Organic Regulations and Issues Update Presented to Organic Fertilizer Association of California and

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Organic Regulations and Issues UpdatePresented
to Organic Fertilizer Association of
Californiaand California Association of Pest
Control ApplicatorsDecember 10, 2008

• Claudia Reid
• CCOF Policy Director

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Who is CCOF?

• Nonprofit organic certification and trade
  association since 1973
• Organic Certification
• Trade Association - education, promotion,
  marketing PR support
• Political Advocacy
• Certification throughout North America for
  processors, private labelers, brokers, retailers,
  and producers
• More than 1,500 farmers, 400 processors, and
  1,000 certified product categories
• Currently certify 80 of Californias organic
  acreage and more than half a million acres
• More than 35 years of organic certification
  experience, fully accredited by USDA, and one of
  the oldest and largest certifiers in North
  America
• Developed first organic standards that lead to
  the California Organic Products Act of 1990 and
  ultimately the National Organic Program

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Organic is more than inputsubstitution
Organic production responds to site-specific
conditions by integrating cultural, biological,
and mechanical practices that foster cycling of
resources, promote ecological balance, and
conserve biodiversity. National Organic
Program, Section 205.2
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Organic Consumers
Thank you to Karen Klonsky and Roberta Cook of UC
Davis and Catherine Greene of USDA Agricultural
Marketing Service for providing some of the
slides on organic statistics.
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Most Consumers

• Dont know what organic or certified organic
  means.
• Dont understand how food is grown, processed or
  distributed.
• Need to make a connection with the food they eat.
  
• Want food produced the good the old-fashioned
  way, the sustainable way, the organic way.
• Want cheap food.

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Consumers Most Likely to BuyOrganic Foods All or
Most of the Time
Source Harris Poll of 2,392 Americans Sept.
2007
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U.S. Consumers Most Likely to BuyOrganic Foods
All or Most of the Time
Source Harris Poll of 2,392 Americans Sept.
2007
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Forces Driving Organic Growth

• Greater availability
• Improved taste and quality
• USDA organic standards
• More competitive pricing
• Financial investments in organic and natural
  companies

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Issues Hindering Organic Growth

• Production
• Marketing
• Price
• Regulatory
• Management
• 2008 Economy

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Organic Market Trends

• Organic sales have been growing at double digit
  rates.
• Growth is expected to continue but at a slower
  rate.
• Produce still dominates.
• Livestock and poultry sales are now growing at a
  faster rate than produce.
• The National Organic Program seems to have had a
  positive impact on sales.

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Organic Export Opportunities

• NOP budget nearly doubled in 2008 to 2.6 million
• Japan interested in equivalency
• Optimistic about Canadian equivalency

Source Organic Trade Association, Summer 2008
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Who Regulates Organic?

• International
• International Federation of Organic Agriculture
  Movements (IFOAM)
• Canada
• Japan
• Australia
• National Organic Program (NOP)
• National Organic Standards Board (NOSB)
• Departments of Agriculture
• Californias SOP
• County Agricultural Commissioners

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CCOF is involved

• Will be involved in new IFOAM North America
• Already accredited for Canadian Organic Regime
• Involved in Japan and Australia harmonization
  efforts
• Works with NOP program staff routinely
• Testifies at all NOSB meetings
• Works with any State Dept of Ag where we certify
  (29 states)
• Heavily involved in effort to reform SOP in CA
• Interacts with Ag Commissioners on specific
  issues such as SOP reform or LBAM

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Farm Bill Opportunities For Organic and
Transitional

• Total Mandatory Spending on Organic Agriculture
  2002 and 2008 Farm Bills
• TOPIC 2002 2008
• Certification cost share programs 5
  million 29.5 million
• Research 15 million 78 million
• Production and market data collection No specific
  funding 5 million
• for organic
• TOTAL 20 million 112.5 million
• In 2000, separate from the Farm Bill process, an
  additional 5 million was allocated for
  certification cost share for farms in specific
  states.

Source Organic Trade Association, Summer 2008
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California Organic Program (SOP)

• Cost share sign ups going on now
• http//www.cdfa.ca.gov/is/i__c/organic.html
• Ray Green, Manager, 1220 N Street, Sacramento, CA
  95814  [phone]  FAX [phone] 
  organicmailing_at_cdfa.ca.gov
• Cost Share LetterCost Share Application
  2007-2008Cost Share Application 2008-2009

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2008 Farm Bill Opportunities

• EQIP
• Organic Production and Transition Assistance
• Beginning Farmer and Rancher
• Outreach and Assistance for Socially
  Disadvantaged Farmers and Ranchers
• Risk Management Education
• Direct Loan Limits and Direct and Guaranteed Loan
  Set-asides for Beginning Farmers and Ranchers
• Thank you to the Sustainable Agriculture
  Coalition for providing information on 2008 Farm
  Bill programs

