2018 Farm Bill Primer: Specialty Crops and Organic Agriculture

2018 Farm Bill Primer: Specialty Crops and Organic Agriculture

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September 23, 2019
2018 Farm Bill Primer: Specialty Crops and Organic Agriculture
The 2018 farm bill (Agriculture Improvement Act of 2018,
among other market development and promotion initiatives.
P.L. 115-334) reauthorized and expanded existing programs
Programs in the Horticulture title supporting organic
and policies administered by the U.S. Department of
production further include market development and
Agriculture (USDA) supporting fruits, vegetables, tree nuts,
promotion, data collection, provisions related to USDA’s
and greenhouse and nursery products, among other
National Organic Program (NOP) and related programs,
specialty crops. A range of initiatives support specialty
and policies addressing organic import integrity.
crops, including market promotion, plant pest and disease
prevention, and public research. The 2018 farm bill also
Table 1. Farm-Level Data, Various Years, Specialty
reauthorized and expanded existing support for USDA-
Crops and USDA-Certified Organic Agriculture
certified organic agricultural production.

Farms
Sales
Product Category
(number)
($mil ion)
Industry Overview
All U.S. Agriculture (2017)
2,042,220
388,523
Specialty crops—defined as “fruits and vegetables, tree
Total crop sales
NA
219,813
nuts, dried fruits, and horticulture and nursery crops
(including floriculture)” (7 U.S.C. §1621 note)—account
Total animal products sales
NA
168,709
for roughly one-third of annual U.S. crop sales (farm level).
Selected Specialty Crops (2017)
For 2017, USDA reports that the value of farm level sales
Fruits, tree nuts, berries
109,994
28,581
of fruits, vegetables, and nursery crops totaled $64.7 billion
Vegetables, melons, potatoes
75,320
19,584
(Table 1). There are about 240,000 farming operations
growing more than 350 types of fruit, vegetable, tree nut,
Nursery, greenhouse, sod
46,970
16,174
flower, nursery, and other horticultural crops. Production is
Christmas trees, woody crops
10,559
386
concentrated in California, Florida, Washington, Oregon,
Subtotal
≈240,000
64,725
North Dakota, and Michigan. For some specialty crop
%Total U.S. agricultural sales (2017)
NA
16.7%
producers, obtaining USDA organic certification for their
%Total U.S. crop sales
NA
29.4%
crops may represent a viable business strategy. USDA
reports that farm sales from organic operations producing
Certified Organic Agriculture (2016)
crops that meet the definition of specialty crop (including
Crops, incl. nursery/greenhouse
11,187
4,193
maple syrup) totaled $3.4 billion in 2016 (most current data
Specialty crops (certified organic)
NA
3,430
available). Accordingly, USDA-certified organic crops
Fruits, tree nuts, and berries
4,540
1,407
account for about 5% of U.S. specialty crop sales.
Vegetables, mushrooms, herbs
NA
1,844
Nursery and floriculture
In addition to specialty crops, certified organic production
641
113
includes animal products (e.g., meat and dairy products)
Field crops
NA
763
and other field crops that fall outside the statutory definition
Maple syrup
331
65
of specialty crop (e.g., corn, soybeans, cotton, rice, etc.).
Other field crops
NA
763
USDA-certified organic agriculture accounts for a small but
Livestock, poultry, dairy products
6,835
3,361
growing share of the U.S. farming sector. For 2016, USDA
Subtotal
13,954
7,554
reports that farm sales of certified organic products totaled
$7.6 billion, spanning an array of plant and animal products
Source: CRS from USDA’s 2017 Census of Agriculture and USDA’s
2016 Certified Organic Survey. Sales data are farm-gate. Farm numbers
(Table 1). Leading organic commodities include milk,
may not be additive, as some farms produce multiple commodities.
eggs, broiler chickens, leafy greens, apples, meat products,
grapes, corn for grain, and hay. USDA reports there were
Provisions supporting the specialty crop and organic food
nearly 14,000 organic farms and ranches in 2016. Certified
sectors are not limited to the Horticulture title within the
organic production is concentrated in California, Florida,
farm bill. Included are provisions covering research and
Washington, Pennsylvania, Oregon, and Texas.
development grants (Research title), domestic nutrition
assistance (Nutrition title), technical and financial
Selected Horticulture Title Provisions
assistance for U.S. agricultural exports (Trade title), and
The Horticulture title (Title X) of the enacted 2018 farm bill
other provision within the Crop Insurance, Conservation,
contains many of the programs administered by USDA
Rural Development, and Miscellaneous titles. The text box
supporting specialty crop producers and U.S. farmers
on the next page provides a summary of select provisions.
engaged in USDA-certified organic agricultural production
Title X covers other programs not addressed here, including
(covering also animal products). Programs and policies
those supporting local food systems and hemp production.
supporting specialty crop producers include block grants to
states, support for farmers markets, data and information
The 2018 farm bill reauthorizes many of the USDA
collection, and education on food safety and biotechnology,
programs supporting specialty crop producers, including the
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2018 Farm Bill Primer: Specialty Crops and Organic Agriculture
Specialty Crop Block Grant Program (§10107) and the
development, such as the Specialty Crop Research
Specialty Crop Market News (§10101). Under the block
Initiative, which provides mandatory funding of $100
grant program, USDA provides grants to the state
million annually for grants to address critical industry
departments of agriculture to enhance the competitiveness
issues through research and extension activities (§7305). In
of specialty crops by supporting projects in marketing,
addition, the farm bill establishes an Emergency Citrus
research, pest management, and food safety. Market News
Disease Research and Development Trust Fund, extending
provides for data collection on specialty crop markets.
support and funding to address ongoing concerns regarding
Other reauthorized programs address research and
citrus disease (§12605). It further requires the Federal Crop
Selected Provisions in the 2018 Farm Bill
 Specialty Crop Market News Allocation. Reauthorizes
program supporting market data col ection. Authorizes $9
mil ion annually in appropriations through FY2023. (§10101)
 Specialty Crop Block Grants. Reauthorizes program and
provides mandatory funding of $85 mil ion annually, with
funding for multi-state project grants. (§10107)
 Agricultural Trade Promotion and Facilitation.
Consolidates into a single program USDA’s four market
development and export promotion programs, including the
Market Access Program and the Technical Assistance for
Specialty Crops program, among others. (§3201)
 Federal Crop Insurance, Specialty Crops. Requires the
Federal Crop Insurance Corporation to designate a specialty
crops liaison in each regional field office and provide contact
information to specialty crop producers. (§11105)
 Specialty Crop Research Initiative. Reauthorizes
mandatory funding of $100 mil ion annually through FY2023 and
makes other program changes. (§7305)
 Emergency Citrus Disease Research and Development
Trust Fund. Establishes a trust fund to extend support for
emergency research and extension involving citrus disease.
Provides annual mandatory funds of $25 mil ion. (§12605)
 Citrus Disease Subcommittee. Extends the citrus disease
subcommittee through FY2023 and changes the composition of
the subcommittee. (§7104)
 Acer Access and Development Program. Reauthorizes
appropriations of $20 mil ion per year through FY2023 to
promote the domestic maple syrup industry. (§12501)
 Marketing Orders. Requires imported cherries and pecans to
comply with marketing order grade, size, quality, and maturity
provisions or comparable restrictions. (§12503)
 Purchase of Fresh Fruits and Vegetables for
Distribution to Schools and Service Institutions. Extends
the requirement that USDA purchase additional fruits,
vegetables, and tree nuts for use in domestic nutrition
assistance programs. (§4202)
 Labeling Exemption for Single Ingredient Foods and
Products. Allows that the nutrition facts label of any single-
ingredient sugar, honey, agave, and syrup, including maple syrup,
bear the declaration “Includes Xg Added Sugars.” (§12516)
 Organic Certification. Makes changes intended to enhance
enforcement and limit program fraud and increases funding for
technology upgrades. Amends the eligibility and consultation
requirements of the standard-setting board. (§10104)
 Organic Production and Market Data. Reauthorizes
mandatory funding of $5 mil ion annually. (§10103)
 National Organic Certification Cost-Share Program.
Reauthorizes mandatory funding, rising to $8 mil ion annually in
FY2022-FY2023 to remain available until expended. (§10105)
 Organic Agriculture Research and Extension Initiative.
Reauthorizes program, and increases mandatory funding, rising
to $50 mil ion annually in FY2023. (§7210)

