2022 OFA Annual Meeting and Reception-View

WEDNESDAY, JUNE 22

OFA held its Annual Meeting and Reception on June 22 at 7:00 pm ET/4:00 pm PT via Zoom.  The annual meeting included a short review of OFA’s work in 2021 and what we are looking forward to in 2022.  The reception featured a presentation and discussion with ORGANIC FARMER and USDA Under Secretary of Agriculture for Marketing and Regulatory Programs, Jenny Lester Moffitt, for a lively conversation about her family’s California organic farm, how she got involved in government, and why it is important for organic farmers to get involved in policy!

Watch the OFA Annual Meeting!


OFA ANNUAL MEETING

7:00 PM Eastern/4:00 PM Pacific: Welcome by David Colson, President
– Introduction of our new Governing Council & Policy Committee members.
– Thank you to outgoing members.
7:15 PM: Overview of 2021 -Kate Mendenhall, Executive Director

RECEPTION
7:30 PM: Introduction of USDA Under Secretary Jenny Lester Moffitt
7:35 PM: USDA Under Secretary Jenny Lester Moffitt
7:50 PM: Q&A with Under Secretary Lester Moffitt
8:00 PM: Adjourn

Under Secretary Jenny Lester Moffitt

Jenny Lester Moffitt has roots in organic farming, which she brought to her work in California and now in Washington, D.C.

Jenny Lester Moffitt was confirmed as Under Secretary of Agriculture for Marketing and Regulatory Programs at the USDA last fall and is responsible for facilitating trade and setting national and international agricultural standards, including the National Organic Program (NOP).

Jenny is a 5th generation farmer, who has established a successful career in agricultural policy.  She managed her family’s organic walnut farm for ten years and then served as Undersecretary and Deputy Secretary at the California Department of Food and Agriculture (CDFA) for six years before being asked to come to Washington, D.C. and work for the current administration.  Her experience and roots in organic allow her to understand the needs of both farmers and consumers and how both are essential to a strong organic movement.

Jenny’s father transitioned the family’s walnut farm to organic in 1989 and became certified organic in 1992. She says, “Growing up and helping run my family’s walnut farm showed me just how valuable the USDA is to farmers, processors, and consumers. I developed a passion for agriculture, farmers, and the food system, so I’ve always wanted to work in agriculture.”


OFA Oral Comments to NOSB

Click here for OFA Submitted Written Comments:  Spring 2022

Below: OFA Oral Comments to the NOSB via Webinar Testimony:  Spring 2022

National Organic Standards Board
Oral Testimony:   April 19, 2022
Patty Lovera, Policy Director

My name is Patty Lovera, and I am the policy director for the Organic Farmers Association.
Discussion Document: Oversight improvements to deter fraud: Modernization of organic traceability infrastructure

Dealing with fraud has been a top priority for OFA members since the organization’s founding.

  1. OFA supports including acreage per crop on the organic certificate.

But we will need flexibility in how this data is collected to avoid creating a burden for farmers. For example, producers who grow many varieties every year on small parcels of land need a streamlined way to estimate acreage. We also heard concerns about farms that use succession planting and how they would calculate acres per crop per year in a way that is useful for the traceability function of this reporting.

  1. OFA supports including acres per crop on the organic certificate as well as making that information public-facing in the Organic Integrity Database.

Many farmers work with certifiers who already put this information on their certificate, and see the benefit in making this a standardized requirement for all certifiers.

We learned that some large food processors require farmers to sign non-disclosure agreements that forbid them from disclosing this type of information. It would be useful for this disclosure to be a uniform practice across the industry because the NOP requires it, then buyers would have to drop these non-disclosure agreements.

  1. Universal Bill of Lading - During OFA discussions, ideas that generated enthusiasm from grain producers caused anxiety for other types of producers whose markets are very different, like leafy green producers. It may be necessary to create common forms for different sectors of products – grains that are shipped in bulk, livestock, milk, fruits and vegetables, etc.

