The culmination of more than two years of advocacy work, the introduction of the Domestic Organic Investment Act (DOIA) will put into action what the organic sector needs to thrive by investing in infrastructure to expand production capacity for farmers and manufacturers.
The bipartisan, bicameral bill introduced in the Senate by Sen. Tammy Baldwin (D-WI) and Susan Collins (R-ME), with Andrea Salinas (D-OR) and Derrick Van Orden (R-WI) as sponsors in the House, builds on the strength of the Organic Market Development Grant (OMDG) program introduced in 2023. This program, administered by USDA, helps solve supply chain gaps and drive organic growth through grants to organic farmers and businesses.
The DOIA legislation directs USDA to set annual priorities that reduce dependence on imports and reflect input from organic farmers, businesses, and other stakeholders. Additionally, the Act supports U.S.-based farmers and businesses who apply, including producers, producer cooperatives, and commercial entities (including tribal governments) who handle certified organic products. All grants will require matching funds from the farm or business recipient.
Two businesses that have benefited from the OMDG program - PURIS and Meadowlark Organics - are examples of how these investments have paid off and serve as a bellwether for the future success of the Domestic Organic Investment Act.
PURIS is committed to four times their OMDG $539K grant award to expand processing capacity for milled organic field pea fiber at their facility in Harrold, South Dakota. This was done by adding a fiber milling line to an existing organically certified pea handling facility. The upgrade transforms pea hulls, currently a product with little value, into a marketable, high-value organic pea fiber.
Currently, imported organic pea protein has been selling at prices 28-75 percent below U.S. producers for multiple years. The investment supported PURIS to create additional value from the supply chain while also helping to strengthen the domestic supply chain overall.
In the words of PURIS CEO, Nicole Atchison, "This grant has enabled PURIS to move the project from a mere concept to a tangible reality, significantly benefiting rural American manufacturing. The grant has not only accelerated our project timeline it provided a pathway to expand the value generated from the organic peas grown by PURIS farmers."
In the case of Meadowlark Organics of Ridgeway, WI, USDA grant funds provided in 2024 helped the organic grain farm purchase three pieces of equipment to help increase the availability of locally grown organic grain across the Upper Midwest. The new equipment includes a gravity table, optical sorter, and a connecting bucket elevator to the farm’s existing cleaning facility and flour mill.
This increased capacity will enable the farm to partner with even more organic grain farmers across the region and ultimately connect a diversity of culinary grains with more customers. The expected growth in organic grains and livestock feed capacity is over 900,000 pounds, with a projected 35 percent sales increase.
As shared by Halee and John Wepking of Meadowlark, “We are farmers first, and vertically integrating from the grassroots up is capital intensive and technically challenging. This funding has allowed us to improve our grain cleaning infrastructure at a critical time for our growth and development. Debt financing these acquisitions on top of already existing farm debts was untenable, and the support of the USDA through this grant is something we need to see more of, to help add value to make farms more profitable.”
OTA will continue to share information about the progress of the DOIA in the months ahead.