U.S., Korea sign organic equivalency agreement
July 01, 2014 | 12:01 PM
The United States and Korea have signed an equivalency agreement that will allow organic processed products certified in the United States or Korea to be labeled as organic in either country, the Agriculture Department and the Office of the U.S. Trade Representative announced today. It is effective immediately.
The Organic Trade Association said American exports of organic processed foods and beverages to Korea were valued at around $35 million in 2013 and are expected to more than double over the next five years.
Korea adopted its new organic certification regulations in 2008 but did not enforce it against organic processed foods until January 1, 2014, and the Koreans gave an “education period” until July 1, 2014, during which time no penalties would be assessed for noncompliance, a spokesman for the USDA’s Agricultural Marketing Service said in an email.
“Korea is a growing, lucrative market for U.S. organic products, and this arrangement increases demand for American organic products,” said Agriculture Secretary Tom Vilsack.
“This is another chapter in the success story of organic agriculture, which provides more economic opportunities for American producers, more choices for consumers, and more jobs in rural communities across the country.”
“America’s organic farmers and businesses have a reason to celebrate,” said Trade Representative Michael Froman.
“We are committed to unlocking new opportunities for Americans and through this work we are delivering for the communities that depend on agricultural products. This deal serves as another foundation for future organic trade arrangements between the United States and other partners.”
Until the agreement was signed Monday in Seoul and Washington, organic farmers and businesses wanting to sell organic processed products in either country would have to obtain separate certifications to meet each country’s organic standards, USDA’s Agricultural Marketing Service said in a news release.
“This typically has meant two sets of fees, inspections, and paper work, and delays for U.S. farmers and businesses trying to export,” AMS said. “This is Korea’s first organic equivalency arrangement with any trading partner, AMS noted.
The arrangement covers organic condiments, cereal, baby food, frozen meals, milk, and other processed products, USDA said.
Miles McEvoy, who runs the USDA organic program, said the agreement does not cover raw organic products, but that the majority of the trade is in processed products.
McEvoy noted that the Korean market had been closed in January when Korea began enforcing mandatory certification for organic products.
“The big accomplishment is to open up that market again,” McEvoy said, adding that the U.S. government will continue efforts to open the market for raw products.
“Today, this administration achieved another victory for our organic stakeholders,” added USDA Agricultural Marketing Service Administrator Anne Alonzo.
“Organic equivalence agreements like the one announced today between the U.S. and Korea increase the ability of small farmers and businesses to export their products into other countries, creating real opportunities for American organic businesses. At the same time, they protect the integrity of the USDA organic seal and ensure that it remains the gold standard around the world.”
The Organic Trade Association welcomed the agreement.
“This new pact streamlines the trade of organic processed food products between the two countries while still upholding the highest standards of organic oversight. It’s a win for the organic sectors and for the consumers of both nations,” OTA CEO Laura Batcha said.
The Obama administration has negotiated organic equivalency agreements with Canada, the European Union and Japan.
The organic food market in Korea represented 10 percent of total agricultural sales in 2011, grew by an average rate of 50 percent from 2006 to 2011, and is expected to expand to $6 billion by 2020, OTA said. Koreans are eating more organic packaged foods, organic beverages (especially organic green tea), as well as organic milk and yogurt, along with organic baby food, sweets and bread, the trade group added.
▪ USDA Agricultural Marketing Service — International Trade Policies: Korea
▪ — Exporting Organic Products to Korea
▪ — Importing Organic Products from Korea
▪ Organic Trade Association
The Organic Trade Association said American exports of organic processed foods and beverages to Korea were valued at around $35 million in 2013 and are expected to more than double over the next five years.
Korea adopted its new organic certification regulations in 2008 but did not enforce it against organic processed foods until January 1, 2014, and the Koreans gave an “education period” until July 1, 2014, during which time no penalties would be assessed for noncompliance, a spokesman for the USDA’s Agricultural Marketing Service said in an email.
“Korea is a growing, lucrative market for U.S. organic products, and this arrangement increases demand for American organic products,” said Agriculture Secretary Tom Vilsack.
“This is another chapter in the success story of organic agriculture, which provides more economic opportunities for American producers, more choices for consumers, and more jobs in rural communities across the country.”
“America’s organic farmers and businesses have a reason to celebrate,” said Trade Representative Michael Froman.
“We are committed to unlocking new opportunities for Americans and through this work we are delivering for the communities that depend on agricultural products. This deal serves as another foundation for future organic trade arrangements between the United States and other partners.”
Until the agreement was signed Monday in Seoul and Washington, organic farmers and businesses wanting to sell organic processed products in either country would have to obtain separate certifications to meet each country’s organic standards, USDA’s Agricultural Marketing Service said in a news release.
“This typically has meant two sets of fees, inspections, and paper work, and delays for U.S. farmers and businesses trying to export,” AMS said. “This is Korea’s first organic equivalency arrangement with any trading partner, AMS noted.
The arrangement covers organic condiments, cereal, baby food, frozen meals, milk, and other processed products, USDA said.
Miles McEvoy, who runs the USDA organic program, said the agreement does not cover raw organic products, but that the majority of the trade is in processed products.
McEvoy noted that the Korean market had been closed in January when Korea began enforcing mandatory certification for organic products.
“The big accomplishment is to open up that market again,” McEvoy said, adding that the U.S. government will continue efforts to open the market for raw products.
“Today, this administration achieved another victory for our organic stakeholders,” added USDA Agricultural Marketing Service Administrator Anne Alonzo.
“Organic equivalence agreements like the one announced today between the U.S. and Korea increase the ability of small farmers and businesses to export their products into other countries, creating real opportunities for American organic businesses. At the same time, they protect the integrity of the USDA organic seal and ensure that it remains the gold standard around the world.”
The Organic Trade Association welcomed the agreement.
“This new pact streamlines the trade of organic processed food products between the two countries while still upholding the highest standards of organic oversight. It’s a win for the organic sectors and for the consumers of both nations,” OTA CEO Laura Batcha said.
The Obama administration has negotiated organic equivalency agreements with Canada, the European Union and Japan.
The organic food market in Korea represented 10 percent of total agricultural sales in 2011, grew by an average rate of 50 percent from 2006 to 2011, and is expected to expand to $6 billion by 2020, OTA said. Koreans are eating more organic packaged foods, organic beverages (especially organic green tea), as well as organic milk and yogurt, along with organic baby food, sweets and bread, the trade group added.
▪ USDA Agricultural Marketing Service — International Trade Policies: Korea
▪ — Exporting Organic Products to Korea
▪ — Importing Organic Products from Korea
▪ Organic Trade Association
