Four months after the Trump administration killed a proposal for a mandatory checkoff program for organics, the industry’s largest trade group said it would move forward with a voluntary checkoff to promote organic food and products. “Everyone in our organic industry has a stake in eliminating consumer confusion, growing the market, and building the organic brand, so we’ll work collectively to ensure the future of organic,” said Laura Batcha, chief executive of the Organic Trade Association on Thursday.
Organics is the fastest-growing segment of the food industry, with 2017 sales estimated at $45.2 billion, equal to about 5.5 percent of U.S. retail food sales. The industry says that with demand growing so rapidly and U.S. producers straining to keep pace, a checkoff, which would generate money for research and promotional efforts, would be a boon. The industry petitioned the USDA in May 2015 for a checkoff program, which would have been the first devoted to a production method rather than a commodity. But three years later, following the change in administration, the USDA killed the proposal, saying there was “uncertain industry support for and unresolved issues with the proposed program.”
In an announcement, the OTA said, “The organic sector is ready to work together” and help itself with a voluntary checkoff “that will be collaboratively designed and implemented by organic stakeholders across the diverse organic supply chain.” An eight-member steering committee that includes organic pioneer Gary Hirshberg will gather ideas on how to maximize participation in a voluntary program and identify initiatives that would immediately benefit the industry. A comment period on the design of the checkoff program will be held this fall, said the OTA.