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USDA Organic 101
What Does the Organic Label Mean?
How Does USDA Support It?
Topics
1. The Growing Interest in Organic
2. The Meaning of Organic
3. Organic Requirements
4. Organic Certification
5. Resources for USDA Customers
1
Learning Objectives
The Organic 101 module:
• Provides an overview of the
USDA Organic label
• Explains the meaning of
organic and the certification
process
• Describes USDA resources
for organic producers and
others
2
How Big is the Organic Market?
• U.S. organic food sales have shown
double-digit growth during most years
since the 1990s and were estimated at
over $32 billion in 2013*
• Demand is expected to continue to grow
steadily into the future: with nearly 11%
growth during 2013, organic food
outpaced the growth of total food sales*
• Certified organic cropland acreage more
than doubled between 2004 and 2011**
*Organic Trade Association **USDA Economic Research Service
3
What Can Be Called USDA Organic?
• The USDA Agricultural Marketing Service
oversees all agricultural products sold,
labeled, or represented as organic in the
United States
How Do I Know if a
Product is Organic?
• Any food, feed, feed input, or fiber sold or
labeled as organic in the U.S. must follow
USDA organic procedures
Look at the label. If it has the
USDA organic seal, the product
is certified organic and has 95%
or more organic content.
• Organic certification has four categories:
– Crops
– Wild Crops
– Livestock
– Handling (defined as selling,
processing, or packaging)
For multi-ingredient products, if
the label lists specific organic
ingredients, those ingredients
have been certified organic.
4
Who Sets the Rules for the USDA Organic Label?
• The USDA’s National Organic Program:
– Develops regulations or “standards” for
organic crop, wild crop, and livestock
production, as well as processing and handling
– Ensures enforcement of the regulations
– Is authorized by the Organic Foods
Production Act of 1990
– Is part of USDA’s Agricultural Marketing
Service
• Visit the USDA organic portal: usda.gov/organic
• View organic regulations: http://www.gpo.gov/fdsys/pkg/CFR2011-title7-vol3/pdf/CFR-2011-title7-vol3-part205.pdf
5
Farmer Profile
• Lansink Organic Farms
• Odebolt, Iowa
• 850 acres
• Organic corn, soybeans, barley, peas, and alfalfa
“With organic agriculture,
in particular, productive,
healthy crops begin in
healthy soil.”
6
What Does It Mean to be an Organic Farmer?
•
Environmental stewardship: Organic farmers
must use practices that support the use of onfarm resources, promote ecological balance, and
conserve biodiversity
•
Fertility and nutrient management: Organic
farmers work to develop soil health by relying on
natural materials, such as cover crops, manure
and compost
•
Pest management: Organic farmers must use
preventative measures and physical controls
before using approved pesticides
•
Synthetic substances: Organic farmers limit
their use of synthetic fertilizers and pesticides to
the few that are approved in organic regulations
and do not use sewage sludge, irradiation, or
genetic engineering
7
What are Common Organic Farming Practices?
•
Building fertility and soil health with
– Slow-release sources of crop nutrients
such as manure and compost
– Crop rotations to manage nutrients and
control erosion
•
Controlling pests through
– Beneficial habitats to harbor predators of
crop pests
– Diverse crop rotations to disrupt pest and
disease cycles
– Cover crop plantings to suppress weeds
•
Protecting natural resources by
– Planting field borders with flowering plants
to provide pollinator habitat
– Establishing buffer strips or tree rows to
filter runoff water
8
What are Common Organic Livestock Practices?
•
•
•
Organic Feed
– Organic livestock must consume only
certified organic feed
– Ruminants must have access to
pasture during the grazing season
Living Conditions
– Animals must have access to the
outdoors, shade, shelter, space for
exercise, clean water, and more
Animal Health
– Organic healthcare emphasizes
preventative practices
– Organic animals may not receive
antibiotics or growth hormones
9
What Does It Mean to be an Organic Handler?
