in 2014 is serving as a
springboard for the group to advance
the voice of organic farmers nationwide
and build capacity at OTA.
Identifying organic grain shortages as
a major threat to the continued success of
the organic industry, FAC focused on this
topic in its first-ever Summit at OTAs
Policy Conference in Washington, D.C., in
2014 which convened organic farmers and
processors to address supply challenges.
The councils self-directed work plan in
2015 will continue to tackle removing
barriers for producers to expand organic
grain acreage nationwide.
In most recent developments, FAC
has formed a strategic alliance with
Montana Organic Association (MOA),
and has committed to supporting a
collaborative project with Sustainable
Food Lab and OTA members to focus
on identifying and removing barriers to
organic production on a regional basis.
As OTAs Senior Crops and Livestock
Specialist, I attended MOAs annual
conference in Great Falls, MT, this past
December. With OTA one of the event
sponsors, I spoke to MOA membership
on FAC accomplishments and
advantages to their organization by
joining FAC. At the annual membership
business meeting, Anna Jones-Crabtree
(Vilicus Farm) made a motion for MOA
to form a strategic alliance with FAC.
The motion passed unanimously.
As a result, MOAs participation in
FAC will elevate the voices of Montana
organic farmers who represent the largest
organic wheat and pulse crop (lentils,
peas, garbanzo beans) producing state in
the nation. These farmers are seeking
meaningful long-term relationships with
organic grain buyers, stability in organic
grain prices, and access to crop insurance
recognizing the diversity and true value
of organic farm products.

20

Above all else, profitability in all of the


rotation crops must be realized to attract
new farmers to organic and convince
existing organic farmers to expand
acreage. Long-term viability of the U.S.
organic grain supply from the Northern
Great Plains depends on rotations
between wheat and pulses, as legumes
provide the necessary fertility to grow
cereal grains, and rotations form the
foundation of organic farmers pest, weed,
and disease management. Growing and
securing markets for domestically grown
pulses are essential for the long-term
growth of organic grain acreage.
OTA and FAC have entered into
collaborative regional pilot projects
investigating barriers farmers face in
transitioning to organic production and
overcoming those barriers through
education, advocacy, and leveraging
resources from food and feed buyers.
OTA has joined forces with Sustainable
Food Lab, which facilitates market-based
solutions to key issues necessary for a
healthy and sustainable food system, and
numerous OTA member businesses in the
U.S. Organic Grain Collaborative. This
effort is designed to take a region-specific
approach to the barriers that farmers are
facing in expanding grain supplies.
The first of two pilot projects is
focused in Aroostook County, Maine,
where local organic dairy farmers find
themselves importing costly feed grains
and conventional crop farmers, who
typically rotate between potatoes and
cereal grains, no longer find long-term
profitability in growing barley or oats for
conventional commodity markets. This
very region-specific focus will attempt to
connect these links in the local supply
chain, and identify what tools and level
of market stability farmers will need to
transition their operations to organic
production.
The second project focuses on a much
broader region in the Northern Great
Plains. Montana and the Dakotas
represent close to one-third of the nations
organic wheat acreage and over half of the
nations organic dry pea and lentil acreage.
These crops must be grown in rotation to

manage
soil
fertility,
moisture,
and weed, pest, and disease control.
Organic crops grown in the Northern
Great Plains typically are consumed
elsewhere after organic food
manufacturers have transformed them
into bread, pasta, and hummus. These
farmers need educational resources:
extension service on how to best manage
crop rotations, meaningful crop insurance
products to provide a safety net to their
operations, and profitable markets for all
crops grown in rotation, not only wheat.
The two projects contrast in their
scope but not in their goals, and we
anticipate they will form a template for
future regional projects in the Midwest,
Mid-Atlantic, and Pacific Northwest.
Each region faces its own unique
challenges for growing organic supply,
and will require its own approach.
Meanwhile, FAC is planning another
all-day Summit prior to OTAs 2015
Policy Conference in April in D.C. We
will continue the conversation on
growing the organic grain supply, and
also discuss how organic farmers might
lead the way in agricultural water
conservation efforts in the Central Valley
of California, and how to best work with
USDAs Risk Management Agency so that
crop insurance for organic farmers
actually takes into account the inherent
complexity of organic operations and the
true value of organic crops.
We look forward to another year of
capacity building for the Farmers
Advisory Council in its mission to elevate
the voices of organic producers
nationwide and to serve as a vehicle to
disseminate important information
relevant to organic farmers. The
continued growth of the organic sector
hinges on providing farmers with the
support they need to remain profitable
including developing new markets for
rotation crops. Eating rotationally and
regionally should be a goal of all organic
consumers wishing to support the wholefarm approach of organic production. //
Organic Report Winter 2015

UPDATE fro m CCO F Inc .

Advocacy: Policy Day at the California State Capitol


By Kelly Damewood
CCOF Policy Director

n February 11, California


Certified Organic Farmers
(CCOF) will head to
Sacramento for a Policy Day at the
California State Capitol. CCOF members
will meet with key Senators and
Assembly Members to discuss economic
opportunities and challenges for organic
agriculture in California.
The opportunities are clear:
California leads the United States in the
number of organic farms, the amount of
land in organic production, and organic
sales, according to statistics compiled by
Karen Klonsky, a UC Cooperative
Extension Specialist in Agricultural and
Resource Economics, based on her
analysis of the 2008 Organic Production
under 1 percent of total farm-gate sales.
Survey administered by the U.S.
In contrast, demand for organic has seen
Department of Agricultures (USDAs)
double-digit growth over the past two
National Agricultural Statistics Service.
decades, according to USDAs Economic
Specifically, California produces
Research Service. Thus, demand
more than 90 percent of all U.S. organic
continues to outpace supply, and organic
sales for 14 different
continues to be a
commodities, including
promising sector of
99 percent of the
overall agricultural
nations organic
production and sales.
California
leads
walnuts, lemons, figs,
To help grow organic,
and artichokes.
CCOF is meeting with
the
United
States
Additionally, California
California policymakers
produces 100 percent
in the number of
to address regulatory
of U.S sales of organic
hurdles, which farmers
almonds and dates.
organic farms,
have reported are the
And while most of its
greatest constraint on
organic sales are from
the amount of
increased production.
crops, California is also
According to Klonskys
land in organic
the top producer of
analysis, California
organic livestock and
growers identified
production,
and
livestock products such
paperwork and recordas broiler chickens and
keeping requirements, as
organic
sales.
milk from cows.
well as costs of
Despite Californias
inspection, as their
leading contributions
greatest challenges.
to the organic
Moreover, California is
marketplace, the organic community has
the only state that requires organic
plenty of room to grow. Organic still
growers to register with the state and
represents only three percent of total
pay annual registration fees in addition
California farm-gate sales ($1.35 billion
to the cost of certification.
out of $43 billion in 2012). At the
Notably, regulatory challenges are
national level, organic represents just
not just a California-specific constraint
Organic Report Winter 2015

on organic production. Although


California growers have the additional
regulatory burdens of state level
registration and fees, Klonskys analysis
found that organic growers throughout
the United States also identified
regulatory requirements as significant
challenges to successful production.
Additionally, on its website, USDA
acknowledges that government research
and policy initiatives are crucial to
increasing the number of certified U.S.
organic operations, and to expanding
USDA programs and services for the
organic community. For example,
organic production and services could
be increased through funding for
organic research and certification costshare assistance.
CCOF looks forward to working in
partnership with its elected
representatives to address regulatory
constraints on organic production.
CCOFs Policy Day at the California
State Capitol on February 11 is a first
step toward expanding organic
production in California and meeting
the high demand for organic
throughout the United States. For more
information on Policy Day, visit
www.ccof.org/2015-event. //

21

THE ORG A N I C CE N T E R

Organic New Years Resolutions


& Pred ictio n s fo r 20 15

014 was a great year for science supporting the benefits


of organic food and farming, particularly human health,
pollinator health, and the health of the environment.
The Organic Center has transformed the top ten studies into
New Years resolutions showing how to improve ones diet and
the state of our planet by choosing organic. And 2015 is
expected to bring even more positive findings!

RESOLUTIONS:

more antioxidants.
Antioxidants protect our
cells against the effects of
free radicals, which can
damage cells in the body
and trigger disease.

STOP BEE
POPULATION
DECLINE
Commercial beekeepers now lose an
average of 30 percent of their
colonies each winter. This poses a
problem for bee-pollinated crops
such as almonds, apples, cucumbers,
avocados, oranges, and berries. One
of the major contributors to bee
deaths is exposure to pesticides,
particularly neonicotinoids. In 2014,
a new study published by Harvard
researchers found further evidence
of the link between neonicotinoid
use and colony collapse disorder.

BE HEALTHMINDED BY
EATING
ORGANIC
An investigative team
reviewing current
research on the effects
of organic agriculture
and crops on public
health found a clear
health advantage of
consuming organic.
Published in the
International Journal
of Environmental
Research and Public Health, findings concluded that lower
pesticide residues in organic produce may be a significant factor
in helping account for those benefits.

REDUCE YOUR PESTICIDE EXPOSURE


Pesticides, linked to numerous health problems, are still found on
conventional produce in the grocery store aisles. A study
concluded that eating an organic diet for just seven days can
significantly reduce your exposure to pesticides. The research
found pesticide metabolite levels in a group of individuals who
ate a diet of at least 80
percent organic for a week
were cut by up to 96 percent
by eating organic.

INCREASE YOUR
ANTIOXIDANT
INTAKE
One of the most interesting
studies showed organic fruit
and vegetables have higher
levels of antioxidants.
Researchers showed that if
you choose organic rather
than conventional fruits and
vegetables, you can get an
average of 20-40 percent

22

SAVE ORGANIC CITRUS


A disease called citrus greening
has been wiping out thousands
of acres of citrus trees in the
United States. Unfortunately,
research on controlling this
disease focuses on toxic pesticide
sprays and the development of
GMO citrus varieties. The
Organic Center has teamed up
with professors at universities,
industry members, and organic
growers to launch a large-scale
study looking at organic
solutions to citrus greening. Visit
the Organic Center Citrus
Greening page.

HELP MITIGATE
CLIMATE CHANGE
Research shows good news for
climate change mitigation:
organically managed soils could
reverse the trend of increasing
CO2 in the atmosphere!
Conducted by the Rodale Institute, the research takes an in-depth
look at how farming systems affect greenhouse gas emission and
illustrates the ability of soil to mitigate climate change when
managed organically.

