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Organic producers could get fed reimbursement

By KAREN BINDER
Illinois Correspondent

WASHINGTON, D.C. — Here’s some green information on which organic farmers and handlers nationwide can bank: USDA officials are offering up to 75 percent reimbursement for organic certification costs.

With a $750 cap, qualified certified organic growers and handlers of organic goods in all states can tap into the USDA’s National Organic Certification Cost-Share Program, administered by the department’s National Organic Program (NOP).

Besides offering organic agribusinesses a chance to recuperate some of their costs of doing business, USDA spokeswoman Joan Shaffer said it will be interesting to note response to the program because there is not an official count or listing of organic certified operations.

Because of this unknown quantity, a pool of $22 million has been set aside through the Food, Conservation and Energy Act of 2008 for the reimbursements. Shaffer said each state agriculture department has received an initial payment.

The USDA will continue awarding the cost-share money until the pool is depleted. Otherwise, states must return any unused money. Producers and handlers have until Sept. 30 to submit their requests.

“This is important information for current or potential organic farmers in our state,” Leslie Duram, an Illinois Locally Grown and Organic Food and Farm Task Force member, said.

By the end of 2005, the number of U.S. certified organic crop, livestock and handling operations totaled about 8,500, according to 2005 USDA Economic Research Service data. This report also indicated U.S. certified organic acreage increased to four million acres and U.S. sales of organic food and beverages have grown from $1 billion in 1990 to nearly $17 billion in 2006, making the organic industry the fastest growing sector of agriculture.

These figures add up to 3 percent of overall food and beverage sales. Since 1990, organic retail sales have historically demonstrated a growth rate between 20-24 percent each year, including a 22 percent increase in 2006.

Created by the Organic Foods Protection Act of 1990, the National Organic Program develops, implements and administers national production, handling and labeling standards for organic agricultural products. The program also accredits foreign and domestic certifying agents, who inspect organic production and handling operations to certify that they meet USDA standards.

The NOP board has 15 members representing all sectors and interests of organic producing, handling and consuming (four producers, two handlers, one retailer, three environmentalists, three consumers, one scientist and one certifying agent).

The board’s main charge is making recommendations on acceptable and non-acceptable chemicals on what is called the “National List of Allowed and Prohibited Substances” for organic operations, and other aspects of the organic program.

The USDA also has accredited 95 certifying agents who provide certification services to producers and handlers. A complete list of accredited certifying agents, cost-share applications and additional information is available at www.ams.usda.gov/nop

Information is also available at 202-720-3252 or www.NationalOrganicCoalition.org

10/22/2008