USA, EU get on same page for organic farms

ByABC News
February 15, 2012, 6:11 AM

— -- For the first time, organic foods certified in the United States will be able to be sold in Europe and vice versa under a historic agreement to be signed today. The pact makes the world's two largest organic markets, $26.7 billion in the United States and $26 billion in the European Union, functionally equivalent. It will save organic farmers from having to deal with two different, and sometimes contradictory, sets of rules.

"It's a big win," says Matt McLean, founder of Uncle Matt's Organic, an organic citrus grower in Clermont, Fla. "We've now got one more buyer that we can add to our Rolodex, and it's a huge one, the second-largest market for organics behind the United States."

"The industry has been waiting for this," says Kathleen Merrigan, deputy secretary at the U.S. Department of Agriculture. "They see that this will bring about job growth. Organic is one of the bright spots in the economy."

The USDA estimates that the market for United States organics sales to the European Union could grow more than 300% in the first few years.

There are 50 organizations in the United States accredited by USDA to certify farms as organic. Jake Lewin, chief certification officer at one of them, California Certified Organic Farmers, says, "For 99% of organic operations, this will end up with them having to do less paperwork."

Certification usually costs midsize farms $700 to $1,000 in application fees, Lewin says. Becoming certified for the European Union costs an extra $250. Certification also requires ongoing compliance with organic regulations and inspections. Until now, it meant maintaining separate U.S. and E.U. organic fields and processing.

U.S. organic products popular in Europe include raisins, dried apricots, wine, sweet potatoes, green onions and nuts, Lewin says.

The organic sleeping giant is processed foods such as packaged meals, snacks and baked goods. "This opens up the market in a way we've never seen. We expect to see an explosion of products that are exported" when the rules go into effect June 1, Lewin says.

There were very few differences between the U.S. and European Union organic standards. The only significant ones were that USDA regulations prohibit the use of antibiotics in organic apple and pear orchards except to control fire blight, while in the European Union regulations, antibiotics are allowed only for the treatment of infected animals. For all products traded under the new partnership, antibiotics may not be used for any reason.

The formal letters that created the partnership were to be signed today at the BioFach World Organic Fair in Nuremberg, Germany.