State of Natural: Industry on Track to Reach $318.6B in Sales in 2024 and $386.4B by 2028
This article first appeared in the November 2024 issue of Presence Marketing’s newsletter.
By Steven Hoffman
The natural and organic products industry is on a solid growth curve, supported by rising consumer demand for better for you products, according to the editors of Nutrition Business Journal (NBJ).
Surpassing $300 billion in sales on 4.8% growth in 2023, NBJ projects sales of natural, organic, regenerative and sustainable products in the natural channel will continue to grow at about 5% per year to reach $318.6 billion in 2024, and $386.42 billion by 2028, with the market “showing no signs of slowing down.”
Dominated by the natural and organic food and beverage sector, which commands three times the market share of supplements and seven times that of the natural living category, “the natural products industry has infiltrated every part of brick-and-mortar and online retail and is outpacing conventional products’ growth. Slow and steady is winning this race,” reported the NBJ editorial team in its State of Natural Report: Four-Year Forecast, 2024 - 2028, published in September 2024.
Sales of natural, organic and functional food and beverages account for 69.3% of the overall natural products market. According to NBJ, this category will continue to dominate the market, predicting that sales will grow to $220.78 billion in 2024, and will reach $265.2 billion in sales in 2028. Strong growth in this sector is driven by improved product quality and taste, global flavors, and plant-based, paleo and carnivore diet trends, among others.
According to NBJ, the majority, or 63.7% of natural and organic food and beverage sales are occurring in mass market retail stores, a trend that will continue as natural products become more accessible across the country. Traditional natural food retail stores command 28% of the natural and organic food and beverage market.
Supplements: The Roller Coaster Ride Is Over
For the dietary supplements category, “the roller coaster ride is over,” NBJ reported. “After a sobering deflationary period following stratospheric growth during the Covid-19 pandemic, the supplements industry is settling into steady, stable growth in every category. With the combined Sports Nutrition and Meal Replacements category and Herbs and Botanicals leading the way, supplements are projected to grow at around 5% each year through 2028, from $67.43 billion in 2024 to $82.81 billion. Many consumers who discovered supplements in their panicked searches for immunity hacks during the pandemic appear to be sticking with the vitamins and herbs they started taking, and the industry is mainstreaming as a result,” said NBJ.
While sports nutrition and meal replacements are projected to grow between 5% and 7% over the next four years, sales of vitamins and minerals, which took a post-pandemic hit (NBJ predicts growth of only 2.1% in this category in 2024), are projected to grow 3.7% in 2028. However, vitamins and minerals control the largest market share (30%) among the dietary supplement categories.
Herbs and botanicals are projected to be the fastest growing supplement sector, and annual growth will reach 7% by 2028. Market share for sports nutrition and meal replacements is expected to remain steady over the next four years, ranging between 26% and 28%. Herbs and botanicals, too, are predicted to maintain a steady market share of about 20% over the next four years.
NBJ also noted that in the dietary supplements category, in particular, direct to consumer channels are driving significant growth. “With annual growth between 6% and 7% — nearly triple that of Natural and Specialty—the Direct-to- Consumer channel is driving growth during the forecast period, while Natural and Specialty continues to lose market share, falling from 26% in 2024 to 23.2% in 2028,” NBJ predicted.
Natural Living: Small but Growing Fast
As consumers learn more about the dangers of environmental toxins, microplastics and ingredients used in conventional beauty care products from mainstream media, social media influencers and others, they are becoming increasingly aware of the fact that it’s not just what you put in your body, but also what you put on your body. While the Natural Living sector takes up the smallest slice of the natural products industry pie at a 9.5% market share, it is expected outpace overall industry growth, growing at 6% per year from $30.38 billion to an estimated $38.41 billion in sales in 2028.
According to NBJ, the natural and specialty channel is projected to lose market share of natural living products between 2024 and 2028, but it will remain the second largest channel behind mass market. By 2028, sales of natural living products in mass market will be more than double those of natural and specialty. Also, while mass market and e-commerce are driving much of the natural living market, practitioners and multi-level/network marketing “are the only channels projected to see increased growth throughout the forecast period,” said NBJ.
The principal analysts, authors and editors of the Nutrition Business Journal State of Natural Report: Four-Year Forecast, 2024 – 2028 were market research analyst Erika Craft, industry analyst Christian Irwin, senior editor Robyn Lawrence, managing editor Hannah Esper and content & insights director Bill Giebler. Sources for the data include SPINS, IRI Group, Natural Foods Merchandiser Magazine, New Hope Network and others. The report is available for $125.
Learn More
Nutrition Business Journal State of Natural Report: Four-Year Forecast, 2024 - 2028
Presence News: Natural Products Industry Reaches $303.3 Billion in Sales in 2023 on 4.8% Growth
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Contact steve@compassnaturalmarketing.com.
Food Contact Chemicals Used in Production and Packaging Are Finding Their Way Into Humans
This article first appeared in the October 2024 issue of Presence Marketing’s newsletter.
By Steven Hoffman
Researchers working with the Food Packaging Forum discovered that of the roughly 14,000 known chemicals that are used in food manufacturing and packaging, approximately 25% or 3,601 of these food contact chemicals (FCCs) have been found in the human body. The chemicals include bisphenol, PFAS, phthalates, metals, volatile organic compounds, and many others that have been linked to endocrine system disruption, diabetes, obesity, neurodevelopment disorders, cancer and other diseases.
The study, Evidence for Widespread Human Exposure to Food Contact Chemicals, published in September 2024 in the Journal of Exposure Science and Environmental Epidemiology, comprehensively searched biological data collections for detections of FCCs in humans, such as from samples of blood, urine, skin, and breast milk. The data is now assembled and available in a public listing with an interactive search tool.
“Our research helps to establish the link between food contact chemicals and human exposure, highlights chemicals that are overlooked in biomonitoring studies and supports research into safer food contact materials,” lead author Birgit Geueke, Ph.D., and Senior Scientific Officer at the Food Packaging Forum, said in a news release.
When the research team reviewed scientific literature to learn what is known about FCCs detected in humans, they concluded there is a broad lack of knowledge of the effect of these chemicals on human health, and the potential hazards of many of these chemicals have not yet been sufficiently investigated. For other chemicals that migrate from packaging into the food, such as synthetic antioxidants and oligomers (a type of non-intentionally added substance that may be present in plastic food contact materials), the authors pointed out that little is known about their presence in and impact on humans.
“Many of these FCCs have hazard properties of concern, and still others have never been tested for toxicity,” the researchers wrote. “Humans are known to be exposed to FCCs via foods, but the full extent of human exposure to all FCCs is unknown.” It also is likely that the actual number of FCCs in humans is even higher because only a subset of FCCs was investigated in detail, noted the study’s authors.
Dr. Jane Muncke, co-author of the study, expressed concern over such widespread chemical exposure, stating, "This work highlights the fact that food contact materials are not fully safe, even though they may comply with regulations, because they transfer known hazardous chemicals into people. We would like this new evidence base to be used for improving the safety of food contact materials—both in terms of regulations but also in the development of safer alternatives."
