Gene editing, celery powder and organic enforcement: A roundup from the NOSB’s fall meeting
Originally Appeared in New Hope Network’s Idea Xchange, November 2019
By Steven Hoffman
The National Organic Standards Board recently addressed some of the industry’s critical issues: protecting small-scale organic dairy farmers; strengthening fraud enforcement; and gene editing.
From protecting small-scale organic dairy farmers and strengthening enforcement over organic fraud, to expressing concern over the use of celery powder in processed organic meats and the threat of gene editing in organic production, the National Organic Standards Board addressed several critical issues surrounding the integrity of the organic seal during its recent fall meeting.
The board voted to prioritize four areas of organic research: ecosystem services and biodiversity of organic systems; managing cover crops for on-farm fertility; identifying barriers and developing protocols for organic nurseries; and assessing the genetic integrity of organic crops at risk.
Approximately 150 advocates, producers, farmers, manufacturers and others attended the fall meeting of the National Organic Standards Board Oct. 23-25 in Pittsburgh, Pennsylvania, according to a USDA spokeswoman. During the 12 hours of public comment, about 115 people spoke to the board members about their concerns, she said.
“Farmers are some of the most innovative people in the world when we need to be,” said Jeff Dean, an organic farmer and member of the Ohio Ecological Food and Farm Association. “Please keep our standards strong and give our proud, innovative farmers the chance to provide organic products to the consumers who want them,” he appealed to the NOSB board members.
This overview of the meeting was collected from published accounts and Twitter feeds from Organic Trade Association, Cornucopia Institute, Organic Insider, Ohio Ecological Food and Farm Foundation and other organizations attending the event.
Strengthening organic enforcement
Preventing fraud in organic trade is critical to maintaining product integrity and consumer confidence. Jennifer Tucker, deputy administrator of the USDA’s National Organic Program (NOP), presented a proposed NOP Enforcement and Oversight Rule that will be issued later this year for public comment, and improvements already underway to strengthen enforcement.
Those improvements include additional training resources focused on oversight of complex domestic operations; traceback and mass balance audits; and research into risk-based certification models for accreditation and certifier oversight. The National Organic program accredits and oversees more than 80 independent certification organizations, examining and verifying how these organizations document, certify and inspect more than 37,000 organic farms and businesses around the world.
In the realm of imports, farm-level yield analysis has been a valuable tool in taking enforcement action, Tucker said. In the Black Sea region, the NOP examined records from organic grain and oilseed producers, data from regional producers and weather models and found many organic farms reported yields far higher than regional averages. As a result, more than 275 operations in that area have lost their organic certification, according to the agency.
The NOP has continued country commodity studies and ship surveillance, increased the number of unannounced visits it makes, Tucker said. Follow-up investigations have led to certifiers and operators adverse actions, she said.
Tucker shared that new training on dairy compliance is available for certifiers and inspectors at the online Organic Integrity Learning Center, which continually offers new courses since its launch in May.
Also, the comment period for the Origin of Livestock rule—a proposal to change how farmers may transition their dairy animals to organic—has been reopened. Written comments must be received or postmarked on or before Dec. 2.
What’s the deal with celery powder?
To the relief of organic meat producers but to the chagrin of those concerned about the potential health hazards of nitrates and nitrites in processed foods, the NOSB board voted 11-1, with one abstention, to allow the continued use of celery powder in organic food production. Dave Mortensen, chair of the Department of Agriculture, Nutrition and Food Systems at the University of New Hampshire, voted against keeping celery powder on the list, and Emily Oakley, founding partner of Three Springs Farm in Oaks, Oklahoma, abstained from voting.
Used in the curing of processed meats such as hot dogs, sausages, bacon and deli meats, celery powder is a key processing ingredient in the organic meat industry, as it is the only allowed alternative to synthetic nitrates and nitrites used in conventional meat production. At issue, reports New Food Economy, is the fact that a significant amount of processing goes into producing celery powder for use in cured meats, and that the celery itself does not have to be organic, which brings with it the concomitant use of synthetic pesticides and fertilizers. Non-organic celery is ranked 11th on the Environmental Working Group’s Dirty Dozen list of vegetables that, when grown conventionally, absorb the highest levels of pesticides.
