Strengthening Organic Enforcement Final Rule expected to publish Jan. 18

The Packer met with Jonathan Veley, director of trade systems at the AMS division of the USDA to learn what he’s looking forward to at GOPEX 2023, the growth of the NOP and what he’s excited about in the year ahead.
The Packer met with Jonathan Veley, director of trade systems at the AMS division of the USDA to learn what he’s looking forward to at GOPEX 2023, the growth of the NOP and what he’s excited about in the year ahead.
(Photo: Aberenyi, Adobe Stock)

The Strengthening Organic Enforcement Final Rule is expected to publish Jan. 18, the USDA has confirmed with The Packer.

The golden child of food labels, products bearing the organic seal have gained market share since the label’s inception. Matching this unflagging growth, the small but mighty National Organic Program, which oversees the seal and is managed by the USDA, works to reinforce the integrity of the organic label as well as strengthen relationships with stakeholders across the globe.

Not only can the NOP celebrate a decade of programming under its belt in 2023, but with organic sales surpassing $63 billion, according to the Organic Trade Association, the federal program enables a flourishing industry — that shows no signs of slowing down — to thrive.

Just prior to the USDA's communication that the final rule would publish in the Federal Register on Jan. 18, The Packer met with Jonathan Veley, director of trade systems at the Agricultural Marketing Services division of the USDA to discuss what he’s looking forward to at the upcoming Global Organic Produce Expo, the growth of the National Organic Program and what he’s excited about in the year ahead.

Strengthening organic credibility with new rules

Discussing the National Organic Program, it’s difficult to avoid whispers about the forthcoming Strengthening Organic Enforcement Final Rule and for good reason. The largest revision made to the National Organic Program since its inception in 2002, the Strengthening Organic Enforcement Final Rule is expected to be published soon.

“Instead of weeks and months, we’re talking days,” Veley told The Packer on Jan. 13.

This update to the National Organic Program comes at the perfect time. Since organic products are typically sold at a price premium, critics have argued that changes are overdue to preserve the organic integrity of products sold under the USDA Organic label, thwart bad actors and prevent fraud in the booming sector.

The SOE Final Rule will likely impose new import certificate requirements, help with fraud prevention analysis and close gaps that might have previously existed in the supply chain.

What’s more, the SOE Final Rule will require organic certification from companies in the supply chain that interact with USDA-certified organic products, but it will include exemptions for certain companies that do not physically handle organic product. This means many companies who haven’t had to achieve organic certification to sell, handle or trade organic products will have to achieve organic certification.

Veley urges companies in the organic sector to do their homework once the SOE Final Rule is out.

“My biggest suggestion to any stakeholder that may be impacted or thinks that they may be impacted is to read the rule," Veley said. “I encourage them to read it cover to cover. I think that will alleviate so many questions.”

After the rule is published, there will be a 60-day waiting period before implementation and an additional 12 months before compliance is enforced.

“I want to reassure all of our stakeholders, we have a lot of outreach and training that’s planned [at the USDA],” Veley said.

Doubling down on trade and technology

Keeping up with the quick pace of progress in the organic sector isn’t limited to updating and enhancing regulations alone.

“We’ve really grown. We used to be reactive but now we’re very proactive, especially across the federal agencies that we work with,” Veley said. “We have come so far in the last four years.”

Since Veley joined the USDA’s Agricultural Marketing Services in 2019 to support the development trade and technology, the program has grown from about 30 people in 2019 to 80-plus staff members today.

“The organic [industry] is regulated by a small, hardworking and dedicated staff at the NOP of around 80 people. It’s never dull, I can tell you that,” he added.

Added to this, the NOP has recently trademarked the organic seal, giving the agency trademark authority, Veley said.  

Enhancing customs and border protections is another area that the USDA has stepped up to support the organic sector during Veley’s tenure.

“We have a full-time, dedicated resource that sits within the U.S. Customs and Border Protection’s Commercial Targeting and Analysis Center helping us with data analysis,” he said. “We’re maximizing and increasing our organic HTS codes so that we have a better descriptor for all HTS codes for all products coming into the U.S.”

Once buyers have that HTS code, Veley continued, they can easily track what comes in through U.S. Customs.

Building relationships at GOPEX 2023

Veley’s decade-plus of experience in trade gives him insights not only in import tracking and technology, but also of the leaders and companies that these advances would affect. That’s one of the aspects Veley looks forward to most in attending this year’s Global Organic Produce Expo.

“Putting a name with a face is very helpful,” he said. “Having two directors this year at GOPEX, one that is in charge of our Standards division and myself in Trade Systems, should be really helpful not only for us, but for the stakeholders that are there.”

Because at the end of the day, it comes down to people.

“The stakeholders and relationship building, that’s what I’m really looking forward to,” Veley said.

Click here to register for GOPEX 2023. 

 

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