Organic Report Winter 2015

LISTEN TO
THE BIRDS

AVOID TOXINS

Research shows that


organic farming is
healthier for birds.
Songbirds are
especially sensitive to
agricultural dangers,
because conventional
farms can cause a
reduction in food for
young songbirds
unable to leave their
nests. An article in
Agriculture,
Ecosystems &
Environment
compared availability
of nestling food on organic and conventional farms. Because they
do not use synthetic pesticides and have longer, more diverse
crop rotations, organic farms provide more available nestling
food than conventional farms.

FOCUS ON SOIL HEALTH


A study focusing on healthy soil biodiversity published in
Agronomy for Sustainable Development found that conservation
and organic farming techniques boost the number of soil
organisms when compared to conventional farming. The
researchers measured soil life over a period of 14 years, and
found the organic and conservation agriculture systems had more
earthworms in the soil, 30 to 70 percent more microorganisms,
and improved bacterial pathways.

Avoiding pesticides may be even more important than previously


thought. A study lead by Organic Center Science Advisory Board
member Professor Gilles-Eric Sralini showed that major
pesticides are more toxic to humans than suggested by their
active ingredients. Pesticides contain a mix of inerts, which are
not taken into account in safety testing trials. This research
looked at the toxicity
of herbicides,
fungicides, and
insecticides when all
ingredients were
included, and found
that eight out of nine
pesticide formulations
were up to one
thousand times more
toxic than their active
ingredients.

SUPPORT
BIODIVERSITY
A study published in
the Journal of Applied
Ecology found that
organic farms support
more species than
conventional farms.
On average, organic
farms support 34
percent more plant, insect, and animal species than conventional
farms. When the researchers looked at pollinators such as bees
individually, they found that organic farms had 50 percent higher
species diversity.

SCIENCE TO WATCH FOR IN 2015

015

promises to
be an exciting year
for science
supporting the benefit of
organic.

INTERNATIONAL
YEAR OF THE SOILS
Keep an eye out for more
research showing organic
farmings benefits to soil
health. The Organic Center
is collaborating with the
National Soil Project to test
organic matter on organic versus
conventional farms to quantify the
extent to which conventional fertilizers
have degraded soils. Interested in
donating samples (and receiving a free
soil analysis in return)? Instructions are
Organic Report Winter 2015

on the Organic Centers Soil


Health Science web page.

consumers to measure their nitrogen


footprint based on food choices.

NITROGEN
POLLUTION

DIETARY EXPOSURE TO
PESTICIDE RESIDUES

Nitrogen pollution causes


eutrophication of aquatic
environments and Dead
Zones in the coastal ocean,
contributes to climate
change, acid rain, smog,
biodiversity loss, and more.
In February, The Organic
Center plans to complete a
definitive study, in
collaboration with Professor Jim
Galloway of the University of Virginia,
comparing nitrogen pollution produced
by organic versus conventional crops,
along with a nitrogen calculator allowing

The Organic Center is working with


Professor Alex Lu of Harvard University
to look at the complicated molecular
pathways that might be altered by daily
exposure to low doses of pesticide
residues. //
Stay on top of the most current research
by visiting the Organic Center website.
PHOTO CREDITS:
Bee, Page 22: Mace Vaughan, The Xerces
Society. Bird. Page 23: U.S. Fish and Wildlife
Service, N.E. Region. Butterfly: OTA file photo
All others: Leslie Goldman, Your Enchanted
Gardener (Plantyourdream.net).

23

FOC US O N FIB E R

Organic cotton production less harmful to the environment

life cycle assessment of organic cotton cultivation throughout


the world has found tangible evidence that organic cotton
production is more environmentally friendly than conventional
cotton production.
The assessment, conducted by PE International for Textile Exchange, is based
on data from producer groups in the top five countries of organic cotton
cultivation India, China, Turkey, Tanzania and the United States. These
countries account for 97 percent of global organic cotton production, according
to Textile Exchange.
The assessment investigated the
impact of organic cotton cultivation
concerning climate change/global
warming potential, soil erosion and
soil acidification, water use and
consumption, and energy demand.
Findings were then compared to
an independent peer-reviewed study
of conventional cotton, The Life Cycle
Inventory & Life Cycle Assessment of
Cotton Fiber & Fabric, published in
2012 by Cotton Incorporated which
conducted that study in collaboration
with PE International.
The organic cotton life cycle
assessment (LCA) covers the
planting, growing, harvesting,
ginning and baling of cottonthe
production steps before it enters the
textile industry. When findings were
compared to the results of
independently published
conventional cotton LSA, the study
showed organic cotton production is
much less likely to contribute to
global warming, acidification and
eutrophication than conventionally
grown cotton. It also conserves more
water and uses less energy than
conventional cotton production. This study provides quantitative data which
establishing that organic cotton is better for our environment than conventional
cotton.
Results of the comparison show that organic cotton production:
Reduced global warming potential by 46 percent
Had 70 percent less acidification potential
Reduced the potential for eutrophication and soil erosion
Reduced blue water consumption by 91 percent [Note: Blue water refers to water
withdrawn from groundwater or surface water bodies, such as through irrigation].
Reduced primary energy demand by 62 percent.
For 12 years, we have been promoting the benefits of organic cotton. This
study allows us to show the quantitative data that support what we already
knowthat organic cotton is much better for our environment than
conventional cotton, said La Rhea Pepper, Managing Director of Textile
Exchange.

24

This photo from Chetna


Organic in India captures
cotton drying in the state
of Odisha.

Organic Report Winter 2015

Pepper added, This information is empowering for the


people and organizations along the organic cotton supply
chain, including farmers, cotton ginners, spinners, brands and
retailers, all the way to the consumer level. Making a
commitment to grow, manufacture and use organic cotton in
our textiles is also making a commitment to improve our
water, soil and air.
The assessment was funded by 14 Textile Exchange
member organizations. Textile Exchange works with over 200
textile industry members including large brands and retailers,
manufacturers, farmers, and small start-up brands. Its member
organizations share a common goal to improve the
sustainability of the textile industry.

USING ORGANIC T-SHIRTS FOR MARKETING


OTA wants to prove that doing good can be a win-win deal for
everyone involved. In a new partnership with sustainable
fashion manufacturer MetaWear, OTA is encouraging its
members to promote their businesses, brands and causes on
custom-printed organic, eco-friendly T-shirts, and support
their trade association at the same time.

Under the partnership, OTA members get a 10 percent


discount on screen-printed organic cotton T-shirts produced
by MetaWear that meet the rigorous requirements of the
Global Organic Textile Standard (GOTS) governing textile
processing. In return, MetaWear will donate a portion of the
sales collected to OTA.
GOTS is a voluntary standard that covers the processing,
manufacturing, packaging, labeling, trading, and distribution
of all textiles made from at least 70 percent certified organic
natural fibers (such as organic cotton, organic wool, and
organic silk). As with organic food standards, a textile product
carrying the GOTS organic label must contain a minimum of
95 percent certified organic fibers, while a product with the
made with organic label must contain a minimum of 70
percent certified organic fibers.
Were on our way to revolutionizing the textile industry,
one T-shirt at a time, says Marci Zaroff, ECO-fashion pioneer
and Founder of MetaWear, explaining the company applies
strict standards as provided under GOTS at every step of
production to reduce its carbon footprint and promote
conscious consumption. See ad, Page 33. //

Welcome! NEW MEMBERS


AGRICULTURAL
PROCESSORS
California Garlic Company
Garlic King
Krehers Sunrise Farm LLC
Legumex Walker Canada Inc.
Naturkost de Mexico S de
RL de CV
Prairie Heritage Seed
Organics Inc.

BROKER
Foodguys

CERTIFIER
Northeast Organic Farming
Association/Vermont Organic
Farmers LLC

CONSULTANTS
Eightfold Group Inc.
Foods of the Earth Inc.
Kronick Moskovits
Tiedemann & Girard

DISTRIBUTORS
Fresh Direct Produce Ltd.
Plats du Chef
Tajima Ag

FARM SUPPLIES
Bio HumaNetics
Stockton Israel LTD

GROWERS/FARMERS
Organic Fresh
Pura Vida Farms

Sweet Springs Farm

INGREDIENT
SUPPLIERS
Citrus Extracts Inc.
Food Ingredient Alliance
Grain Millers Canada Corp.
Natural Products Inc.

MANUFACTURERS
Blue Marble Ice Cream
Cal-Maine Foods Inc.
Litehouse Inc.
Maple Hill Creamery
Medicine Flower
PACA Foods Inc.
Patagonia Provisions
Revive Drinks

NON-PROFIT
Fairtrade America

ORGANIC FIBER
Boil & Branch
Green Outfitters

PERSONAL CARE
Everyday Happy
Tomboy Organic Skincare Co.

RETAILERS
Brattleboro Food Coop
Elles Bakeria

SUPPORT SERVICES
Improvonia Inc.
Paragus Strategic IT

Member networking event in Vermont in early December.

Organic Report Winter 2015

25

C ANAD A NE W S

Canada and Japan sign equivalency arrangement

fter years of technical


discussions, peer reviews, and
government-to-government
negotiations, Canada and Japan
announced an equivalency arrangement
for organic products on September 16,
2014. This brings Canadas total
equivalency arrangements to five,
providing Canadian organic operators
with privileged access to over 95 percent
of the world organic market. In March
2014, COTA led a mission to Japan and
Taiwan to showcase Canadian organic
products and build support for organic
equivalency.
The recognition agreement was
formalized in letters traded between the
Japan Ministry of Agriculture, Forestry
and Fisheries and the Canadian Food
Inspection Agency (CFIA). Canada's
Minister of Agriculture and Agri-Food
Gerry Ritz announced the arrangement
during Asia-Pacific Economic
Cooperation meetings in New Delhi in
September. COTA issued a statement

praising the deal and noting the broad


range of organic products already
exported to Japan.
Plants and processed foods of plant
origin are covered under the agreement,
and must bear the Japanese Agricultural
Standards (JAS) seal to be sold in Japan.
The products may also use the Canada
Organic logo in compliance with the
Organic Products Regulations. Canadian
exporters may apply the JAS logo to
eligible products directly if they are
under contract with a JAS-certified
importer, or can have a JAS-certified
importer apply the JAS logo to the
product upon market entry.
Canadian organic products exported
to Japan under the arrangement must be
accompanied by a valid organic
certificate issued by a CFIA-accredited
Certification Body. In addition, a
document including the relevant
information from Article 35 of the
Enforcement Regulations for the Law
Concerning Standardization and Proper

Labelling of Agricultural and Forestry


Productsmust accompany each
shipment, and be completed by the
CFIA-accredited Certification Body.
Canadian organic products not
covered under the JAS regulations (e.g.,
meat, dairy, and honey) but certified by
a CFIA-accredited Certification Body in
Canada will continue to have access to
the Japanese market but may not bear
the JAS logo.
If an alcoholic beverage is labeled
with the word "organic" in Japanese,
then a certificate that includes the name
of the certified alcoholic beverage, the
name and address of the certified farm
or brewery, number and date of
certification, address and name of the
operator, country of origin, and address
and name of the certifying body is
required to accompany export. The
certificate must be issued by a CFIAaccredited certification body.