The Great Chemical Migration
From shrink wrap and takeout containers to plastic bottles and coated paperboard packaging, scientists have known for years that chemicals can migrate out of food packaging into the food itself. We all know not to microwave food in plastic packaging, as high temperatures can cause the plastic to leach into the food. Foods high in fat or acidity also tend to absorb more chemicals from packaging, reported the Washington Post. Foods packed into smaller containers have increased risk of chemical crossover, too — Muncke shared with the Washington Post that on a recent flight she was given a tiny container of salad dressing. “They served the salad with a 15ml little plastic bottle with olive oil and vinegar that you could pour over. I thought, ‘Well, I’m not doing that,’” she said.
Muncke also shared with the Washington Post that while most of the chemicals leaching from food packaging come from plastics, “Probably the worst one is recycled paper and cardboard. And I know that’s a hard one to stomach.” Recycling paper, cardboard or plastic for food packaging leads to non-food grade inks mixed in next to food, she said, adding to the chemical exposure risks. However, in a positive regulatory move, FDA announced in February 2024 that paper and paperboard food packaging coated with grease-proofing PFAS chemicals would no longer be sold in the U.S.
In January 2024, Consumer Reports published an investigation into plasticizers used in food packaging to make plastic containers softer, more flexible and durable. Phthalate compounds — the ones most commonly used as a plasticizer — are so ubiquitous that it has been reported that 95% of all humans have detectable levels of phthalates in their urine. What Consumer Reports found in tests of nearly 100 foods was that bisphenol and phthalates are widespread in food products. “We found them in almost every food we tested, often at high levels. The levels did not depend on packaging type, and no one particular type of food — say, dairy products or prepared meals — was more likely than another to have them,” Consumer Reports said. From canned sliced fruit to pasta to yogurt containers, the investigation found high levels of phthalates in the packaging. Some organic products the consumer advocacy group tested also were not immune to high levels phthalates detected in product packaging.
In addition to packaging, foods are often subject to chemical exposure in the production, manufacturing and potentially in the transport process. According to Consumer Reports, while early efforts to limit food exposure to such chemicals focused on packaging, “…it’s now clear that phthalates in particular can also get in from the plastic in the tubing, conveyor belts and gloves used during food processing, and can even enter directly into meat and produce via contaminated water and soil.”
Leah Segedie, founder of consumer advocacy group Mamavation, has conducted PFAS investigations into a number of different consumer products, and also to provide consumers with guidance in searching for products free of such chemicals. In 2022, she released a report about PFAS contamination of pasta sauces, both organic and conventional. Out of the 55 different pasta sauces she tested in 2021, 17 were organic and four of those, or approximately 25%, had detectable levels of PFAS.
“I believe that PFAS contamination of organic products is also taking place during the manufacturing process and when products get transported,” Segedie told Max Goldberg, Editor of Organic Insider. “What is touching the food? Was a contaminated lubrication used on a machine? Was food stored in a vat that was fluorinated, as it was crossing the Pacific Ocean in an incredibly hot shipping container? Does the food contain contaminated spices? All of these and many other variables are the reason why the end-product should be tested, not just the ingredient,” she said.
Finding PFAS Free Alternatives
Responding to growing concern over “forever chemicals” in food and consumer packaged goods, a number of natural, organic and conscious CPG companies are offering alternatives for products that contain PFAS. The Environmental Working Group compiled a list, updated in January 2024, of companies that have declared their products have no added PFAS, in including food, fashion, beauty care and other consumer products categories. Online retailer Thrive Market this year announced in a blog on its website that, “Though more research is needed, PFAS are being studied as potential carcinogens. This month, Thrive Market added PFAS to its list of non-compliant chemicals and substances, meaning that you won’t find it in any products on our site.”
Businesses such as HeyBamboo, a toilet paper brand made from 100% bamboo, is committed to using absolutely no plastic in its packaging. “The wrap is made from bamboo, and so is the core of our toilet paper and paper towel products,” said company founder and CEO Joslyn Faust. “We like to say that we’re sustainable to the core,” she said. Another emerging brand, Generation for Change, is committed to making plastic-free health and personal care products, stating that it’s “a company made for the plastic-free generation.” In 2022, FoodTank reported on 19 food and beverage companies looking to move beyond plastic packaging
For natural and organic food brands, Charles Haverfield, CEO of U.S. Packaging and Wrapping, offered this counsel in 2023 in Sustainable Packaging News: “Selecting suitable materials for organic packaging demands a discerning approach. Choose options that minimize the presence of unwanted chemicals while upholding organic and sustainable principles. Materials like compostable plastics, plant-based fibers and paper offer a natural breakdown without leaving behind harmful residues. Glass and metal containers, which are highly recyclable and chemically inert, limit interactions with the packaged goods. Steer clear of some conventional plastics, as they can harbor hazardous additives like phthalates and bisphenol-A. Instead, explore alternatives like bio-based plastics or cellulose-based materials. It's important to note that while aluminum is recyclable, certain aluminum-coated packaging materials may contain additional coatings that clash with organic principles.”
A number of packaging suppliers are offering PFAS free options, such as Good Start Packaging, Delfort, CarePac and others, which offer compostable fiber and paper food packaging with no added PFAS. In January 2024, Organic Produce Network reported that a new third-party packaging standard, GreenScreen Certified — a collaboration between the Center for Environmental Health and Clean Production Action — will certify packaging products that are free from PFAS, as well as “thousands of other chemicals of high concern to human health and the environment.”
Learn More
Video Abstract: Evidence for Widespread Human Exposure to Food Contact Chemicals
Full Study: Evidence for Widespread Human Exposure to Food Contact Chemicals
Summary of Study: Evidence for Widespread Human Exposure to Food Contact Chemicals
Database on Food Contact Chemicals Monitored in Humans (FCChumon)
Food Engineering Magazine: Get the PFAS Out of Food Packaging Materials ASAP
Guide to PFAS Free Food Packaging
Mamavation Guide to Avoiding Products with Forever Chemicals
Environmental Working Group Guide to Companies Marketing Alternatives for Products that Contain PFAS
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Contact steve@compassnaturalmarketing.com.
Are You Expo Experienced? Insiders Share Tips for the Best Expo West
By Steven Hoffman
Natural Products Expo West, first launched in 1981 and held every year since, at the Anaheim Convention Center in Anaheim, California, is the world’s largest natural and organic products trade show. Spread across five days, this year’s event, held March 12th to 16th, is expected to attract more than 65,000 trade visitors and over 3,000 exhibiting companies.
For business leaders, founders, entrepreneurs, retailers and others in the natural channel, attending Expo West is considered essential. However, as it can be costly, time consuming and a bit overwhelming, we asked industry insiders and colleagues their favorite tips to make the most of the show. Read on for some helpful hacks to maximize your Expo experience.
Karen Farrell, VP of Brand Services, PRESENCE
First, be sure to visit PRESENCE’s Hospitality Room at Expo West, Room 210A, at the Anaheim Convention Center. Trade members are welcome to visit during show hours for snacks, beverages, a place to meet or take a break, and to catch up with Presence Marketing team members.
