Gary Hirshberg, “CE-Yo” of organic yogurt maker Stonyfield Farm gave a positive forecast for the future of organically certified milk in two appearances at Middlebury College this week.

Following Monday’s screening of the film “Food, Inc.,” Hirshberg weighed in on the organic dairy industry, which, he said, has picked up again in the wake of the recent economic downturn.

Stonyfield Farm’s demand for milk, which comes from the Organic Valley dairy cooperative, has once again increased in line with demand for the company’s yogurt.

In fact, he said, “we’re predicting a shortage of organic milk.”

The shortage, he said, will come from the fact that increased demand for organic milk is outpacing the number of dairy farmers who can make the switch to organic, since it is a three-year transition process.

“We’re never going to reduce the price to our farmers,” he said.

In Hirshberg’s Tuesday talk, titled “Why organic is a better national policy than genetic modification,” the organic yogurt producer spoke to the debate surrounding genetically engineered (GE) crops, which, he said, pose problems from a freedom of choice perspective.

“I’m not anti-technology,” he said, citing his position as a large-scale organic producer who is constantly seeking new technology to enhance production.

But currently, he said, genetic engineering exists only for the advantage of large companies, which develop and hold patents on the seeds.

If GE seeds are found in the crop of a farmer who did not purchase the seeds from the company, that farmer not only becomes ineligible to certify his or her crops as organic, the farmer can also be taken to court for patent violation.

“We need freedom and diversity of choice,” said Hirshberg.

As an example, he pointed to Roundup Ready seeds sold by the giant agribusiness company Monsanto. The seeds allow farmers to spray Monsanto’s herbicide Roundup on fields filled with the herbicide-resistant GE crops – weeds die and the crops grow.

The problem, said Hirshberg, is that Monsanto is the sole producer of both seed and herbicide, and prohibits farmers from saving seeds from year to year. Thus, he said, Monsanto is guaranteed a consistent profit year after year, and farmers cannot control escalating production costs by saving their seeds.

Roundup, added Hirshberg, is only a short-term solution. He cited the Roundup-resistant weeds that are beginning to grow in some agricultural areas of the country.

While Hirshberg spoke at length about the health benefits of organic, and about the advantages of limiting produce grown with potentially harmful chemicals, he said that his is not an argument to exclude conventional growers — all he wants, he said, is to keep access to non-GE, organically farmed produce for those who want it.

“Food, Inc.” cites those subsidies as the main reasons for the presence of corn products in many processed foods found on supermarket shelves today, as well as the proliferation of corn as feed for livestock.

Paul Stone, founder of Orwell’s Stonewood Farm and former state Secretary of Agriculture, stood up on Monday evening to speak about his experiences with subsidies. He said the subsidies originally made sense, but the large companies that are reaping profits by growing heavily subsidized crops means that the system no longer works.

“As a corn farmer forced out of the business (by low prices), food subsidies had a good reason,” he said. “But I am the last supporter of these big corporations.”

And Hirshberg said subsidies to conventional growers of produce means that that fruits and vegetables can be sold at an artificially low price, resulting in an a large price disparity between conventional and organic on the supermarket shelves.

“We’re arguing just to level the playing field,” said Hirshberg.

In Monday’s talk, Hirshberg also spoke to the corporatization of small, socially conscious companies like Tom’s of Maine (bought by Colgate), Kashi (bought by Kellogg’s) and his own Stonyfield Farm (bought by Groupe Danone).

He said that ownership by a corporation with which a consumer may disagree is no reason to boycott those smaller companies. In fact, it’s all the more reason to buy their products.

“We’ve got to match this kind of power with power on the other side,” he said. “To show companies that we want these products.”

During both talks, Hirshberg was open about the fact that he represents a large company owned by an even larger conglomerate. And in “Food, Inc.,” he describes his struggle to create change as a sustainable foods advocate, and his ultimate realization that in order to spread his message and effect widespread change, he would have to grow bigger, to the point where Stonyfield Farm was visible right alongside those corporate interests that he was denouncing.