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2018 Farm Bill Primer: Specialty Crops and Organic Agriculture
Insurance Corporation to designate a Specialty Crops
methods through the integration of research and extension
Liaison in each regional field office and provide contact
activities. The enacted law expands mandatory funding for
information with specialty crop producers (§11105). Other
NOCCSP, which helps defray the cost of organic
commodity-specific provisions address maple syrup, honey
certification by authorizing USDA to reimburse a portion of
and related syrups, cherries, and pecans (see text box).
these costs. The farm bill further reauthorizes funding to
collect organic production and market data (§10103).
The farm bill addresses trade issues involving both
specialty crops and certified organic agriculture through the
The 2018 farm bill further makes changes to NOP and
Agricultural Trade Promotion and Facilitation Program,
related programs. These changes address concerns about
which merged several existing trade programs, including
organic import and product integrity by strengthening data
those that provide technical assistance for specialty crops as
collection and investigation of organic products
well as export promotion assistance through the Market
(incorporating provisions initially introduced in H.R. 3871,
Access Program (§3201). Finally, the farm bill reauthorizes
115th Congress). It further amends the eligibility and
the requirement that USDA purchase additional fruits,
consultation requirements of the National Organic
vegetables, and tree nuts for use in domestic nutrition
Standards Board, among other related changes (§10104).
assistance programs, among other Nutrition title provisions
The enacted law reauthorizes NOP appropriations above
that indirectly benefit specialty crop producers (§4202).
current levels and provides for certain technology upgrades.
Additional Support for Organic Farming
Considerations for Congress
The 2018 farm bill contains a number of provisions
USDA is currently implementing provisions in the 2018
expanding existing program support for certified organic
farm bill. Congress could continue to track USDA’s
agriculture. It reauthorizes several programs, including the
progress in implementing these provisions as part of its
Organic Agriculture Research and Extension Initiative
general oversight of the 2018 farm bill.
(OREI) (§7210) and the National Organic Certification
Cost Share Program (NOCCSP) (§10105). Under OREI,
Renée Johnson, Specialist in Agricultural Policy
USDA provides grants to facilitate the development of
IF11317
organic agriculture production, breeding, and processing

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