On a self-care level, realize that all the restaurants and coffee shops are going to be crowded, for breakfast, in particular. Consider putting together a Whole Foods Market (or other) order with some basics for your hotel room to be delivered the night you get there. That way, you can get some nourishment and avoid long lines. Also, throw a healthy snack in your bag for nourishment during the day. This helps avoid ‘trade show stomach.’ I only sample things I haven’t tried before — samples are meant to be samples, not lunch! Also, make restaurant reservations well in advance of the show, preferably within walking distance, if possible. And if you can, consider making hotel reservations for next year’s (2025) event as soon as possible, as hotel space near the convention center fills up fast and is always in demand.
Leanne Thorsson, Director of Health and Natural Foods, Traditional Medicinals
Set appointments in advance; everyone’s time is tight at Expo West, so if you’re not on the calendar, you may not get the meeting. There’s always excitement and an extra level of engagement at the show. Plan in advance what you wish to accomplish — if it’s to visit booths, make a plan of what you want to see. We schedule meetings with account executives, regional managers, and major retail, distributor, and other key partners. This year, we are meeting with two new export partners for the first time; the event gives us an opportunity to meet with them in person and say hello. The show is a great way to get that human interaction, make the connections, talk about some of the larger items, and then set the stage for future conversations. Also, be sure to make unplanned time to walk the show and let some magic happen.
Stacy Gangestad, Director of Sales Management, Gimme Seaweed
Working as an exhibitor on the brand side, none of us in sales ever want to leave the booth, so that makes for long days. Taking a walk each day and getting some fresh air beforehand helps set the stage for the rest of the day. Wear comfortable shoes and get the extra padding under the carpet for your booth. We’ve learned over the years that a lot of initial conversations happen, but not a lot of business decisions are made at the show. It’s all about the follow up from there.
Also, consider after hours networking opportunities at Expo West: Go out to dinner with brokers and retail partners; attend events where there may be opportunities to connect with key buyers and other decision makers. Sometimes, you might run into a key contact just by going to the Hilton and Marriott lobbies, where many gather after each day of the show. We exhibit in Hall E — it’s a great location and the days go by fast because of all the positive energy and great vibes down there.
Jonathan Lawrence, VP of Center Store, Fresh Thyme Market
I’m a huge fan of Expo West. It’s very impressive, but can be very intimidating, not only to retailers and new buyers but also to brands (especially new brands). Tip number one is to capture the retailer’s attention. First thing you want to do is share the highlights around your brand strategy, specifically, why did you create this product and what makes it different from other products currently on shelf.
Have a positive and open-minded attitude. Be open to having conversations with people at all levels. When you’re talking about your brand, your product, talk to everyone that will listen, because everyone’s a consumer. Your product could be the next new product they tell people about. They might be able to give you great feedback, they might be able to make a great connection for you. Talk to the other brands when you’re at your booth. Some of those best connections are the people right next to you. The natural foods community is all connected.
Be efficient with your time. There are thousands of brands out there, so you don’t get a lot of time. Make sure you’re prepared. Have your elevator pitch ready, have maybe a sell sheet and product samples ready. Make sure you’re engaging. Don’t be sitting back behind your booth. Don’t be on your phone, looking down. Act like you want to be there, enjoy it, enjoy the fact that you’re in front of all these people at the biggest trade show.
I would focus on new retailers or new people that you don’t have current relationships with. And then keep conversations going. Not everything happens on the trade floor – great connections can be made in hallways, in passing on the show floor, off the show floor and at dinner. Utilize all the time that you have. While you’re there, you’ll have plenty of time to rest when you get home.
As a retailer, once we get home, we’re exhausted. But then Monday comes around and it’s back to work. Take a little time, but then make sure you’re following up. I would say a personalized note, don’t just send a canned email, that’s not very personal, it doesn’t show that you took the time to connect after. Send samples, I would say between a week to two weeks after. If it goes further than that, it might not be top of mind anymore. So, make sure you act fast.
Benji Fitts, Director of Growth Strategy, SPINS
So, you’re at your booth, spent a lot of money to get to Expo West, you’re meeting people, shaking hands, all that sort of fun stuff. And you’re going to need this little piece of paper, your sell sheet, to talk about your product.
There are just some simple things that you can do to make sure that your sell sheet looks good. First of all, it’s usually a piece of paper, 8½” by 11”, usually double-sided. You don’t have a lot of visual real estate so really, this has to be an amalgamation of the best things that you could possibly say about your product. Be brief, be succinct, and get the message across. Second, if you have the sell sheet in front of you, squint your eyes at it and if the biggest, most unique thing about your product, or whatever message you’re trying to convey, isn’t immediately apparent, then it needs to be fixed.
These shows are really all about discovery, finding out what’s new, what’s next. If this is what’s driving your product, is what is differentiated, innovative, what’s new and fresh about whatever you’re making, make sure that’s the primary message that a user is going to receive whenever they pick up one of these pieces of paper.
The storytelling element is really what drives a lot of the passion behind things. It’s a very passionate group of buyers, it’s a passionate industry, so lean into that a little bit, right? Make sure you’re highlighting sustainability and the key differences between you and the competition. It’s also smart to sometimes talk about your distribution partners or other people who you are already partnered with … and don’t forget to put your contact info and a call to action. Don’t just put a name and a phone number on there, but say, ‘Give me a call and let’s do business together.’
Allison Salvati, VP, Compass Natural; Former Marketing Lead for Bhakti Chai and noosa yoghurt
If you’re an exhibitor, you’ll want to collect contact information from as many people as you can who visit your booth. It’s up to you to collect that data; New Hope won’t share attendee or exhibitor contact lists. As such, it is recommended to purchase one or more seats on Expo West’s lead retrieval app. With it, you can scan badges using your smartphone camera, and at the end of the show, download contact info for every individual you and/or your team scanned. Also, consider cost-effective opportunities to amplify your brand at the show, including applying for a NEXTY Award for your new products, displaying in the New Products Showcase, and considering some of the more budget-minded sponsor opportunities for brands at Expo West, such as the Retailer’s Early Access Box. Check in to your Expo West Exhibitor Hub dashboard often so you don’t miss important deadlines, such as shipping to the show. Take advantage of Expo West social media tools, too, to promote your exhibit at the show.
Jim Slama, Managing Director, Naturally Chicago
Expo West is the big kahuna of trade shows in the natural products industry. Last year 65,000 attendees came to visit the booths of 3,000 vendors showing their wares. For brands, there is no better place to connect with retail buyers.
Michael Movitz, Co-Founder, Brandjectory; Managing Partner, The Movitz Group
My advice would be to attend as many social events as possible to network, network, network! I also suggest using a digital business card like Blinq or Flowpage. They’re easy to use, environmentally friendly and, in addition to contact information, can include links to your website, social media profiles and other online resources. Also, don’t forget to fully charge your devices and bring a portable phone charger – trade shows can be draining on your device’s battery, and having a backup charger can be a lifesaver.