We also urge the Board and NOP to consider the potential to provide sample or common forms in multiple languages. Making forms more accessible to non-English speakers could remove one of the obstacles for more diverse producers who are considering organic certification.

Proposal: Excluded Methods Spring 2022

OFA supports the NOSB proposal to recommend that the NOP develop a formal Guidance document to include the Definitions,  Criteria, Excluded and Allowed Methods tables as developed by previous Board Proposals in 2016.

We agree with the addition of cell fusion and protoplast fusion as outlined, but suggest that “recombinant DNA” be changed to “in vitro nucleic acid technologies” to provide a more comprehensive definition. Because it is not only DNA that can be manipulated, but also RNA and other materials, we find this definition to be more comprehensive and it aligns with global standards used by Codex.

And with the National Bioengineered Food Disclosure Standard now in effect, it is important to help consumers understand how “bioengineered” relates to methods that are excluded from organic. The USDA’s definition of “bioengineered” for the new rule is much narrower than what we would consider as bioengineered within the organic standards, so it is important to show that the organic standards are stronger and make clear to consumers what is and is not allowed in organic.

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National Organic Standards Board
Oral Testimony:   April 19, 2022
Kate Mendenhall, Executive Director

RE: General Comments to the NOSB via Webinar Testimony
Thank you, NOSB members, for the opportunity to speak before you today.  Welcome new members.  My name is Kate Mendenhall, I am the Executive Director of the Organic Farmers Association.  OFA was created to be a strong national voice and advocate for domestic certified organic farmers.

Today I will be addressing Highly Soluble Fertilizers, Human Capital, and Climate Smart Agriculture.

Crops Subcommittee: Highly Soluble Nitrogen Fertilizers
OFA strongly supports the concept of feeding the soil, not the plant.  We support limiting the use of highly soluble nutrients for use in organic production because such use is incompatible with OFPA and good soil health practices.  Our farmers have voted to prohibit Ammonia Extract and Sodium Nitrate.

Discussion Document: Human Capital Management: Supporting the Work of the NOSB

OFA strongly supports human capital management efforts to better support the work of the board and its members. It is vital the NOSB be fully representative of the organic community.  Farmers and other members of the organic community who are self-employed, often have large out of pocket expenses to cover their time spent fulfilling NOSB responsibilities.  We support the NOP hiring research assistants to support board-member-driven research needs restricted to summarizing literature reviews, technical reports and summaries of public comments.  Managing conflict of interest and confidentiality commitments, and ensuring these assistants have organic knowledge is essential.

We also encourage the NOP to consider expanding the allowable expenses for board members to cover on-farm replacement labor, childcare, etc. so that the self-employed are not facing economic hardship by volunteering their expertise to the NOSB.

NOSB Memo on Climate Smart Agriculture

In response to the NOP memo on February 23rd requesting the NOSB facilitate public discussion and “explore how organic can advance in tandem with climate-smart agriculture to support our planet and our farmers,” I would like to emphasize the contradiction that allowing certified organic hydroponic production poses to this effort.  The NOP asks the NOSB to “help reinforce and capture the connections between climate-smart agriculture and what many certified organic farmers are already doing.”  We support this and highlight that organic soil farming sequesters carbon and hydroponic farming does not, yet all the questions NOP asks around climate smart farming and organic assume soil-based production systems.

Avoiding the issue of organic hydro is creating a huge mess in the marketplace that contradicts the value of organic.  Organic hydroponic production is undefined, lacks standards, and is growing at a rapid pace.  The NOSB recommendations on greenhouse production are now a decade outdated as technology in this industry has changed dramatically.  The NOSB has tools to restore organic’s place as a climate-smart leader and it must use its authority to do so by addressing greenhouse production and hydroponics.

 

 

 

 

 

 


USDA Appoints New NOSB Members

On Friday, February 4, 2022, the U.S. Department of Agriculture (USDA) announced the appointment of four new members to the National Organic Standards Board (NOSB). The NOSB is made up of 15 volunteer members representing the organic community. The new members will each serve five-year terms, through January 2027.  Two certified organic farmers were appointed to the board.

