Home > Resource Centre > Publications > Publication

The organic products industry in Canada has been growing at a rate of 15-20% annually for the past 10 years and is now the fastest growth sector in agriculture. To bring regulatory consistency to organic food production, in September 2006, the Canadian Food Inspection Agency (CFIA) published proposed Organic Products Regulations.[1] The Regulations create a comprehensive regime for the regulation of organic agricultural products in Canada.  Interested persons who wish to comment on the draft Regulations have until November 20, 2006 to do so.

THE NEW ORGANIC REGIME

The Regulations have a two-fold purpose. First, they aim to protect domestic consumers against deceptive and misleading labelling practices. Second, they are intended to bring Canada's organic products regime into line with the agricultural requirements of its major trading partners, namely the European Union, the United States and Japan.

Under the new Canada Organic Regime (COR), a single Canadian standard will be adopted for organic agricultural products based on the following principles:

• crops and livestock must be produced in an ecologically stable way;
• soil fertility must be maintained;
• animals must be raised in a manner appropriate to their behavioural requirements; and
• synthetic fertilisers and pesticides must not be used.

At the present time, only British Columbia and Quebec, two of Canada's main organic producing and exporting provinces, have a regulated organic production system in place. Voluntary systems are used elsewhere throughout Canada. Under the new regime, British Columbia and Quebec will be able to apply for recognition as accreditation bodies and be integrated into the COR.

PROPOSED CERTIFICATION PROCEDURE AND LABELLING

The Regulations establish a third-party accreditation and certification system with national oversight by the CFIA. Only those producers who are certified in accordance with the Regulations will be able to use the "Canada Organic" and "Biologique Canada" logo in association with their products. Certification from an authorized certification body will also be required for producers of organic products who wish to market their products for export.

Applicants for certification of products will be required to document the substances used in their production, the manner in which the substances are used, the production methods employed and the control mechanisms in place to ensure compliance with the national organic standards set by the Canadian General Standards Board ("CGSB").[2]

The Regulations impose an organic content threshold on multi-ingredient agricultural products based on the CGSB standard. Such products must be composed of at least 70% organic products in order to qualify for certification. Only those products certified to contain 95% or more organic ingredients will be permitted to make direct organic claims. Products containing 70-95% organic ingredients will be required to insert additional language on the product's principal display panel identifying the percentage of each composite organic ingredient. Products containing less than 70% organic ingredients will be required to undergo an audit by a certification body and will be restricted to making organic claims in the product ingredient list only.

Although agricultural products will continue to be subject to the labelling requirements of the Food and Drugs Act and the Consumer Packaging and Labelling Act and their respective regulations, the Regulations will impose an additional layer of labelling requirements. In general, organic claims will be permitted on the product's principal display panel provided the product is certified in compliance with the CGSB standard. Producers will further be required to include the name and accreditation number of the certification body on their label or packaging.

IMPLICATIONS FOR ORGANIC PRODUCT IMPORTS INTO CANADA

Once the Regulations are in place, exporters of organic products to Canada will be required to remit an attestation along with the product, issued by the recognized competent authority in the country of origin. Products which do not meet the requirements of the Regulations may still enter Canada; however, they will not be permitted to make organic claims.

IMPLICATIONS FOR ORGANIC PRODUCT EXPORTS

No date has been set for the proposed Regulations to enter into force. However, the EU has set a deadline for all exporting countries of organic products to qualify for inclusion on its third country equivalency list by December 31, 2006 to preserve their market access. In order to qualify, Canada must be able to guarantee the application of rules equivalent to those set forth in the EU's rules on organic production and the effectiveness of its inspection measures as compared with those imposed in the EU Community market.[3] It is therefore likely that the Regulations will enter into force before the end of this year.

The proposed Regulations and CGSB standard are designed to secure Canada's continued access to the EU market by implementing a rigorous uniform standard which mirrors the EU's organic production rules and methods. It is also anticipated that the National Organic Program of the United States Department of Agriculture, which accredits Canadian certified bodies to certify Canadian organic producers for exports to the United States, will recognize the proposed Regulations once they come into force. Producers who currently ship to the United States are therefore expected to be able to continue exporting to that market.

[1].    Canada Gazette, Part I, Vol. 140, No. 35 (Sept. 2, 2006).

[2].    Producers of organic agricultural products will be required to comply with the production standards established in the Organic Production Systems - General Principles and Management Standards, CAN/CGSB-32.310-2006, and with the Permitted Substances List.

[3].    See Council Regulation (EEC) No 2092/91, 24 June 1991, on organic production of agricultural products and indications referring thereto on agricultural products and foodstuffs, OJ L 198, 22.7.1991, p.1, Art. 11.2.

 The purpose of this document is to provide information as to developments in the law. It does not contain a full analysis of the law nor does it constitute an opinion of Ogilvy Renault LLP or any member of the firm on the points of law discussed.

© Ogilvy Renault LLP 2006 - All Rights Reserved

 Back to Publications

Contacts

Penny S. Bonner
Toronto
416.216.6629
pbonner@ogilvyrenault.com
Profile

Alison G. FitzGerald
Ottawa
613.780.8667
afitzgerald@ogilvyrenault.com
Profile

Martha A. Healey
Ottawa
613.780.8638
mhealey@ogilvyrenault.com
Profile