Organic Farming in Germany - As of: February 2021 - BMEL
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ORGANIC FARMING IN GERMANY Contents 1. What does organic farming mean? 4 2. What about the quality of organic food? 6 3. EU legislation governing organic farming 8 4. Organic Farming Act 12 5. Inspection 13 6. Organic farms in Germany 14 7. Income situation 17 8. Support for organic farming 18 9. The “Organic Farming – Looking Forwards” Strategy 21 10. Bio-Siegel (German organic production logo) 23 11. Federal Scheme for Organic Farming and Other Forms of Sustainable Agriculture 24 12. Research 26 13. Federal Organic Farming Competition 27 14. Outlook 28 15. Links 29 2
ORGANIC FARMING IN GERMANY Dear Readers, Soil and water protection, biodiversity and animal welfare common goal. An important financing tool is the Federal – many consumers appreciate these key organic farming Scheme for Organic Farming and Other Forms of Sustain- issues and deliberately buy products that have the "Bio- able Agriculture (Bundesprogramm Ökologischer Landbau Siegel" – the German organic production logo – on them. und andere Formen nachhaltiger Landwirtschaft – BÖLN). Our ministry's 2020 Nutrition Report showed once again We have funded over 1,200 projects – with total funds that every second person looks out for the Bio-Siegel when amounting to 190 million euros – via the BÖLN alone. shopping. The turnover for organic products has almost doubled over the last ten years. This brochure is designed to give you an overview of organic farming in Germany and the support provided In the German Sustainable Development Strategy and the by our ministry. Because well-informed people can make coalition agreement, the Federal Government agreed to well-informed decisions. I hope you find this brochure an further expand organic farming with the goal of having 20 interesting read. percent of agricultural land farmed organically by 2030. This is ambitious, but with the right framework it should be With kind regards, feasible: with support and promotion, with research and in- centives. Our BMEL “Organic Farming – Looking Forwards” Strategy (Zukunftsstrategie ökologischer Landbau – ZöL) provides such a framework. Drawn up in cooperation with representatives of the organic food sector, scientists and the federal states, this strategy lays the foundation for further positive development of the organic sector. This includes, for example, the funding of research projects to close Julia Klöckner knowledge gaps. We are investing heavily to achieve this Federal Minister of Food and Agriculture 3
ORGANIC FARMING IN GERMANY This brochure gives a brief overview of organic farming in Germany. It presents statutory rules, organic farming asso- ciations as well as the development and support of organic farms. 1. What does organic farming mean? The guiding principle of organic farming is manage- → no utilisation of easily soluble mineral fertilisers, ment in harmony with nature. The agricultural hold- application of organically fixed nitrogen mainly ing is mainly perceived as an organism comprising in the form of manure or manure compost; green the components man, flora, fauna and soil. manuring with nitrogen-fixing plants (legumi- nosae) and use of slow-acting natural fertilisers; In its various forms, organic farming enjoys a long-standing tradition. Biodynamic farming was in- → preservation of soil fertility through intensive troduced in 1924 and the origins of organic-biological humus management; and environmentally-adapted farming also date back well into the last century. → varied and long crop rotations with many crop rotation links and intermediate crops; More than other methods of cultivation, organic farming aims to: → no application of synthetically produced chemical growth regulators; → achieve as closed a nutrient cycle on the farm as possible. The aim is for the farm to produce its → limited stocking density based on the area of land own feed and nutrients; available; → preserve and enhance soil fertility; → where possible feeding of animals on farm-grown feed, with as little feed as possible purchased from → keep animals in a manner conducive to their other sources; welfare. → generally dispensing with the use of antibiotics. In so doing, organic farming focuses on the following measures: Organic farming is specifically geared to sustainability. → no plant protection with synthetically produced chemicals, cultivation of less-susceptible varieties It achieves a particularly high level of conservation in suitable crop rotations, using beneficial species of natural resources, whilst having a range of positive and mechanical weed control measures such as effects on the environment, for instance: hoeing and flame weeding; 4