Additionally, whereas the amount of synthetic nitrates is limited in conventionally processed meats, unlimited quantities of celery powder are allowed in meats that are labeled “uncured” or “nitrate free,” New Food Economy reports, which has been cause for concern among some health advocates.
“There is little evidence that preserving meats using celery … is any healthier than other added nitrites,” Dariush Mozaffarian, dean of the Friedman School of Nutrition Science & Policy at Tufts University, told New Food Economy. “Until industry provides strong evidence that nitrites in celery juice have different biologic effects than nitrites from other sources, it’s very misleading to label these [products] as ‘nitrite free’ or to consider such processed meats as being healthier.”
The Organic Trade Association supported continuing the allowance of non-organic celery powder at the Fall NOSB 2019 Meeting so as not to disrupt the organic meat industry. However, the trade association, in collaboration with the Organic Center, submitted a $2 million proposal to the USDA and convened a working group to find organic sources of celery powder and research alternatives to celery powder in organic meat processing. NOSB members expressed hope that when the ingredient comes up for review again in five years, their successors may be presented with more alternatives.
Gene editing in organic
Gene editing, which the organic industry considers GMO technology, remains a prohibited method in organic agriculture, Tucker said, adding that gene editing is not on USDA’s regulatory agenda for organics. However, according to Informa’s IEG Policy News, Tucker also noted that USDA does encourage “continued robust dialogue about the role of new technologies and innovations in organic agriculture.”
That idea alarmed a number of organic advocates concerned that USDA might try to influence the NOSB’s position on gene editing. In response, Mortensen criticized USDA NOP officials. “It’s clear from the many comments that we received that organic consumers and organic farmers do not want genetically modified practices as any part of our production system, end of story,” he said. “And I don’t think we should be encouraging or suggesting that we need robust dialogue. I think this is just one example of where we get ourselves into trouble and compromise the policies that we were charged to do.”
Consistent with its gene-editing position, NOSB voted unanimously to exclude induced mutagenesis via in vitro nucleic acid techniques as a method in organic production, reported the Organic Seed Alliance in its Twitter feed. According to the organic advocacy organization IFOAM Organics International, such mutagenesis technology—as well as CRISPR, grafting onto transgene root stock and other related practices—“are genetic engineering techniques that are not compatible with organic farming and that must not be used in organic breeding or organic production.”
Other board activity
On Oct. 24, the USDA published a final rule in the Federal Register to amend the National List of Allowed and Prohibited Substances based on public input and the April 2018 recommendations from the National Organic Standards Board. This final rule allows elemental sulfur to be used as a slug or snail bait to reduce crop losses; allows polyoxin D zinc salt for plant disease control; and reclassifies magnesium chloride from a synthetic to a non-synthetic substance. The final rule is effective Nov. 22.
During the fall meeting, new NOSB officers, who serve 1-year terms, were elected:
Chair—Steve Ela (Producer), Ela Family Farms, Hotchkiss, Colorado.
Vice chair—Scott Rice (Certifier), Washington State Department of Agriculture, Olympia, Washington.
Secretary—Jessie Buie (Producer), Ole Brook Organics, Jackson, Mississippi.
In addition, outgoing NOSB members Harriet Behar, Ashley Swaffer, Tom Chapman and Lisa de Lima were recognized for their public service.
The next NOSB meeting is scheduled for April 29-May 1 in Crystal City, Virginia.