To Hirshberg, bringing Stonyfield Farm yogurt to Wal-Mart isn’t just a move that will help the giant retailer to polish its much-reviled image — it’s a sign that the company is listening to consumers who are demanding more sustainable, healthy food choices. And each purchase of Stonyfield Farm yogurt is another vote for healthy, sustainable food that Wal-Mart sees.

Hirshberg said that the long and short of it is that consumers must make informed decisions.

“I don’t believe it’s all about organic,” he said. “When I’m asked what’s more important, organic or local, I say ‘yes.’”

Tags: business, consumers, dairy, GMO

Rudi’s Gluten-Free Bakery has expanded its line of nationally available, all-natural gluten-free products to now include hamburger buns, hot dog rolls and pizza crusts.

According to a release, Rudi’s executives made the announcement at the Natural Products Expo West trade show in Anaheim, Calif. Rudi’s Gluten-Free Bakery, launched by Rudi’s Organic Bakery in 2010.

“Consumers had told us for years that they were highly dissatisfied with gluten-free bread and bakery products,” said Doug Radi, vice president of marketing for Rudi’s Organic Bakery. “Our gluten-free breads addressed this problem by delivering a taste and look just like real bread. We’re excited to add our new hamburger buns, hot dog rolls and pizza crusts to our gluten-free line, creating more healthy and wholesome options the whole family can enjoy.”

Rudi’s Organic Bakery also announced the addition of three new products to its organic line, Organic Harvest Seeded Bread, Organic Harvest Seeded Muffins and Organic Potato Slider Buns.

New products from Rudi’s Gluten-Free and Organic Bakery will hit shelves nationally starting this May at natural foods stores and supermarkets, and for direct purchase at rudisbakery.com.
Rudi’s Organic Bakery is a nationally available brand offering a full line of certified organic bread and baked goods.

Rudi’s Organic is part of Charter Baking Company, a portfolio company of Charterhouse Group.

Tags: business, industry, product launch

A group of people from northern Minnesota wants foods grown locally to be as accessible as foods commonly found in larger grocery stores.

To make this happen, the group plans to build a commercial kitchen in Bemidji, one that is FDA-approved. The intention is to make the kitchen available for use by individuals to mass-produce locally grown food products, such as spaghetti sauce, jelly, pickles and salsa.

The project has been spearheaded by the Headwaters Food Sovereignty Council (HFSC), which serves the counties of Becker, Beltrami, Cass, Clearwater, Hubbard, Itasca, Mahnomen, Pennington, Polk and Red Lake, as well as Leech Lake, Red Lake and White Earth reservations.

Ryan Zemek, a development specialist with the Headwaters Regional Development Commission, has provided Harmony Foods with some economics-related information for the feasibility study. But Zemek is also starting a larger initiative involving local foods. He is in the beginning stages of studying the regional and local economy.

Zemek said there are environmental and economic benefits to eating foods grown locally. He said research suggests local foods have more taste and money spent locally stays in the community.

“One of the challenges is how do you build a system where you can start getting local foods into not just the farmers market,” Zemek said. “I don’t know if there will be a tool to get local vegetables into the hospitals because of distribution.”

While Zemek does not know if a locally grown food distribution center could be developed in Bemidji in the near future, he said he has seen a shift in more people becoming interested in where their food comes from.

“Fifty years ago I think a lot more of the meat, vegetables, milk and cheese were coming from local sources,” Zemek said. “As we built up larger industrial food system, there was less need for these growers.”

Today, especially with gas prices around $3.50 a gallon, Zemek said it is making more sense to people to depend on local facilities.

“Even a 15 percent shift in more local goods would cause some industries to start up again,” he said. “Then some of that money could circulate through local economy.”

Tags: business, community, local

California dominates the nation in organic production of agricultural commodities, according to a nationwide survey of organic producers that was analyzed by a UC Davis agricultural economist.

The survey found that California leads the United States in the number of organic farms, the amount of land in organic production and in organic sales. It also showed that the state is home to 19 percent of the nation’s organic farms and accounts for 36 percent of the country’s organic sales.

The survey analysis was conducted by Karen Klonsky, a UC Cooperative Extension economist in UC Davis’ Department of Agricultural and Resource Economics.