ORGANIC FARMING IN GERMANY Soil conservation Species protection Organic farming methods promote humus formation Organic farming promotes the diversity of flora and and soil biota. In the fields and meadows of organic fauna as it dispenses with synthetically produced farmers there is usually more biomass and increased chemical pesticides and has a low level of fertilis- microbial activity than in conventional farming. ation.Often, there are more species on organically Natural soil fertility also increases. Losses of topsoil farmed land than on conventionally farmed land. caused by erosion are largely avoided. Water conservation Animal welfare Organic farming generally does not pollute ground The principles of organic farming provide for wel- and surface waters with nutrients like nitrates as fare-oriented animal husbandry. Animals are allowed much as conventional farming. As it dispenses with sufficient exercise in the open air. Their housing synthetically produced chemicals, there is no input conditions are reviewed on a regular basis. of these pesticides into the soil. Since organic animal husbandry is related to the area of land available, normally no more nutrients accrue from manure and slurry than can be applied to plants on the farm’s own land without any difficulty. 5
ORGANIC FARMING IN GERMANY 2. What about the quality of organic food? Quality through the production Fewer ingredients, additives and process processing agents To determine the quality of a foodstuff, it is necessary An increasing number of consumers are subject to to measure and calculate the specific characteristics food intolerances. not only of the product but also of its production Organic foods often offer this group of consumers a and processing. However, science is still in its infancy significantly lower allergy potential as, under the EU when it comes to the objective assessment of prod- legislation governing organic farming, it is only ad- ucts from different production processes. missible to have a very limited number of ingredients, additives and processing agents in organic products. As the use of chemical and synthetic fertilisers and pesticides in organic production is banned, there are These are stated specifically in so-called positive lists. hardly any residues of these substances in organic With regard to additives alone, significantly less than products. This is repeatedly confirmed by investiga- the 320 additives possible under food law provisions tions carried out in the course of official food inspec- are currently admitted, and these only to a limited tions.Occasionally, however, organic products also degree and in respect of specific products. contain residues of pesticides, caused for example by drift from neighbouring fields under conventional In comparison with conventional foods, the number management, by pollution of the soil with persistent of substances which may be contained in the product pesticides, or by contamination with environmental is consequently many times lower. Some producer pollutants. associations limit the number of potential additives even further. An important aspect for consumers is that even the smallest quantities of these substances are usually listed individually on the packaging. This means that consumers are able to gain in-depth information and, via their choice of foods, to reduce the ingestion of additives. 6
ORGANIC FARMING IN GERMANY Ingredients Some studies show a higher content of vitamins, min- erals, trace elements and secondary plant substances in plant-based organic products. But there are also studies that show no significant difference between organic products and products from conventional farming. No conclusive assessment has been made. Organic food and organic vegetables, as a rule, con- tain less nitrate and fewer pesticide residues. Some tests indicate higher dry matter content of organic produce compared with conventional products. In some cases, the lower water content results in higher levels of value-enhancing ingredients in organic produce. Welfare-oriented animal husbandry and nutrition play a key role in the quality assessment of animal products from organic farming. Every animal is entitled to space, light and fresh air. Every animal is, therefore, granted access to outdoor runs and pasture land. Fully-slatted floors are prohibited in cattle, pig and sheep farming. Scientific studies No scientific studies have so far been conducted basis of the data provided by National Food Con- to determine whether the regular consumption of sumption Survey II. The results show that there is a organic food is generally more health-promoting connection between the purchase of organic foods than the consumption of conventional products. One and dietary habits and lifestyle. principle is clear: food must not jeopardise health in general. A study conducted by the Max Rubner Insti- Buyers of organic food eat healthier food, are fre- tute came to the following conclusion: “There is no quently non-smokers and are actively engaged in clear answer so far to the question whether buyers of sports. All in all, they pursue a lifestyle that can be organic food generally eat healthier food. classified as healthier than that of those who do not buy organic food. When it comes to buying food, fac- Therefore, 13,000 people of between 18 and 80 years tors relating to a healthy diet are just as important as of age have been characterized extensively on the altruistic criteria.