NEWLY APPOINTED NOSB MEMBERS:

Elizabeth (Liz) Graznak (Missouri) is appointed to an environmental protection and resource conservation seat. Graznak has a degree in Environmental Studies and has shown a commitment to sustainable agriculture as a certified organic farmer and during past appointments with environmentally focused Boards.  She was named the 2021 MOSES Farmer of the Year.

 

Allison Johnson (California) is appointed to a public interest or consumer interest group seat.  Johnson currently works for the Natural Resources Defense Council (NRDC). She is an attorney with experience working with organic regulations, an organic certifier (CCOF), and has focused her work on sustainable food systems.

Dr. Dilip Nandwani (Tennessee) is appointed to the scientist seat. Nandwani is a professor at Tennessee State University and holds a Ph.D. in Botany. He has 10-years of teaching experience, with a focus on organic agriculture, certification, and crop science.

 

Javier Zamora (California) is appointed to a farmer seat.  Zamora is with JSM Organics, a 100-acre vegetable/fruit certified organic farm, and has 20-years of farming experience. He has provided farmers assistance with direct marketing regulations, organic compliance, and developing direct marketing channels. He is fluent in Spanish.

 

WHAT IS THE NOSB?

The NOSB (National Organic Standards Board) is a Federal Advisory Board established under the Organic Foods Production Act (OFPA) of 1990. The Board meets monthly and with the organic community two times a year (typically April and October).   As a board, they assist in developing organic standards and advise the Secretary of Agriculture on aspects of the National Organic Program. The USDA has more about the board here: www.ams.usda.gov/organic.


B-Corp Response Dismisses Public Concerns on Danone B Corp Violations

On December 16, 2021 after multiple attempts from the Organic Farmers Association to seek a response from B-Lab complaints against Danone North America submitted on November 8 and November 22, B-Lab responded with a dismissive response.

B-Lab Response to 2 Complaints Against Danone North America

From: Standards Management <standardsmanagement@bcorporation.net>
Date: Thu, Dec 16, 2021 at 8:32 AM
We appreciate your patience in our response, and thanks to you and the petition signatories for playing your role in the accountability mechanisms established as part of the B Corp Certification process.  We take complaints against companies who have achieved B Corp Certification very seriously, and as such it sometimes takes more time than stakeholders desire to provide an appropriate response.

B Lab acknowledges and is deeply sympathetic to the fact that the farmers affected by this decision find themselves in a difficult financial situation that may affect their livelihood and well-being.  Certified B Corps are expected to make decisions with consideration of the impacts on stakeholders in mind.  While these decisions may still nonetheless lead to a potential negative impact on a particular stakeholder group, it is also considered how a company engages in ways to mitigate that negative impact to the extent possible.

Upon reviewing the information available, including the information shared in the petition, and considering the stakeholder concerns raised and the impact on affected farmers and communities, we have determined that Danone North America’s certification is upheld with disclosure of this situation required on its B Corp public profile in order to be transparent with stakeholders around the reasoning for and impacts of its decisions and document the management practices in place so that stakeholders can make their own informed judgment about its impact and the adequacy of measures taken. You may access the information required in their Disclosure Report on their profile here. B Lab will continue to monitor the situation, and if new material information arises related to the decision, a complaint process may be reopened.

For more context on our decision, a company must achieve a minimum verified score of 80 points in the B Impact Assessment in order to become a B Corp, which is designed to help measure and manage a company's positive impact across five key impact areas: governance, workers, community, customers, and the environment. The B Impact Assessment awards credit for specific, positive practices of companies to determine their eligibility for the certification, but does not stipulate or mandate specific individual positive practices.  For example, while the B Impact Assessment acknowledges as best practices, among other things, supporting small scale and local suppliers, maintaining long term relationships with suppliers (average tenure), and purchases from organic producers, these practices are not required components of the certification if, as described above, the company is meeting the overall score of 80 points.