O rg an ic Week Rec ap

eptember 20-28, 2014, marked the


annual celebration of Organic
Week in Canada. Since its launch
five years ago, Organic Week has become
Canadas largest promotional and
educational campaign for organic, ranging
from retail promotions and film screenings to farm tours.
Organic Week 2014 was supported directly by 28 sponsors
and organized by the Canada Organic Trade Association
(COTA) with the Canadian Organic Growers and Canadian
Health Food Association. COTA and partner organizations
worked with regional groups to mobilize over 200 local events,
as well as point-of-sale promotions in 1,500 retail locations
across the country including major grocery chains Sobeys and
Loblaws.
The strong national presence of Organic Week also drew
record media coverage, including an eight-page special report
in the national Globe & Mail newspaper, a feature in Alive
Magazine and local papers across the country, as well as TV
and radio coverage by CBC and Global News. 2014 also

26

marked a great leap in online


coverage, including
hundreds of thousands of
impressions via social media,
over a hundred blog and
video posts, and over 2,800
contest entries for organic product giveaways.
Organic Week not only helped to boost Canadian organic
sales, but also built awareness and momentum for organic in
the policy realm. In October, COTA hosted the fourth
Parliament Day and policy conference in Ottawa, including
a popular organic reception on Parliament Hill and meetings
with influential policymakers to highlight some of the organic
sectors key needs.
The sixth annual Organic Week will take place September
19-27, 2015. COTA and organizing partners are already
planning event activities, including marketing and sponsorship
opportunities. For more information on the significant
opportunities to align your brand with this campaign or to
reserve your 2015 sponsorship, contact COTAs Henry Chen.
Organic Report Winter 2015

COTA BOARD INCUMBENTS RE-ELECTED


In COTAs Board of Directors elections held this past summer, an impressive 35
percent of COTAs membership voted. All three incumbent Board candidates were
re-elected, making the transition to the new Board seamless.
COTA congratulates Lynne Brenegan (UNFI Canada), Dag Falck (Natures Path
Foods) and Dwayne Smith (Grainworks), and thanks all candidates who ran in this
years elections.
The other members of the Board include Ryan Benn (Alive/Teldon Media), Mike
Fata (Manitoba Harvest Hemp Foods), Maureen Kirkpatrick (The Big Carrot),
Martin LeMoine (Fruit DOr), Kelly Monaghan (Ash Street Organics), and Lisa
Mumm (Mumms Sprouting Seeds).

Organic Report Winter 2015

CANADAS
ORGANIC &
ECOLOGICAL
SEED
MARKET

GR

OW

ERS

$9.1

C GROWERS

$1

RO

ORGANI

ER

S $ 1 9.2

VEGETABLE SEED
$28 MILLION

1.6

E C O L OGI

EC

OL

OG

ICA

SAVED FIELD
CROP SEED
$30 MILLION

CA

OR

Good food starts with good seed. Thats


the perspective of The Bauta Family
Initiative on Canadian Seed Security.
Launched in 2013, in two short years the
initiative has gone from a compelling
idea to a full-fledged national program
managed by two national partners and
five regional hubs working with
researchers, industry partners (including
COTA), civil society organizations and
hundreds of farmers to build a resilient
seed system for Canada.
The vast majority of food consumed
around the world begins with seed. Food
security depends on public access to a
broad base of plant genetic materials,
ongoing work to adapt these materials to
diverse growing environments, and
breeding for performance under organic
management. It is an exciting time to
work on seed. Local and organic food
movements are vibrant and strong, and
the notion of resilient seed systems as
the foundation for resilient food systems
is becoming easier to grasp.
Building resilience in the Canadian
seed system is what The Bauta Family
Initiative on Canadian Seed Security is
working to achieve. In 2014, the
program counted over 60 applied
research sites, 32 grants to scale-up and
diversify production, 17 community
seed library grants, close to 30 seed
training grants, and three conferences,
as well as seed internships, field days
and informal convening. This activity is
made possible thanks to decades of work

IC

By Jane Rabinowicz
USC Canada

AN

fter over a decade of service


to OTA, Stephanie Wells has
decided to dance her way
right into retirement. Responsible for
originally representing and establishing
OTAs presence in Canada, it was during
her tenure that the organization
(renamed the Canada Organic Trade
Association in 2009) grew from a
skeleton crew to a team of six, and the
recognized industry leader.
Members know her for her
exceptional service and willingness to
dig and confer on any request, big or
small. She is a networker who has few
equals, and helped COTA establish
essential connections for stakeholders
whether between two industry members
who might do business together, or
between governments that might
negotiate an equivalency.
She has directly influenced the
outcomes of many things we now take
for granted: the development of
Canada's organic standards and
regulations, Canadas five international
equivalency agreements, the formation
of Organic Week, and indeed COTA
itself.
Stephanie is now looking forward to
running her bed and breakfast in British
Columbias Gulf Islands, and pursuing
her passion for painting.
Enjoy it, Stephanie, its welldeserved. On behalf of all the staff,
Board and members at COTA and OTA,
we want to thank you for your years of
service, and wish you all the best!

by farmers, seed savers and their


advocates. The rapid uptake of program
activities is an indication of the interest,
excitement, and readiness for this work
across Canada.
The organic seed community is
growing, but remains small and
fragmented. The leaders in the field
acknowledge that the only way to scale
up is to work together. And this is
happening. This past year in British
Columbia and Ontario, producers
worked to expand regional vegetable
seed production through collaborative
crop planning, processing, distribution
and marketing. On the Prairies, organic
associations are building partnerships
across the value chain to expand the
market for organic grain. In Atlantic
Canada, Dalhousie University
collaborated with local NGOs to launch
a regional seed bank, creating a publicly
accessible collection of regionally
adapted seed. These are just a few

ORG

A fond fa r e w e ll !

PROFILE ON
COTA PARTNER:
THE BAUTA FAMILY
INITIATIVE ON CANADIAN
SEED SECURITY

EC

LG
R

OWE

RS $18.5

AN

IC

GRO

W ER S $7.
7

PURCHASED
FIELD CROP SEED
$20 MILLION
M
3
OLO

G I C A L G R OW

ERS

TOTAL VALUE

$78 MILLION

27

$1

2.

examples of a much broader trend.


This past year, the Bauta Family
Initiative on Canadian Seed Security
partnered with COTA on a groundbreaking study of the Canadian market
for organic and ecological seed. This
precedent-setting study estimates the
current value of organic and ecological
seed in Canada at over $78 million per
year, including $28 million in vegetable
seed and $20 million in purchased field
crop seed. The research also reaffirms
the value and importance of saved seed
for organic farms, at over $30 million
per year,and recommends public policy
be designed to support the continued
growth of the organic sector, including
the practice of seed-saving.
Looking to the future, seed
production training must become more
accessible to people getting into
farming. Networks must grow stronger
and expand their reach. Those
interested in scaling-up the sector must
tackle the ever-present issue of lack of
trust in the quality of local seed. Finally,
public awareness of the beauty and
importance of biodiversity must grow.
The Bauta Family Initiative on
Canadian Seed Security is delivered by
USC Canada, in partnership with Seeds
of Diversity Canada, and through the
generous support of The W. Garfield
Weston Foundation. For more
information, visit www.seedsecurity.ca.

PARLIAMENT DAY
COTA held its annual Parliament Day in Ottawa October 28-29, 2014. Members of
Parliament, Senators and their staff joinedorganic representatives to toast the
sectors growth at the all-organic reception hosted by COTA in the Parliament
Buildings. Attendees also took in COTAs Policy Conference, provided testimony at
the House Standing Committee on Agriculture, and met directly with Members of
Parliament to raise organics profile with them.

THINK RIGHTS
TRANSFERRED
TO COTA
Agriculture and
Agri-Food Canada
officially transferred
all assets and
ownership of the
Think Before You Eat:
Think Canada Organic campaign to
COTA during 2014. The campaign was
developed by the Organic Value Chain
Roundtable as a generic promotional
marketing campaign for Canadian
organic products.
COTA launched the Think website
in March 2014, and coordinated a
further rollout of the campaign during
Organic Week 2014 along with national
and regional partners.

28

INAUGURAL ORGANIC VISIONARY AWARD


Dr. Laura Telford, Organic Business Development Specialist with the Province
ofManitoba (third from left), appears with COTAs Matthew Holmes and members
of the Leclair family in Ottawa this October.
The COTA Board of Directors presented Dr. Telford with the inaugural Michael
Leclair Organic Visionary Award for her years of support of the organic sector, and
her work to develop provincial organic regulation in Manitobathe first to follow
the federal regulation in 2009.
COTAs memorial Leclair Award will be awarded to public servants and officials
who go above and beyond their duties to support Canadas organic sector. //
Organic Report Winter 2015

Introducing OTAs Board of Directors

he members of OTAs Board of Directors serve as


strategic advisors and long-term thinkers to the
association. The Board consists of 15 people, each of
whom serves a term of three years. A Board member cannot
serve more than three consecutive terms.
OTA Board members are elected by OTA trade members
each year. The Board is made up of nine at-large members

elected by the general membership, two Canada Organic Trade


Association (COTA) representatives who have been elected by
the general membership of COTA, and four members who are
appointed by elected Board members. One of the slots is a
dedicated Farmer Board seat.

A Champi o n fo r O r g a n i c:
Melissa Hughes, President of OTAs Board
Hughes
Melissa
General

Counsel & Director


of Government
Affairs for Organic
Valley, the nations
largest and oldest
organic dairy
cooperative, was elected President of the
Organic Trade Associations Board of
Directors in September. Melissa brings a
deep-seated passion for organic food
and people to her new position, and says
getting organic stakeholders actively
involved as advocates for the organic
industry is the key to keeping the sector
on a solid path of growth.
Growing up outside of New York
City on Long Island, Melissa had no idea
she would end up happily raising her
family and having the job of her dreams
in the farmland of Wisconsin. A convert
to organic after her husband first got
involved with organic and they had
started their household of three children
(including a set of twins), Melissa
quickly realized the importance of
organic food and has never looked back.
Melissa recently shared her thoughts
with OTAs Maggie McNeil on the future
of the organic industry.

