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Training Agenda

Why Certified Organic Matters Retail Training Australian Organic 18 Eton Street (PO Box 810) Nundah QLD 4012 (07) 3350 5716 www.austorganic.com. Training Agenda. Introduction – Who is AO & ACO Certified organic – What does it mean? Ethics & Social Policy Responsible Farming Non GMO

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Training Agenda

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  1. Why Certified Organic MattersRetail TrainingAustralian Organic18 Eton Street (PO Box 810) Nundah QLD 4012(07) 3350 5716www.austorganic.com

  2. Training Agenda • Introduction – Who is AO & ACO • Certified organic – What does it mean? • Ethics & Social Policy • Responsible Farming • Non GMO • Marketing claims – ‘organic’ and ‘natural’ • Trends Australian Certified Organic (ACO) is Australia’s largest and most recognised organic certification organisation.

  3. Who are we? Australian Organic • Australia’s largest organic body • Not-for-profit, member-owned organisation • Marketer, promoter, educator • Focuses on educating consumers about the difference between ‘organic’ and ‘certified organic’ Australian Certified Organic • Fully owned subsidiary of Australian Organic • Australia’s largest organic certification organisation • Owns Bud logo – most recognised organic logo amongst consumers • Operates in over 15 countries (Asia/Pacific focus) The Bud logo can be found on tens of thousands of products sold in Australia (the overwhelming majority of the certified organic industry).

  4. What does certified organic mean? • Operators certified to the ACO Standard are compliant to strict domestic and international requirements for organic production. • Non GMO • Free to range • Pasture fed • Socially responsible • Biodiversity and environmentally friendly • No animal testing • Grown free from synthetic pesticides, hormones and antibiotics • Free from petrochemicals, harsh surfactants, EDTAs • Free from synthetic food additives • Organic certification systems were set up in Australia to cut through marketing spin and ensure what you’re buying is truly organic. A certified organic logo represents regular auditingand spot checks to ensure compliance to the certification standard.

  5. Ethics & Social Policy • As per ACOS: • Operations deemed to contravene basic human rights or be involved in clear instances of social injustice shall not be certified • Operators shall not use forced or involuntary labour • Employees and contractors of organic operations have the freedom to associate, the right to organise, and the right to bargain collectively • Operators shall provide their employees and contractors equal opportunity and treatment and shall not act in a discriminatory way • Children employed by organic operators shall be provided with educational opportunities Image: Coolibah Herbs 1 in 3 shoppers will only purchase an organic product if it displays a certified organic logo.

  6. Responsible Farming • Management, protection and enhancement of biodiversity and environmental aspects on organic farming operations shall be a priority of certified operators. • Prohibited use of all disallowed inputs, pesticides, herbicides, antibiotics, hormones, GMOs. • Living conditions must consider the natural needs of animals for free movement, social behaviour, food, water, shelter, shade and direct unfiltered sunlight. • Cages are prohibited for all certified animals and animals within the organic production system. • Certified organic vs ‘Free Range’ • Certified operation: 1,500 birds per ha (set stocking system)2,500 birds per ha (rotational stocking systems) • National definition of Free Range: 31 March 2016: “The national definition of free-range will require hens have "meaningful and regular" access to the outdoors, and that the density of chickens outdoors must be no more than one hen per square metre (10,000 hens per hectare).”http://www.abc.net.au/news/2016-03-31/free-range-egg-definition-chickens-welcomed/7286772 Image: Barambah Organics The organic industry is worth $1.7 billion to the Australian economy and is growing by 15% year on year (2014).

  7. Non GMO • Consumer demand • Health concerns • Countries around the world declare Non GMO status ACO – Introduces Non GMO Certification • ACO has launched its own Non GMO Certification in August 2016 for the domestic market • New Non GMO logo can only be used in combination with ACO’s Bud logo • International consumer research (e.g. US) shows demand for clarity of Non GMO – consumers regard ‘Non GMO’ more important than organic certification, lack of knowledge towards ‘certified organic’ Image: Pipers Creek Grove Australia has the most organic land in the world with 22 million hectares in total (2014).

  8. Certified Organic vs Organic/NaturalWhat’s the difference? • ‘Certified organic’ is a regulated term in Australia – ‘organic’ and ‘natural’ are not. • ‘Organic’ / ‘Natural’ Marketing Claims • Consumer watchdog bodies (e.g. ACCC) do not monitor use of these words or similar (i.e. eco, pure, etc.) • Products are not produced under any standard / strict conditions • Does not have a formal definition – very misleading • The exception is the COSMOS Natural Standard, where the above items are defined. • Certified organic cosmetics: • 100% certified ingredients = 100% Organic (Bud logo) • At least 95% certified ingredients = Certified Organic (Bud logo) • 70-94.99% certified ingredients = Made with Organic Ingredients (ACO Cosmetics logo) ‘Certified organic’ is a regulated term under Australian law, unlike just ‘organic’ or ‘natural’.

  9. Trends As per the Australian Organic Market Report 2014 New organic products appeared in the marketplace over last three years: • Vitamins • Super foods • Cosmetics, personal hygiene • Dietary supplements • Hair care • Pet foods and pet products Opportunities for expansion: • Meat – beef, lamb, chicken, eggs • Fridge stable herbs and spices • Essential oils • Oils – coconut oil, olive oil • Dried fruit and nuts • Infant food and formula- baby food • Beverages – wine, coffee, juice 16% of shoppers started buying organic because of a health crisis.

  10. In 2014, 43% of respondents said their biggest barrier to buying organic was knowing you can trust it’s organic(down 5% from 2012).

  11. Thank you Australian Organic 18 Eton Street (PO Box 810) Nundah QLD 4012 (07) 3350 5716 | contact@austorganic.com www.austorganic.com

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