Delivering the week’s top organic food news
2.1.2023
100% Non-GMO

With a New Strengthening Organic Enforcement Rule, the USDA Has to Demonstrate its Will

(Fraudulent organic imported grains remain a real issue for the industry.)


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After many years of prodding and clamoring by organic advocates, the USDA just announced the Strengthening Organic Enforcement rule (SOE) — an update to USDA organic regulations that strengthens oversight and enforcement of the production, handling and sale of organic products. It is also the biggest update to the organic regulations since the original Organic Foods Production Act of 1990.

“While we may not love every point of it, overall, we are very excited about the new rule. It is a big win,” said Abby Youngblood, executive director of the National Organic Coalition.

“There are some really good things in this rule, and it is definitely progress. But it is not a panacea,” put forth Anne Ross, organic investigator at The Cornucopia Institute.

One of the challenges that the private sector faces, whether it be artificial intelligence, cryptocurrency or any other part of the economy, is that innovation far too often outpaces government regulation.

Such has certainly been the case with organic. It has exploded in popularity over the past few decades, but revolving administrations and USDA leaders have been unable to keep up.

As a result, a modernization — or upgrade — of the rules has been so overdue that it was mandated in the 2018 Farm Bill, with organic watchdog groups having warned about organic fraudulent imports for the past fifteen years. SOE, which was driven by international fraud and prompted the whole rulemaking process, seeks to close many of the existing loopholes.

Some of the highlights of SOE include:

  • Requiring certification of more of the businesses, like brokers and traders, at critical links in organic supply chains. Until now, non-organic operators were able to take control of organic shipments in foreign countries, creating serious opportunities for fraud and breaks in supply chain traceability.
  • Requiring USDA National Organic Program import certificates for all organic imports. This is a big deal, as exporters now have to ask their organic certifiers to issue an import certificate, which is generated by the USDA Integrity Database, before sending products into the United States. Previously, some countries didn’t have to do this.
  • Requires standardized organic certificates of organic operations. It is shocking to think that there was not one standard organic certificate that everyone used. As a result, many of the organic certificates looked different, making it exceedingly difficult to tell which ones were legitimate. Now, there is one standardized organic certificate, which will be generated by the USDA Integrity Database.
  • Requires additional and more frequent reporting of data on certified operations. Key to detecting fraud is being able to identify how much legitimate organic product is being grown. The more data, the better.
  • Mandatory unannounced inspections. Organic certifiers must conduct unannounced inspections on 5% of the operations that they certify. Previously, this had been a recommendation; some certifiers were doing it, others were not. Now, it has been officially codified.

THERE MUST BE A WILL

Without question, this new rule has many provisions that will close loopholes, install stronger safeguards and provide better infrastructure to make it more difficult for criminals. As a signal to the market, this is an extremely positive step.

However, the organic industry has morphed into a $62 billion sector, which means it will always be a target for those who want to game the system.

“As long as you have such a profit motive, you will have people who find a way to cheat. At the end of the day, we need the National Organic Program to enforce the rules,” said Cornucopia’s Anne Ross.

Individuals who have been monitoring fraudulent organic imports over the last two decades are taking a wait-and-see approach. And for good reason.

Dating back to at least 2007 and under multiple administrations, the USDA has been aware of continual problems with imported organic products, and as outlined in The Cornucopia Institute’s 2018 report called The Turkish Infiltration of the U.S. Organic Grain Market: How Failed Enforcement and Ineffective Regulations Made the U.S. Ripe for Fraud and Organized Crime, it was clear that the USDA’s incompetence failed organic consumers and farmers to an unimaginable degree.

Not only did a Cornucopia analysis find that in 2015, the U.S. imported more than 3.5x as much organic corn from Turkey than the country produced, but a January 2016 publication by the USDA’s Foreign Agricultural Service raised serious concerns about organic product originating in Turkey, stating, “the integrity of organic farming, production, shipping and marketing is not always guaranteed.” The USDA’s National Organic Program did nothing to impede the growth of imports from Turkey.

The most public and high-profile exposé of this situation came in 2017 when The Washington Post published its investigation about fraudulent imported organic corn and soybeans.

While this new SOE rule is very welcome and needed, along with it must come an inherent will to crack down on fraud.

It is up to the USDA to prove that with a new set of tools, this time around will be different.

With gratitude,

Max Goldberg, Founder

This Week's Quick Hits

Quick Hits

* Dr. Bronner’s celebrates 75 years in business and 165 years of family soapmaking, and the company is asking consumers to share their Dr. Bronner’s story.


* He’s been farming organically for eight decades!


* Fair World Project has merged with Corporate Accountability Lab to end corporate exploitation in supply chains and false claims by certifications and brands.


* One Step Closer to Zero Waste Campaign is hosting its first-ever Packaging Innovation Award in collaboration with Trayak.


* Organic artisan energy bar company JAMBAR has partnered with Olympic gold medalist Jonny Moseley.


* PCC Community Markets celebrates its 70th anniversary.


* A video recap of the Organic & Natural Health Association’s 8th Annual Conference just held in Florida.


* Will Harris, a regenerative farmer at White Oak Pastures, says that we are asking the wrong questions.


* Mom’s Organic Market is now selling edible insects.


* This organic farm has become a certified living wage employer.


* As part of the “Save Bees and Farmers” initiative, 1.1 million signatures were delivered to the EU parliament demanding a reduction in pesticides.


* Consumers are not racing to GMO 2.0 foods, after all.