• Organic handlers process, package, or store organic agricultural
products
• Organic handlers may cook, bake, cure, dry, mix, grind, churn,
separate, distill, extract, slaughter, ferment, dehydrate, freeze,
package, can, or otherwise modify organic agricultural products
• Organic handlers must use methods that comply with the USDA
organic regulations
• Organic handlers must protect organic products from:
– Contact with prohibited substances
– Commingling with nonorganic products
10
Who Are Organic Farmers?
The USDA 2012 Census of Agriculture showed
that:
• Organic producers are typically younger and
more likely to be beginning farmers than
non-organic producers
• Organic farms were more likely than other
farms to participate in direct sales markets
• Many organic products come from farms
producing both organic and non-organic
products
• Organic farms were more likely than other
farms to invest in on-farm renewable energy
producing systems, such as solar panels and
wind turbines
11
Farmer Profile
• Mustard Seed Farms
• St Paul, Oregon
• 80 acres
• Diverse mix of organic vegetables
“Being organic we are trying to
do things as naturally as
possible and take care of the
soil and have it maintained so
that you can grow good crops;
we use natural methods as
much as possible.”
12
What Lands May Be Certified as Organic?
•
To be eligible for certification:
– Land must have been free of prohibited
substances for 3 years
– Applicants should document the last
date on which prohibited substances
were applied to the land
•
Both conventional and organic production
may occur on the same farm
•
Buffer zones may be required, if prohibited
substances are used on adjacent parcels or
neighboring lands
•
There are no size requirements—both small
and large farms may be certified organic
What is a Prohibited
Substance?
The USDA organic
regulations specify which
substances are allowed and
prohibited in organic
production and handling.
Producers and handlers
should refer to the USDA
organic regulations for
specific information.
13
How Do Organic Farmers Get Started?
The first step in transitioning to organic practices is ending
the use of all prohibited substances.
There are many ways to start using organic practices on a
farm. Some farmers choose to transition their land to
organic management gradually. Options include:
•
Transitioning small parcels of a farm to organic, then
adding more parcels each year
•
Leasing or buying land that was not in production
(fallow land) for immediate organic certification
14
Who Certifies Organic Operations?
•
The USDA does not certify organic operations
directly but instead, accredits third-party
certifying agents, or certifiers, to inspect and
approve organic producers and handlers
•
Certifiers grant organic certificates to compliant
producers and handlers so that they can market and
sell their products as organic
•
Certifiers verify that organic farms and processing
facilities meet the USDA organic regulations
•
Certifiers may be private entities, states, or
foreign governments
•
There are about 80 certifiers around the world, with
about 50 in the United States
•
Producers and handlers may work with any
certifying agent
•
USDA oversees the work of all certifiers
15
How Do Producers and Handlers Apply for Certification?
The Producer or Handler:
1. Selects a certifying agent from a list on the
Agricultural Marketing Service’s website:
www.ams.usda.gov/nopacas
2. Prepares an application, using instructions from
the certifier
— Applications include an organic system plan
— Organic system plans describe the products
the operation produces or processes,
production or handling practices, and any
substances used
For more information, see “The Certification
Process” in the USDA’s Organic Program
Handbook:
www.ams.usda.gov/NOPProgramHandbook
16
How Does a Certified Operator Stay Certified?
•
Operators submit an annual update of their
organic system plan and pay annual certification
fees
•
Certifiers conduct annual inspections of each
certified operation
•
Certified operators keep certification-related
records concerning the production, harvesting,
and handling of organic products for 5 years
•
Intentional violations of the USDA organic
regulations can result in the loss of certification,
and fines of up to $11,000 per violation
17
Are There Different Rules for Small Operations?