Klonsky noted that, in terms of organic production, the state is most prominent in fruits, vegetables, nuts and berries, with lettuce and grapes being the highest-revenue organic crops. In fact, California leads the nation in all major crop categories except field crops. (Field crops include corn, wheat, cotton, soybeans and rice.)

The survey also revealed that California produces more than 90 percent of all U.S. organic sales for 14 different commodities, including 99 percent of the nation’s organic walnuts, lemons, figs and artichokes and 100 percent of its organic almonds and dates.

California is also the top producer of organic livestock and livestock products, with broiler chickens and milk from cows the most important livestock commodities.

Klonsky’s analysis examined data from the 2008 Organic Production Survey, the first nationwide survey of organic agriculture in the United States. It was administered by the National Agricultural Statistics Service as a follow-up to the 2007 Census of Agriculture.

“About one-third of the farms classified themselves as mixed operations with both organic and conventional production,” said Klonsky. “This implies that the organic market is an important opportunity for diversification for many conventional farms.”

She noted that the vast majority of survey respondents said they planned to maintain or expand their organic production, indicating that this subsector of agricultural remained financially healthy despite the nation’s economic downturn. There was no indication, however, that many producers who had both organic and conventional operations had plans to become entirely organic.

“This is an indication that organic continues to be a niche market, albeit a profitable one,” Klonsky said.

Her analysis can be downloaded from ARE Update, Vol. 14 No. 2 at: http://agecon.ucdavis.edu/extension/update/.

Tags: business, industry, research, study

Liberal members of the House of Commons Agriculture Committee recently tabled a motion calling for a moratorium on the approval of genetically modified (GM) alfalfa in Canada.

“I’m pleased to see Members of Parliament have listened and are prepared to take action to protect farmers” said Arnold Taylor, a Saskatchewan organic grain farmer who spoke before the Committee on February 17th on behalf of the Canadian Organic Growers. “I hope that the Committee will vote for this moratorium and make it a reality so we don’t end up with the same kind of contamination in alfalfa that hit organic canola farmers and damaged Canadian flax export markets.”

Maggie Mumm, an organic alfalfa seed producer and co-owner of Mumm’s Sprouting Seeds said, “Farmers don’t want or need Monsanto’s herbicide tolerant alfalfa. Conventional and organic alfalfa growers agree that GM alfalfa would be a disaster for our markets.”

The motion before the Agriculture Committee asks the government to place a moratorium on approving the herbicide tolerant Roundup Ready alfalfa until the Government completes public research: “(a) into Canada’s ability to ensure the genetic integrity, production and preservation of a diversity of genetically modified organisms (GMOs), non-GMO and organic alfalfa production; (b) the ability of Canada’s handling and transportation system to ensure segregation of forage seeds and detection of genetic co-mingling in alfalfa seeds and hay; (c) the development of industry-led, third party audit and verification systems;”

The Agriculture Committee should vote on the motion Thursday March 10th and if passed, it will be referred to the House of Commons for a vote.

Tags: business, economy, GMO, industry

Honest Tea and The Coca-Cola Company announced that The Coca-Cola Company has exercised its option to acquire the remaining portion of Honest Tea.

In a release dated March 1, the Company said the move completes a transaction which began three years ago when Coca-Cola, led by the Venturing and Emerging Brands unit of Coca-Cola North America, purchased a minority stake in the company. Financial terms of the transaction were not disclosed.

Honest Tea, an organic bottled tea company, will continue to be based out of Bethesda, Md. In order to retain its entrepreneurial culture, it will operate as a stand-alone business under current TeaEO Seth Goldman, his management team, and current Honest Tea employees. Goldman and VEB have developed an operating model that allows Honest Tea autonomy to continue to run its day-to-day operations while accessing the scale benefits of the Coca-Cola system in various areas, including manufacturing and distribution. As part of the VEB team, Honest Tea will also begin to sell current VEB brands to the natural channel.

Under an arrangement with The Coca-Cola Company, Goldman has chosen to reinvest most of his proceeds from the sale back into Honest Tea. Goldman’s co-founder, Barry Nalebuff and Gary Hirshberg, CE-YO of Stonyfield Farm, will continue to provide informal guidance to Honest Tea as part of the Advisory Council.

