The Rural and Regional Affairs and Transport Legislation Committee has released its report on the National Organic Standard Bill 2024, which took 26 submissions from stakeholders into consideration to decide how to proceed with regulating organic products in Australia.
Introduced to Parliament on 19 November after months of organics industry groups warning about greenwashing and exploitation in the sector, the National Organic Standard Bill offered a framework for regulating the sale or importation of organic goods in Australia, and stronger opportunities for exporting organic products.
National Association for Sustainable Agriculture Australia organic general manager, Damien Rankine, said it was encouraging to see the breadth of political support for domestic regulation.
“The organic industry is lined up behind this essential reform as it will assure consumers that when they see ‘organic’ on a label it has strong legislation behind it,” said Rankine.
“It will protect our valuable customers and it will protect an industry that contributes more than $2.3b to the Australian economy each year.”
The Rural and Regional Affairs and Transport Legislation Committee spent the past two months examining the Bill, coming to the conclusion that although the committee recognises the need for better regulation of the organic industry, it does not recommend passing the bill without some key reform.
The report stated the committee agreed with submitters' concerns regarding the definition of ‘organic’, the scope of what would be covered under the proposed national organic standard, impacts on smaller operators, and the suitability of the proposed revenue threshold.
“The committee recommends that the Australian government works with industry and other stakeholders regarding the need for a domestic regulation for the organics industry, including through a scoping exercise led by the Department of Agriculture, Fisheries and Forestry,” stated the report.
“The committee believes that a properly designed regulation could be beneficial for import and export markets along with the domestic market and could provide additional consumer confidence in Australian organic produce.”
The need for a domestic regulatory regime was first identified in the early 1990s, and Australia is the only OECD country without a legal definition of the word ‘organic’, leaving the organics sector waiting in anticipation for tangible results.
Australian Organic Limited CEO, Jackie Brian, said the issues could be addressed with minor amendments to the Bill and called for government support for domestic regulation and a commitment on a timeline for implementation.
“The Bill would make the system simpler by aligning the rules for import, export and domestic sale. It also has the potential to open up valuable markets overseas,” said Brian.
“Some of our key trading partners require Australian producers to acquire their own certification. If Australia had domestic regulation the Australian government would have a powerful argument for equivalency arrangements. This would take costs out of the system.
“The certified organic industry has been lobbying for this change for many years. We look forward to working with all parties who have an interest in the prosperity of our industry and the truth that Australian consumers demand in labelling,” she said.
For further information, the Bill and Senate report are available here.