: What do you see as the biggest


challenges facing organic producers
and the organic industry?
Melissa: The biggest challenge is reeducating consumers to understand that
everyone deserves and has a right to
quality nutritious food. Americans do
recognize the value of quality, but they
have been taught that food should be
cheap. Our cheap food system is creating
hidden downstream costspoor health,
Organic Report Winter 2015

environmental damage and destruction,


and damage to our rural culture. You are
what you eat!
As a farmer-owned cooperative, we
see this play out on the farm every day.
Organic producers are struggling under
a system whose infrastructure is built for
conventional. Organic feed is scarce,
organic meat processing is expensive,
organic research is sorely lacking
compared to deep pocket biotech
research. Vet students are mostly
familiar with conventional treatments.
Agriculture schooling is conventional
agriculture. Only with growing organic
can this infrastructure be strengthened.
My kids wont want to be organic
inspectors if organic doesnt grow and
have a future. Stores wont carry organic
if its not growing and expanding. I am
heartened by the steady growth of
organic, yet, we have so much more to
do. We need to keep a steady pace of
growth to avoid the crushing burden of
the conventional infrastructure and
propel a future for agriculture that is
truly sustainable.
can OTA, farmers, processors
Q: How
and organic stakeholders address
those challenges?

Melissa: All of the stakeholders in

organic should be excited to talk about


our involvement in this world-changing
experiment that is organic agriculture.
But the obstacles of big agriculture,
cheap food and corporate media have
understandably made folks gun shy. Is
organic elitist? Nonsense. Is it
unobtainable? Of course not. These are
tired arguments used by those opposed
to organic. But we are the only ones who
can speak to support organic, and we

need to be willing to do so. I think the


Organic Research and Promotion Board
and an organic check-off program will
be a great vehicle to beat back naysayers,
and allow us to feel more supported in
speaking our mind about the challenges
all of agriculture faces right now, and
how organic offers solutions.
are the highest priority items
Q: What
on your to-do list as President of the
OTA Board?

Melissa: I have two priorities. One is

the Organic Research and Promotion


Board needs to come to a vote. We have
had three years worth of discussions,
meetings, input, and it is time. I know
people worry whether it will work or
not. But thats not a reason not to bring
it to the movement, and say yes or no.
We need to invest in organic.
My second is getting all those
involved in organic to be a part of the
movement. We have farmers selling at
markets who are organic but arent
certified. We have retailers selling
organic who arent members, and need
to be a part of the conversation. We have
chefs cooking organic who arent
spokespeople. The good food movement
is the organic food movement, and folks
need to get on board.

impact do you think an


Q: What
organic check-off program will have
on the organic industry?

Melissa: An organic check-off will

enhance and grow the industry. Enhance


by helping to find a way to have a
conversation about where to put our
resources, and where to do research and
to build the needed infrastructure. Grow
by educating the consumers that organic

29

means third-party verified, gold


standard processes and a seal they can
trust to find the quality food they
deserve. This will give even more
credibility and meaning to the organic
seal, and bolster consumer confidence.
do you see as the big growth
Q: What
areas for the organic industry, both
domestically and internationally?

Melissa: I believe that organic will

continue to grow in the obvious areas


dairy and produce. Organic is being
adopted by all the major retailers (that's

Sarah Bird
Vice President
USA

arah is Chief
Commercial
Officer of Ecologic
Brands Inc., a
sustainable
packaging
company. A
veteran of consumer packaged goods
marketing, Sarah most recently was
Chief Marketing Officer at Annies Inc.
She has a long career in the organic
industry, is a staunch advocate of a
unified voice to drive consumer trust
and understanding of organic, and is
dedicated to helping grow and protect
the organic sector.
Dag Falck
Vice President
Canada

ag is
Organic
Program Manager
for Natures Path
Foods. He brings
decades of
experience and
perspective as a leader, organic
inspector and food manufacturer. He
says that the huge growth in the global
organic market makes it critical to
ensure that strict government-enforced
organic standards continue to build
consumer confidence at home, and
open new organic opportunities in
other markets.

30

why we need them involved!) and just


like a balloon getting more air in it, the
expansion of organic will continue. But I
also think the organic movement will
grow to other aspects of consumers
livesincluding organic fibers, body care,
and cleaning solutions. If you are feeding
your baby organic food, don't you want to
wrap them in organic cotton? And lay
them down on an organic mattress?
Awareness is growing exponentially on all
these fronts, and with awareness comes
conversion to organic.

Tony Bedard
Treasurer

ony is Chief
Executive
Officer for Iowabased Frontier
Co-op, a leading
supplier in
natural and
organic herbs,
spices and aromatherapy products
under the Frontier, Simply Organic,
Aura Cacia and Aura Cacia Organics
brands. Tony, who grew up on a family
farm in Iowa, says he learned long ago
that the organic industry begins with
farmers, and says the industry needs a
strong trade association to protect and
promote its best interests.
Melody Meyer
Secretary

elody is
Vice
President Policy
& Industry
Relations for
UNFI, the
leading national
distributor of
organic and natural foods and specialty
food products in the United States and
Canada. Melody has been attracted to
and involved in the organic food
industry for over 30 years, with a lifelong
goal to promote the growth of organic
trade to benefit consumers, growers and
the environment.

do you envision organic


Q: How
agriculture and the organic industry
10 to 15 years from now?

Melissa: Im a dreamer. I believe for all

the challenges, we are on the right path.


Fifteen years from now, organic will be
the optimal solution for many problems,
and the question will be how do you do
this organically, whether it is to grow
food or fiber, eat food, or clothe your
world. Fifteen years from now, feed
nine billion in 2050 will be gone from
our lexicon, and we will be focused on
raising the world from poverty with
access to good food for all.

Ryan Benn

yan is
president
of Teldon Media
Group and alive
Publishing
Group, leaders in
Canadas health
and wellness
publishing sector
for 39 years. Ryans approach to
business embodies a combination of
vision and execution, and his
commitment to giving consumers the
tools they need to live healthier and
happier lives has translated into his
work with OTA to help educate the
public about organic.
Samantha
Cabaluna

amantha is
Vice
President of
Marketing,
Public Relations
and
Communication
for Earthbound
Farm, the countrys leading grower of
organic produce. A long-time organic
consumer, Samantha has immersed
herself in issues surrounding organic
farming and is an ardent advocate for
organic and the mission to bring the
benefits of organic food to as many
people as possible.
Organic Report Winter 2015

Perry Clutts
Farmer Board Seat

erry is
owner of
Pleasantview Farm,
his familys certified
organic dairy
operation in Ohio.
Perry has been a
passionate supporter and fully engaged
member of the organic community for
15 years, transitioning his familys 133year-old farm to an organic grass-based
dairy, and wants to use his resources and
knowledge to further promote organic
through advocacy and working with
OTA.
Nicole Dawes

icole is cofounder and


CEO of Late July
Organic Snacks, a
leading and
innovative line of
healthy organic
snack foods.
Nicoles
commitment to organic is based on her
belief that dangerous pesticides, high
fructose corn syrup, GMOs, antibiotics,
artificial colors, flavors and preservatives
should not be in our food supply, and
she is committed to working to promote
and preserve the integrity of the organic
movement.
Kim Dietz

im is Senior
Manager of
Compliance and
Industry Relations
for Smucker
Natural Foods. Kim
has been involved
in organic farming
sustainability her
entire life, and has over 30 years
experience and expertise regarding
organic and non-GMO compliance and
standards. Her commitment to organic
has been demonstrated in her voluntary
work with OTA throughout her career,
both as a leader and a participant.
Organic Report Winter 2015

Christopher Ely

hris is cofounder of
Applegate Farms
LLC, the leading
organic and natural
deli and meat
company in
America. Chris is
committed to
organic farming. Through discussions at
ag schools and universities and working
with the Rodale Institute, he is
introducing young and potential farmers
to alternative farming systems and
promoting organic farming as the better
choice for the environment, the
economy and consumers.

Marci Zaroff

arci is
founder of
Under the Canopy
and president of the
Portico Brand
Group, makers of
organic, ecofriendly textiles,
apparel, and home
furnishing manufactured by socially
responsible methods.For over two
decades, Marci has been a visionary,
authority and ambassador of an
organic/sustainable lifestyle, and is
working with OTA to protect and build
the organic industry.
Leslie Zuck

Jesse Laflamme

esse is founder
of New
Hampshire-based
Pete & Gerrys
Organics LLC, the
parent company for
both Pete & Gerrys
Organic Eggs and
Nellies Cage-Free
Eggs brands. Under his stewardship
since returningto the family farm in
2001, Pete & Gerrys has become a
leader in sustainable organic food
production, and Jesse is an advocate for
small family farms and small-scale
organic food production.

eslie is
co-founder of
Pennsylvania
Certified Organic
(PCO) and has
been PCOs
Executive Director
for 17 years. A
lawyer and an
organic farmer for nearly 30 years, Leslie
has been involved with OTA for several
decades. She says everyone in the
organic community needs to pitch in to
keep the organic sector strong, and to
help OTA effectively protect and
preserve organic integrity in Washington
and around the world. //

Kelly Shea

elly is Vice
President of
Government &
Industry Relations
for WhiteWave
Foods, home to
pioneer organic
brands Silk Soymilk
and Horizon
Organic. A member of OTA for almost
20 years, Kelly stresses the importance of
the organic industry coming together as
a community with one voice to educate
the media, lawmakers and politicians,
and shoppers on the multiple benefits of
organic.

All of the stakeholders


in organic should be
excited to talk about our
involvement in this
world-changing
experiment that is
organic agriculture.
Melissa Hughes

31

N EWS A ND TRE NDS

Orga n ic cro p yie l ds hi g he r t ha n e a r li e r t ho ug ht

new study published in the Journal Proceedings of


the Royal Society Biology has found that the yields
of organic crops are higher than previously
thought, narrowing the gap between organic and conventional
yields.
Researchers from the University of California, Berkeley,
have carried out the largest meta-analysis comparison of
organic and conventional crop yields to-date, synthesizing
results from 115 studies with over 1,000 observations.
By including this large body of data and using more
rigorous statistical methodology, the study found that the gap
in yields between organic and conventional was lower than
had previously been reported, and that some organic
management practicessuch as multi-cropping and crop
rotationscan shrink that yield gap even further, reducing the
yield gap from 19 percent to only 8 to 9 percent.
Additionally, the study notes a bias in the direction of
conventional agriculture in data from the literature comparing
organic and conventional yields. This means that the yield gap
reported by this study, using the most comprehensive available
data, is probably over-estimated, and the true yields of organic
are likely even greater.
The yield gap that we detected is actually surprisingly
small when one considers the historic underfunding of

research in organic agricultural management and in breeding


of seeds for organic conditions, said Professor Claire Kremen,
one the studys authors.
Coupled with our finding that crop rotation and multicroppingtwo practices that are well known to build soil
fertility and health, reduce pest and diseases, and improve
water use efficiencyimprove the organic-to-conventional
yield ratio, we suggest that additional agronomic research and
breeding for organic could further reduce the remaining gap,
leading to environmentally friendly and productive
agriculture, Kremen added.

