Loophole for dodgy organic products could be closed

A Bill has been introduced to define what legally constitutes “organic”, ending a loophole that has allowed goods with barely any organic ingredients to claim the title.

A loophole that allows products with as little as 1 per cent of organic ingredients to be marketed in Australia as organic looks set to be changed.

Nationals Senator Bridget McKenzie has introduced a Bill to create a legal framework for a national organic standard that all organic products must adhere to when sold in Australia.

The legislation would end the dual system Australian organic producers have been fighting to end for years, where export requirements are far more stringent than those for products sold domestically.

Organics Australia Limited chief executive Jackie Brian says creating a legal definition for organic goods has been a hard fought battle over many years for the industry.

Australian Organic Limited chief executive Jackie Brian said the Bill would establish a level of consumer protection that has been desperately needed.

“We know from survey data that consumers are being misled by labels that make unverified

organic claims, which is unfair to those buyers and unfair to the producers who go through

the lengthy and rigorous process of attaining organic certification,” Ms Brian said.

“It has been a loophole we have been calling to be closed for a long time, and we hope to

work with all sides of politics to set the standard for consumers in Australia that is the norm

for so many countries around the world.”

The Bill aims to apply the export standard for organic goods to the domestic market. It is due for a second reading in February following an inquiry by a Senate committee.

The popularity of organic food – that is, food grown or animals raised without the on-farm use of hormones, chemicals, synthetic fertilisers, routine antibiotic use and herbicides such as glyphosate – has been growing exponentially in recent years, with a noticeable spike after the pandemic.

The global industry is now worth more than USD$205 billion and growing at a rate of about 11 per cent annually. In Australia the industry is dominated by the red meat sector, owing to the vast swathes of land that a handful of major cattle companies have certified for organic production.

In another win for the industry, last month the federal government began negotiating with the Chinese – the world’s third largest market for organic products – on greater access for Australian organic goods.

A Letter of Intent has been signed by the two nations’ agriculture ministers promising to negotiate equivalency arrangements, which would allow Australian organic producers to rely on the Australian export standard rather than apply for additional certification in China.