“We started Honest Tea 13 years ago with an ambitious mission to create a delicious, healthy beverage alternative produced with the health of our planet and our consumers in mind,” said Seth Goldman, co-founder, President and TeaEO of Honest Tea. “Over the past three years, it has been exciting to see the reach and impact of our mission expand as a result of our partnership with The Coca-Cola Company.”

Since receiving an investment from Coca-Cola, Honest Tea has made progress in a variety of areas, including the expansion of Honest Tea distribution from approximately 15,000 outlets in 2008 to more than 75,000 today, the introduction of an Honest Tea plastic bottle that uses 22 percent less material, and doubling the number of offerings as well as the sales of organic, zero-calorie drinks. Additionally, Honest Tea has committed to transitioning its entire tea line of Honest Teas to Fair Trade Certified by the end of March 2011.

“When we made the investment in Honest Tea, we did so because we saw that it had great potential to be a significant brand of the future. Three years after, the brand truly reflects where consumer demand is today and we are excited about being on the verge of still more growth,” said Deryck van Rensburg, President and General Manager, Venturing and Emerging Brands, Coca-Cola North America. “Beyond growth, having the unique vantage point of a minority investee and watching Honest Tea has helped our company in many other ways, from encouraging Coca-Cola to obtain organic certification at three of our facilities, to establishing a state of the art tea brewing and filtration system at a bottling plant. Additionally, it enabled us to participate with Honest in a number of sustainability initiatives on recycling. All of these efforts reflect why VEB has chosen to invest in entrepreneurs like the team at Honest – they provide a source of innovative ideas and energy that enhance our own efforts.”

“This is our chance to bring organic beverages to the mainstream,” said Goldman. “Consumers will discover that they can have it all – great taste, fewer calories, and organic. Honest.”

Tags: acquisition, business, industry

The Organic Trade Association (OTA) and California Certified Organic Farmers Inc. (CCOF) has formed a strategic alliance to strengthen the organic industry’s national public policy effectiveness to benefit the entire organic sector.

“This important collaboration enhances the resources and capacity needed to grow and protect U.S. organic agriculture in the current fast-changing political environment,” said Christine Bushway, OTA’s Executive Director and CEO, and Will Daniels, Chair of CCOF’s Board of Directors. “As the two leading organic agriculture and trade associations in the United States, we will work together, while remaining independent organizations to leverage the collective reach of our diverse memberships.”

OTA will collaborate with CCOF Inc. to increase the representation of organic producers in federal legislative advocacy. As part of the agreement, OTA recognizes CCOF Inc. as a member of OTA’s new Producers Advisory Council. OTA’s Producers Advisory Council provides OTA with input from organic farmers, ranchers, and growers on matters pertinent to the advancement of organic agriculture. OTA, with a permanent Washington office, advocates for the organic industry on the national level. OTA has pledged to support CCOF on its policy positions and political advocacy to protect and encourage organic food and agriculture in the state of California.

With more than 470,000 acres in certified organic production, California is the nation’s leading state for organic agriculture. “Now, OTA will bring the voice of over 6,500 organic businesses, more than 2,500 from California alone, to official Washington. Together we will advance organic”, added Bushway.

Domestic National Organic Program standards, areas covered under CCOF Certification Services LLC accreditation, are excluded from the agreement.

Tags: business, certification, industry

The Organic Center, the leading research institute focused on the science of organic food and farming, today announced plans for three major science initiatives for 2011. Each is designed to provide consumers with credible, evidence-based education on the benefits of organic to human health and the environment.

The first Organic Center initiative for 2011 is an updated analysis of foods posing relatively high and typically low risks from pesticides in specific foods, highlighting the often major differences in residues and risk in domestically grown food versus imported food. The Organic Center will develop these standards using the most recent data from the U.S. Department of Agriculture’s Pesticide Data Program, coupled with EPA dietary risk assessment methods.

Additionally, two new Organic Center studies focusing on comparisons of organic and conventional foods are underway. The first is a grain and grain-based products research program which will examine the benefits of organic grains versus conventional varieties. The study will compare the nutritional quality and safety of a range of organic, conventional, and natural grains and grain-based products and will assess both modern varieties of wheat, oats, and rice and ancient grains such as spelt, Kamut, and quinoa. The second is a milk quality study, which will evaluate and measure the benefits and differences of organic, natural, and conventional milk.

