April 18, 2003

Virginia Farmers Have Opportunity
to Fill Organic Crops Market Niche

PETERSBURG - Virginia's location gives farmers some natural advantages in marketing crops for the organic market and Virginia Cooperative Extension specialists are providing educational programs to help them analyze this market.

Since the U.S. Department of Agriculture allowed the labeling of organic meats, there is a rapidly growing new market of livestock producers that need organic feed grain "Virginia growers can provide important grain crops earlier than Midwest growers and Virginia is nearer the markets, lowering transportation costs," said Andy Hankins, Extension alternative agriculture specialist at Virginia State University.

More Information Organic Production -- Some Thoughts and Considerations

Curtis Bennett, with Clarkson Grain Company, Inc., in Illinois, a major buyer of organic corn, soybeans, and wheat, talked about the market growth at a meeting of the Virginia Biological Farming Association. He said that the Organic Trade Association reported that between 1999 and 2000, manufactured organic products increased by 35 percent, soyfoods and meat and dairy products increased 215 percent, and meat, poultry, and egg products increased 64 percent.

Growing organic products does take superior management skills, Bennett said. The market is there, but to get premium prices for organic grain just as with all of the feed market, growers have to deliver premium products. And, users demand specific varieties, so growers have to be aware of their markets when planning.

"But there is a good opportunity for Virginians," said Hankins.

There are differences organic growers have to be aware of, said Kathleen Delate, Extension organic crop Specialist at Iowa State University. In order to be certified as an organic grower, producers have to follow the standards set by USDA. Generally these are that no prohibited materials have been used on the land for three years, no synthetic hormones or antibiotics have been used, that there is a 30-foot border between organic and conventional crops; no genetically modified seeds or plants have been used; and the recommended crop rotations have been followed. Another recommendation is that soil-building crops such as hay, are included in the rotation every few years in order to enrich the soil.

Virginia agencies are involved in working with farmers interested in becoming certified to produce for the organic market. There are specific steps that growers must follow that require at least 36 months of transition from regular agriculture methods to organic. There is a cost-sharing program that will fund 75 percent of organic certification costs up to $500, but there was only $30,000 available for it.

"During the transition, farmers have time to develop the skills including weed control skills, acquire the right equipment and replace monies spent on convention inputs with soil building and nutrient replacement inputs.

"Management of your organic operation will test even the most skilled of farmers," Bennett said. "Planning far in advance and timing are essential to your success."

But it is a market niche for small and mid-size farming, Hankins said. Organic techniques have specific requirements so it is slightly inconvenient which makes it possible for small and mid-size farms to compete successfully with large operations. Many Virginia farmers already are using the techniques of sustainable farming so it is easy to move from that to the organic techniques.

Contact: Andy Hankins
Virginia Cooperative Extension Alternative Agriculture
Virginia State University
(804) 524-5714

Writer: Mary Ann H. Johnson
Agriculture and Extension Communications
Virginia Tech
(540) 231-6975
jnayram@vt.edu

Visit Virginia Cooperative Extension