40% of Adults Have Tried CBD in States Where it Is Legal
Photo: Pixabay
Originally Appeared in Presence Marketing News, October 2019
By Steven Hoffman
Cannabidiol “isn’t just for a select few people,” claims market research firm The NPD Group. Nearly 20% of adults have tried CBD in states where it is legal, and almost half of them have used it recently, reported Darren Seifer, Executive Director, Industry Analyst for The NPD Group. This figure is expected to increase rapidly as CBD is appearing in snack foods and beverages, consumers are getting more comfortable with the idea and just as many people plan to try it as are currently using it, he says. “There is definitely interest on the part of consumers in CBD but its future in the mass market is dependent on legalization, which is now a patchwork of state legislation,” says Seifer. “Even with the complexities of legalization, consumer acceptance and adoption of CBD as a food and medicine is an important topic for food manufacturers to keep on their radar screens.” The Port Washington, NY-based market research firm said among those consumers using CBD, 40% of them are “seeking to better themselves with food and beverage choices…a stat that reflects the increasing use of food as medicine by consumers.”
OSC2, former Rebbl CEO Sheryl O’Loughlin Partner to Promote Women and Diversity on Natural Products Boards
Photo: Pexels
Originally Appeared in Presence Marketing News, October 2019
By Steven Hoffman
According to natural products entrepreneur and investor Brad Barnhorn, of the nine different boards of directors on which he serves, there are a total of 50 board members and only one of them is a woman. He shared this as the only male panelist on the Women on Boards panel at Natural Products Expo East this past September in Baltimore. “Having more women sit on boards of organic and natural companies is not just the right thing to do, it is the smart thing to do, writes Max Goldberg in the Organic Insider. Based on a study conducted by financial research firm MSCI, U.S. companies with at least three women on the board experienced earnings growth of 37% over a five-year period, while companies that had no female board members experienced a -8% earnings drop in the same period, Goldberg reported. To address the issue, Northern California-based natural products leadership organization OSC2 has formed JEDI, the Justice, Equity, Diversity and Inclusion Collaborative. Co-founded by OSC2 Executive Director Lara Dickinson and Sheryl O’Loughlin, former CEO of natural beverage maker REBBL, JEDI released a 5-minute survey to collect benchmark data on the current diversity makeup of the natural and organic products industry. The goal, reports the Organic Insider, is to have 500 companies complete the survey by January 2020. JEDI hopes to report findings at Natural Products Expo West 2020, as well as establish and track goals.
U.S. Retail Sales of Herbal Supplements Grew 9.4% in 2018
Photo: Pexels
Originally Appeared in Presence Marketing News, October 2019
By Steven Hoffman
Driven by the growth of CBD, mushrooms and immune-enhancing products, sales of herbal supplements in the U.S. increased 9.4% in 2018, according to a new report published by the American Botanical Council (ABC) in collaboration with market research firm SPINS and Nutrition Business Journal. Consumers spent a total of $8.842 billion on herbal supplements across all market channels in 2018, an increase of approximately $757 million in sales over the previous year, marking the strongest year of U.S. sales growth of herbal supplements since 1998, according to the report, available for download here. In mainstream retail outlets, herbal supplements with horehound (Marrubium vulgare) listed as the primary ingredient, including natural cough drops and lozenges, grossed the highest sales in 2018. Goji berry (Lycium spp.) supplements, many of which are marketed for weight loss, experienced the strongest sales growth in this channel, with a 637% increase from 2017. Booming sales of products containing cannabidiol (CBD), a psychoactive but non-intoxicating constituent of Cannabis sativa, made it the top-selling ingredient with the highest percent sales growth (332.8%) in the 2018 natural channel, says ABC. “CBD and mushroom products dominated the 2018 herbal supplement scene, and sales growth remained strong for Ayurvedic herbs and adaptogens,” said Tyler Smith, Managing Editor of HerbalGram, who has co-authored the report since 2014. “There were also a few surprises in the data — sales of goji berry, for example, which had declined sharply in recent years, experienced a significant rebound in 2018,” he said. “This report strongly supports the continually rising consumer preference for natural, plant-based dietary supplements that can have a positive impact on their health,” said Mark Blumenthal, ABC founder and executive director, and editor-in-chief of HerbalGram. “For over 20 years we have been publishing information on the steady growth of the market for herbal dietary supplements in the United States; the market sales results demonstrate the confidence that consumers appear to have in herbal dietary supplements.”
