Organic Poultry: Markets and Production Holly Born NCATATTRA

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Organic Poultry Markets and ProductionHolly
BornNCAT/ATTRA
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Organic Poultry Production in the USA
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Organic Poultry Production in the USA
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Organic Poultry Meat Market

• Organic is about 1 of the US poultry meat market
• Poultry is fastest growing meat product
• Market size estimated at 46 million
• Annual Growth estimated at 33 through 2008

Source Organic Trade Assn.
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Organic Poultry Meat Companies

• Petaluma Poultry (CA) Rosie brand first
  certified poultry in USA
• Goldn Plump (MN) North Country Farm brand
• Tyson (AR) Natures Farm brand
• Organic Valley (WI) Valleys Organic Meats
• MBA Poultry (NB) Smart Chicken brand uses
  air-chill process
• Eberly (PA)

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Organic Poultry Egg Market

• 70 million in 2003 mass market sales
• Annual growth about 29
• Markets include Fresh and Processed eggs
• Manufacturers focus on dried whole egg powder and
  frozen whites
• Growing trend of nutritional modifications of
  eggs high Omega-3 fatty acid content

Source Food Marketing Institute
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Organic Poultry Market Info Fresh Eggs

• Specialty (Organic, Low Fat, High Omega-3) make
  up 5 of US egg consumption
• Organic estimated at 1 of egg consumption
• Significant direct-to-consumer sales
• Major companies include
• Horizon, Organic Valley,Egg-Land,Chino Valley
  Ranchers,Egg Innovations

Source Iowa Department of Agriculture and Land
Stewardship Study
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Organic Poultry Market Info Processed Eggs

• Estimated less than 10 of organic eggs sold for
  processing
• Eggs used as ingredients no consumer demand for
  processed egg products
• Manufacturers forecast slight growth in their
  demand for eggs
• Major suppliers Primera Foods, Organic Valley

Source Iowa Department of Agriculture and Land
Stewardship Study
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National Organic Program Rules for Poultry

• Poultry must be raised under organic management
  from second day of life
• Breeds must be appropriate for the organic
  production system
• Slower-growing meat breeds may have fewer leg
  problems
• Hardiness, ability to forage may be important
• Alternative breeds may be difficult to produce
  profitably

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Sample Price Data from USDA-AMS
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National Organic Program Rules for Poultry

• Must provide environment that accommodates health
  and natural behavior
• Shade
• Shelter
• Exercise areas
• Fresh air
• Direct sunlight
• Waste must be managed so as not to contribute to
  environmental contamination

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National Organic Program Rules for Poultry

• No cages allowed
• Lighting cant be longer than longest day of the
  year
• No stocking density limit or restriction on flock
  size
• Certifier evaluates system and decides whether
  density is appropriate
• Access to the outdoors must be provided

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National Organic Program Rules for Poultry
Access to the Outdoors

• No specific rules regarding space allowance,
  weather, temperature, or type of surface
• Certifier makes judgment on adequacy of outdoor
  access
• Indoor confinement must be temporary and
  justified due to
• inclement weather
• stage of production
• conditions under which health or safety are
  jeopardized
• risk to soil or water quality

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National Organic Program Rules for Poultry
Access to the Outdoors

• Wide range of production systems used today
• Examples
• Country Hen (MA) Porches wooden covered with
  pine shavings roofs are translucent plastic
  sides consist of plastic netting.
• Wholesome Harvest (IA) Rotational pasture based
  systems ultra low density small farms

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National Organic Program Rules for Poultry

• Only 100 organic feeds allowed
• Pasture must also be certified organic
• Soy meal must not be solvent-extracted
• No drugs to promote growth
• No antibiotics

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National Organic Program Rules for Poultry

• Vitamins and minerals permitted, prefer
  non-synthetic
• No animal by-products may be fed
• Fish and crab meal are allowed as feed
  supplements
• Must not contain prohibited substances such as
  ethoxyquine

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National Organic Program Rules for Poultry
Methionine Issues

• Currently DL-Methionine, DL-Methionine-hydroxy
  analog, and DL-Methionine-hydroxy analog calcium
  are allowed for use only in organic poultry
  production
• Will be forbidden after October 2008
• Methionine is most limiting amino acid in
  corn/soy diets
• Alternative sources Fish and crab meals, Potato
  protein, corn gluten meal, sesame meal
  (expelled), insects/worms on range
• Fish meals at needed levels may cause off-flavors

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Relevant Research

• Jason Emmert, U of AR
• Collaboration with NCAT, U of WV
• Slow growing breeds may not need supplemental
  methionine
• Research production and economics of these breeds
• Jacquelyn Jacob, U of MN
• Use alternative grains to provide methionine
• Testing non corn/soy formulations now
• www.misa.umn.edu/Other/poultryfeed.html

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National Organic Program Rules for Poultry

• Establish preventative health practices such as
  good nutrition, sanitation, healthy living
  conditions
• No antibiotics allowed
• Vaccinations are permitted
• Dont withhold treatment if needed, remove animal
  from organic program and treat
• Physical alterations (beak-trimming, etc)
  evaluated on case by case basis, no set rule

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Organic Poultry HealthCoccidiosis

• Drugs not permittedno medicated feeds
• Vaccinations permitted
• Management Focus
• Proper sanitation
• Provide healthy living conditions
• Frequent rotation of pastures

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Organic Poultry HealthFeather Picking,
Cannibalism

• Identified as a problem in European organic
  production
• Causes may include
• Nutritional deficiencies
• External parasites
• Pyrethrin/DE products
• Management Focus
• Provide healthy living conditions
• Dont overcrowd birds
• Minimize stressing birds

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Processing Issues

• On-farm processing can be certified
• Conventional processors can do organic processing
  runs
• May need to work with processor to support
  organic processing
• Many conventional sanitizers can be used if
  rinsed properly
• Chlorine is OK if residual chlorine rules
  followed
• Levels in water must not exceed maximums under
  Safe Drinking Water Act
• Chlorine must be 4ppm or less at the point of
  discharge
• Make sure shell egg sanitizers are NOP-compliant
• Most dish soaps are not

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NOP National List

• National List lists synthetics that are allowed
  and naturals that are prohibited
• Listed by use animal production, processing
  sanitizers, etc
• Materials must be permitted by FDA
• OMRI brand name list
• www.omri.org

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Sample Economic Data,Organic Eggs

• Dean Dickel, New Century Farm (WI)
• 3.10/bird to grow own pullets
• Fixed Costs 12-80,000 for egg-washers, coolers,
  building retrofits,refrigerated truck
• Production Costs 18.15/hen/year
• Per Dozen Eggs 82.5 cents
• Packing Delivery Costs 60-75 cents/doz.
• Cartons, boxes, UPC codes, labels, licenses
• Sourcewww.newfarm.org/depts/talking_shop/0303/umo
  c.shtml

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Sample Economic Data, Organic Broilers
Source www.ag.iastate.edu/farms/2001reports/nwall
ee/OrganicBroilerReport.pdf.
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NCAT/ATTRA Resources

• More Information on Sustainable and Organic
  Poultry Production
• Guidance for Becoming Certified Organic
• Information on All Aspects of Sustainable and
  Organic Farming
• 800-346-9140
• 7am-7pm Central Time
• www.attra.ncat.org