Kelly Miano, Brand Strategy, Innovation and Launch Leader
Follow up. All of those connections you made are great but all that is forgotten if you don’t follow up in the weeks/months following Expo. Be selective in your sampling — try not to go back and forth between savory and sweet, your stomach will thank you. Drink more water than you think you need. It will help with headaches and you won’t be so tempted to try every sample. It’s easy to get sensory overload; it’s OK to take a break when you need it. Expo can be stressful — we’re on little sleep, excited, nervous, under pressure to land a sale. Everyone is trying to pack in as much as possible into a few short days. Assume positive intent, be gracious and kind. This is our industry, we are what we make it.
This article is based on personal interviews with industry leaders; a seminar hosted on Feb. 7, 2024, by New Hope Network and Naturally Boulder entitled “Beyond the Booth: A Blueprint for Creating Unforgettable Tradeshow Experiences”; and a Feb. 15, 2024, webinar hosted by Naturally Chicago, “Master Your Retailer Sell Story for Expo West.” You can access the Naturally Chicago webinar recording here.
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Compass Natural serves in PR and programming for NoCo Hemp Expo and Southern Hemp Expo, and Hoffman serves as Editor of the weekly Let’s Talk Hemp Newsletter, published by We are for Better Alternatives. Contact steve@compassnaturalmarketing.com.
Kiss the Ground: A Decade of Empowering the Regenerative Movement to Welcome Wave II
In the heart of the regenerative movement, Kiss the Ground has been a guiding force, shaping narratives and educating both brands and consumers since 2013. As the organization marks its remarkable decade, it stands at a historical juncture, ushering in Wave II of the Regenerative Movement.
The growth of regenerative agriculture has been nothing short of phenomenal. In fact, according to How Good, an independent research company, there has been a staggering 130% increase in companies adopting regenerative agriculture practices from 2019 to 2022. With the advent of Wave II, further growth in understanding the impact of regeneration is anticipated among both brands and consumers.
Steven Hoffman, principal of Compass Natural – a leading media and marketing firm in the natural product arena – shares his excitement about the next wave: "Kiss the Ground has united regenerative pioneers, business and thought leaders, celebrities, media, and influencers to deliver this crucial message to the public. We, in the regenerative agriculture products space, are thrilled to be part of Wave II – to see the impacts made."
As an audience-supported nonprofit, Kiss the Ground has played a pivotal role in elevating awareness about the social, commercial, and environmental benefits of regenerative food and agriculture. Regenerative agriculture, offering a viable solution to wellness, water, and climate crises, is now poised to become a top leader in the next phase of consumer awareness.
"Together, we've created a meaningful groundswell for the Regenerative Movement. To get to the tipping point, we will expand awareness, deepen engagement, and look to brands to help amplify the message with consumers. Kiss The Ground is here to help, no matter where you are on your regenerative journey," comments Evan Harrison, CEO of Kiss the Ground
Connect with Kiss the Ground: Reach out to create a customized plan aligned with your team's goals and values. Discover how they can meaningfully guide your company on the path to regeneration.
Immerse your team: Curate a learning experience tailored to your needs. Ranging from film screenings and customized engaging workshops to speaking sessions.
Bite-sized and in-depth learning: Empower your team by bringing them into this movement through on-demand access to acclaimed courses and resources.
Amplify your voice: Share your commitment to regeneration through storytelling partnerships. Sponsor media or campaigns that align with shared values.
Become a supporter: Gain high-impact exposure through Supporter Partner Spotlights across Kiss the Ground's platforms.
Engage consumers: Partner with Kiss the Ground as your featured nonprofit and empower customers to support regenerative initiatives through their purchases.
“Discovering the profound message of Kiss the Ground ignited a passion within me, prompting me to enroll in their education program – an immensely rewarding decision. Whenever I share my knowledge and train others on soil health, inquiries about further learning opportunities inevitably arise. I consistently recommend starting with the “Kiss the Ground” documentary and encouraging action through becoming a soil advocate, fostering hope, and igniting passion in others along the way.”
- Brian Hall, CEO of True Grace Health
Get Involved with Kiss the Ground at Expo West
Don't miss the screening of "Common Ground," the highly anticipated follow-up film to “Kiss the Ground,” at Natural Products Expo West on Friday, March 15. The film explores the shared connection Americans have with the soil beneath their feet.
Join the post-screening panel discussion with award-winning filmmakers Josh and Rebecca Tickell, producer John Roulac, farmer and cast member Gabe Brown, and additional guests who will delve into the film and the regenerative agriculture movement. Details here.
Connect with Kiss the Ground at Expo West 2024: Evan Harrison (CEO), Nathan Rice (Storytelling), Jackie Peller (Partnerships). Email partnerships@kisstheground.com.
From Dry January to Sober October, Non-Alcoholic Beverage Trend Extends Throughout the Year
This article first appeared in Presence Marketing’s February 2024 newsletter.
By Steven Hoffman
From Dry January to Sober October, sales of adult-oriented, non-alcoholic beverages are taking off throughout the year, as Gen Z consumers, older health-minded individuals and others increasingly prioritize wellness and moderation in their drinking habits.
With New Year’s resolutions in mind, sales of non-alcoholic (NA) beverages consistently surge at the beginning of the year, when many adults take a break from drinking during what has become known as “Dry January.” However, according to Nielsen IQ, non-alcoholic drinks “are now a staple during all major drinking holidays, especially the 4th of July and year-end celebrations,” Fox Business News reported in September 2023.
As more Americans embrace alcohol-free options, sales of non-alcoholic beer, wine and spirits at off-premise locations such as grocery stores increased 31% to $510 million in the 12 months ended July 29, 2023, Nielsen IQ reported. While NA beer dominates the segment with 86% of the market share, followed by NA wine at 11%, alcohol-free spirits, which comprise only 3% of the category, saw sales grow by 94% over the previous year. Non-alcoholic adult beverage sales grew by double digits in terms of dollar amount spent, and five states —California, Colorado, Massachusetts, Michigan and Ohio — accounted for 30% of the total amount.
Retailers, manufacturers, restaurants, bars and others are capitalizing on this trend by offering more non-alcoholic options, including “mocktails” and mixers that can be enjoyed with or without alcohol. Products are proliferating, such as booze-free beer and wine, functional beverages made with adaptogens, nootropics and other botanical and nutritional ingredients, energy drinks and other adult-oriented drinks made to take the place of cocktails and spirits.
According to Beverage Daily, online seller Drizly reported that there were over 80% more non-alcoholic brands available on its platform in 2023 compared to the previous year. Today, consumers can opt for many innovative beverages beyond the timeworn choices of a few non-alcoholic beers, seltzer water, conventional soda or juice as the only alcohol-free options.
While still representing only 1% of the overall alcoholic beverage market, such robust growth in the popularity of NA beverages inspired the formation of a new trade association, dryly named the Adult Non-Alcoholic Beverage Association (ANBA), launched in 2021 and based in Washington, D.C. Together with New Hope Network, in September 2023 ANBA sponsored a pavilion at Natural Products Expo East devoted to brands specializing in NA adult beverages including sparkling wine, canned cocktails and IPAs.