Natural Products Sales Outpace Conventional
Photo: SPINS
Originally Appeared in Presence Marketing News, October 2019
By Steven Hoffman
If you look at the state of the natural and organic products industry, says market research leader SPINS, one of the primary takeaways is this: “The 5% sales growth rate for natural food and beverages over the year ending May 19, 2019, was nearly three times greater than for the overall food and beverage industry—continuing a now-longstanding trend,” reported New Hope Network. “Natural products have been outpacing their conventional counterparts for some time in terms of dollar growth,” said Jessica Hochman, SPINS senior manager of natural insights and innovation research and the lead author of the State of the Natural Industry report in a webinar presenting results from the study. According to SPINS, natural and organic products sales totaled $47.2 billion over the 12-month period and accounted for 10.5% of the overall $448.2 billion food and beverage market. In addition, natural products sales accounted for 29.3% of all food and beverage industry sales growth, says SPINS. In the convenience store channel, while natural products accounted for only 4.6% of total C-store sales, growth of these products over the one-year period was 12.6%, due to rising consumer demand for convenience and natural snacking. The data, presented as part of the Good Food insights series in collaboration with FamilyFarmed’s Good Food Accelerator and Naturally Chicago, Esca Bona and SPINS, will be highlighted on October 7 at Naturally Chicago’s Quarterly Keynote Event in Chicago. Presence Marketing / Dynamic Presence is a Sponsoring supporter of Naturally Chicago.
Whole Foods Workers Demand Amazon Stop Working with ICE
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Originally Appeared in Presence Marketing News, September 2019
By Steven Hoffman
A group of current and former Whole Foods Market employees working under an anonymous group called Whole Worker published an open letter on August 12 demanding that Amazon cut ties with Palantir, a company that provides data to the U.S. Immigration and Customs Enforcement Agency (ICE), “to show solidarity with our undocumented sisters, brothers, and siblings.” The letter takes issue specifically with Amazon providing its web services technology to Palantir, which sells data to ICE, and the sale of Amazon’s own facial-recognition software, Rekognition, to law enforcement. These services are often used to deport undocumented people and conduct raids like the one that occurred at a food processing plant in Mississippi this August, reported Eater. The letter expresses solidarity with undocumented people in America who “are fleeing from conditions created by destructive U.S. policies, making it the responsibility of the U.S. to welcome them.” The letter also points out that “Palantir, in 2011, was involved in a plan to spy on labor unions and activists.” The Whole Worker group demanded that Amazon “cease all business with Palantir and any other company involved in the continued oppression of marginalized groups.” In reference to Amazon, the letter further states, “We recognize that expecting a company built on the exploitation of marginalized people and the working class to cease its collaboration with ICE’s deportation machine by way of moral condemnations isn’t enough. Workers that control the levers inside Amazon must make this machine stop and turn in another direction.”
Plant-based Meat Market to Reach $2.5 Billion by 2023, But Whole Foods’ Mackey Says Today’s Most Popular Brands Are “Super, Highly Processed Foods”
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Originally Appeared in Presence Marketing News, September 2019
By Steven Hoffman
The plant-based meat market is expected to reach $2.5 billion in sales by 2023, and while Whole Foods Market CEO John Mackey does believe that plant-based products are a more ethical choice and are better for the environment than conventionally produced meat, he questions the highly processed nature of some of these products. “The [brands] who are capturing the imagination of people – and I’m not going to name these brands because I’m afraid I will be associated with the critique of it – but some of these that are extremely popular now that are taking the world by storm, if you look at the ingredients, they are super, highly processed foods,” Mackey told CNBC Make It. “I don’t think eating highly processed foods is healthy. I think people thrive on eating whole foods,” said Mackey, who has been a vegan for more than 20 years. “As for health, I will not endorse that, and that is about as big of criticism that I will do in public. So the reason why these plant-based meats have taken the world by storm is that they taste very similar to regular meats, whereas if you get a [healthy] black bean burger with flax seeds and sweet potatoes in it, that’s going to taste great to me,” he said. Mackey added: “A lot of people say ... that [plant-based] meat is a transition food, meaning it’s a way for [people] to begin to reeducate [their] palates”; it’s a good first step in weaning people off of meat products,” he said.