In addition, B Corp Certification also includes a review of potential negative practices that may warrant further action or ineligibility for the certification, and has a complaint process designed to allow stakeholders to raise concerns about existing B Corps who may be violating the spirit of the certification. B Lab investigates material, credible, and specific complaints, with the possible outcomes of any complaint including no further action, additional transparency required, remediation required, or ineligibility for the certification.

B Lab uses feedback from stakeholders like yourself not only to determine whether or not an individual B Corp is in violation of the certification requirements, but also to inform the development of the certification requirements over time. We are currently undertaking a comprehensive review of the B Corp certification performance requirements and have recently gone through an extensive stakeholder consultation process regarding the possibility of additional specific minimum requirements as a component of the certification. There will be ongoing opportunities to submit feedback throughout this review. Further details can be found here.  Thanks again for your interest and engagement, and we encourage you to provide feedback to continue to improve our standards.

Best,

B Lab Standards Management Team


Danone’s Concessions to Northeast Dairy Farmers Is a Small Step Towards Honoring their Social Responsibility Commitment

December 14, 2021.  Danone North America, owner of Horizon Organic, announced yesterday they will meet one of the requests of Northeast organic producer groups resulting from Danone’s decision to move its milk sourcing to the west, leaving 89 organic dairies in the northeast without a market. The requests Danone is honoring, include extending farm contracts to 18 months.  They will also provide a small (6% of the milk check for 6 months or $2 per hundred pounds of milk) transition payment for the affected farm families. Five Northeast organic farm organizations met with Danone in November to discuss the company’s response to the 15,324 petition signatures submitted by nine organic advocacy organizations a few weeks prior. In this meeting, the northeast organizations made specific requests of Danone to repair the damage that leaving the entire Northeast region will have on the farm economy and rural communities.

Danone North America is one of the largest B Corporations and thus has committed to putting people over profits—a commitment its corporate decision to leave the Northeast region decision directly violates.

“We’re glad to get a response to our requests, which is one small step in the right direction. There are still many details to figure out for our producers and lots of work to be done to improve infrastructure and ensure a future for organic dairy in the region.  We look forward to continuing our discussions with Danone to ensure that they meet their commitments and work toward viable long-term solutions for northeast dairies,” stated Sarah Alexander, Executive Director of the Maine Organic Farmers and Gardeners Association.

On November 18, Northeast Organic Farming Association of Vermont, Northeast Organic Farming Association of New York, Inc., Maine Organic Farmers and Gardeners Association, Northeast Organic Dairy Producers Alliance, and Organic Farmers Association met with Danone North America executives to outline the petition requests including two options the company could take to rectify the negative impact on the Northeast region and violation of their B Corporation commitment.

The first option presented asked Danone to stay in the Northeast and invest in a processing plant that would make Danone’s supply chains more sustainable and reduce truck miles. The alternative option the group presented was for Danone North America/ Horizon Organic to leave the northeast but financially invest in the region, providing necessary support for the transitions the 89 dairy families are facing. The group asked Danone to give a significant severance pay totaling $15M to all 89 dairy farmers who will either be forced into an early retirement or will be required to make costly changes to their farms to be picked up by another company. This second request also asked Danone to provide a $25M investment towards a new organic dairy processing plant in New England. In Danone’s response, they maintain they will leave the region, but made some concessions on contract extensions and payments.

“We would have preferred for Danone to stay in the region,” says Grace Oedel, Executive Director, NOFA-VT.   “Horizon Organic has been in the Northeast region for over two decades and has a long-term relationship with all the organic farm organizations and our farmer-members. If they are determined to leave, we are glad that they are working towards meeting some of our requests to leave the region in a stronger position.”

In a letter dated December 13, 2021, that Danone sent to the Northeast organic producer groups Danone announced its plans to provide the affected producers with the option to extend their current contract for a total of 18-months, ending on February 28, 2023; provide modest transition payments of an additional amount per hundredweight on the milk purchased from the producers during the last 6 months of their contracts, including to farms that have already exited Danone’s network after receiving the non-renewal notification; provide farm consultants at no charge to the affected farms; and explore co-investment solutions for Northeast dairy infrastructure.