Gen Z Drives Reduced Alcohol Consumption
America’s younger Gen Z demographic is leading the way in reducing alcohol consumption. The share of adults aged 18 to 34 who say they drink dropped 10%, from 72% in 2001-03 to 62% in 2021-23, according to a Gallup poll published in August 2023.
“Younger adults are drinking less alcohol — and it has been moving in that direction for two decades,” said Akhil Anand, M.D., of the Cleveland Clinic. There are a lot of theories as to why, including increased mental health awareness, healthier lifestyles, education and possibly increased cannabis use, though binge drinking is still a concern among younger adults, Anand noted. “When people give up drinking, even for a month, they often note that they feel better,” Dr. Anand said. “That’s not by coincidence.”
Yet, the majority of people who buy non-alcoholic beverages actually do drink, Marcos Salazar, CEO of the Adult Non-Alcoholic Beverage Association, shared with New Hope Network. According to Salazar, recent data revealed that 94% of non-alcoholic beverage consumers do drink alcohol. They purchase alcohol-free products because they embrace moderation, or they appreciate the products’ flavors or, when they entertain, some guests don’t drink, or all three, he said.
For Laura Taylor, founder of Mingle Mocktails, one of the fastest-growing brands in the NA sector, her challenge was how to feel included at social gatherings while choosing not to drink. Taylor quit drinking nearly 10 years ago after a battle with alcoholism, she shared with Forbes in November 2023. Experimenting with juices and mixers, Taylor in 2017 created a line of sparkling mocktails targeted toward women, available in ready-to-drink cans and bottles. “I wanted everyone to feel included and proud of their choice to give up alcohol instead of feeling like it was something to hide,” Taylor told Forbes. “Mingle Mocktails were created for anyone who chooses to give up alcohol for a night, a week or as a lifestyle choice but still wants to feel part of the party.”
“As consumers’ beverage preferences change, functional benefits and exceptional product quality are more important than ever,” said Alex French, co-founder and CEO at Bizzy Cold Brew. “At Bizzy, we’re strategically positioned to meet evolving beverage trends quickly while remaining true to our brand promise of caffeine strength.”
“We’re hearing it daily — ‘I quit drinking, and instead I reach for a Sati.’ It’s what we want to hear; we are a replacement for alcohol,” said David McLaughlin, founder of Sati Soda, maker of certified organic beverages containing functional ingredients such as ashwaganda and rhodiola, as well as a line of CBD-infused sparkling beverages. “We are seeing athletes, celebrities, musicians and other influencers opting for non-alcoholic alternatives. They’re saying, ‘I’m treating myself better and you don’t have to drink to be cool. Now I can drink something and feel good, and wake up feeling great.’ While functional beverages are still in their infancy (even though there are a lot of us in the space!), I don’t see this trend going back. Dry January is spilling into the rest of the year, is what’s happening,” McLaughlin observed.
Where to Merchandise NA Beverages?
For retailers, where to locate category-crossing NA beverages can present some challenges. Many merchandisers place NA beverages in the grocery section near sodas, waters and functional beverages, as well as in refrigerated cases, as opposed to the alcoholic beverages section, so shoppers who don’t drink alcohol will feel more comfortable. Grocers also worry that shoppers in the alcohol section might accidentally buy non-alcoholic products and be disappointed.
“There was some confusion about where we should place products in stores,” Beth Johnson told Douglas Brown at New Hope Network. Johnson is the senior category manager at PCC Community Markets in Seattle. As people were emerging from the pandemic, she decided to create a separate non-alcoholic set. “It’s working for us. At first, it was just one shelf, but now it’s like three,” she added.
For food service, restaurants, bars, hotels and event producers, “the profit potential of mocktails cannot be underestimated,” according to Shivani Vora, contributor to Forbes. “While the cost of ingredients for alcoholic cocktails can be high, mocktails are typically made with less expensive components, meaning higher profit margins for every mocktail sold. Only adding to that profit potential is the fact that patrons are generally willing to pay a similar price for mocktails as they would for alcoholic cocktails, making them a lucrative addition to menus. … By serving mocktails, bars and restaurants can expand their customer base and increase the likelihood of repeat business from a diverse range of patrons. This approach enhances customer loyalty and patronage among those who appreciate a venue that respects their choices.”
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Compass Natural serves in PR and programming for NoCo Hemp Expo and Southern Hemp Expo, and Hoffman serves as Editor of the weekly Let’s Talk Hemp Newsletter, published by We Are for Better Alternatives. Contact steve@compassnaturalmarketing.com.
Two Films, One Message: The Solution to Human and Environmental Health Is Right Under Our Feet
This article first appeared in Presence Marketing’s October 2023 newsletter.
By Steven Hoffman
Two new feature-length documentary films, Organic Rising and Common Ground, released in October, demonstrate clearly that the time is now for industry, government and the public to fully embrace the potential of organic and regenerative agriculture.
Through interviews with thought leaders, farmers, scientists, celebrities and industry experts, plus animation to help convey complex concepts, both films convey a powerful message that the way we produce our food and treat our nation’s soil directly impacts climate change and our health.
Organic Rising, sponsored in part by Presence Marketing, documents the history of organic food and farming and the growth of the organic products market, from the early influences of J.I. Rodale, Sir Albert Howard and Rachel Carson to the back-to-the-land movement of the 1960s to today’s $60-billion organic food marketplace.
Ten years in the making and directed by Pulitzer Prize and Emmy Award-winning National Geographic photojournalist Anthony Suau, Organic Rising also contrasts the history or organic against a backdrop of the widespread usage of toxic pesticides over the past 80 years. Narrated by organic industry advocate Elizabeth Kucinich and actor Simon Harrison, the film also documents how glyphosate has become the most widely used pesticide in history, along with its adverse impacts on human, animal and environmental health.
According to former executive director of the Rodale Institute Mark Smallwood, interviewed in Organic Rising, organic crops can produce higher margins than conventional, so price outweighs any difference in yield, he asserts. In fact, organic can be more profitable than conventional, especially in seasons of drought and flood, where organic farming can actually outperform conventional agriculture. “Conventional uses chemistry; organic farmers build soil,” Smallwood said.
In addition to interviews showcasing pioneering organic farmers, entrepreneurs, chefs including Dan Barber, and indigenous leaders including Winona LaDuke, Organic Rising also features interviews with internationally renowned agro-ecology expert and author Vandana Shiva, and the late Ronnie Cummins, co-founder of the Organic Consumers Association, Regeneration International and Vía Organica.
The film Common Ground is the sequel to Kiss the Ground, which, when released in 2020, was the one of the first full-length documentaries to explore how regenerative organic agriculture can sequester enough carbon from the atmosphere to reverse climate change. Featuring an all-star cast of narrators including Woody Harrelson, Rosario Dawson, Donald Glover, Jason Momoa, Ian Somerhalder and Laura Dern, Common Ground was directed by husband and wife team Rebecca and Josh Tickell, who also directed the first Kiss the Ground film.