“ www.orgprints.org/18055/ 7
ORGANIC FARMING IN GERMANY 3. EU legislation governing organic farming The EU legislation governing organic farming, The EU legislation governing organic farming pro- namely “Council Regulation (EC) No 834/2007 of tects consumers from deception and prevents unfair 28 June 2007 on organic production and labelling competition Europe-wide. All organic goods pro- of organic products and repealing Regulation (EEC) duced and sold in the European Union must meet the No 2092/91 and its detailed implementing rules standards set by this Regulation. The food designa- (Commission Regulation (EC) No 889/2008)”, lays tions are not permitted to be misleading either. down the precise production and manufacturing requirements for agricultural produce and foods labelled as organic products. Stringent production standards prescribed by organic farming must be Irradiation and genetic complied with. The control system accompanying the engineering entire production process and trade is risk-based. The legislation ties in with the basic guidelines of the In- ternational Federation of Organic Agriculture Move- It is prohibited to treat organic foods or feedstuffs ments (IFOAM), encompassing about 750 associations and the raw materials used for their production with from over 100 countries. In addition, a Regulation ionising radiation. laying down detailed rules for implementing imports of organic products from third countries (non-EU Genetically modified organisms (GMO) or their de- countries) has been adopted (Commission Regula- rivatives may not be used. The labelling threshold for tion (EC) No 1235/2008). the unintended presence of authorised GMO, which is normally 0.9 %, also applies to organic products. 8
ORGANIC FARMING IN GERMANY Detailed rules through → supplementary fertilisers and pesticides only if positive lists they are stated in specific positive lists; → using organically propagated seed and planting The EU legislation governing organic farming pre- stock. scribes exactly how producers and processors have to produce their commodities and which substances Animal husbandry they may use in the process. If a substance is not expressly authorised in so-called positive lists, it may → conversion provisions concerning farms and ani- not be used. The same applies to the use of ingredi- mals of non-organic origin; ents of non-agricultural origin. → stockfarming relates to the area of land available; In principle, all ingredients of agricultural origin must be organic; strictly limited exemptions are pos- → a general ban on keeping livestock tethered; sible for up to 5 % of the entire product. A sufficient volume of ingredients of organic quality is not always → livestock must be fed organically produced available. The EU legislation governing organic farm- feedstuffs; ing therefore allows the use of some ingredients from conventional agriculture if they are necessary for the → keeping animals healthy mainly by encouraging production of particular goods and if it can be proven their natural immunological defence; that they can neither be produced in the EU nor imported into the EU at the requisite organic quality. → regular controls and certification of origin for This applies, for example, to specific exotic fruits or organically-produced meat. some spices and oils. Ingredients which have not been produced organically must be listed in Annex IX to Aquaculture Regulation (EC) No 889/2008 or, in duly substantiated cases, the competent authority may have granted an The production of marine animals and seaweed is a exception. Only with an organic percentage of at least relatively new line of business in organic farming. It 95 % can the foodstuff be marketed as an organic had been developed because the targeted breeding product and be labelled with the German organic and husbandry of aquatic organisms (aquaculture) has production logo Bio-Siegel, the EU organic logo become increasingly important, also with regard to and other organic logos. If the organic percentage sea fisheries production, which must be