An organic first

Caren Wilcox, executive director of the Organic Trade Association testified before the House Ag Committee's horticulture and organic agriculture subcommittee on Wednesday. Her presentation is published here.

Here are a few excerpts:

We believe that this is the first informational hearing on organic issues ever conducted by a Congressional committee. Thank you.

TK: First? It won't be the last....

The U.S. organic industry grew 17 percent overall to reach $14.6 billion in retail sales in 2005, according to The Organic Trade Association’s 2006 Manufacturer Survey. Organic foods grew 16.2 percent in 2005 and accounted for $13.8 billion in sales. Organic foods’ share of total retail food sales is up to 2.5 percent. The fastest growing food categories and their rates of growth over the previous year are organic meat (55.4 percent – from a very small sales base), organic sauces and condiments (24.2 percent) and dairy products (23.5 percent). The fastest-growing non-food categories are organic flowers (50 percent), pet food (46 percent), and fiber (44 percent).
Large natural food chains, along with small natural food chains or independent natural groceries and health food stores, represented about 47 percent of organic food sales.

TK Take a bow, Whole Foods and Wild Oats....


Organic is driving demand for raw materials. In the OTA survey, fifty-two percent of respondents reported that a lack of dependable supply of organic raw materials has restricted their company from generating more sales of organic products. This highlights the need for additional measures to increase the supply of organic ingredients, and the opportunities for U.S. farmers to supply those needs.

TK: Wow. 52% say their business has been limited by a shortage of product...


Almost three-quarters (73 percent) of the U.S. population buy organic products at least occasionally, up from 55 percent in 2000, according to The Hartman Group. Core buyers, who buy organic products at least weekly, represent 23 percent of U.S. consumers, according to the report, Organic2006: Consumer Attitudes & Behavior, Five Years Later & Into the Future.
Meanwhile, The Natural Marketing Institute’s (NMI’s) 2005 Health and Wellness Trends study estimated 56 percent of consumers use organic products in varying frequencies across six product categories. Household penetration by category is as follows: fresh fruits and vegetables = 44%; packaged foods = 29%; dairy and milk = 24%; personal care = 21%; beverages (excluding milk) = 20%; and clothing/linens = 7%.
Shoppers who chose organic products cross all demographic, geographic, and economic boundaries. There is no typical organic consumer anymore.

TK: That's quite a statement - "there is no typical organic consumer." She later notes, however that those most devoted to organic consumption have a high concern for personal and planetary health, and they like their food local or from sustainable farms.

Wilcox notes that consumers get introduced to organics through fruits and vegetables and then expand organic purchases from there. A "gateway" food, if you will. She also notes statistics highlighting that demand for organic food is growing faster than production, which is fueling big growth in imports.

There is a ton of valuable data in her testimony, and members of Congress are taking note. Like specialty crops, organic agriculture now has a "seat at the table" in farm policy talk.

What the FDA is thinking

I spoke this week with David Acheson, FDA's director of food safety and security in the Center for Food Safety and Applied Nutrition. In the wake of the April 13 public meeting about produce safety, we visited about the FDA's attitudes about guidance versus regulation, why regulation would be difficult to accomplish, and the value of commodity specific approaches to produce safety.

Here is an audio link to part of the interview.

Mobile Food Pantries are a great Idea!

Tom's posting (below) about fresh produce being delivered to folks sparked this posting about the same application in the food bank world. We continue to highlight the great benefits of eating more fresh fruits and vegetables and I'd be preaching to the choir here for sure; so what our network has been doing is delivering fresh produce and other fresh goods using trucks like the ones pictured here. These "Mobile Pantries" deliver good to neighborhoods all across the country.

The truck here is from the Greater Chicago Food Depository and is one of two that the food bank used to take food TO the hungry in the Chicago land area delivering millions of pounds of fresh produce to consumers. Also listed here is a link to a video highlighting the Executive Director of our member located in Comstock Park, Michigan (Grand Rapids area). John Arnold explains in this quick video how they use the used pop & beer trucks to take fresh foods to Michigan's hungry. Here's the link directly to that video: http://www.youtube.com/watch?v=1p9GKT0wzU0 These delivery systems are happening all across the country and the need for more and more innovative ways are needed to delivery food to those in need in the U.S. For more information about these delivery programs, contact Rick Bella via email rbella@secondharvest.org

Moving the mountain

What's the saying,-"If the mountain will not come to Mohammed, Mohammed will go to the mountain."

In this case, a more apt expression would be, "If the supermarket will not locate in the inner city, then put the supermarket on wheels."

A story from Troy, New York, describes a Veggie Mobile:


TROY - Beginning this week, the Capital District Community Garden's new Veggie Mobile will be delivering fresh fruits and vegetables to inner-city communities that have limited access to fresh produce. The specially outfitted vehicle, which is retro-fitted with refrigeration and shelving units, will operate year-round providing fresh produce to neighborhoods in Troy, Albany and Schenectady at wholesale prices. The bright green truck, which is set up inside with a cash register and made to simulate the look and feel of a produce aisle, officially made its first stop Thursday at Kennedy Towers Senior Housing and the Carroll Hill Elementary School in Troy. Community Gardens Executive Director Amy Klein noted how this new initiative fits in well with the group's core mission to help provide opportunities for inner-city residents to grow fresh produce of their own.

TK: This is a great idea. The story says the Veggie Mobile was patterned after a mobile grocery mart in Oakland and is funded with a $500,000 five year grant from the New York's Department of Hunger Prevention.

Dole's decision

Dole has announced to its buyers that it is instituting a new food safety assessment starting April 29. We have some coverage in The Packer this week about the reasons for the letter and reaction from various parties.


The letter, signed by Mike Cavallero of Dole Fresh Fruit North America and Eric Schwartz of Dole Fresh Vegetables, describes Dole's leadership efforts in the formation of the California Leafy Greens Marketing Agreement and the company's substantial efforts to enhance food safety.

"We are increasing field buffer zones (which will reduce yields), enhancing traceability, and implementing raw material testing, among other efforts. These enhancements are not one-time events, but are a part of doing business – ours and yours – for the future."


Then, Dole asks buyers for their support to help defray costs:

As you are aware, under the Marketing Agreement, the California Department of Food and Agriculture has put in place a $0.02 per carton assessment, solely to cover costs of the new government inspection program. This $0.02 per carton assessment is only a fraction of the incremental food safety costs we are incurring. Dole Fresh Vegetables incremental costs cover our enhanced practices, which are not limited to California or just leafy greens. Based on the magnitude of these incremental costs, we are asking for your understanding and support in passing along a portion of these costs. Effective Sunday, April 29, 2007, we will be implementing a cost increase of $0.22 per carton, across all cartons, for Dole Fresh Vegetables products.

TK: This issue has so many facets it is difficult to know where to start. We are in an unprecedented period in the history of leafy greens marketing. Human effort, capital and technology are being intensively brought to bear on the issue of pathogens on lettuce and leafy greens. How do marketers pay for these costs? Dole suggests a food safety assessment on their entire vegetable line as one approach. Ultimately, competitive forces will influence how food safety costs are passed on. Over time I would expect those costs to be built in, not added on, to the price of produce. If some aspect of what Dole is doing - perhaps raw material testing, for example - is shown to substantially increase consumer confidence and enhance leafy green safety, then the assessment may be sustainable.