Common Ground chronicles the struggles and triumphs of a politically and culturally diverse group of farmers, ranchers, scientists, and advocates who all share one thing in common: they believe in a way of ecological farming that builds soil. By using a combination of traditional knowledge and wisdom and modern technology, the farmers and ranchers in the regenerative movement make more money and grow more nutrient-dense food than their “conventional” farming counterparts, assert the film’s directors. The “regenerative pioneers” featured in the film claim that to save humanity from future environmental catastrophes, we must first save our soil. “Common Ground shows that soil is quite possibly the most valuable substance on our planet, because if our soil dies, we also die,” they cautioned.
“Coming from a legacy farming family myself, I’ve witnessed and experienced in my family the very real health impacts of our current food system. In fact, the old farmer you see in the film buying grain and taking out a loan is my dad. Josh and I have a long history of making and distributing advocacy docs, but all of them have led us to Common Ground. We need to turn this movie into a movement,” said Rebecca Tickell.
Speaking to the potential of regenerative agriculture to heal the planet, former conventional and now regenerative farmer Gabe Brown shared the following: “I often get asked, ‘what makes you think this can occur in the world,’ and I answer, ‘because it’s nature.’ Nature is always self organizing, self healing, self regulating. If we can cover the earth in a biodiverse array of plants and animals and insects we wouldn’t hear about climate change anymore. We wouldn’t have this human health crisis. We would have food that is truly nutrient dense,” he said.
Woody Harrelson ends the film with a final thought, “So remember this, next time you look up at that night sky, think about where you are. You’re on the only planet we know of that’s filled with life. The one thing that’s keeping us all alive, is that soil you’re standing on.”
Watch the films here or see them in select theaters now:
Organic Rising — https://www.organicrisingfilm.com
Common Ground — https://commongroundfilm.org
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media and strategic business development services to natural, organic and sustainable products businesses. Contact steve@compassnaturalmarketing.com.
World-Renowned Agricultural Experts to Gather for ‘Focus on the Farmer’ Symposium in Denver
Event will educate farmers and producers on all aspects of navigating the organic certification process
BOULDER, Colo. (Oct. 24, 2023) — Farmers, agriculturists, producers and others interested in best practices for transitioning to organic are invited to attend the Focus on the Farmer Live educational and networking symposium in Denver on Nov. 9.
This free, daylong event is presented by Boulder, Colorado-based communications agency Compass Natural in partnership with the Colorado Department of Agriculture (CDA), Colorado State University (CSU) and the USDA’s Transition to Organic Partnership Program (TOPP). The symposium will bring together world-renowned experts in organic agriculture to share must-have information and resources with anyone on the journey of transitioning to organic production.
Focus on the Farmer Live, which will be held from 9 a.m. to 4:30 p.m. Thursday, Nov. 9 at the new, state-of-the-art CSU Spur Campus at the National Western Center in Denver, is the culmination of the four-part Focus on the Farmer series presented in 2023 by Compass Natural and TOPP.
“We’re honored to have been selected as one of the partners working with TOPP in the Plains States, and are thrilled to be working closely with the CDA’s organic program and leading researchers and educators at CSU to deliver a content-dense Focus educational program,” said Steven Hoffman, founder of Compass Natural.
Focus on the Farmer Live will feature keynote speaker Dr. Gene Kelly, professor of pedology at CSU and director of the U.S. National Committee for Soil Sciences. Panelists include CDA inspector Brad Spelts, Colorado manager of the New Agrarian Program Taylor Muglia, CDA soil and health expert Kristen Boysen, Bish Enterprises owner Andrew Bish, Rocky Mountain Hemp President Ryan Loflin and experts from Rodale, FSA, the Savory Institute and other top agencies.
This robust educational program will cover the following topics:
~ Navigating the Certification Process
~ Tech Innovation
~ Soil & Crop Health
~ Resiliency & Climate Change
~ Alternative Crops
~ Livestock & Plains Agriculture
~ Financial Resources
Lunch provided by the Organic Sandwich Company and tours of the Spur TERRA building will be available. The event will conclude with happy hour at the Sundown Saloon. Livestream will be available for participants who would like to join virtually.
Read more about Focus on the Farmer Live and register for free here.
About Compass Natural
Based in Boulder, Colorado, Compass Natural is a communications agency serving the market for organic food and agriculture, as well as businesses and brands providing natural, socially responsible, eco-friendly and other healthy lifestyles products and services. Founded in 2001 and driven by a commitment to create a better world through business, Compass Natural is a leader in the Lifestyles of Health and Sustainability (LOHAS) market.
About TOPP
The Transition to Organic Partnership Program (TOPP) is part of the USDA Organic Transition Initiative and is administered by the USDA Agricultural Marketing Service (AMS) National Organic Program (NOP). The $100 million, five-year TOPP initiative is designed to foster organic agriculture and make much-needed technical assistance available to transitioning and existing organic farmers.
Media Contact
Steven Hoffman, Compass Natural, steve@compassnatural.com, tel 303.807.1042
Is Cell Cultured Meat Safe for Humans and the Environment?
This article first appeared in Presence Marketing’s September 2023 newsletter.
By Steven Hoffman
Now that two California-based companies, Upside Foods and Good Meat, have received approval by the FDA and USDA to sell their lab-grown chicken products in restaurants before going full retail, the U.S. joins two other countries, Singapore and Israel, as the first to allow commercialization of cell cultured meat products.
What do natural channel industry members need to know about this new and controversial technology?
One thing seems certain: cell cultured meat, derived from and produced with biological materials sourced from animals, is not vegan. Few think it’s natural and many question whether it’s humane or safe for consumers to eat, at least in its present iteration. Despite being touted by such chefs as José Andrés, some experts question whether lab-grown chicken is even chicken. The ability to scale, along with potentially significant environmental impacts and production costs, are also top concerns for industry and consumers alike.
“We know that one company is using genetic engineering to create and immortalize chicken fibroblast and/or myoblast cell lines. They select for cells that they can bulk up in a suspension culture. However, growth factors used in the suspension culture may come from sera sourced from bovine, pig or other animal sources,” Michael Hansen, Ph.D., Senior Scientist with Consumer Reports, told Presence News.
“If you’re buying chicken, you need to know if it was made with bovine or pork materials. How will consumers and those that follow special diets know if it’s not labeled?” Hansen asked. “Restaurants do not have to label.”
Countering cruelty free claims made by marketers of cell cultured meat, Hansen added, “The notion that this is cruelty free? They’re using fetal bovine serum derived from slaughtered cattle. They are, in fact, using a lot of material from animals. Let me be straight up clear: they are not cruelty free.”
In addition, Hansen raised concerns about the nutritional quality of the meat produced using cell culture technology. “Nutritionally, normal cholesterol levels in ground chicken average 45.4 mg/dL. However, cholesterol levels were reported five to 10 times higher in lab-grown, cell cultured chicken products,” he pointed out.
Safety, too, is a major point of concern for Hansen, who has been sharing his scientific expertise with Consumer Reports for more than 20 years. “People haven’t eaten these kinds of things before. We don’t know the downside and there have been no adequate health or safety studies conducted, to date.”
Josh Tetrick, CEO of Eat Just and Cofounder of Good Meat, feels differently about the safety of his cell cultured chicken product.