distinguished of ingredients is less than 95%, the list of ingredi- from it. ents may refer to the organic ingredients subject to certain conditions. These products may not then be The aim of organic aquaculture is to safeguard the designated as organic (in German: “bio” or “öko”). Any production of prime quality products while minimiz- form of emphasis is not allowed. ing the strain on the aquatic environment. Detailed Community legislation has been in effect since 1 July 2010. As in organic farming in general, The EU rules contain the welfare-oriented husbandry takes top priority here, following key points: too. Wine Plant production The implementing Commission Regulation (EU) → conversion provisions concerning farms with No 203/2012 of 8 March 2012 has applied since plant production; 1 August 2012. It supplements Regulation (EC) No 889/2008 by rules governing organic wine-making. → preserving and increasing soil fertility through The Regulation, among other things, lays down rules special soil tillage and multiannual crop rotations; for specific approved organic wine-making practices. 9
ORGANIC FARMING IN GERMANY The following applies to the labelling of organic wine: Wine that has been produced since 1 August 2012 according to the new provisions may be designated as organic wine. In this case, the labelling with the EU organic logo, as in the case of all organic products, Labelling is mandatory. It is no longer permissible to use the previous indication “wine from organic production Pre-packaged foodstuffs from the EU bear the Eu- grapes” for this wine. ropean Union logo for organic production (or “EU organic farming logo”) on the packaging. The use of Wine stocks that were produced before 31 July 2012 the organic farming logo is optional for products im- and that meet the requirements of Regulation (EEC) ported from third countries. The code number of the No 2092/91 or Regulation (EC) No 834/2007 may competent control body and details about the origin continue to be marketed with the indication “wine of the agricultural raw materials of the products are from organic production grapes” until the stocks displayed next to the EU organic farming logo. have been exhausted. Insofar as it can be proven that the wine-making process used complies with the new The simultaneous use of state labels such as the Ger- Regulation (EU) No 203/2012, this wine may also be man Bio-Siegel and private logos such as those of the designated as organic wine coupled with the manda- growers’ associations is still permitted. tory EU organic logo. Inspection Under EU law requirements, organic products are subject to a comprehensive inspection system at all stages of the chain, ranging from the produc- tion of raw materials and processing to marketing. All market participants operating at any of these stages are generally inspected at least once a year to check they are complying with the EU legislation on organic farming. In Germany, these specific controls under the organic inspection system are carried out by private certification companies, which are in turn subject to state control. 10
ORGANIC FARMING IN GERMANY Third country imports Only listed products of these countries may be imported into the EU without specific marketing au- Another area with comprehensive rules is the imple- thorisation and placed on the market with a reference menting provisions for imports from third countries to organic production methods. This is subject to the (Regulation (EC) No 1235/2008). These rules are in- products having been inspected and certified by an tended to ensure that agricultural products and foods approved inspection body. from non-EU countries may only be freely marketed as organic products in the EU if these countries have In addition, the European Commission has recog- compliant or equivalent regulations regarding both nised for the purpose of equivalence a number of production rules and inspection measures. control bodies operating in third countries that are responsible for carrying out controls in third coun- The European Commission has already inspected and tries and issuing certificates. listed some third countries and their production rules and control systems. By including these countries in Annex III to Regulation (EC) No 1235/2008 (list of recognised third countries or third country list), the Revision of EU legislation on Commission has recognised that the production and organic production inspection rules for specific product categories in these countries are equivalent to EU legislation for organic farming. During a four-year period of intensive negotiations, the EU thoroughly revised the EU Basic Regulation on organic farming and, in 2018, issued Regula- tion (EU) No 2018/848 of the European Parliament and of the