“It’s great for producers to be able to extend their contracts for an extra six months; however, the proposal lacks any substantive financial support to assist with the trauma that this decision has caused. Farmers are being offered myriad services by State governments and non-profits so any farm consultancy will not be helpful. Unfortunately, with Danone’s decision to leave the region, these farms will need to figure out what their future looks like. The contract extension will give them a little bit more time to investigate new paths forward for their families but what they really need is a sound market with a good pay-price to give them a living wage,” said Ed Maltby, Executive Director of the Northeast Organic Dairy Producers Alliance.

“We hope to hear more specifics about how Danone plans to co-invest in solutions for Northeast dairy infrastructure. The region needs a new organic dairy processing facility to be able to secure a future for Northeast dairy and provide local milk for the Northeast,” says Kate Mendenhall, Organic Farmers Association.  “We estimate that a new facility will cost at least $50 million to support the milk processing for the region as well as supplementary dairy processing needed to balance the local supply. Danone has the fiscal capability to help make that a reality for these farmers.”

The producer groups will continue their work to manage the crisis on the ground and help the affected farm families.  They also plan to continue to work to hold Danone accountable to its B Corporation social responsibility commitments. The group encourages consumers to buy directly from local organic dairy farmers and processors as an antidote to corporate consolidation in the organic sector.  Support from consumers, policy-makers and businesses committed to the northeast will enable investments in local infrastructure, allowing farmers to regain control of their hard work and ensure consumers have access to healthy and locally-produced food.

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PRESS PICKUP:

  • FERN (Food & Environment Reporting Network): https://thefern.org/ag_insider/danones-offer-is-a-small-step-say-northeast-organic-dairy-farmers/
  • Times Union: https://www.timesunion.com/state/article/Organic-dairy-farmers-get-concessions-from-16701967.php
  • Whole Foods Magazine: https://wholefoodsmagazine.com/grocery/news-grocery/danone-agrees-to-help-mitigate-damage-caused-by-pulling-out-of-northeast/
  • Maine Biz: https://www.mainebiz.biz/article/danone-will-give-northeast-organic-dairy-farmers-financial-help-more-time-on-contracts
  • 7 Days VT: https://www.sevendaysvt.com/OffMessage/archives/2021/12/14/organic-dairy-farmers-win-a-six-month-reprieve-from-horizon
  • Agri-Pulse: https://www.agri-pulse.com/articles/16970-daybreak-dec-16-biden-administration-promises-coordinated-action-on-trucker-shortage+&cd=1&hl=en&ct=clnk&gl=us

7,739 Organic Farmers and Consumers File Complaint against B-Lab Calling for Action on Danone North America’s B Corp Certification

November 23, 2021  Yesterday, 7,739 organic consumers and farmers submitted a complaint to B Lab (administer of the B Corporation corporate social value certification program) against Danone North America, owner of Horizon Organic.  The complaint outlines violations the company has made against the B Corp Declaration of Interdependence.  These farmers and consumers are members and supporters of the eleven organizations that submitted a complaint earlier this month against Danone N.A./Horizon.  This is the first batch of signatures that will be submitted to B Lab.  Supporters can still sign on to the complaint here.

In August 2021, Danone North America notified all their contracted organic dairy farm families totaling 89 families in Maine, New Hampshire, Vermont, and a portion of New York they would be ending their contracts and pulling out of the Northeast U.S. supply chain to redirect their supply chain around their processing facility near Buffalo, NY.  Many of the affected farm families have provided organic milk to Horizon Organic for decades and have been instrumental in building that successful brand with grass-fed family-farm organic milk.

“The family farmers losing their contracts with Horizon Organic are struggling to figure out how to save their farms and homes in a time when there are few other organic dairy market opportunities, and we are still in a pandemic.  Nationally we have never experienced such a large number of contracts ended at once from a single organic dairy company, “says Nicole Dehne, Certification Director for Vermont Organic Farmers.  “In Vermont, organic dairy is 28% of our state’s dairy economy and these farmers are incredibly important to our food supply as well as our rural economies. The organic community asks B Lab to take action.”