New Organic Products

New Organic Products

organic burrito bowl from urban remedy and lotus foods featuring regenerative organic certified rice

Burrito Bowls from Urban Remedy

New from Urban Remedy are Burrito Bowls. Low-glycemic, gluten-free and dairy-free, each bowl contains 12g plant protein and is made with black beans, cabbage, lettuce, carrots, pink picked onions, a vegan nacho cheese sauce and Regenerative Organic Certified® white basmati rice from Lotus Foods.

Fresh Baby Coolers from Once Upon a Farm

Once Upon a Farm just announced the roll-out of fresh baby coolers, starting at many Wegmans Food Markets across the Northeast and Mid-Atlantic. The brand's fresh baby coolers will feature their extensive portfolio of organic and nutritious blends for babies, including their new Advanced Nutrition line -- the first products to be First 1,000 Day Promise Certified by Clean Label Project.

Regenerative Organic Certified® Wines from Bonterra Organic Estates

Bonterra Organic Estates has just launched the Bonterra Estate Collection, a new tier of Regenerative Organic Certified® wines. Grown on the company's own vineyards in Mendocino County, California, the collection consists of a 2021 Chardonnay and a 2021 Cabernet Sauvignon. Available for purchase nationwide.
organic grain-free clusterbucks granola from lil bucks

Grain-Free Clusterbucks from Lil Bucks

Lil Bucks has introduced an organic, grain-free clustered granola called Clusterbucks. They come in five varieties -- Snickerdoodle, Chocolate Sea Salt, Golden Chai, Coconut Maple and Matcha Cookie -- and each flavor features a special adaptogen. Gluten-free, nut-free, paleo and raw.
This Week's News Items

Weekly News Summaries

First Course
Progressive Grocer

Organic Produce Dollar Growth Up in 2022, Volume Down

By Marian Zboraj

The price gap between organic and conventional is the largest it has been in the past four years.

The Local

‘Forever Chemical’ PFAS Found in Organic Eggs in Denmark

A horrifying development but something that may very well happen in the U.S.

Dairy Reporter

USDA Unveils Payment Relief Program for Organic Dairies

By Teodora Lyubomirova

If the USDA hadn't turned a blind eye to 'factory farm' organic dairies for so many years, would this program have even been necessary?

MarketWatch

Danone Mulls Sale of U.S. Brands Horizon Organic and Wallaby

By Colin Kellaher

Finding a buyer will be no easy feat.

Iowa Public Radio

GMO Food Labeling Has Been Required in the U.S. for a Year. Have Consumers Noticed?

By Katie Peikes

The USDA says implementation and compliance with the program have been “successful,” while experts suggest consumers aren’t noticing the labels.

Second Course
Axios

Whole Foods Asks Suppliers to Lower Prices

By Kelly Tyko

Whole Foods made the request to suppliers during a virtual summit in December, as consumers continue to deal with inflation.

Forbes

Guayakí raises $75M

By Douglas Yu

Based on SEC filings, Anthos Capital and SBG Growth appear to be the new investors.

GM Watch

Study Confirms New GE Crops Will Not Fulfill EU Sustainability Goals

By Claire Robinson

There's no proof that gene editing has made any contribution to drought tolerance or pathogen resistance -- or will do so any time soon.

The New York Times

Making Farms Organic Is Paying Off

By Peter Coy

A great op-ed in the NYT about how Farmland LP and others groups are doing good and making money.

Third Course
The Guardian

U.S. Govt. Study: People Exposed to Glyphosate Have Cancer Biomarkers in Urine

By Carey Gillam

New research by top U.S. government scientists has found that people exposed to the widely-used weedkilling chemical have biomarkers in their urine linked to the development of cancer and other diseases.

Fruitnet

IFOAM Acts to Stop “Misleading” Eco-Score Label

By Tom Joyce

The EU organic movement has taken legal action to stop environmental labeling, such as Eco-Score, which it argues is “misleading” to consumers and “unfair” to organic production.

Yahoo!

Sprouts introduces Rescued Organics Program in all California Stores

Sprouts Farmers Market has launched its Rescued Organics program, which reduces food waste and supports local farmers by bringing to market imperfect organic produce that would typically be discarded.

Vermont Public Radio

Vermont Organic Dairy Farmers Make Passionate Appeal to Lawmakers, Ask for $9.2M to Stay Afloat

By Elodie Reed

Without some financial relief -- and soon -- organic dairy farmers may lose their livelihood.

Food Dive

Oatly Debuts Carbon Footprint Labeling on U.S. Products

By Chris Casey

Though not an organic brand, Oatly is a market leader, and this labeling move is very notable.


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This Week's Quick Hits

Quick Hits

* Dr. Bronner’s celebrates 75 years in business and 165 years of family soapmaking, and the company is asking consumers to share their Dr. Bronner’s story.


* He’s been farming organically for eight decades!


* Fair World Project has merged with Corporate Accountability Lab to end corporate exploitation in supply chains and false claims by certifications and brands.


* One Step Closer to Zero Waste Campaign is hosting its first-ever Packaging Innovation Award in collaboration with Trayak.


* Organic artisan energy bar company JAMBAR has partnered with Olympic gold medalist Jonny Moseley.


* PCC Community Markets celebrates its 70th anniversary.


* A video recap of the Organic & Natural Health Association’s 8th Annual Conference just held in Florida.


* Will Harris, a regenerative farmer at White Oak Pastures, says that we are asking the wrong questions.


* Mom’s Organic Market is now selling edible insects.


* This organic farm has become a certified living wage employer.


* As part of the “Save Bees and Farmers” initiative, 1.1 million signatures were delivered to the EU parliament demanding a reduction in pesticides.


* Consumers are not racing to GMO 2.0 foods, after all.


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