The Organic Trade Association (OTA) has been meeting with congressional offices in Washington, D.C., to advocate for funding for organic in a Farm Bill extension and a Continuing Resolution to fund governmental operations or full FY25 appropriations. While Congress is currently considering allocating billions in additional funding for conventional operations in core commodities, organic remains underfunded relative to our economic impact.
OTA has requested funding for three “orphan” programs as well as the continuation of Organic Market Development Grants:
Organic Data Initiative (ODI)
The USDA has made progress in aggregating accurate, segregated organic data via ODI and needs stable, secure funding to continue improving. This data is essential for understanding market trends and addressing challenges faced by organic operations. USDA's reliance on conventional agriculture data has hindered effective responses, particularly in sectors like providing relief for organic dairy producers. Mandatory funding of $1 million for 2025 is critical to support this initiative.
Organic Certification Trade and Tracking Program (OCTT)
The Strengthening Organic Enforcement (SOE) rule, implemented to prevent fraudulent imports and protect consumer trust, requires continued and stable funding. Mandatory funding of $1 million in 2025 will enable the USDA to uphold organic standards and safeguard domestic farmers from market disruptions caused by fraud.
Organic Certification Cost Share Program (OCCSP)
The OCCSP helps organic operations offset annual certification costs, supporting farmers and handlers in meeting USDA organic standards. With rising inflation and increased demand, the program’s current $8 million funding falls short. We estimate $11 million is needed in 2025 to maintain reimbursement rates and avoid disruptions that could force farmers out of certification or increase reliance on imported organic products.
Organic Market Development (OMD)
In 2023, USDA announced the Organic Market Development Grant Program to support the development of critical processing infrastructure to support farmers bringing new organic products to market. This program was a success, garnering hundreds of applications and requests totaling $218 million for only $75 million in available funding. The organic industry needs market expansion and increased domestic processing to meet growing consumer demand, generate greater farm-to-retail efficiencies, and encourage the adoption of regenerative practices inherent in organic agriculture. This program provides opportunities for the U.S. to reduce its reliance on imported organic products and generate value for our farmers and business operations. As such, it should be a key priority for this administration.
To ensure the continued success of the organic sector and strengthen our agricultural economy, it is critical that we prioritize and fund these vital programs. By investing in the future of organic agriculture, we can reduce dependence on imports, support American farmers, and meet the growing demand for organic products. Stay tuned to OTA communications for the latest updates on advocacy efforts and funding developments.