NEW ORGANIC SWEET CORN


The Organic Seed Alliance and the University of WisconsinMadison have announced a new sweet corn variety named
Who Gets Kissed? The open-pollinated variety is the first in
a series of organic sweet corn releases developed through
participatory plant breeding, where farmers and formal
breeders collaborate on farm-based breeding projects to help
improve agricultural crops.
According to Micaela Colley, executive director of Organic
Seed Alliance, Who Gets Kissed? was not only bred under
organic farming conditions, but organic farmers were equal
partners in the breeding effort. The name was chosen based on
a game that used to be played at old-fashioned corn husking
beeswhen a person found an ear with all red kernels instead

32

Organic Report Winter 2015

of yellow kernels, that person could choose someone among the


group to kiss.
Because the variety is open pollinated, growers are
encouraged to save and select seed from their harvests to
adapt the variety to their own local conditions and market
needs. It is available for purchase from High Mowing Organic
Seeds. The breeding project was funded in part by the Organic
Farming Research Foundation and USDAs Organic Research
and Extension Initiative.

MORE INSECT ACTIVITY IN ORGANIC


VINEYARDS
A recent study published in Animal Conservation found that
there were more insect-flower interactions in organic vineyards
when compared to conventionally managed vineyards.
Researchers recorded the number of times insects came in
contact with flowers in plots established in organic and
conventional vineyards in South Africa.
While they found that organic and conventional vineyards
had the same number of insect species, insects present visited
flowers more often on organic farms. The authors believe
these results are likely seen because organic vineyards are
friendlier to insects since they do not use chemical pesticides,
and thus tend to support higher floral diversity than
conventional vineyards.
Researchers conclude that this research supports other
findings where vineyard habitats and appropriate biodiversityfriendly management can benefit the local biota.

WHY CONSUMERS PURCHASE ORGANIC


A new study by a Florida State University researcher examines
why people purchase organic groceries.
Hyunjoo Lee, an assistant professor in the Department of
Retail, Merchandising and Product Development, has found
that consumers make grocery purchasing decisions on a
variety of factors, including nutritional content, natural
content, ecological welfare, price, and attitudes.
Published in the January edition of Food Quality and
Preferences, the study findings are based on interviews with
727 consumers, ages 20 to 85, who are the main grocery
shoppers for their households. Of those interviewed, 55
percent were women, and 45 percent were men. The main
considerations for those interviewed were attitudes related to
nutritional content and the environmental impact of the food.
Price, unsurprisingly, was still the main deterrent for shoppers
looking at organic food.

RESEARCH ISSUES

the practice of regularly feeding low levels of antibiotics to


livestock animals despite mounting evidence that overuse is
creating drug-resistant superbugs.
Neonicotinoids are polluting rivers: A recent study by the
United States Geological Survey (USGS) has found that
neonicotinoid pesticides are polluting streams throughout the
Midwest. Although they dissolve readily in water, they are slow
to break down in the environment, resulting in a high risk of
runoff from agricultural fields into water sources. The chemical
was present in all nine rivers studied. The use of neonicotinoids
has skyrocketed in recent years, and has been associated with
bee deaths. The study found neonicotinoid levels in rivers at
levels known to be toxic to wildlife.
Commitment to pollinator health: The Organic Center has
made strategy recommendations to the U.S. Environmental
Protection Agency (EPA) and USDAs Pollinator Health Task
Force on ways to restore the health of pollinators. Most organic
farming practices are less harmful to pollinator populations
than conventional farming methods and many are beneficial.
Some of these techniques include using integrated pest
management strategies to avoid the use of synthetic pesticides
toxic to bees, particularly neonicotinoid coated seeds. Organic
farms are also much more likely to use crop rotation and hedge
row cultivation which improve soil health, provide habitat for
natural pest predators , and are beneficial to native bee
populations by creating diverse habitat and food sources. By
encouraging conventional farmers to adopt techniques already
used successfully in organic systems, pollinator populations can
be restored. //
Promote your business, brand, or cause on an

ORGANIC T-SHIRT!
ORDER NOW FOR EXPO WEST

OTA is pleased to extend a member discount on GOTS (Global Organic


Textile Standard) certied screen-printed organic T-shirts produced by
MetaWear, a fellow member organization. Theyll print your custom design
on high-quality organic cotton T-shirts with no minimum order required.

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one T-shirt at a time.

Find out more at metawearorganic.com

Antimicrobial resistance: The World Health Organizations


(WHOs) 2014 summary on Antimicrobial Resistance: Global
Report on Surveillance finds antibiotic resistance is an
increasingly serious threat to global health. In late June, the
American Medical Association called for a federal ban on the
use of antibiotics for growth promotion in food animals.
However, on July 24, a U.S. appeals court ruled the U.S. Food
and Drug Administration does not have to consider banning

Organic Report Winter 2015

33

OTA S OR GA NIC PA C

early four and a half years after


its establishment, OTAs
Organic Political Action
Committee (Organic PAC) is actively
working to support candidates who
understand the value of organic.
OTAs Board of Directors authorized
the establishment of an affiliated
Organic PAC in October 2010 as part of
its commitment to increase the
effectiveness of its U.S. government
relations program. Since then, Organic
PAC has evolved into a vehicle for OTA
and its members to support political
candidates aligned with the goals of the
organic business community regardless
of their political party. It is designed to
provide financial assistance to political
candidates and incumbents who
understand and support issues that
affect organic agriculture and trade
under the guidelines of the Federal
Election Commission.

SUPPORTING THIS EFFORT


Organic PAC is supported by voluntary,
personal contributions of owners and
executives of OTA member companies

who recognize the importance of the


organic industrys voice on Capitol Hill.
It operates in a bipartisan manner,
helping to develop relationships on both
sides of the political aisle.
By pooling and targeting funds from
individuals affiliated with OTA member
companies, Organic PAC makessmall
political donations go further.
Although OTA has advocated on the
Hill for decades, Organic PAC is making
it possible to do it in a way that directly
supports candidates who share OTAs
interests and concerns about public
policy issues, specifically, the growth and
health of organic agriculture.
Contributions to Organic PAC are
used for political purposes, and must be
drawn on personal, not corporate
accounts. They are not tax-deductible
for federal income taxes. If you work for
an OTA member company that has
granted Organic PAC prior
authorization or your business is a sole
proprietorship or an LLC, you are
eligible to support OTAs Organic PAC.
In addition, OTA has established a
Homestead Associate Member category.

This allows existing members to support


OTAs Organic PAC while enjoying
special individual member benefits at
home. This category is for individuals
whose commitment to organic stretches
beyond their job.
Organic PAC is overseen by the
Organic PAC committee that sets and
meets contribution goals, and authorizes
contributions to candidates. Individuals
from OTA members companies who
enjoy the political process and want to
play an important role in furthering the
work of OTAs Organic PAC are
encouraged to apply to serve on the
Organic PAC committee. Criteria include
demonstrated interest in government
affairs and the political process,
connection to a well-developed network
of individuals and/or organizations in a
given geographic area, and the ability to
act in a bipartisan manner, and
willingness to focus on organic agriculture
and trade policy advancement as the sole
screen of a candidates merits. Members of
the committee are appointed by the OTA
Board of Directors.

Organic Week in Washington 2015


Tuesday, April 14 Hall of the States Member Working Sessions
OTAs Board of Directors, Sector Councils, Task Forces and Forums will host
a range of meetings at the Hall of the States, OTAs headquarters in D.C.
Participants will weigh in on a collective vision for the future of organic.

Wednesday, April 15 Newseum Policy Conference


From keynote presentations to panel discussions and networking sessions,
you wont want to miss a minute of this powerhouse program.

Thursday, April 16 U.S. Capitol Advocacy Day


Gather at the Hall of the States before deploying
to Capitol Hill for pre-arranged meetings
with legislators and agency officials.

Learn more at www.ota.com,


or contact Angela Jagiello (ajagiello@ota.com).

THERES MORE TO ORGANIC THAN MEETS THE EYE


34

Organic Report Winter 2015

If youre not politically active,


youre politically dead,
says Tom Harding, President and
CEO of Lehigh Valley Organic
Growers and a member of the
Organic PAC committee.

Every good cause or movement


needs to have an influence
base within the political spectrum.
OTA members cannot create
influence without cultivating the
attention of politicians,
says Organic PAC donor Jay
Fishman of High Quality Organics.

Organic Report Winter 2015

Actively encouraging OTA members and


others within the organic industry to
contribute to Organic PAC, Harding
believes it is crucial to be involved in the
political process. No matter what the
amounteven $25 or $50adds to
Organic PACs involvement with
policymaking.
Donations to Organic PAC do not
buy votes (that is illegal). But, Harding
stresses, letting elected officials know
that we support them because of their
stands on organic and international
trade helps open doors to our sharing
our views with them.
The amount of money we give is
insignificant in the overall picture, but it
helps them to know were there. It is
important that we have an open door, to
sit down with them and to have them
listen to our voice, Harding says. We
have a great story to tell.
Harding explains that the
committees process to select candidates
or incumbents to receive PAC money is
democratic, balanced, and unbiased as
far as political party.
OTA staff members make

recommendations to the Organic PAC


committee on who to consider for
Organic PAC funding. Such
recommendations outline those who
have been or are seen to be instrumental
in moving organic priorities forward.
Funding dispersements are considered at
least twice a year. With a new Congress
in place, Harding said this may be more
frequent in the coming months.
We take these recommendations
and determine the priorities for
supporting those whom we believe will
help support what the organic sector
needs, he says. Although domestic
issues are important, so are such issues
as support for international trade
agreements and international standards.
How much is disbursed, of course, is
contingent on the total funds actually
raised by Organic PAC in a given time
period, often based on election cycles.
Right now the amount we can give
isnt that large, but it does help us be
heard, Harding says. He is hopeful that
in time, Organic PAC will grow to give
organic an even stronger political voice.