“So how do we do it?” Tetrick explained in an April 2022 interview with The Venture podcast. “We start with a cell. And we can get that cell from an egg, from a fresh piece of meat, or from a biopsy of an animal, so we don’t need billions of farmed animals anymore. Then we identify nutrients to feed the cell, since we need our own version of feed. And it’s not that different. It’s amino acids, vitamins, and minerals—stuff that enables our cell to grow. And then we scale up and manufacture it in a stainless-steel vessel called a bioreactor that looks like something you’d see in a microbrewery.
“And that’s how we make meat. That’s the process we used to make meat that’s served in Singapore today. That’s the process that we’ll be using as we build out larger facilities in North America, Singapore, and elsewhere. It’s cleaner, so there is little to no risk of salmonella, E. coli, fecal contamination, or other zoonotic diseases. Ultimately, we think it will be more efficient. The goal is to get below the cost of conventionally produced chicken,” Tetrick told The Venture.
“Because as proud as I am about launching with a handful of restaurants, that’s not the point. The point is to get to a world where the vast majority of meat consumed doesn’t require the need to slaughter an animal, cut down a tree, use antibiotics, or accelerate zoonotic disease. We’ve got to get to that world. And we’re only going to get to that world when we figure out a way to manufacture at scale. And we’re only going to get to scale when we figure out how to engineer this unprecedented bioreactor. And that’s why we’re putting so much energy into figuring it out,” Tetrick added.
“Yes, but what’s in the feed stock for the nutrient medium in which such products are grown?” natural products industry veteran and retail specialist Errol Schweizer asked.
“Billions of dollars of speculative investment have flowed into this space. The volumes of cell cultured meat needed to turn a profit for investors will necessitate millions of pounds or gallons of nutrient mix annually,” Schweizer said. “Will the feed stock be derived from cheap, plentiful but chemical-laden by-products of GMO agriculture, particularly soy and corn?
“And what are the environmental and health impacts of these feedstock raw materials? The industry will need to figure out how to dispose of the biological waste as a result of this process, as well. And because a lot of companies don’t want regulatory scrutiny beyond what already exists in the food industry, it’s going to take a lot of public pressure to get stronger labeling and federal oversight measures in place,” Schweizer told Presence News.
Max Goldberg, Founder of Organic Insider, questions the environmental benefits of cell cultured meat. “This is a very risky, unproven and highly processed food technology, and research published in May from the University of California at Davis shows that cultivated meat could emit up to 25 times more carbon dioxide equivalents than conventional beef. Yet, is anyone the least bit surprised? This is the classic playbook from the GMO industry – sell the public and investors on a great story but fail to deliver on the promises. Furthermore, no one has any idea of the possible unintended side effects of consuming this novel food product,” he told Presence News.
At the end of the day, will consumers accept such products? According to an international research group led by Ashkan Pakseresht from Novia University of Applied Sciences in Finland, consumer studies indicated at least seven factors affecting consumer acceptance of culture meat products: public awareness, risk-benefit perception, ethical and environmental concerns, emotions, personal factors, product properties, and availability of meat alternatives.
“Like any new food, the ultimate success of cultured meat depends on consumer acceptance,” the researchers said. “Environmental and ethical concerns stimulate a desire to preserve the environment and encourage consumers to accept more sustainable food production systems. However, it was surprising to learn that ethical and environmental concerns prompted consumers to be willing to pay a premium price for purchasing meat substitute (e.g., plant-based substitutes), but not necessarily cultured meat. The results indicated that the environmental advantages alone do not seem to be a strong motivation to compensate for perceived risks (or disgust impulse) of this novel technology,” Pakseresht told Food Navigator.
How will these products be presented to the public? According to Food Republic, a major hurdle has been determining how to label lab-grown meat in a way that would be transparent for consumers. “After a long process that has included debate and public feedback, the USDA has ruled that the lab-grown chicken will be labeled “cell-cultivated,” the magazine reported in June 2023.
“The USDA’s approval of our label marks a major step forward towards our goal of creating a more humane and sustainable food system,” said Dr. Uma Valeti, CEO and Founder of Upside Foods, in a press release about the decision.
At the end of the day, will grocers, distributors and others dedicated to the healthy lifestyles market and the natural retail channel be willing to sell cell cultured meat? As Bill Weiland, Co-founder of Presence Marketing, puts it, “We prefer to sell plant-based meat, not meat made in a plant.”
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media, and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Compass Natural serves in PR and programming for NoCo Hemp Expo and Southern Hemp Expo, and Hoffman serves as Editor of the weekly Let’s Talk Hemp Newsletter, published by We Are for Better Alternatives. Contact steve@compassnaturalmarketing.com.
‘From Tractors to Drones’ – Latest Webinar in Educational Series Focuses on State-of-the-Art Technology for Farmers Transitioning to Organic
BOULDER, Colo. (Oct. 16, 2023) – The third free webinar in the Focus on the Farmer series, hosted by Compass Natural as part of USDA’s Transition to Organic Partnership Program (TOPP), will be held Oct. 26. All farmers transitioning to organic are welcome and encouraged to attend.
The free webinar will gather top experts in organic agriculture to discuss cutting-edge tools, production methods and technological innovations that can support farmers making the transition to organic.
Webinar: ‘From Tractors to Drones’
Date: Thursday, Oct. 26, 2023, 10:30 am - 12 pm MDT
Register: Register for free here. All registrants will receive a copy of the speaker presentations and a link to the Zoom video recording.
Panelists:
Sarah Hinkley, CEO and Co-Founder, Barn Owl Precision Agriculture
As CEO and co-founder of Barn Owl Precision Agriculture (BOPA) in La Junta, Colorado, Sarah Hinkley and her team help small to midsize farmers — and in particular farmers seeking to transition to organic and regenerative agriculture — with information technology equipment and services to help more closely monitor crops and fields. Working with organic farmers, hemp farmers and other producers, BOPA utilizes autonomous micro-tractors, drones and other on-farm robotics to compile and analyze on-field data, helping to create savings in inputs, labor and time.
Haley Nagle, Lead Outreach & Education Specialist, Comet Farm, a Project of USDA’s Natural Resources Conservation Service and CSU
Haley Nagle conducts lead outreach for COMET Farm, a tool developed by Colorado State University and the USDA Natural Resources Conservation Service. Using detailed, location-specific data on climate and soil conditions, COMET Farm helps farmers estimate the carbon footprint for all or part of a farm/ranch operation, allowing operators to evaluate options for reducing GHG emissions and sequestering carbon in the soil.
Andrew Bish, COO, Bish Enterprises
Andrew Bish is COO of family-owned Bish Enterprises, based in Giltner, Nebraska. The company is a leading manufacturer of equipment and accessories for tractors and combines, from custom “Bish Built” row crop headers to corn reels to products for harvesting industrial hemp. Andrew’s expertise spans a range of crops, from commodities such as sorghum, soybeans and cereal grains to specialty crops including hops, wild rice, hemp and seed grasses. He also brings a passion for organic production to this webinar.