Council of 30 May 2018 on organic produc- tion and labelling of organic products and repealing Council Regulation (EC) No 834/2007. This does not, however, conclude the process of revising the EU legal framework for organic production. Instead, a large number of rules of application in more than ten implementing provisions and delegated legal acts still need to be adopted. These are currently the subject of intensive negotiations and are to be completed in good time prior to the new EU Basic Regulation on organic farming becoming valid. The entire new legal framework on organic farming was originally planned to apply from 1 January 2021. But negotiations on the implementing provisions have been considerably delayed, also as a result of the COVID-19 pandemic. To ensure the necessary legal certainty and predictability for business operators and authorities, the EU legislator therefore decided in November 2020 to postpone the date of entry into force of the new Basic Regulation by one year to 1 January 2022. The implementing provisions will also be based on this new date. 11
ORGANIC FARMING IN GERMANY 4. Organic Farming Act The Organic Farming Act (ÖLG) pools specific ex- Each inspection body must keep a list of the busi- ecutive functions in organic farming in Germany, nesses it inspects and publish this list on the Internet increasing the effective implementation of the EU for the competent authorities, economic operators legislation governing organic farming. The Organic and consumers. Farming Act was promulgated in the Federal Law Ga- zette on 15 July 2002 and was adapted to the amended The inspection bodies are not only required to pro- EU legislation governing organic farming by means vide the competent authorities with the necessary in- of a new wording that took effect on 1 January 2009. formation for these inspections, but are also obliged A further amendment to the ÖLG entered into force to inform each other. on 1 December 2013. It serves to clarify and supple- ment the changes in EU legislation in the area of Delegation of tasks from the Länder to the organic farming. These changes are concerned with private inspection bodies the publication of records and certificates of organic companies that are subject to the organic inspection The Länder may delegate specific inspection tasks system. Furthermore, the legal amendment enables wholly or in part to the inspection bodies operating a Land (federal state) authority competent for over- in the respective Land. seeing the activities of an inspection body for organic products, if it ascertains serious violations, to take The Länder are also entitled to delegate sovereign immediate action against the inspection body once tasks to private inspection bodies by transferring it has initiated the withdrawal procedure. The au- statutory powers. thority may temporarily prohibit the inspection body from carrying out the control activity in question in Among other things, the BLE is responsible for the its Land without having to wait for the outcome of nationwide authorisation, and withdrawal of au- the withdrawal procedure carried out by the Federal thorisation, of private, publicly approved inspection Office for Agriculture and Food (BLE). The provisions bodies. serve to strengthen the inspection system in organic farming. Compulsory checks in away-from-home consumption The Organic Farming Act comprises the following regulatory areas: The rules governing the inspections of away-from- home consumption for compliance with organic Reporting duties farming standards have not been harmonised throughout the EU. However, the Organic Farm- The Act stipulates that inspection bodies should, ing Act stipulates that community catering estab- whenever they ascertain in holdings irregularities or lishments, such as restaurants, staff canteens and violations as defined in the EU legislation governing large-scale catering establishments, are, if they organic farming, be required to notify the author- commercially market organic products, subject to the ity competent for the respective holding. This also inspection and labelling provisions of the EU legisla- applies to cases where the queried produce originates tion governing organic farming. from another EU Member State. As far as the infor- mation requirements in the case of other irregular- Provisions regarding penalties and fines ities are concerned, the Länder (federal states) have made their own separate arrangements within their Violations of the EU legislation governing organic competence for the monitoring of inspection bodies. farming are liable to one-year imprisonment or a fine of up to € 30,000. This applies especially to the fraudulent use of indications referring to organic production methods in the labelling and advertising of organic products. 12