I feel extremely comfortable with


Organic PAC because I see OTAs
management and leadership are 100
percent proactive to enforce and expand
the organizations mission.
OTA, he notes, is obtaining real
results through its political advocacy,
citing what he has seen and experienced
when attending OTAs annual Policy
Conference and Hill Visit events as a
representative of his company. Our
asks are very reasonable and reflect
well-thought-out strategies.
Incrementally, we are making
headway, slowly but surely gaining
ground and a sphere of influence, says
Fishman.
The idea of being non-partisan,
gaining the attention of policymakers on
both sides of the aisle, is also a major
admirable goal. There already has been
enormous acceptance of our mission.
What I realize is that with more funding,
we can do more work up front so that
we will have access on the back side to
meet with policymakers on legislation
development.

Supporting Organic PAC, he notes, is


a common sense approach to grow the
influence of OTA to work toward
healthier growing systems, better food,
and room for organic to make a
difference globally and locally.
Seeing OTAs political advocacy
through such events as Hill Visit Days,
Fishman says, has been impressive. So
for me it is not hard to support it by
writing a sizeable check to Organic PAC.
In fact, because it is an effective political
tool, I look forward to adding more to
my next contribution. //

Visit OTAs website for more


information about Organic PAC.
To get involved, contact
Amy Bovaird
(abovaird@ota.com).

35

NEWS FRO M OTAS O RGA NI C EX P O RT P R O G R A M

Members help make OTA seminars in Japan a success

apan is becoming increasingly interested in organic


agriculture, both as an import and export business,
while more and more Japanese consumers are seeking
organic products. To build on this momentum, OTA recently
hosted a seminar in Japan entitled Growing the Wonderful
Opportunities with U.S. Organicbrought to you by the
Organic Trade Association.
Effective January 2014, Japan and the United States
concluded a new organic equivalence arrangement greatly
streamlining procedures for importing U.S.-produced organic
products to Japan. Goals of the seminar, held both in Tokyo
and Osaka, were to summarize trends in the organic market,
highlight opportunities available under equivalence, and
provide a forum for discussing how to grow partnerships
between U.S. producers and Japanese importers and retailers.
To set the tone, OTAs Senior International Trade Manager
Monique Marez delivered welcoming remarks and shared
goals for the seminar in Japanese. She was followed by a group
of organic leaders who took part in five presentations:
Understanding Japan-U.S. equivalency, U.S. Organic Market
Trends and Consumer Education, Understanding the JAS
system, Utilizing Agricultural Trade Offices to help grow your
business, and The Benefits of an Organic Lifestyle, looking
ahead to Tokyo 2020.
Leaders taking part included David Miller (Minister
Counselor for Agricultural Affairs, USDA), Bob Anderson
(OTAs Senior Trade Advisor), Takuro Mukae (Associate

Attendees enjoy organic snacks and beverages


following OTAs seminar in Tokyo.

Director, Labeling and Standards Division, Food Safety and


Consumer Affairs Bureau, Ministry of Agriculture, Forestry,
and Fisheries Japan), Taka Yamaguchi (Publisher of Organic
Directory, Executive officer of the Organic Village Japan
Tokyo 2020), Rachel Nelson (Director, Agriculture Trade
Office, USDA), and Allen S. Greenberg (United States Consul
General).
This was the first time a business-focused
seminar aimed at the organic industry of this
scale and size was held in Japan. In Tokyo, there
was standing-room only, with more than 115
participants in attendance. Many attendees
commented on the value of getting key organic
sector players in the same room. Currently,
there is no organic trade coalition representing
the voice of the organic industry in Japana
development that all participants agreed was
needed. During the question and answer
session, industry members reported they are
already benefiting from the equivalency
agreement, and asked MAFF if the JAS program
would be extended to dairy and cosmetics.
There are no Japanese organic standards now
for these markets.
The program was enhanced by generous
contributions from OTA members. Guests
snacked on Amys Burritos and Clif Bars during
the coffee break. A reception following the
seminar featured a display of organic products
for morning, noon, and night from a variety of
Shown are Adachi-san, Mukai-san, Monique Marez, Yamaguchi-san,
producers. As part of the reception, guests
Bob Anderson, and Rachel Nelson after the successful seminar in Osaka. enjoyed an organic version of an American

36

Organic Report Winter 2015

classicgrilled cheese featuring Organic Valley cheddar


cheese and Alvarado St. Baking Company Bread, paired with
Amys Kitchen Tomato Bisque garnished with Dixon Ridge
Walnuts. Natures Sun Grown, Excel Trading, and Alishan
helped outfit the display.
Other samples sent for display in Tokyo and Osaka
included products from The Bagel Ladies, Happy Family
Brands, Lukes Organic, and Macrolifeall generating lots of
buzz at the event. The farewell gift rounded out the reception
theme of Enjoying an Organic Lifestyle. As a thank you for
participating, guests took home an Ecobags organic cotton
grocery bag and bottle of Dr. Bronners 18-in-1 Castile
Lavender Soap.
In addition to the seminar and reception, OTA held
meetings with key government officials from Japans Ministry
of Agriculture, Forestry, and Fisheries (MAFF), the agency
responsible for the Japan Agriculture Standard organic
program. Timing for the visit could not have been better. Each
week, MAFF hosts a consumer room at its headquarters that
highlights a different sector in the agriculture sector. During
the OTA visit, MAFF featured organic!
The consumer room offered samples, information about
organic, interactive media to educate consumers, and
personnel on-site to answer questions. Officials expected the
organic consumer room would receive over 1,000 visitors from

Tuesday to Friday. All in all, the trip was a tremendous


success. With the help of our members participation, OTA
further built a coalition of support for USDA certified organic
products in Japan.

HS CODE TASK FORCE


OTA aims to continue growing the register for
international trading codes (HS codes) for
registering imports and exports of organic
products, but we need membership support. Thus,
OTAs Senior International Trade Manager
Monique Marez will lead a new task force devoted
specifically to HS codes.
Your support in this effort is greatly appreciated
and will benefit each OTA member as we grow the
portfolio of recognized organic goods traded on
the international market. The task force charter is
in the works, and will be announced in early 2015.
The next round of submissions is due April 1. If
you are interested in being involved or have
suggestions for a code, contact Marez.

Sign up for an exporter interview


by Monique Marez
OTAs Senior International
Trade Manager
2015 is off to a running start, and
there are gains to be made for U.S.
organic exporters. Healthy growth
in organic demand is occurring in
all regions, from Japan, South
Korea and China, to Canada, the
European Union and the Middle
East. It is my goal to help organic
member producers and distributors explore and connect with
these developing and often untapped markets.
A recent OTA survey of the U.S. organic industry shows a
growing number of organic stakeholders involved in the
export marketjust over 60 percent of respondents surveyed
in 2013 said they export all or some of their organic products
with an additional 20 percent reporting that they plan to get
into the international arena. Many of todays organic exporters
are new to the export business, with some 50 percent selling
their products on the global stage for five years or less, and
almost 20 percent just two years or less.
Yet, there are several challenges one may face when
attempting to export certified organic products around the
globe. From problems at the port, incorrect documents, to
finding the appropriate buyer, establishing a successful export
Organic Report Winter 2015

program is no easy task, especially for new producers. One


way to alleviate these challenges is to grow your group of allies
who can help when you are in a pinch. Thats where I come in!
As OTAs Senior International Trade Manager, my success
stems from your ability to export. But not every producer has
the same export strategy. For me to better understand your
business, I need to hear the facts from you. To do so,
throughout the first quarter of 2015, I will conduct one-onone interviews with OTA members currently or interested in
exporting goods.
There are two agenda items for these interviews. First, this
is an opportunity to share your thoughts, concerns, and goals
for your export program with me directly. Next, I want to
learn more about your products and funnel targeted leads to
your team more effectively. I often act as a pro bono broker
between interested buyers I meet abroad and U.S. organic
producers. For example, the Foreign Agricultural Service will
often connect buyers in their various regions with me for
recommendations on producers, trends, and ingredients. The
more I know about your export program goals, the more
effectively I can introduce your brands to interested buyers
around the globe.
Interviews will include an initial questionnaire followed by
a 30-minute conversation or in-person meeting when possible.
To sign-up for an interview, contact me via e-mail
(mmarez@ota.com) or via phone (202-403-8515). //

37

2015 Export Promotion Calendar


January through March:
Exporter Interviews

hare goals and challenges of your current


export program with OTAs Senior
International Trade Manager Monique Marez
in a one-to-one conversation during Q1 2015.
These conversations will help shape future
export promotion activities.

January 29:
Retailer Trends in France &
Japan, a Webinar!

TA will host a webinar to discuss current


trends in retail stores in France and Japan.
Learn about trending products, new POS
designs, and cutting-edge shopping experiences
taking international markets by storm.

February 10 14:
BioFach, Nuremburg, Germany

TA will lead a contingent of more than a


dozen U.S. organic suppliers attending
the BioFach World Organic Trade Fair, the
worlds leading organic food trade show. OTA
will showcase U.S. organic products in its
large space within the USA Pavilion, and will
lead a session while there on the important
U.S.-EU organic equivalency arrangement.
There is a reception for OTA members and
guests on February 10, the night before the
start of the show.

March 4 8:
OTA Reverse Trade Mission &
International Briefing at
Natural Products Expo West

n Anaheim, CA, at Natural Products Expo


West, one of the biggest trade shows in this
country, OTA will bring stateside more than
20 organic food buyers from Asia and
Southeast Asia, South and Central America,
Europe and Canada to talk business with U.S.
organic suppliers. This is an opportunity to
meet one-on-one with organic buyers from
around the world interested in your products!
For buyer profiles and supplier participant
information, contact Monique Marez. As
always, OTA will host an International Market
Briefing with Bob Anderson, OTAs Senior
Trade Advisor.

April 14 16:
International Trade Data & Agency Visits
OTA Policy Conference 2015

oin OTA for our Annual Policy Conference in Washington, D.C. In


addition to a full program of speakers and working sessions, the
international team will present information on the economic impacts of
organic equivalency agreements. Learn more about this interesting
research, and how you can get involved growing the suite of HS codes on
file with the federal government. The international team will also host
meetings with key representatives at the National Organic Program and
USDAs Foreign Agricultural Service so that you can voice your export
concerns directly with regulators during Day Three of the conference.

May 12 15:
Seoul Hotel and Food Show, Seoul, Korea

TA is headed to the Seoul Hotel and Food Show for the first time
ever! South Korea and the U.S. signed an organic equivalency
arrangement in July 2014, and demand for organic in the prosperous
Asian country has never been higher. OTA will host a group of organic
producers in Korea, and lead importer-focused trainings on how to best
utilize this landmark agreement. Space for this show is extremely
limited, so express your interest immediately.