From left: Sarah Hinkley, Haley Nagle and Andrew Bish
“We are thrilled with the interest our Focus on the Farmer series has generated," says Steven Hoffman, founder of Compass Natural. ”We’re all dependent on technology today to help run our businesses, and that goes for agriculture too. Our panelists will share about state-of-the-art technology that is specifically focused on helping farmers succeed in the transition to organic and beyond."
About Compass Natural
Based in Boulder, Colorado, Compass Natural is a communications agency serving the market for organic food and agriculture, as well as businesses and brands providing natural, socially responsible, eco-friendly and other healthy lifestyles products and services. Founded in 2001 and driven by a commitment to create a better world through business, Compass Natural is a leader in the Lifestyles of Health and Sustainability (LOHAS) market.
The Focus on the Farmer educational series is produced by Compass Natural in partnership with USDA’s Transition to Organic Partnership Program (TOPP) in the Plains States region. TOPP is designed to foster organic agriculture and make much-needed technical assistance available to transitioning and existing organic farmers.
About TOPP
The Transition to Organic Partnership Program (TOPP) is a program of the USDA Organic Transition Initiative and is administered by the USDA Agricultural Marketing Service (AMS) National Organic Program (NOP).
Media Contact
Steven Hoffman, Compass Natural, steve@compassnatural.com, 303.807.1042
Cracking Down on Fraud: USDA Organic Enforcement Rules Take Full Effect in March 2024
This article first appeared in Presence Marketing’s September 2023 newsletter.
By Steven Hoffman
Organic food is big business in the U.S. – sales of organic products topped $61 billion in 2022 – and the certified organic label fetches a premium price for producers. So much so that fraud from both domestic and imported sources had become a major concern among organic industry business owners, investors and advocates.
That’s why such leading organizations as the Organic Trade Association (OTA) and others applauded the U.S. Department of Agriculture (USDA) when, earlier this year, the agency announced the Strengthening Organic Enforcement (SOE) final rule, which is set to be fully implemented and enforced in March 2024.
Representing the biggest change to organic regulations since the passage of the Organic Food Production Act in 1990, the SOE Rule was created to crack down on organic fraud. The new rule provides “a significant increase in oversight and enforcement authority to reinforce the trust of consumers, farmers, and those transitioning to organic production. This success is another demonstration that USDA fully stands behind the organic brand,” Jenny Lester Moffitt, USDA Under Secretary for Marketing and Regulatory Programs, said in a statement.
“The rule closes gaps in current organic regulations and builds consistent certification practices to prevent fraud and improve the transparency and traceability of organic products. Fraud in the organic system – wherever it occurs – harms the entire organic sector and shakes the trust of consumers in organic. This regulation will have significant and far-reaching impacts on the organic sector and will do much to deter and detect organic fraud and protect organic integrity throughout the supply chain,” OTA said in support of the new rule.
Liz Figueredo, quality and regulatory director at organic certifier Quality Assurance International (QAI), based in San Diego, California, told Nutritional Outlook in July 2023 that the new SOE Rule closes supply chain loopholes that existed in previous regulations. The new rule requires organic certification for all parts of the supply chain, including handlers and suppliers who were previously exempt, she said.
“This means that certifiers can no longer depend on documentation from uncertified handlers, which was often lacking, to verify the organic status of products. The rule also includes fraud-reduction techniques, such as requiring an Import Certificate for any organic ingredients or products imported into the U.S., which provides the total volume or weight of the imported products,” Figueredo said.
Who Is Affected by the New SOE Rule?
According to USDA, the SOE Rule may affect USDA-accredited certifying agencies; organic inspectors; certified organic operations; handlers of organic products; operations considering organic certification; businesses that import or trade organic products; retailers that sell organic products; and organic supply chain participants who are not currently certified organic.
Exemptions are limited to a few low-risk activities such as very small operations; certain retail establishments that do not process; storage and warehouse facilities that only handle products in sealed, tamper-proof containers or packages; distributors that only handle final retail-packaged products; and customs and logistics brokers that do not take ownership or physical possession of organic products.
However, exempt operations must still follow all other applicable portions of organic regulations, including co-mingling and contamination prevention, labeling requirements and record keeping. Transporters that only move organic products between certified operations, or transload between modes of transportation, do not need to be individually certified, but are the responsibility of the certified operation that loads or receives the product.
To see if your business is affected and for more information, visit the full text of USDA’s SOE Rule in the Federal Register. OTA, too, has a resource page with extensive information regarding preparing for full compliance with the SOE Rule, along with exclusive training materials for association members. OTA also offers a questionnaire for businesses that may not be sure if they need certification.
What Does the SOE Rule Do?
According to USDA, “SOE protects organic integrity and bolsters farmer and consumer confidence in the USDA organic seal by supporting strong organic control systems, improving farm to market traceability, increasing import oversight authority, and providing robust enforcement of the organic regulations.”
Key updates include:
Requiring certification of more of the businesses, like brokers and traders, at critical links in organic supply chains.
Requiring NOP Import Certificates for all organic imports.
Requiring organic identification on non-retail containers.
Increasing authority for more rigorous on-site inspections of certified operations.
Requiring uniform qualification and training standards for organic inspectors and certifying agent personnel.
Requires standardized certificates of organic operation.
Requires additional and more frequent reporting of data on certified operations.
Creates authority for more robust recordkeeping, traceability practices, and fraud prevention procedures.
Specify certification requirements for producer groups.
“SOE complements and supports the many actions that USDA takes to protect the organic label, including the registration of the USDA organic seal trademark with the USPTO. The registered trademark provides authority to deter uncertified entities from falsely using the seal, which together with this new rule provides additional layers of protection to the USDA organic seal,” USDA said.
For producers wanting to learn more about navigating and adhering to these new requirements, the Western Growers Association in partnership with the Organic Produce Network will host a session at its upcoming Organic Grower Summit, Nov. 29-30, 2023, in Monterey, California, entitled “The SOE Deadline Looms–Are You Ready?” The seminar is designed to help growers better understand the upcoming rule changes, which will affect producers, distributors, handlers and importers.
In addition, organic industry and policy veterans Gwendolyn Wyard and Kim Dietz recently founded Strengthening Organic Systems, an advisory firm focused on helping businesses with organic fraud prevention, supply chain investigations and compliance with USDA’s organic anti-fraud regulations.
Read More
How Will USDA’s Organic Regulation Changes Affect the Food and Nutraceutical Industries? – Nutritional Outlook
USDA Launches Organic Integrity Database Module – Organic Insider
Tighter Rules Now in Effect for USDA Organic Seal of Approval – Cosmetics and Toiletries News
Strengthening Organic Enforcement USDA Rule – California Certified Organic Farmers
USDA Bolsters Consumer Confidence in Certified Organic Products with New Enforcement Rule – New Hope Network
Steven Hoffman is Managing Director of Compass Natural, providing public relations, brand marketing, social media, and strategic business development services to natural, organic, sustainable and hemp/CBD products businesses. Compass Natural serves in PR and programming for NoCo Hemp Expo and Southern Hemp Expo, and Hoffman serves as Editor of the weekly Let’s Talk Hemp Newsletter, published by We are for Better Alternatives. Contact steve@compassnaturalmarketing.com.