4. Introduction
โ A way in which organic in Ontario is lagging behind many of its
provincial counterparts: the lack of organic regulation
โ Organic products in Ontario are regulated by the Canadian
Organic Regime
โ Only applies if those products cross provincial or national
borders. This means that any products produced, marketed,
distributed and sold just in Ontario are not liable to any
regulation or oversight of their organic claims
โ Contrast: Quebec, Manitoba, New Brunswick, Nova Scotia,
British Columbia and Alberta
4
5. Introduction
โ Hindering the growth of what could be a significantly more robust
and vibrant organic sector
โ Erodes consumer trust in honest organic businesses and
brands
โ Creates unfair competition in the marketplace for those
organic farmers who have worked hard to meet standards
โ With support in the form of Bill 54, Organic Products Act, 2018, an
opportunity now presents itself to introduce organic regulation in
Ontario to the benefit of the whole sector
5
6. Background
โ Bill 153, a Private Memberโs Bill (PMB) introduced while the
previous provincial government was in power
โ Introduced by NDP MPP Peter Tabuns and PC MPP Sylvia
Jones
โ Passed through 1st and 2nd readings but stopped because
of 2018 provincial elections
โ Bill 54, also a PMB, introduced on November 12th, 2018
โ Introduced by PC MPP Jim McDonell
โ Ordered to the Committee of the Whole House
6
7. Background
โ Regulation has received mention in the Office of the Auditor
General of Ontarioโs Annual Report 2019
โ Section 3.06 of Chapter 3 of the Report recognizes that
Ontario is an outlier with respect to regulation and
recommends that OMAFRA โconsider having organic food
produced and consumed in Ontario certified to the
federal Canadian Organic Standardsโ
7
8. Other Jurisdictions
โ It is helpful to look at how other provinces have structured
their regulatory schemes
โ Quebec
โ Had its own organic standard and still has a unique organic
brand, but has since adopted the federal standard
โ In 2015, the Quebec government announced a $9 million
growth strategy for the organic sector, including direct
payments for transition, promotion, and research
โ Regulation is enforced by the armโs-length agency CARTV.
This agency is jointly funded by the government and the
organic industry.
8
9. Other Jurisdictions
โ Manitoba
โ The Organic Agricultural Products Act, 2007, enforces the
federal standard
โ New Brunswick
โ The New Brunswick Farm Products Commission regulates
and enforces the Canadian Organic Standards
โ New Brunswick also subsidizes new farmers seeking
organic certification up to 70%, to a maximum of $500 per
operator over three years, provides up to $4500 for training
and covers up to 60% of organic consulting fees
9
10. Other Jurisdictions
โ Nova Scotia
โ The Agriculture and Marketing Act enforces the Canadian
Organic Standards
โ Nova Scotia also supports organic farmers through transition
by subsidizing up to 2 years of transition by 70% to a
maximum of $500
โ Alberta
โ Under the Supporting Albertaโs Local Food Sector Act, 2018,
Albertaโs organic regulations require that any Alberta-made
products labelled as โorganicโ meet federal certification
requirements of the COR.
10
11. Other Jurisdictions
โ British Columbia
โ Under the British Columbia Food and Agricultural Products
Classification Act, provincial regulations are administered by
COABC
โ Two types of certification
โ COR
โ British Columbia Certified Organic Program (regional)
โ Risk assessment built in (frequency of inspections
is reduced alleviate monetary/administrative
burden)
11
12. Selection Criteria
12
Criterion Explanation
Legal Feasibility and Good
Governance
โ Constitutional
โ Align the correct actors
โ Align with the Bill
Economic Soundness and
Efficiency
โ Correct a market failure
โ Promote industry well-being
โ Promote efficiency
โ Prepare Ontario for emerging
market(s)
13. Selection Criteria
13
Criterion Explanation
Evidence-Based โ Align with our best evidence
โ Enable the collection of
information
โ Facilitate the use of
information
Political VIability โ Feasible in current political
climate
โ Palatable across party lines
14. Selection Criteria
14
Criterion Explanation
Fiscal Sustainability and Cost-
Effectiveness
โ Revenue neutral for
government
โ One-time expenditure
โ Contributes to long-term
surplus
โ Contributes to long-term cost
avoidance
Equitable โ Redistribute welfare in
equitable fashion
โ Target the outcomes of the
vulnerable or marginalized
15. Selection Criteria
15
Criterion Explanation
Administrative Efficiency โ Neutral for government
โ One-time agreement
โ Contributes to long-term
surplus
โ Contributes to long-term cost
avoidance
Compliance Promotion โ Promotes compliance with
standards
โ Enforces penalties for non-
compliance
16. Options
โ The Act still allows for the development of regulations for products like textiles,
cosmetics, cannabis and more. Certification to the COR would, however, would
be a barrier.