ORGANIC FARMING IN GERMANY 5. Inspection Just like conventional products, organic products must comply with the provisions applicable under food and feed law. They are examined within the scope of the control mechanisms envisaged there. If products are to be presented as organic products, the inspection procedure under the EU legislation governing organic farming must also be carried out. In accordance with the EU legislation governing or- ganic farming, it is up to the Member States to decide whether they let government agencies carry out the inspection procedure alone or whether they opt for a state-supervised private system. The latter system operates in Germany. Due to Germany’s federal structure, the Länder au- thorities in charge of organic farming are responsible for implementing the provisions of the EC Organic Farming Regulation. They are also responsible for holdings as well as processors and importers at least the supervision of the 17 private inspection bodies once a year and more frequently, if necessary. The that have been publicly approved by the BLE and are inspected holdings must bear the costs of inspection. currently operating in the market. The inspection is primarily a procedural inspection supplemented by elements of final product inspec- Since 2012, the criteria for the accreditation of tion in special cases. Soil and plant samples are also inspection bodies have been put on a federally taken and residue analyses carried out on a random harmonised legal basis in the Ordinance on the basis and in all cases where there are reasonable Accreditation of Inspection Bodies pursuant to the grounds for suspicion. Act Concerning Organic Farming (ÖLG-Kontrollstel- len-Zulassungsverordnung). The currently approved The detailed rules implementing the EU legislation inspection bodies for organic products in Germany governing organic farming set out the minimum are listed at the website www.oekolandbau.de/ inspection requirements for agricultural holdings, service/adressen/oeko-kontrollstellen/. processors, stockkeepers, distributors and importers. The private inspection bodies control and monitor Accordingly, producers and processors must specify compliance with the EU legislation governing or- precisely what land, which buildings and which facil- ganic farming on the spot. An inspection agreement ities are used in production. Holdings are obliged to is concluded between the company or business that is precisely record and document all inputs and prod- subject to inspection and the inspection body. Com- ucts entering the holdings at all stages of processing. panies or businesses thus undertake to adhere to the Everything sold by the farm or holding must be re- EU legislation governing organic farming and agree corded in their books, what, how much and to whom. to the standard inspection scheme of the inspec- This guarantees the traceability of organic products tion body. The inspection body controls agricultural back to the producer. 13
ORGANIC FARMING IN GERMANY 6. Organic farms in Germany At the end of 2019, there were 34,110 organic-produc- Most organic farms in Germany have joined associa- tion holdings in Germany farming 1,613,834 hectares tions. In addition to the Bioland and Demeter asso- of land organically in accordance with the EU legis- ciations (the largest and oldest organic associations), lation governing organic farming. They account for there are also other associations such as Naturland, 12.9 % of all holdings, farming around 9.7 % of the Biokreis, Bundesverband Ökologischer Weinbau total utilised agricultural area (see Tables 1 and 2). (Federation for Organic Viticulture, ECOVIN), Gäa, Ecoland, Biopark and Verbund Ökohöfe. Table 1: Organic farming according to Regulation (EC) No. 834/2007 in conjunction with Regulation (EC) No. 889/2008 in Germany in 2019 Federal state (Land) UAA (ha) Farms 1) Organically Organic farms in farmed land total2) (organic area) (ha) 2) Baden-Württemberg 1,418,500 39,390 186,905 10,371 Bavaria 3,105,200 86,080 370,366 10,538 Brandenburg 1,317,500 5,250 174,253 959 Hesse 766,800 15,610 119,129 2,266 Mecklenburg-Western 1,349,300 4,820 169,033 1,020 Pomerania Lower Saxony 2,579,900 35,480 120,675 2,115 North Rhine-Westphalia 1,493,300 32,290 89,155 2,202 Rhineland-Palatinate 711,900 16,790 79,976 1,669 Saarland 73,900 1,110 13,412 267 Saxony 900,100 6,360 67,314 804 Saxony-Anhalt 1,161,400 4,230 105,642 621 Schleswig-Holstein 987,800 12,250 64,735 744 Thuringia 775,700 3,460 49,482 401 City-states in total 3) 24,500 830 3,757 133 Total 16,665,800 263,950 1,613,834 34,110 Percentages have been rounded to one decimal place. 1) For the reference year 2010 and subsequent years the lower limits for coverage by agricultural statistics were raised. Therefore the entire population of farms cannot be compared to the previous years’ figures. The effects of these changes on the total surveyed agricultural land are minimal. Farms without any agricultural land are not covered. 2) Including farms with less than 5 ha UAA 3) Berlin, Bremen, Hamburg Sources: reports by the inspection bodies in accordance with REG (EC) 834/2007 in conjunction with REG (EC) 889/2008 as of 31.12.2019; Federal Statistical Office 2019 land-use survey 14