•
There is a very small farm exemption to the
certification requirements:
– Operations grossing less than $5,000 a
year from organic products do not have to
be certified
– These are called exempt operations
•
Exempt operations MUST follow all USDA
organic production requirements to
represent their products as organic
•
Exempt operations are not required to submit
a written Organic System Plan or pay fees to a
certifier
•
Exempt operations may not use the USDA
organic seal to market their products
18
Farmer Profile
• Grinnell Heritage Farm
• Grinnell, Iowa
• 22 acres
• Diverse mix of organic vegetables
“We are certified organic and
that is something that our
customers really like. They
like to know there is at least
a set number of criteria and
our farm is meeting that. We
have a very open door policy,
our customers can come out
and they can walk around the
farm whenever they want to.”
19
How Does the USDA Support Organic?
• Many USDA programs support organic
producers and handlers
• Some are specifically targeted to organic
agriculture
• Others are not targeted to organic agriculture,
but all USDA programs are open to organic
producers and handlers
The next section describes specific programs* that
may benefit organic producers and handlers
* As of December 2014
20
What USDA Programs Directly Support Organic
Producers?
• The USDA Agricultural Marketing Service’s Organic Cost Share Program
can reimburse eligible producers and handlers for up to 75% of the cost of
organic certification (up to $750 per year, each year).
• USDA’s Natural Resources Conservation Service programs such as the
Environmental Quality Incentives Program Organic Initiative and the
Conservation Stewardship Program provide technical and financial
assistance for producers implementing conservation practices, some of
which can help meet organic certification requirements.
• USDA’s Farm Service Agency programs such as the Transition Incentives
Program give priority to those planning to use organic or sustainable
farming practices.
21
What USDA Programs Directly Support Organic
Producers? (continued)
• The Risk Management Agency (RMA) offers Organic Federal Crop
Insurance for all crops grown under the organic farming practice,
provided they meet standard terms and conditions. RMA publishes
separate organic prices for several crops and regions.
• USDA’s Market News (AMS) reports organic prices and movements at
shipping points, wholesale terminals, and retail outlets for organic fruits &
vegetables, dairy, grain & feedstuffs, and poultry & eggs.
22
Where Can I Find Information on Organic Agriculture?
•
USDA’s Agricultural Research Service (ARS) supports organic agricultural
research around the country, particularly through its Natural Resources and
Sustainable Agricultural Systems programs.
•
USDA’s National Agricultural Library is home to the Alternative Farming
Systems Information Center, which provides information on many aspects of
organic agriculture.
•
The eOrganic online community of scientists and practitioners offers a wealth
of information on organic agriculture, including articles, webinars, videos, and
“Ask the Expert.” eOrganic is an excellent source of information on specific
crops and production practices.
23
Where Can I Find Funding for Organic Research
and Education?
USDA’s National Institute of Food and Agriculture (NIFA) supports the following
competitive grants:
•
The Organic Agricultural Research and Extension Initiative (OREI)and
Organic Transitions Program (ORG) fund research, extension, and
education activities of organizations working on critical organic agriculture
issues.
•
Sustainable Agricultural Research and Education (SARE) grants are
managed by regional councils to encourage site-specific experimentation that
pushes the boundaries of current thinking. Many have focused primarily on
organic production or marketing in the past. Unlike other NIFA grants,
producers are among those eligible.
•
Beginning Farmers and Ranchers Development Program (BFRDP) funds
organizations who train, educate, and provide technical assistance to
beginning farmers.
24
How Can I Fund Organic Marketing & Infrastructure?
•
Visit a nearby USDA Rural Development office for information on
grants and loans such as:
– Value-Added Producer Grants for planning activities or working
capital to market value-added agricultural products.
– Business & Industry Guaranteed Loans to improve, develop, or
finance business, industry, and employment, and improve the
economic and environmental climate in rural communities. This
purpose is achieved by bolstering the existing private credit structure
through the guarantee of quality loans.
•
USDA’s Foreign Agricultural Service helps U.S. producers (including
organic), exporters, private companies, and other trade organizations
finance promotional activities for U.S. agricultural products through the
Market Access Program.
25
How Can I Fund Organic Marketing & Infrastructure?