โ In each option, the provincial government is responsible for compliance
enforcement. A compliance enforcement protocol for Ontario has been developed
based on the Albertan and CFIA models.
โ Considerations include:
โ Administration
โ Compliance Enforcement
โ Labelling
โ Risk Assessment
โ Benefits & Challenges
16
18. Option 1: COR
โ Option 1 requires that all Ontario-made products marketed, labelled or
advertised as organic be certified to the requirements of the Canadian
Organic Regime
โ Administration
โ Ministry of Agriculture, Food and Rural Affairs (OMAFRA)
โ Organics Specialist out of OMAFRAโs Food Safety and
Environment Division
โ The division includes teams such as the Food Safety
Inspection Delivery Branch, the Food Safety Systems
Development Branch and Regulatory Compliance Ontario,
all three of which have responsibilities that intersect with
the regulation of the marketing and labeling of organic
products in Ontario
18
19. Option 1: COR
โ Administration
โ Ministry of Government and Consumer Services (MGCS)
โ Consumer Protection Ontario, enforces protection laws,
investigates violations and handles complaints
โ Vintners Quality Alliance (VQA)
โ Through an administrative agreement with MGCS,
the VQA enforces standards, controls use of terms,
promotes awareness, engages in public education,
audits for compliance, etc.
19
20. Option 1: COR
โ Benefits
โ Administrative ease
โ Compliance promotion
โ Challenges
โ Not equitable to small-scale
โ Not politically viable
20
22. Option 2: COR + Small-Scale
Exemption
โ Option 2 requires COR, except those products produced or processed by
โsmall-scale operations.โ Exemption of small-scale operations from
certification is based on the recognition that certification to the COR, as it
exists in its current form, is financially and operationally burdensome or
inefficient for operators without resources required to maintain certification.
โ Risk Assessment
โ What is an appropriate metric for โsmall-scaleโ designation?
โ Yearly revenue generated through organic sales?
โ The ratio of an operationโs sales that are direct-to-consumer?
โ Acres?
โ A combination?
22
23. Option 2: COR + Small-Scale
Exemption
โ Benefits
โ Equitable to small-scale (maybe, does not confer benefits)
โ Politically viable
โ Administrative ease
โ Challenges
โ Does not promote compliance
โ Not politically viable
23
25. Option 3: COR + Small-Scale-Led
โ Option 3 requires COR, except those products produced or processed by
โsmall-scale operations.โ Instead, small-scale operations may certify
under a self-regulation scheme such as:
โ Pledge/Self-Declaration
โ Peer Review
โ Administration
โ It is unclear who would spearhead the administration of self-
regulation schemes.
โ If the government, that is additional cost/burden
โ If another organization, that is additional burden
โ Labelling
โ Would require the creation of an additional label
25
26. Option 3: COR + Small-Scale-Led
โ Benefits
โ Equitable to small-scale (maybe, might not confer
benefits)
โ Politically viable
โ Challenges
โ May not promote compliance
โ Administratively burdensome
โ Customer confusion (additional label)
26
28. Option 4: COR + Small-Scale
Regional
โ Option 4 requires COR, except those products produced or
processed by โsmall-scale operations.โ Small-scale operations are
given the choice to certify to one of:
โ COR
โ A โvalid regional organic certificationโ program which is
accredited
โ Certification to the program involves lowered inspection and
surveillance intensity in exchange for use of the programโs logo
โ Administration
โ Option 1 + extra auditing of regional programs to ensure
compliance with best-practices
28
31. Option 5: COR + Ontario Organic
Program
โ Option 5 requires
โ COR (if crossing borders)
โ the creation of OOP (if Ontario only)
โ This would require the government to administer all aspects of new
OOP certification, including:
โ Compliance enforcement
โ Labelling
โ OOP regulations
31
32. Option 5: COR + Ontario Organic
Program
โ Benefits
โ Equitable to small-scale
โ Promotes compliance
โ Politically viable
โ Challenges
โ The most administratively burdensome
โ Must consider success of British Columbia and Quebec
against their history of programs pre-COR
32