ORGANIC FARMING IN GERMANY Representatives from organic farming associations, as the umbrella organisation of the entire organic organic food processors and organic trade founded sector. Some of the guidelines of German organic the “Bund Ökologischer Lebensmittelwirtschaft” farming associations are stricter than those laid down (BÖLW, Organic Food Industry Federation) in 2002 in the EU legislation governing organic farming. Federal state (Land) Share of the Share of the Land’s Share of the Share of the Land’s organic area organic area in organic farms in organic farms in in the UAA of the total German the farms of the the organic farms the Land (%) 2) organic area (%) Land (%) 2) in Germany (%) Baden-Württemberg 13.2 11.6 26.3 30.4 Bavaria 11.9 22.9 12.2 30.9 Brandenburg 13.2 10.8 18.3 2.8 Hesse 15.5 7.4 14.5 6.6 Mecklenburg-Western 12.5 10.5 21.2 3.0 Pomerania Lower Saxony 4.7 7.5 6.0 6.2 North Rhine-Westphalia 6.0 5.5 6.8 6.5 Rhineland-Palatinate 11.2 5.0 9.9 4.9 Saarland 18.1 0.8 24.1 0.8 Saxony 7.5 4.2 12.6 2.4 Saxony-Anhalt 9.1 6.5 14.7 1.8 Schleswig-Holstein 6.6 4.0 6.1 2.2 Thuringia 6.4 3.1 11.6 1.2 City-states in total 3) 15.3 0.2 16.0 0.4 Total 9.7 100.0 12.9 100.0 Percentages have been rounded to one decimal place. 1) For the reference year 2010 and subsequent years the lower limits for coverage by agricultural statistics were raised. Therefore the entire population of farms cannot be compared to the previous years’ figures. The effects of these changes on the total surveyed agricultural land are minimal. Farms without any agricultural land are not covered. 2) Including farms with less than 5 ha UAA 3) Berlin, Bremen, Hamburg Sources: reports by the inspection bodies in accordance with REG (EC) 834/2007 in conjunc- tion with REG (EC) 889/2008 as of 31.12.2019; Federal Statistical Office 2019 land-use survey 15
ORGANIC FARMING IN GERMANY For example, pursuant to the EU legislation govern- In Germany, the conversion of the entire holding is a ing organic farming, a holding may under certain prerequisite for support with public funds. circumstances only partially convert to organic farm- ing, whereas the organic farming associations always prescribe the total conversion of a holding. Table 2: Organic farms and organically farmed land in Germany Year Organically Total Share of Share of the Ø of UAA Support farmed area number organically organic farms per funds in (ha) of organic farmed area in Germany (%) farm (ha) million € farms in the UAA in Germany (%) 1994 272,139 5,866 1.6 1.0 46.4 1995 309,487 6,642 1.8 1.1 46.6 1996 354,171 7,353 2.1 1.3 48.2 1997 389,693 8,184 2.3 1.5 47.6 65.431 1998 416,518 9,213 2.4 1.7 45.2 38.908 1999 452,327 10,425 2.6 2.2 43.4 61.207 2000 546,023 12,740 3.2 2.9 42.9 61.154 2001 634,998 14,702 3.7 3.3 43.2 80.123 2002 696,978 15,626 4.1 3.6 44.6 98.437 2003 *) 734,027 16,475 4.3 3.9 44.6 109.576 2004 767,891 16,603 4.5 4.1 46.3 119.733 2005 807,406 17,020 4.7 4.3 47.4 129.092 2006 825,538 17,557 4.9 4.6 47.0 128.973 2007 865,336 18,703 5.1 5.0 46.3 119.398 2008 907,786 19,813 5.4 5.3 45.8 116.902 2009 947,115 21,047 5.6 5.7 45.0 143.583 2010 990,702 21,942 5.9 7.3 45.2 143.978 2011 1,015,626 22,506 6.1 7.5 45.1 148.161 2012 1,034,355 23,032 6.2 7.7 44.9 155.325 2013 1,044,955 23,271 6.3 8.2 44.9 160.704 2014 1,047,633 23,398 6.3 8.2 44.8 158.513 2015 1,088,838 24,736 6.5 8.7 44.0 2016 1,251,320 27,132 7.5 9.9 46.1 2017 1,373,157 29,395 8.2 11.0 46.7 2018 1,498,027 31,713 9.0 12.0 47.2 2019 1,613,834 34,110 9.7 12.9 47.3 *) From 2003 not completely comparable with previous years due to a change in the recording method in Thuringia. 16
