7 minute read
Organic Production
Organic Production in the time of COVID-19
PCO Offers Support as Operations Navigate the "New Normal"
Advertisement
BY staceY Budd, PcO executive assistant
Every new calendar year begins with the planning and preparing for the upcoming growing season. By March, fieldwork has begun as the seedlings grow with warmer temperatures. This year was unlike any other as March put us in the midst of a global pandemic that had dramatic effects on our food supply chain. Initial panic left store shelves empty and people seeking a safer way to find food to nourish their families. Growers and producers were thrust into a new way of operating as the coronavirus began to spread across the country. As more and more states implemented shelter-in-place orders, market disruptions forced a re-examination of product distribution and fostered ingenuity in finding new ways to feed our communities.
In Pennsylvania, agriculture and its technical services were declared essential, life-sustaining businesses, allowing farming practices and PCO operations to continue. However, in the early stages of the pandemic we all witnessed the hoarding of products and the scarcity of fresh goods. The virus had exposed the vulnerabilities of our existing supply chains. More consumers experienced an awakening to the value of their local food system as farm shares (often referred to as Community Supported Agriculture) began to rise all over the country. The direct-to-consumer model reminded our communities that area farmers/producers are a valuable resource in building resiliency in our food system. High demand forced farmers to act quickly to build new online shopping markets to feed communities while honoring safety through social distancing.
As farmers were exploring new avenues to distribute product, Congress began working rapidly to draft a bill for emergency aid to those who had lost income as a result of the crisis. Through the Coronavirus Aid, Relief, and Economic Security (CARES) act, signed into law on March 27, 2020, $9.5 billion in agricultural provisions for disaster relief were allocated to support producers impacted by COVID19. These payments were earmarked for specialty crop producers, livestock producers (including dairy), and producers who supply local food systems (farmers markets, restau
Image: CDC
rants and schools). While it is great that Congress recognized the importance of our food chain suppliers, there was speculation early on that this would not be enough to support the many operations who work long, hard hours to feed their communities. As such, the first round of stimulus support went quickly, leaving the small, diversified farm operations without access to funding. Back to the drawing board,
congressional leaders who stand up and support organic, sustainable agriculture asked for more and pushed for a second round of funding that compensated all farmers fairly. On May 26, 2020, The Coronavirus Food Assistance Program (CFAP) began accepting applications for this additional $16 billion direct relief program.
It has not been a perfect system. While this is being reported as the largest single payment in history to our nation’s farmers, CFAP has its shortcomings, especially for organic farmers. In order to receive funds, producers need to show a loss of 5% or greater in their commodity market or evidence of their supply chain disruption due to COVID-19. Unfortunately, the funding payment structure relies on prices calculated by the USDA versus the prices producers actually receive for their products — erasing the often-premium price for organic goods. In addition, not all commodities are eligible under this program. Though not equitable in pricing, the program may help you offset lost revenue. To apply for CFAP, farmers need to contact their local Farm Service Agency to begin the process. Applications are due by August 28th, but funding is only available on a firstcome, first-serve basis.
PCO is grateful to have many sustainable agriculture allies who are on the frontlines fighting on behalf of small, family farms and building resources to help navigate the ever-changing landscape of federal relief funding and evolving market outlets. PCO is doing its best to keep the website resource list up-to-date with supporting resources during this time. PCO certified operations that are experiencing financial hardship are encouraged to contact our office. PCO recognizes the “new normal” may impact an operation’s bottom line and there are available payment plans for certification costs. The basic process is as follows:
1.
Contact PCO Staff Accountant (extension 218) to set up the payment plan. 2. When setting up a payment plan, PCO can use the current outstanding fees to set up the payment plan, or estimate client fees for the entire year and use that amount to set up the payment plan. 3. The balance of a payment plan may be paid in full at any time with no penalties.
PCO also recognizes that farmers have had the extra stress of building new systems to protect farm workers and customers, establishing new packaging parameters while still putting full days in the fields. With so much to navigate and so little time, let PCO help.
Though times are tough, there is a glimmer of hope in the organic industry. In a recent report from the Organic Trade Association (OTA) in collaboration with Organic Produce Network, organic produce sales by volume increased 25.8% in March — continuing to shine a light on the integrity the USDA seal represents. With more time at home, cooking for families, consumers are prioritizing health and wellness in their purchasing habits. Pantries are being stocked with products they can trust. Will this trend last? It is hard to say. OTA conducted a flash poll in May with over 3000 consumers participating. Their results show that 90% of the
The health of you, our client-members, and your families is of the utmost importance to us. We want to be a resource you can reach out to in need. Below we have listed important phone numbers to have during this ever-changing pandemic.
Our friends at Pennsylvania Association for Sustainable
Agriculture (PASA) have set up a toll-free help line with details on the COVID-19 guidance from the PA Department of Agriculture:
Summary of COVID-19 guidance ...(844) 349-9856 x 716
PA Dept. of Agriculture daily updates ........................................................... (844) 349-9856 x 717
AgChoice has a hotline with up-to-date information on the COVID-19 situation ............................ (877) 772-4299 respondents indicated that, in their current food shopping, organic is more important than ever. With careful stewardship of the food produced by organic farmers and processors there will be continued consumer growth.
PCO wants to hear about various COVID-19 experiences: What have you done or witnessed others do to pivot your/their operations to meet market demand and build continued revenue streams? How have you been able to support your surrounding communities in this time of struggle for our most vulnerable populations? What kind of additional support do you need regarding your certification? Your stories and ideas help us better provide services to meet your needs. They also reinforce our commitment to building relationships with our members and the important work they do to help us fulfill our vision that all communities are enriched by organic food and farming.
Send your short stories to Stacey Budd, our Executive Assistant, at sbudd@paorganic.org or by calling 814-422- 0251 x230. We are looking to feature our members more prominently in our communications and want to share your stories with our larger organic community. We know the value of stories and want to highlight how we are stronger together!
PCO Waives Finance Charges for 2020 PCO is continuing to monitor the impact of COVID-19 and its effects on our certified operations. Given the hardship some may be experiencing, we are waiving all finance charges for the 2020 calendar year to help mitigate any unnecessary additional financial burden. charges. Finance charges are assessed on invoices past due. Operations are still responsible for their certification fees and sales assessments to remain com
pliant with the organic regulations and certification. The following is a list of state Department of Health numbers:
MA Dept. of Health ....................................................... 2-1-1 NH Dept of Health ..................................... (866) 444-4211 NJ Dept. of Health .................................... (800) 962-1253 NY Dept. of Health .................................. (888) 364-3065 OH Dept. of Health ................................... (833) 427-5634 PA Dept. of Health .................................... (877) 724-3258 VT Dept of Health ................................... (800) 464-4343