The northeast region embodies the family-scale, grass-based, organic dairy farms, organic consumers expect to be supplying their milk.  “NOFA-NY has worked with Horizon Organic for decades and many of our farmers have supplied Horizon milk for the duration of that time.  We want Danone to value the whole northeast region, invest here, and create a future for northeast organic dairy farmers.  New York has one of the largest consumer markets, and you can see by the number of people who care about this, local organic dairy is important to northeast consumers,” says Katie Baildon, Policy Director, Northeast Organic Farming Association of New York.

B Corporations have made a commitment to work towards reducing inequality, lowering poverty, creating a healthier environment, building stronger communities, and creating more high-quality jobs with dignity and purpose. The B Corp label tells consumers that the company has created a positive impact for their employees, communities, and the environment.  Danone North America’s action in the Northeast goes against all of these principles, and B Lab must take action, or the B Corp label is in jeopardy of losing its integrity.  Regional producer groups representing the affected farmers met with Danone North America last week to ask them to stay in the Northeast and invest in the region’s organic dairy farm families.  We hope B Lab will help them make the right decision.

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Media Contact: 

Ed Maltby, Executive Director, Northeast Organic Dairy Producers Alliance
emaltby@comcast.net; 413-427-7323


11 Organic Organizations submit complaint to B Lab against Danone North America

November 8, 2021

Dan Osusky
Director of Standards, B Lab
15 Waterloo Avenue
Berwyn, PA 19312

RE:  Complaint against Danone North America

Dear Mr. Osusky,

Eleven organic farm and consumer organizations, Northeast Organic Farming Association of Vermont, Northeast Organic Farming Association of New Hampshire, Northeast Organic Farming Association of New York, Inc., Maine Organic Farmers and Gardeners Association, Northeast Organic Dairy Producers Alliance, Maine Organic Milk Producers, Western Organic Dairy Producers Alliance, Organic Farmers Association, Organic Consumers Association, Cornucopia Institute, and Real Organic Project, submit a complaint against Danone North America (Danone N.A.), owner of Horizon Organic regarding a violation of the B Corp Declaration of Interdependence. We request that the B Lab conduct a full investigation on this matter.

As you know, all B Corporations must commit to incorporating the following declarations into their business practices:

  • That we must be the change we seek in the world.
  • That all business ought to be conducted as if people and place mattered.
  • That, through their products, practices, and profits, businesses should aspire to do no harm and benefit all.
  • To do so requires that we act with the understanding that we are each dependent upon another and thus responsible for each other and future generations.

Complaint Details
In August 2021, Danone N.A.’s wholly-owned subsidiary, Horizon Organic, ended its contracts with 89 Northeast organic dairy farms.  These family farms had maintained their portion of their supply contract for Danone N.A., yet Danone N.A. ended these contracts simply because the farms no longer fit their “manufacturing footprint.” This massive exit by Danone N.A. from the northeast region has severely hurt these farm families and the region’s rural economy and is a direct violation of the B Corp Declaration of Interdependence.   Danone N.A.’s conduct must be investigated, and we recommend removing their B Corp status.  This corporate behavior diminishes consumer confidence in the value of the B Corp label.  If you do not take effective action, consumers will lose trust in your value-based label.  Recently nine organic organizations submitted a petition with over 15,000 signatures to Danone N.A. calling Danone N.A. to reverse their decision. The public is watching this egregious corporate action and highlighting the incongruity with B Corp claims.

Horizon Organic has supported the growth and viability of small, organic family farms in the Northeast region for over two decades. These family farms have helped build the reputation and value of the Horizon Organic brand and have contributed substantially to the bottom line of both Horizon and Danone N.A. The 89 farm families’ dairy farms are thriving independent businesses that make substantial contributions to their rural economies and communities.  Horizon Organic’s support of family farms, like the 89 in the Northeast, is part of the business model that put Danone N.A. in a position to qualify as a B Corporation.  B Corp meticulously outlines three areas of social responsibility in its mission statement that B Corporations must embody.  These include corporate responsibility to their workers, the communities they serve, and the greater environment. Danone N.A., by abruptly ending contracts with 89 family farmers, has directly violated each of these responsibilities and we implore B Lab to investigate and take appropriate action.