(cont’d)
•
USDA’s Agricultural Marketing Service offers:
– The Farmers Market Promotion Grants offer funds to organizations to improve and
expand farmers’ markets, roadside stands, community-supported agriculture (CSA)
programs, agri-tourism activities, and other producer-to-consumer market options.
– The Local Food Promotion Program (LFPP) offers grant funds with a 25% match to
support the development and expansion of local and regional food business
enterprises to increase domestic consumption of, and access to, locally and regionally
produced agricultural products, and to develop new market opportunities for farm and
ranch operations serving local markets through planning and implementation grants.
– The Specialty Crop Block Grants offer funds to State Departments of Agriculture,
who then grant funds to others to enhance the competitiveness of fruits, vegetables,
tree nuts, dried fruits, horticulture, and nursery crops in their state.
– The Federal-State Marketing Improvement Program (FSMIP) offer matching funds
to State Departments of Agriculture and other appropriate State agencies, including
State universities and colleges, on a competitive basis to explore new market
opportunities for food and agricultural products, and to encourage research and
innovation aimed at improving the efficiency and performance of the marketing
system.
26
What Other USDA Resources Should Organic Producers
Know About?
•
Visit a nearby USDA Farm Service Agency (FSA) office for the following:
– Farm loans and loan guarantees for purchases related to farm
operation or ownership.
– Disaster assistance programs help producers recover from losses.
– Conservation Programs help landowners protect eligible fragile
croplands and grazing lands using rental contracts, cost-share and
incentive payments, or conservation easements.
•
Visit a nearby USDA Natural Resources Conservation Service (NRCS)
office for a wide range of conservation programs that can help producers
reduce soils erosion, promote soil health, plant cover crops and buffers,
increase pollinator & wildlife habitat, mulching and more!
•
Visit USDA’s Local Food Directories to either list or locate farmers
markets, on-farm markets, community supported agriculture, and food hubs.
27
What Other USDA Resources Should Organic
Producers Know About?
•
USDA’s Food Safety and Inspection Service (FSIS):
– Regulates meat, poultry, and egg products processing and product
labeling, including the use of the organic label.
– Runs the Small Plant Help Desk, where small meat, poultry, and egg
product establishments can ask questions about agency regulations and
obtain information about other food safety resources:
InfoSource@fsis.usda.gov or 1-877-FSISHelp (1-877-374-7435). The
Small Plant Help Desk is staffed Monday – Friday, 8 am – 4 pm, EST.
•
USDA’s Animal and Plant Health Inspection Service (APHIS) is responsible
for preventing the introduction and spread of agricultural pests. APHIS
strives to use a variety of methods, including those that can be used without
impacting the status of organic products.
28
Learn More: USDA Organic Resources For the Public
• USDA Organic Portal
– One-stop shop of information on programs and services across the USDA for
certified producers and handlers, and those who are transitioning to organic
» www.usda.gov.organic
• USDA AMS Organic Program Website
– Outreach materials and public information about organic regulations
– National List of Approved Substances and Petitioned Substances
– List of certifiers and certified operations
» www.ams.usda.gov
• Alternative Farming Systems Information Center at the National Agricultural Library
– Resources about sustainable food systems and practices
» afsic.nal.usda.gov/organic-production
• The USDA Organic Insider Newsletter
– Regular e-mail service with updates and news on organic agriculture
» http://bit.ly/NOPOrganicInsider
29
Beyond USDA: Additional Resources
• National Sustainable Agriculture Information Service (ATTRANCAT):
– Offers guidance in preparing for certification and in production
methods for a range of organic crops and livestock, both
through the web and via phone at a 1-800 number
» attra.ncat.org/organic.html
• eOrganic
– Provides information through an extension online community
dedicated to organic production
» http://www.extension.org/organic_production
30
Support for Organic Across USDA
Organic agriculture is important to
USDA’s mission. Each agency of USDA
has a role in working with organic farmers
and ranchers, and those who are
considering organic.
Thank you for taking the opportunity to
learn this information, and for putting it to
good use. Please visit our website to
view Organic 201, an in-depth look at
organic practices and certification
requirements.
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