According to data from Agrarmarkt Austria Marketing (AMA), Austrians spent about 20 percent more on fresh organic food in the first half of 2020, compared to the first half of 2019. Milk and egg purchases led the way, but were slightly less that 2019. Other categories with above average sales include potatoes, vegetables and fruit yogurt. Austrians spend €2.06 billion on organic food in 2019, with 15 percent of sales via specialty shops and direct sales, while nearly 3/4 of the sales were in grocery stores. Within the grocery channel, 28 percent of sales were in discounters, while full-range stores sold 72 percent.
The Philippines legislature has agreed on a bill which will amend the Organic Agriculture Act of 2010 to create the Participatory Guarantee System (PGS), which will make organic certification more affordable for small farms and fisheries. The bill will also provide training and incentives for PGS groups.
As part of its ongoing strategic plan, Australian Organic Limited, the peak industry body in the country, continues to push for domestic organic regulations to facilitate international trade agreements and simplify business. Currently, Australia’s organic regulations only cover products for export.
Organic acreage in Quebec increase 65 percent from 2017 to 2019, while organic acreage in other Canadian provinces remains stable or is increasing slightly. Provincial incentives payments are one of the reasons for the growth in Quebec. Nearly 40 percent of Canada’s organic farmers are in Quebec, which is the only province that pays farmers to switch to organic methods.
The US Food Safety Inspection Service (FSIS) plans to expand the types of meat, poultry and egg product labels available for generic approval because the label is in compliance with regulations, and to stop evaluating labels that are eligible for generic approval. In the proposed rule, the following labels could no longer be voluntarily submitted for approval:
- Labels on products for export
- Labels that list organic ingredients in the ingredients statement
- Labels that display geographical landmarks
- Labels that identify the absence of certain ingredients, such as ‘preservative free’ or ‘made without soy’
- Labels of products that receive voluntary FSIS inspection
Comments on the proposed rule, ID FSIS-2019-0019-0001, are due by November 13.
For the first time, the share of organic retail products will hit 10 Percent in Austria. The average household there bought 97 euros worth of fresh organic products in the first half of 2020, and increase of 17 percent.
Organic food sales in the United Kingdom increased during the pandemic lockdown, with bananas, chicken, eggs and wine with some of the highest sales growth. Overall, organic food and drink sales grew by 6.1 percent in the year ending May 2020. Organic food and beverage sales are expected to reach £2.6 billion by the end of 2020.
Sales of organic products in UK supermarkets have seen a growth rate nearly double that of non-organic food and drink. Organic products have had a year-over-year growth rate of 6.1 percent, and grew even more in the first weeks of the pandemic lockdown. The organic sector is likely to exceed is projected market value of £2.5 billion by the end of 2020. Organic product categories with higher growth rates include: preserves and spreads (up 18 percent), beef (up 15 percent), eggs (up 15 percent), sparking wine (up 47 percent), and fruit, especially bananas. Some of the shift is attributed to concerns arising from the pandemic resulting in people valuing food more.
The European Union adopted its updated Organics Regulation in 2018. The Regulation is set to enter into force on January 1st, 2021. The Agricultural Committee in the European Parliament and other stakeholders within the organic sector have called for the new Regulation to be delayed, citing a need for more time to prepare for the changes that the new Regulation will bring. The European Commission and Member States already held several discussions on a possible delay of the regulation’s entry into force but no decision has been made yet.
The North-South Food Link virtual trade event, to be held October 1, is designed to establish connections and increase agricultural trade from the United States to Argentina, Brazil, Chile and Colombia.
Participating US exporters will connect one-on-one with potential buyers through virtual business-to-business meetings set up in advance by USDA’s Foreign Agricultural Service and learn about trade and economic conditions through targeted market briefings and data analysis. Sign up by September 1, 2020.
Beginning January 1, 2021, India will require certain imported food products to be accompanied with a certificate indicating that the food’s origins are not genetically modified. The 24 products covered by the new mandate include alfalfa, apples, Argentina canola, beans, chicory, cowpea, eggplant, flax seed, corn, melon, papaya, pineapple, plum, potato, rice, safflower, soybeans, squash, sugar beets, sugar cane, sweet peppers, tomatoes, and wheat. According to USDA, the Food Safety and Standards Authority of India further clarified verbally that the order does not apply to either processed food products prepared with any of the specific commodities or animal feed.
Aug. 21, 2020
Taiwan is the fifth largest export market for U.S. organic products, reaching over $90 million in sales in 2019. Thanks to the May 2020 equivalence arrangement between U.S. and Taiwan, U.S. organic sales in Taiwan are forecast to grow by almost 50 percent between 2020 to 2025.
Based on surveys that showed shoppers shied away from foods with additives labeled as ‘artificial’ or ‘synthetic,’ Japan will ban the use of those terms on food labels. Additives such as sweeteners, colors, preservatives, flavors, and fragrances will no longer be described as artificial or synthetic. Food manufacturers have until March 31, 2022 to comply with the change.
The National Organic program launched a project in April to implement electronic import certificates, and has a new webpage to provide information about the program. Although using the electronic certificates is optional for now, customs brokers who start voluntarily submitting data will help NOP and U.S. Customs and Border Protection ensure the new certificate does not slow trade for valid organic products. Electronic organic import certificates are required by the 2018 Farm Bill and are closely connected with the Strengthening Organic Enforcement rule currently underway.
In draft guidance documents for fruits, vegetable, teas, medicinal plants, dairy products and meat, China’s Certification and Accreditation Administration seeks to standardize organic sampling and testing procedures there. The guidance would also further regulate organic certification and provide direction to certification bodies in testing for contaminants, including pesticides and drugs prohibited in organic agriculture, based on risk assessment. Testing would be required as part of the certification process. Grapes would face the largest number of mandatory tests—70 in all. Public comment on the drafts closed July 31.
Effective July 16, 2020, the organic equivalence arrangement between the United States and Canada now includes organic livestock products and processed food products that containing livestock ingredients. US livestock products must be certified organic under the US National Organic Program, and either raised in the US, produced in the US, or a product for which final processing or packaging has occurred in the United States.
Organic farmers in Ghana now have the option of taking part in a Participatory Guarantee System for organic certification. Other certification services in the country are aimed at the export market and cost more, but the PGS will help reassure local customers who are seeking organic products.
Taiwan’s policy of requiring organic equivalency agreements may change the origins of its imported organic products, as most European Union countries are not pursuing agreements. As of May 31, 2020 only five of 22 countries engaged in organic trade with Taiwan have signed equivalency agreements: Japan, New Zealand, Australia, Canada and the United States. Meanwhile, of the organic products imported into Taiwan in 2019, 52.9 percent came from the EU, 18.8 percent from the United States, 10.3 percent from Canada, 8.9 percent from Australia, and 7.2 percent from New Zealand. Over 86 percent of Taiwanese consumers prefer organic fruits and vegetables.
India requires organic products exported to the United States to have a Certificate of Inspection issued by a government-accredited certification agent through India’s TraceNet system. The NOP considers these Certificate of Inspection an essential record to demonstrate good control processes, and operations must maintain these certificates as part of their records for inspection.
Artistic Milliners is working with WWF-Pakistan to support organic cotton production by placing orders for the organic cotton at a premium rate even before it is produced to encourage farmers and ginners to go organic.