Profits over People
Danone N.A.'s decision to abruptly sever contracts with an entire U.S. region affecting 89 family farms was one based solely on maximizing profits, regardless of the devastating consequences for their suppliers’ families and rural communities. This action ignores the decades of corporate profits gained from the work of these independent dairy farms and the social reputational benefits they helped the company earn from consumers.  This abrupt action directly violates a commitment to conducting their business as if people and place mattered.  It also violates Danone N.A.’s corporate declaration to aspire to do no harm and benefit all through their products, practices, and profits.

Danone N.A.’s 2020 corporate revenue of $27 billion gives them the flexibility to have planned for a regional exit that treated the 89 dairy farm families as if they and their communities mattered.  They have instead chosen to cause direct harm to these farmers and their rural communities in favor of Danone N.A.’s corporate profits.   Choosing not to invest in their family farmers is in violation of their B Corp commitment of “balancing profit with purpose” and “using business as a force for good.”

Profits over Community
Having thriving organic farms keeps rural communities vibrant and supports healthier communities.  Farmers rely on stable relationships with their buyers to be able to make decisions for their farm business, make financial projections for farm investment and modernizations, and pay off farm debt.  Danone N.A. misrepresented their commitment to their stakeholder organic farm suppliers; their decision to abruptly end contracts with all 89 farms from a whole region demonstrates that they are not committed to an interdependency with their stakeholders and do not take responsibility for the future generations of their organic dairy farm families.

This action has affected and will continue to impact the communities that Danone N.A. had supported through decades of committed business partnerships.  When organic dairy farms spend their profits locally, it benefits the entire community. For every dollar a dairy farm spends locally, about $2.50 in wages and other business transactions are contributed to the local, rural economy. Independent family dairy farms also create jobs off the farm in related sectors like sales and service, animal health, nutrition, ag input suppliers, lenders, transportation, accountants, and agronomists.  Research has demonstrated that one New York state cow is able to spread an extra $15,000 in economic revenue. Removing 89 family farms from rural communities in the Northeast in one fell swoop will have a drastic impact on the economic viability of these rural communities and the urban communities they serve.

Profits over the Environment
Organic dairy farms are important to the Northeast environment and to climate change mitigation.  These farms conserve open spaces, establish wildlife habitats, filter clean water, and conduct effective long-term carbon sequestration, and return nutrients to the soil.  Organic farmers exceed dairy farm environmental regulations, managing their pasture, manure, soil, water, and cows to be a part of a healthy agroecological system. Danone N.A.’s exit from the northeast is leaving these 89 organic dairy farms without a market, families are likely to be forced to either sell the farm or sell into the conventional dairy market--losing many of the environmental standards maintained under organic certification.

B Lab Must Follow Through on the Credibility of their Label
We understand that Alexa Harrison, senior public relations manager at B Lab U.S. & Canada, emailed Organic Insider on 10/26/2021 with the following message:

"B Lab (the entity that oversees the B Corp certification) has reviewed this situation internally and found that Danone North America is not in violation of the B Corp standards. B Lab’s standards were created to provide a framework for continual improvement and evaluation of positive impact and negative risk of a company’s social and environmental performance, transparency, and accountability throughout all aspects of their business. Our certification standards do not restrict a B Corp’s supply chain selections e.g. requiring a certain type of product from a certain type of supplier. Danone North America has been and continues to be a strong advocate for the B Corp movement, and while these decisions could impact a company’s score, it does not affect certification status."

We strongly encourage you to re-evaluate this decision with the evidence before you.  As consumers, Harrison’s response provides little confidence in the value of B Corp and its ability to ensure that its corporations stay committed to the B Corp Declaration of Interdependence.