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Environmental Quality Incentive Program (EQIP)
The 2008 Farm Bill substantially increases the
total funding available for to the EQIP program,
including more than adequate funding for organic
conversion. Total funding provided by the new
farm bill for EQIP is as follows
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Organic Production and Transition Assistance
(EQIP)

• 20,000/year, max of 80,000/6 years available
• Must do OSP and pursue NOP certification
• Does not include technical assistance payments

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Natural Resources Conservation Service (NRCS)

• http//www.ca.nrcs.usda.gov/programs/eqip/2009/ind
  ex.htmlAdd info re NRCS
• Alan Forkey, Program ManagerPhone
  530-792-5653Email Alan.Forkey_at_ca.usda.gov
• Roney Gutierrez, Program SpecialistPhone
  530-792-5649Email Roney.Gutierrez_at_ca.usda.gov
• Current EQIP Program Fact Sheets
• NRCS EQIP National Program Information (including
  Program, Contract and Funding Information)
• USDA Service Center eForms Web Site - for
  instructions and information

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Food Safety and Competitionfrom Imported Products

Organic sales typically increase when food
recalls are announced perceived as safer. Food
safety regulations trump organic. Tension
between food safety super metrics and
biodiversity. Tension over lack of
harmonization.
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Energy, Water and Climate Change

• After cars, the food system uses more fossil fuel
  than any other sector of the economy.
• 19
• The way we feed ourselves contributes more
  greenhouse gases to the atmosphere than anything
  else we do.
• 37

Source Michael Pollan, New York Times, Oct. 2008
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Energy, Water and Climate Change

• Between 1910 and 1983, U.S. corn yields grew
  346, and energy consumption for agriculture
  increased .
• 810
• In the 1890s, roughly of cropland in the
  United States was used to grow grain to feed
  horses, almost all of which worked on farms.
• 25
• Cheap and abundant fossil fuel has shaped the
  farming system that Americans have come to think
  of as normal.
• of the water used by humans in the world
  goes to irrigate crops.
• 70
• Were now at a crossroads where were running out
  of water, and were running out of oil two
  crucial inputs to farmers.

Source Deep Economy by Bill McKibbon
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Energy, Water Climate Change

• Organic corn/soybean cropping systems use about
  1/3 less fossil fuel energy than non-organic.
• Organic soil can sequester about 1,000 pounds of
  carbon per acre foot of soil each year.
• Organic farming methods
• retain nutrients
• better hold these nutrients in place for plant
  uptake

Source Pesticides and You, Vol. 27, No. 1, 2007
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Energy, Water and Climate Change

• Organic agricultural practices can be the most
  effective strategy currently available for
  mitigating CO2 emissions.
• High correlation between increased soil carbon
  levels and very high amounts of mycorrhizal
  fungi. These fungi help slow down the decay of
  organic matter.
• Carbon was sequestered into the soil at the rate
  of
• 875 lbs/acre/year in a crop rotation utilizing
  raw manure
• 500 lbs/ac/year in a rotation using legume cover
  crops.
• Implementing organic farming practices on a
  national basis will depend on two factors
• a strong bottom-up demand for change
• a top-down shift in state and national policy to
  support farmers in this transition.

Source Regenerative Organic Farming A Solution
to Global Warming, The Rodale Institute, 2008
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PCAs and CCOF

• What do PCAs need to know about organic?
• US regulators
• CA regulator
• Resources
• CCOF
• OMRI
• WSDA

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Certification Process Overview

• Application
• - Drafting Organic System Plan and associated
  record keeping systems (OSP)
• Review (OSP)
• Inspection (to OSP)
• Review (Inspection Report OSP)
• Conditions and resolution
• Major or Minor Different time frames
• Certification
• Annual renewal (update OSP, and repeat steps 2-6)

Potential PCA Interaction
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Resources

• CCOF www.ccof.org and CCOF Magazine Updates,
  articles, quarterly magazine, online directory,
  etc.
• Organic Trade Association www.ota.com Market
  information, online directory,
• resources, etc.
• National Organic Program www.ams.usda.gov/nop
  FAQs, labeling
• photos, etc.
• ATTRA http//attra.ncat.org/organic.html
  Publications and resources in production methods
  for organic crops and livestock.

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Resources

• Organic Materials Review Institute (OMRI)-
  www.omri.org
• WSDA http//agr.wa.gov/FoodAnimal/Organic

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THANK YOU

• Claudia Reid, Policy Director
• 916-443-6480
• claudia_at_ccof.org
• www.ccof.org