The Organic Center also announced a comprehensive research project conducted in partnership with the Natural Marketing Institute (NMI), designed to provide a clear understanding of how organics fit into the way consumers eat, shop and live. The study will help to increase consumer understanding of the difference between organic and conventionally grown foods.

The study will commence in June 2011 and conclude with sponsor reports and workshops in January 2012. The methodology plan includes four robust phases: trended, syndicated data analysis; in-home and shop-along ethnographic research; eight-week online organic community qualitative research; and organic messaging plus 15 category surveys with 4,000 U.S. adults.
The Organic Center also announced the appointment of four new members to its board of directors. They are: Michael Funk, chairman and co-founder of UNFI; Anna Getty, holistic lifestyle expert, author and founder, Pregnancy Awareness Month; David Karr, co-founder and director of Guayaki Yerba Mate; and Susan Shields, senior vice president and chief marketing officer of Jamba Juice.

Funk, Getty, Karr and Shields will join current Organic Center board members Mark Retzloff, chairman of Aurora Organic Dairy; Ryan Black, CEO and co-founder, Sambazon; Ken Cook, president, Environmental Working Group; Timothy Escamilla, vice president procurement/supply chain Ready Pac; Michelle Goolsby, attorney, mediator, business consultant and former EVP of Dean Foods; Dr. Alan Greene, clinical professor of pediatrics, Stanford University School of Medicine; Blaine McPeak, president, WhiteWave Foods; George Siemon, CEO, Organic Valley; Alex Petrov, general manager consumer brands, Safeway; Sara Snow, green living expert and TV host; and Margaret Wittenberg, global vice president for quality standards and public affairs, Whole Foods Markets.

“We are pleased to add distinguished new members to our board of directors, and each one of them has energy and passion for our mission,” says Mark Retzloff, chair of The Organic Center board. “The diverse skills and talents these folks bring to the table will be a boon to the Center’s growth.”

“As strong supporters of our past work, these individuals already have made significant contributions to the organic movement,” said Joan Boykin, executive director of The Organic Center. “Now, as they engage with the board, the sky’s the limit in terms of what we can accomplish in advancing and communicating the science behind the benefits of organic.”

Tags: business, industry, research

New Zealand’s clean green reputation and its GE-free status are providing its organic producers with a source of sustainable competitive advantage.

With the exception of chicken and some dairy products that are fed imported GM feed, New Zealand’s primary production system remains GM-free.

According to Claire Bleakley, president of GE-Free NZ, this is facilitating enhanced market access for New Zealand’s food manufacturers.

“Many small and large manufacturers currently benefit from New Zealand pursuing a GE-free policy for their ingredients, gaining exports to premium markets in Japan and across Asia, The Middle East, Europe and America” said Claire Bleakley.

In New Zealand the house-brands of major retailers and companies like Heinz Watties, Goodman Fielder and Fonterra benefit from excluding GM ingredients in full knowledge that their customers do not want GE ingredients.

“These companies are listening to their consumers and choosing to stay GM-Free, and our members are very supportive of their decision. Certified Organic raw and processed food made and grown in New Zealand are also GM-Free.”

Tags: business, GMO, industry

The Oregon Department of Agriculture is offering partial reimbursement for costs to become organically certified by a U.S. Department of Agriculture accredited certifier.

Oregon growers, processors, and handlers who are certified organic by USDA accredited certifiers are eligible for a reimbursement of up to 75 percent of their certification, up to a maximum of $750 per annual certification period. This reimbursement is also available to those renewing their certification.

Authorized by the Farm Bill, the program is designed to assist growers, processors, and handlers of agricultural products in obtaining certification under the national organic guidelines.

The Oregon Department of Agriculture has been awarded $202,500 in reimbursement funds. These funds are available on a first-come, first-served basis until all funds have been distributed.

An estimated 600 certified organic growers, processors and handlers in Oregon are potentially eligible for partial reimbursement.

To find out more visit the Oregon Department of Agriculture site.

Tags: business, certification, Farm Bill, National Organic Program