Study Warns Climate Change Could Cost U.S. 10.5% of GDP by 2100
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Originally Appeared in Presence Marketing News, September 2019
By Steven Hoffman
While there may have been some hope that certain countries could escape the brunt of global warming, a new study conducted by the National Bureau of Economic Research suggests that “virtually all” nations will be negatively impacted by climate change by 2100. “Using a panel data set of 174 countries over the years 1960 to 2014, we find that per-capital real output growth is adversely affected by persistent changes in the temperature above or below its historical norm,” the study states. The study also suggests that, on average, richer colder countries would lose as much income to climate change as poorer, hotter nations. “Our counterfactual analysis suggests that a persistent increase in average global temperature by 0.04°C per year, in the absence of mitigation policies, reduces world real GDP per capita by 7.22% by 2100,” said the study’s authors. The impact on the U.S. — which accounted for much of the research’s focus to compare economic activity in hot or wet areas — would be even greater, a loss of 10.5% of its GDP by 2100, according to the study. In related news, the United Nations (UN) in August issued an intergovernmental panel report on climate change claiming that 23% of global greenhouse gas emissions are attributed to agricultural activities. In the report, the UN concluded that humans cannot mitigate the effects of climate change without making drastic changes to the ways we grow food and use land. Organizations such as the Rodale Institute are promoting regenerative agriculture as a solution to sequester carbon and reduce the effects of climate change through agriculture.
Target, Kroger Enjoying Growing Sales of Organic and Natural Foods
Photo: Pexels
Originally Appeared in Presence Marketing News, September 2019
By Steven Hoffman
Target Corporation (NYSE: TGT), based in Minneapolis, MN, on August 19 announced the launch of a new flagship private label brand, Good & Gather. The in-house brand will focus on four categories: organic; kids; seasonal; and premium products. More than 2,000 products including dairy, produce, ready-made pastas, meats, granola bars and sparkling water, are expected to roll out under the Good & Gather brand over the next 18 months. Good & Gather will become Target’s largest brand, replacing existing house brands Archer Farms and Simply Balanced and reducing the number of products under Target’s Market Pantry Brand, reports Sustainable Food News. In related news, Cincinnati, OH-based grocery giant Kroger (NYSE: KR) claims its Simple Truth brand now offers more Fair Trade Certified products than any other U.S. private label brand. The company reported on August 20 in its 2019 Sustainability Report that it sold $17.6 billion worth of natural and organic products in 2018. Kroger’s natural and organic private label brand, Simple Truth and Simple Truth Organic, achieved sales of $2.3 billion in 2018, making it the second largest brand sold in its stores, the company reported. Kroger said it purchased 17.2 million pounds of Fair Trade certified ingredients for its private label products, and also said it sold more than $1 billion worth of organic produce in 2018. Kroger operates 2,800 supermarkets and multi-department stores in 35 states. Each store carries on average 4,000 natural and organic items, reports Sustainable Food News.
Proposed Tariffs on European Products Would Devastate Specialty Food Sales
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Originally Appeared in Presence Marketing News, September 2019
By Steven Hoffman
The Trump administration is currently considering adding tariffs this fall to a large number of items imported into the U.S. from the European Union (EU), including most foreign cheeses. Many top-selling and popular cheeses including Italian Parmigiano-Reggiano and Dutch Gouda could become twice as expensive, reports Modern Farmer. The tariff proposal would increase duties on hundreds of EU products by as much as 100%. Originating from a trade dispute in the aviation industry, the proposed tariffs, supposedly meant to punish the EU, will end up directly impacting specialty food retailers who are already operating on thin margins. According to the Specialty Foods Association, the latest list of proposed tariffs includes 100% levies on a range of pork products, cheeses, pastas, coffee, olives and other goods. “If something happens, we are insulated for a time,” Bob Marcelli, owner of specialty food importer Marcelli Formaggi in Clifton, NJ, told Specialty Food News. “But long term, it would be just devastating. Everybody’s going to pay more; that’s the bottom line, he said.