B Corp claims that corporations operate in a framework of continual improvement of (social and environmental performance, transparency, accountability, etc.), which is why B Corp must make decisions on their members’ impacts on the supply chain, and violations of its declaration of interdependence.  When a B Corporation is clearly not improving but takes an action that harms those it has committed to treating with respect, B Lab must investigate and address those violations.  B Corp enforcement must be meaningful and set an example to other B Corporations of the seriousness of the social commitments the label embodies.

We call on B Lab to investigate and act on this decision by Danone N.A./Horizon Organic and send the message that B Corporation's status is credible and held accountable when a company acts in direct opposition to its B Corp commitments.  We encourage you to put Danone N.A.'s B Corporation status on probation until they reinstate the contracts of these 89 farms and invest in these communities that contributed to the success and social claims of Danone N.A.  If they will not do that, we ask that you revoke their B Corporation status.

Sincerely,

Northeast Organic Farming Association of New York, Inc.,
Northeast Organic Farming Association of Vermont,
Northeast Organic Farming Association of New Hampshire,
Maine Organic Farmers and Gardeners Association,
Northeast Organic Dairy Producers Alliance,
Maine Organic Milk Producers,
Western Organic Dairy Producers Alliance,
Organic Farmers Association,
Organic Consumers Association,
Cornucopia Institute,
Real Organic Project

 

SUPPORTING DOCUMENTATION

 


Organic Organizations and Consumers Call on Danone North America to Stand by Northeast Organic Dairy Farm Families

 

 

October 26, 2021  Today, nine organic organizations representing organic farmers and consumers delivered two petitions with 15,234 signatures asking Danone North America, owner of Horizon Organic, not to leave the northeast and leave 89 dairy farm families without a market (a national petition includes 13,020 signatures and a state-focused Maine petition includes 2,214 signatures).

In August 2021, Danone North America notified 89 organic dairy farm families that they would be ending their contracts and pulling out of the Northeast U.S. market.  They have transitioned all their milk procurement to farther west in favor of larger farms.  Many of the affected farm families have been providing organic milk to Horizon Organic (owned by Danone N.A.) for decades and have been instrumental in building that successful brand with grass-fed family-farm organic milk.

While Danone, North America has invested in new processing facilities along the eastern U.S. for plant-based milk, they have failed to invest in a dairy processing facility that would continue to serve the large Northeast organic consumer market with local organic milk.  While they claim they will be saving transportation miles by procuring milk closer to their western NY dairy processing plant, they will be spending more miles in trucking cartons of milk to the large Northeast consumer markets.

Organic groups have requested a meeting with Danone North America to ask them to stay in the Northeast and invest in the region’s organic dairy farm families who are making great contributions to the local environment and local economies by running grass-based organic dairy farms.

“We have already lost many northeast family organic dairies over the past five years due to pressure from large organic dairies taking advantage of a regulatory loophole.  This exit by Horizon Organic mimics what we see happening nationwide and leaves our rural communities without a local source of organic milk.  Danone North America as a B-Corp should hold a stronger commitment to the region and the communities that provide their milk,” says Ed Maltby, Executive Director of Northeast Organic Dairy Producers Alliance (NODPA).  “We hope to meet with them and discuss opportunities to keep them in the Northeast region.”

“Consumers are looking for organic milk from local organic farms that feed the local economy and protect the community’s soil, air, and water,” says Melody Morrell, Executive Director of Cornucopia Institute. “B Corp companies have a social contract with their workers, customers, suppliers, community, and the environment. We believe Danone/Horizon must reconsider this mass exit from the region.”

Northeast Organic Farmers Association of Vermont, Northeast Organic Farmers Association of New York, Inc., Maine Organic Farmers and Gardeners Association, Northeast Organic Dairy Producers Alliance, Western Organic Dairy Producers Alliance, Organic Farmers Association, National Organic Coalition, Cornucopia Institute, Real Organic Project together ask Danone North America to meet with the northeast groups to find a better solution for the affected 89 farm families.

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Media Contact:

Ed Maltby, Executive Director, Northeast Organic Dairy Producers Alliance

emaltby@comcast.net; 413-427-7323