Summer 2015:
European Importer/Retailer Training

TA will host a large-scale promotion effort, with the focus on


retailers to increase the awareness of the range, quality and
consistency of U.S. organic products available for export through
education, experiential marketing, and visits with key actors in the
organic industry. Those interested in helping plan this activity should
contact Monique Marez.

October 10 14:
Anuga, Cologne, Germany

n Cologne, Germany, OTA and representatives of the U.S. organic


industry will have a highly visible presence at the preeminent Anuga
food show, the largest food show in the world. More than 150,000 buyers
from almost 200 countries attend this industry show, making it one of
the most criticaland potentially profitableshows for the U.S. organic
industry to attend.

November: OTA in Japan

TA will be back in Japan for more in-depth and detailed training on


how to sell organic. OTA will lead training the trainer sessions so
that retailers can learn how to better position USDA organic products to
their customers. Those interested in influencing this activity should
contact Monique Marez.

OTA S ORGA NIC-PA LO OZ A


A 10-day social media success

or ten days in September, OTA


and its members engaged with
social media audiences on
Facebook, Twitter and Pinterest, redefining the festival for the social media
age. The award-winning OrganicPalooza social media campaign was the
first of its kindfocusing on a new
organic topic each dayencouraging
online conversation, presenting fun and
illustrative content, offering participant
prizes, and holding online events to
deepen engagement.
This effort to elevate organic on
social media channels created a swell of
online conversation about organics
health, economic and environmental
benefitswhile educating individuals
about organic standards, certification
process and regulations. The campaign
engaged not only loyal organic
consumers and OTA members, but also
new-to-organic consumers, nonorganic consumers, media/bloggers,
topic experts, thought leaders and social
influencers.
Among the results from the Sept. 8
17 campaign:

We sought to reach as many


people as possiblenot just
loyal organic consumers and
members, but also new-toorganic consumers, nonorganic consumers, media,
thought leaders and bloggers.
Were incredibly pleased and in
awe that this reached well over
15 million individuals. It shows
the consumer marketplace was
ready and enthusiastic for indepth learning and serious
dialog.
Laura Batcha,
Executive Director
and CEO of OTA

Organic Report Winter 2015

Organic-Palooza and the


#OrganicFestival hashtag
reached nearly 15 million
individual social media users.
Organic-Paloozas hashtags
garnered more than 109
million social media
impressions.
More than 2,500 individuals
posted OTAs Organic-Palooza
content and artwork using the
Organic-Palooza hashtags
across all channels
More than 4,300 Organic-Palooza posts
were shared by users on Facebook,
reaching another half million users
alone.
Users created more than 16,250
individual posts with the
#OrganicFestival hashtag, with the vast
majority using Organic-Palooza content
and artwork
Approximately 100 OTA members and
dozens of media, bloggers and industry
leaders shared Organic-Palooza
content.
Participants were especially
interested in how and why organic is
healthier for humans and the
environment. All told, the most popular
daily topics were those that dug deep
into the wide array of organic benefits
and answered the tough questions
demonstrating the consumer
marketplace is ready and enthusiastic for
in-depth learning and serious dialog.
Among the discussion highlights:
Most shared image: Nearly 1,500
Facebook followers shared our Organic
is Non-GMO and So Much More
graphic on their own pages for their
followers to discover organics myriad
benefits.
Most prolific tweeting: The day of the
one of the most serious topicsIs
Organic Trustworthy?was the day that
saw the most people participating. That
day's Twitter Party, one of five during
the festival, drew over 50 questions in
one hour, ranging from What do
organic farmers do to prevent
contamination? to How often are
organic farms inspected?
Highest number of unique users
engaged: Myth-busting Monday, in

which 2,100 social media users shared


five graphics OTA created busting
commonly spread myths about organic,
reached approximately 275,000 people
with the important truth behind the
label.
OTA developed ten daily themes for
the campaign, each designed to engage
various target audiences. Engagement
tactics included Twitter Parties cohosted by industry thought leaders,
more than 25 graphic assets to
accompany messaging, and more than
four dozen prizes awarded to actively
engaged participants.
OTA is honored to be named one of
three winners in the social media
category of the AssociationTRENDS All
Media Contest for this effort. This
annual competition is held exclusively
for associations, recognizing the most
creative and effective communication
vehicles developed in the industry over
the prior year. The 2014 competition
included 410 entries in 22 categories of
association communications.
Looking towards 2015, OTA
members can expect to see an exciting
digital and social marketing strategy
continue to emerge from the trade
association. OTA will remain at the
helm as we deepen our engagements
and influence, partner with members
and organic thought leaders on
messaging, and meet consumers where
they areonline. //

Contact Kelly Taveras


(ktaveras@ota.com), OTAs Digital
Communications Manager,
to learn more.

39

N EW PRODU CTS
EAT SHOOTS &
LEAVES
THE NUNES
CO. has begun
shipments of an
organic broccoli
leaf product
BroccoLeaf
under its Foxy
label. We know how
fantastic broccoli leaves
are for the soil, but nobody
considered them a viable
produce item, says Tom
Nunes V, vice president
of operations for Foxy.
Everyone in our industrys been trying to
find the next kale, and BroccoLeaf has been
staring all of us in the face for decades. To
promote the launch, the Foxy brand and
registered dietician Ashley Koff are offering
recipes to show ways to prepare the organic
leaves. These appear on the Foxy website
and social media channels
(http://www.foxy.com/).

RICE PILAF
LUNDBERG FAMILY FARMS has added
three organic productsRice Pilaf
Original, Whole Grain Pilaf Original, and
Whole Grain Pilaf Toasted Almondto its
growing entre line. The organic and nonGMO verified entrees are sold in six-ounce
packages (www.lundberg.com).

ALL ABOUT
OATS
COUNTRY
CHOICE ORGANIC
now offers singleserve steel cut
organic oatmeal
flavors and glutenfree oatmeal
products. The
company has added
Apple Spice and
Maple & Brown
Sugar flavors to its line of single-serve steel
cut oatmeal pouches. In addition, it is
packing gluten-free old-fashioned and
steel-cut organic oats in traditional resealable canisters
(www.countrychoiceorganic.com).

40

PUMPKIN BITES
SJAAKS ORGANIC CHOCOLATES now
markets milk chocolate pumpkin spice bites
individually wrapped in orange foil and
packed in three-pound tubs. These treats
are organic and vegan (www.sjaaks.com).

MILK FOR TODDLERS


NURTURE INC. has launched its Happy
Tot Grow & Shine Organic Toddler Milk,
specially created to meet the needs of 12- to
24-month-olds. It contains DHA, ARA and
choline to support brain and eye health,
calcium, phosphorous and vitamin D to
support bone growth, and antioxidants,
vitamins C and E for immune system
support (www.happyfamilybrands.com).

BONE BROTHS
PACIFIC FOODS has
introduced a line of
organic ready-made
bone broth high in
protein and low in
calories. The five
flavors are organic
chicken with ginger,
organic chicken with
lemongrass, organic
chicken original
(unsalted), organic
turkey with rosemary,
sage & thyme, and
organic turkey
(unsalted). The 8- and 31-ounce bone
broths are packaged in BPA-free sceptic
cartons, while the 15.2-ounce broths are
packed in BPA-free recart cartons
(www.pacificfoods.com).

PIZZA BAGELS
ANNIES INC. has rolled out Mini Pizza
Bagels frozen pizza snacks at Target stores
nationwide. These contain 10 grams of
protein per serving and are made with
organic flour, organic tomatoes and organic
cheese (www.annies.com).

CRAZY AWESOME
FRONTIER CO-OPs Simple Organic
brand offers a set of three organic
vegetable-centric seasoning blends called
Crazy Awesome Veggies. The herb & spice

blends come in Sesame Ginger, Sweet


Cinnamon Chili, and Garlic & Herb,
designed to accent a wide variety of
vegetables, from asparagus to sweet
potatoes (www.simplyorganic.com).

PEANUT BUTTER CUPS


THEO CHOCOLATE has launched Theo
Peanut Butter
Cups
nationally
in both
dark and
milk
chocolate
options. The cups are made with 100
percent organic and IMO Fair for Life
certified Congolese cocoa and special dark
roast peanut butter made with domestically
sourced organic peanuts from small batch
roaster CBs Nuts
(www.theochocolate.com).

ORCHID FINERY
HARMONY ART has
created a new GOTScertified organic fabric
which it has named
Whispering Grass
Orchid. The 110-inch
wide organic cotton
sateen is available
through Organic Cotton
Plus. Coordinating with
this fabric is Harmony
Arts new Orchid pink
110-inch wide organic
cotton sateen, also
available through
Organic Cotton Plus
(www.harmonyart.com/,
www.organiccottonplus.com).

COCONUT PLEASURE
BOBS RED MILL NATURAL FOODS
provides organic coconut sugar as an
alternative sweetener made from the nectar
of coconut palm tree blossoms. This
product has a mellow caramel flavor
(www.bobsredmill.com). //

New product announcements may be


submitted to Barbara Haumann
(bhaumann@ota.com).

Organic Report Winter 2015

NEWS B ITE S

BUSINESS MILESTONES
Amys Kitchen has purchased a 500,000square-foot processing facility in Pocatello, ID.
General Mills has acquired OTA member
Annies Inc. in a $820 million deal. Annies
CEO and co-founder John Foraker has agreed
to stay on, and the brand will continue to
operate out of its offices in Berkeley, CA.
Boulder Brands Inc. is expanding its headquarters to make room for dozens of new
employees. Based in Boulder, CO, the publicly
traded company has grown its sales by 68 percent since 2011, posting 2013 annual sales of
$461 million, in part due to recent acquisitions. Since 2011, Boulder Brands has expanded its workforce from 70 to 720 by the end of
2013.
Deardorff Family Farms has expanded its
organic production base and added to its sales
team. On the supply side, the company has
increased organic production from Ventura
County and Imperial Valley in California and
from Mexico, to help meet increased customer
demand for year-round, high-quality organic
vegetable items. Meanwhile, it has hired Tyler
Clear to work in organic sales.
Honest Tea announced that it sourced more
than 6.5 million pounds of organic ingredients
in 2013, nearly 33 percent more than in 2012.
The volume of organic ingredients purchased
in 2013 represented an eight-fold increase over
the 790,000 pounds sourced in 2007, the year
prior to Coca-Cola assuming ownership.
Late July Organic Snacks is partnering with
Snyders-Lance in its Better for You division
focusing on healthy snacks. In doing so, it has
access to Snyders-Lances distribution channels and economies that will bring the brand
to a wider audience.
MOMS Organic Market opened its first store
in D.C., at 1501 New York Avenue NE, in
November.
National Co+op Grocers, formerly known as
National Cooperative Grocers Association,
has added two associate co-ops in
MinnesotaGood Earth Food Co-op in St.
Cloud and Spiral Natural Foods Co-op in
Hastingsto bring the total number of co-ops
in the association to 144 stores in 38 states.
Natural Grocers by Vitamin Cottage has purchased retailer Natures Pantry Inc. based in
Independence, MO.
Rodale Institute has earned Animal Welfare
Approved certification for its organic husbandry practices for pigs, laying hens and
dairy goats. The independent non-profit

Organic Report Winter 2015

organic farm research center pioneers best


practices for organic agriculture on 333 acres
of farmland in Kutztown, PA. Rodale recently
set up farm animal enterprises to examine
how livestock and poultry systems can be
managed organically to produce high-quality
food for the market with demonstrations
involving different styles of livestock management systems.
To meet growing demand for aseptically
processed healthy beverages, SunOpta Inc. is
spending $25 million to add aseptic beverage
processing and filling capacities at its manufacturing plant in Allentown, PA. The new
aseptic processing equipment is slated to be
operational by the fourth quarter of 2015.
WhiteWave Foods Company has completed
its acquisition of the So Delicious Dairy Free
ice cream, yogurt and beverage brand.

