USDA Secretary Tom Vilsack has announced a new step to support farmers transitioning to certified organic production.
USDA expanded a crop insurance option to allow producers to purchase insurance coverage that better reflects their product’s actual value. Producers transitioning to certified organic production can now use the Contract Price Addendum to cover their crops at a higher price than traditional crops.
The Addendum allows farmers transitioning to organic production to ensure certain crops at their contract price rather than the published USDA Risk Management Agency price election.
RMA also expanded organic premium price elections to 57 crops, up from four in 2011, providing organic producers the option to protect their 2016 crops closer to the market value.
Barley, rice and wheat are among the crops for which organic price elections have been added. New additions for 2017 will include grapefruit, lemons and oranges.
The Secretary made the announcement at the White House during remarks to participants at the USDA Market Summit.
