Monday, August 19, 2013

Farmers Adapt to Circumvent Government Regs

Picture: office.microsoft.com
The Associated Press put out an informative article on farmers who have abandoned the "organic" label after the Department of Agriculture decided to regulate the industry a decade ago. More than 700 farms across 47 states have formed a confederation of sort and now called their produce "certified naturally grown."

In many ways, this is a study in branding, marketing and legal loopholes because most of the farms are using the exact same growing methods that were employed when they promoted products as organic.

Scrapping the organic label is saving farmers from added record-keeping requirements and fees that can equal up to 6% of a farm's gross sales.

Other farmers told the AP that the pricing premium for growing "organic" produce justifies paying the fee to the government.

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