MARKETING
Honest Tea has unveiled a new bottle and
label for its line of 16.9-oz. iced teas. In addition, it is unifying its 16.9-oz. line of beverages
by converting its Honest Ade juice-based
drinks into new herbal tea varieties. All the
brands teas and juice drinks are USDA certified organic, and all tea leaf varieties are Fair
Trade Certified.
UNFI has been chosen to supply organic
products for 25 convenient stores in the
Enmark Station chain in an effort by Enmark
Station to offer customers healthy snacking
options. Based in Savannah, GA, Enmark
operates 60 convenience stores in Georgia,
South Carolina, and North Carolina.
Whole Foods Market Inc. in October
launched its first national brand television
campaign to show consumers the values of
products offered in its stores. It also set up a
new website inviting consumers to take a brief
survey called What do you value?

OF NOTE
Cliff Bar Family Foundation donated $10,000
to the CCOF Foundation to support its Future
Organic Farmer Grant Fund. The fund provides grants to aspiring farmers enrolled in
organic-focused vocational and higher education programs.
Fetzer Vineyards has received platinum-level
Zero Waste certification from the U.S. Zero
Waste Business Council, becoming the
nations first winery to do so. Fetzer, one of the
worlds largest growers of certified organically
grown grapes, is a division of Vina Concha y
Toro S.A. Platinum certification recognizes
the company for successfully diverting 97.7

percent of its waste from landfill, incineration,


and the environment. In 2013, 3.6 million
pounds of grape skins, stems and seeds were
composted and used as fertilizer in the vineyards.
MetaBrand LLC, offering natural, organic and
nutritional food and beverage entrepreneurs
with turnkey R&D to retail services, is now
a certified B Corporation committed to sustainable business practices. MetaBrand was
founded in 2012 by Eric Schnell, co-founder
of Healthy Beverage LLC.
National Co+op Grocers contributed $10,000
to the Bricmont Fund that, as part of the nonprofit CCOF Foundation, provides hardship
assistance grants to organic farmers. Grants
from the Bricmont Fund in 2014 were used to
help address the immediate needs of organic
farmers experiencing reduced or no water
availability, dry pastures and heat stress related
to Californias drought.
Organic Valley, the nations largest cooperative of organic farmers and one of the leading
organic brands, received multiple prestigious
awards including accolades from the World
Dairy Expo, the Los Angeles International
Dairy Competition and the American Cheese
Society Judging & Competition during 2014.
Out of the hundreds of thousands of producers who enter their dairy products each year,
we are extremely proud to receive awards for
our new milk protein shakes, cheeses, butters
and creams, said George Siemon, CEIEIO
and one of the founding farmers of the cooperative.
United Natural Foods Inc. (UNFI)
announced its latest solar project at its
590,000-square-foot distribution center in
Lancaster, TX. The Providence, RI-based
company opened the facility in 2010, and has
since earned Leadership in Energy and
Environmental Design (LEED) Gold certification from the U.S. Green Building Council.
The 655-kilowatt rooftop solar array will generate more than 1 million kilowatt hours
(kWh) of clean energy annually, bringing
UNFIs total solar energy production to over
five million kWh per year.
WhiteWave Foods beverage and manufacturing facility in Dallas, TX, has earned LEED
certification for new construction. The
325,000-square-foot facility produces Silk
soymilk, almond milk and coconut milk,
Horizon Organic milk and International
Delight flavored coffee creams, and employs
nearly 300 people. The LEED certification of
the Dallas plant follows LEED certification of
the companys North American operating
company headquarters in Broomfield, CO. //

41

42

Organic Report Winter 2015

END PIECE

Four
seeds of
encouragement

By Steve Crider, Liaison for


Government & Industry Affairs for
Amys Kitchen, named OTAs first
Member of the Year in 2014 for his
important contributions to the work of
the trade association.

gaze from the warmth behind


my home office window onto
a landscape presided over by a
deep cold and light snow. Birds of all
kindsmany of which I never see other
than in winterare busy about the
feeders, especially the suet. The millet,
hemp and other seeds that fall to the
ground are quickly snatched up by the
shyer birds underneath and the
occasional field mouse. Nothing much
goes to waste this time of year.
This provides some quiet time to
reflect upon the year that has ended and
what lies ahead. The bitter taste of our
narrow electoral defeat for GMO
labeling in Oregonin which we
invested so much time, energy, treasure
and talentstill lingers. Just 837 votes
short! In many respects, I happily turn
the page on 2014.
January is named after the two
faced god Janusthe Roman god of
beginnings and transitions, a guardian of
doorways, passages and endings. A need
for looking back and at the same time
forward to the future seems an important
Organic Report Winter 2015

human trait we carry inside us.


Nothing quite speaks to looking
forward for me than the many seed
catalogues that appear in our mailboxes
at this time of year. I love seeds. I save
and share seed from my garden and
receive it gratefully from others. As I
prepare this End Piece, here are four
metaphorical seeds I wish to plant in our
organic community of farmers, traders,
businesses, non-profit organizations, and
all lovers of good food and a healthy,
sustainable agriculture.

THE SEED OF ACTION


To my OTA colleagues, I say we need
you! Beyond the simple step of paying
annual dues, we need your shoulder to
the wheel on so many important fronts
and endeavors this organization has
undertaken. If you have never attended
OTAs annual policy week in D.C., I
strongly encourage you to do so this
April 14-16. The amazing information
gathered there and the experiences of
meeting on Capitol Hill with our
members of Congress are truly
unforgettable.
We in the organic community have
made excellent strides during the past
several years, winning support for
organic agriculture in the Farm Bill and
full funding for the National Organic
Program (NOP). All those gains will
need shoring-up with the new Congress
to defend our hard-won progress. Not to
worrythe amazing staff at OTA fully
prepares you for this engagement, and
you work in teams to speak with
legislators about our issues and
concerns. The real life stories of organic
businesses and farmers who are creating

jobs back in their districts are deeply


appreciated and listened to!
We also need you at the National
Organic Standards Board meetings to
speak to that important 15-member panel
of our peers, to help direct and influence
the important decisions they make. If you
are not currently paying attention to the
Sunset review of all the approved natural
and synthetic substances on the National
List that will be taking place over the next
two years, you might be shocked by
changes that could affect your business or
products. We also need your input and
advice on the development of the
proposed Research and Promotion Order
for the organic sphere that now has
congressional and USDA go-ahead to
officially develop if we choose to proceed
forward.

THE SEED OF COMPASSION


AND COLLABORATION
The past several years have seen rising
tension between some of the nonprofits, NGOs, and so-called
watchdogs of the organic sector with
the for-profit companies, corporations
and start-ups that focus primarily on
building their businesses and brands. We
dont speak the same language it seems,
nor move at the same pace. One side is
deliberate and process-focused; the
other steadfastly working to stay afloat
in a competitive environment with rising
costs and short supply. OTA is wrongly
perceived by some as some kind of vast
conspiracy out to dilute and pervert the
organic standards to selfish ends. Can
we put that to rest in 2015?
Both sides need and can inform each
other. But the internecine warfare and

43

ORGANIC

Report

Organic Trade Association


Hall of the States
44 N. Capitol Street, NW, Suite 445A
Washington, D.C. 20001
WINTER 2015

sniping within our midst seem so


counter-productive, when what we really
need is to build trust and find better
ways to work together in support of our
shared larger goals for a better food and
agriculture system that upliftsnot
denigratesorganic.

THE SEED OF ABUNDANCE


How are your organic supply chains
doing these days? Experiencing any
shortages or higher than projected costs?
Here in this country, demand for
organic continues to expand in double
digits annually, but the supply of many
organic commodities and ingredients
cannot keep pace. We are not adding
more production within the organic
sphere as quickly as the market is
driving demand. Many companies have
had to seek organic supply overseas to
cover their domestic needs.
There are no real short cuts or stopgap solutions other than getting more
land, farms, and producers into the
organic system. This will take time,
focus, and investment. The three-year
transition can be a barrier for some.

High prices in the conventional realm


may lessen some of the incentive for
others. This is an area where the nonprofits and the for-profit communities
could easily share an interest in
developing strategies and help to expand
organic farming to more regions, farms
and crops. We need to take the long
view, and work to expand organic
agriculture here at home.

THE SEED OF HOPE


Winter is the time of year farmers can
finally take a brief respiteand attend a
conference or gathering in mutual
support and information sharing. I am
privileged that in my work for Amys
Kitchen, I get to attend some of these,
too. Eco Farm in California and the
biennial Organicology in Portland,
Oregon, are high on my list this year.
Being in the collective presence of our
tribe can be uplifting and encouraging.
There is also great satisfaction in
seeing the many young folks who are
therethe next generation of organic
farmers, ranchers, entrepreneurs and
business leaders to whom we can pass

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the baton. We need their youth, vigor


and smarts! We in the older generation
have as much to learn and gain from
them as they might be able to learn from
us. I saw a great bumper sticker the
other day: Learn from other peoples
mistakes, you wont live long enough to
make them all yourself!
This generational change is one of
the other great challenges we face as a
community and industry. But it gives me
great hope to see this influx of youthful
enthusiasm and savvy in our midst from
those who understand sustainability,
recognize the urgency of climate change,
and readily share our vision of better
agriculture and healthy food for all. Lets
embrace it.
This is my wish list for 2015. To all
who read this, I wish you good health,
success in your various enterprises, and
joy in traveling this important journey
we share. //

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