ORGANIC FARMING IN GERMANY 7. Income situation According to calculations by the Johann Heinrich per MWU of € 28,139 . The average income of the von Thünen Institute, organic test farms earned, on organic test farms thus exceeded the income of the average, profits plus labour costs per man-work unit conventional reference farms by € 9,305 or 33 % (see (MWU) of € 37,444 in the 2019/20 marketing year. Figure 1). Thus, their income situation has not changed sig- nificantly compared with the previous year. Com- The accounting results of 485 organic farms and of parable conventional farms earned, on average, in 2,071 conventional reference farms were used for the the 2019/20 marketing year, profits plus labour costs 2019/20 marketing year (www.thuenen.de). Figure 1: Development of the income of organic farms and comparable conventional farms in Germany Profits plus labour costs per man-work unit (MWU) 45,000 Organic farms Ökobetriebe 40,000 konventionelleVergleichsgruppe Comparable conventional farms 35,000 30,000 Euro / MWU 25,000 20,000 15,000 10,000 5,000 0 96 96 97 97 98 98 99 99 00 00 01 01 02 02 03 03 04 04 05 05 06 06 07 07 08 08 09 09 10 10 11 11 12 12 13 13 14 14 15 15 16 16 17 17 18 18 19 19 0 02 19 /19 19 /19 19 /19 19 /19 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 /20 20 20 20 /20 /2 / 95 19 Source: Thünen Institute based on FADN data (Yr. 1995/96 – 2019/20) 17
ORGANIC FARMING IN GERMANY 8. Support for organic farming Grounds for support Legal foundation for support The production of organic products is very environ- Germany has therefore promoted the introduction mentally sound and sustainably conserves resources. of organic farming with public funds since 1989. Up Organic farming makes a significant contribution to to 1992, organic farming had been promoted by a climate change mitigation as well as to biodiversity variant of the EU extensification scheme that banned conservation and enhancement. It also safeguards the use of synthetically produced chemical fertilisers jobs in rural areas. and pesticides on the entire farm. In addition, animal husbandry had to adhere to basic rules of organic However, it also necessitates added management farming. effort in farming and greater labour intensity for the processing sectors. That is why organic products are Since 1994, the introduction and maintenance of more expensive than conventional foods. organic farming has been supported under the Länder programmes for rural development (RDPs). This It is especially difficult for holdings to make the support is currently based on the Regulation of the transition to organic farming as they may not market European Parliament and of the Council of 17 De- products as organic produce until after a conversion cember 2013 on support for rural development by the period. Moreover, new organic farms frequently have European Agricultural Fund for Rural Development to find new marketing channels for their produce. (EAFRD) (Art. 29 of Regulation (EU) No 1305/20131), 18
ORGANIC FARMING IN GERMANY on Delegated Regulation (EU) No 807/20142 Imple- to 231 million annually, opening up new financial menting Regulation (EU) No 808/20143 and on Imple- scope for the Länder since 2016. For the 2020 claim menting Regulation (EU) No 2016/6694 as amended. year, funds in the amount of 6 % have been redis- tributed to the 2nd pillar. According to a decision The requirements laid down in these Regulations are adopted by the Conference of Agriculture Ministers relevant for the structuring of this support in the EU of the Länder on 4 November 2013, the funds trans- programming period from 2014 onwards. The co-fi- ferred from the 1st to the 2nd pillar are to be used nancing of measures with EU funds is also based on only for the promotion of sustainable agriculture, these Regulations. particularly for organic farming, for area-based agri-environmental and climate protection measures, The Act on a Joint Task for the Improvement of Ag- for the strengthening of particularly welfare-oriented ricultural Structure and Coastal Protection (GAK Act husbandry methods and animal welfare and for the – GAKG) forms the national legal basis for support compensatory allowance in naturally less-favoured under the joint task, i.e. for the financial participation regions. These funds do not have to be nationally of the federal government in support measures. co-financed (100% EU funds). Under the GAK framework plan, the support for Under the so-called 1st Pillar of the CAP, direct organic farming is laid down in aid section 4 on payments have been tied more strongly to specific “market-adapted and site-adapted and ecologically environmental services as of 2015 and have thus been compatible land management” (under Measure B1). It “greened” considerably. Organic farming is exempt is implemented via support guidelines at Land level, from these greening provisions of the aforemen- due to the responsibility of the Länder for the imple- tioned EU Regulation since the requirements to be mentation of GAK measures. met by these farming practices go far beyond the provision of these environmental services. The national funds are therefore co-financed at a rate of 60 : 40 by the federal government and the Länder. The introduction and maintenance of organic farm- The maximum EU contribution rate is 75 % of the ing are supported with public funds from the EU, the eligible public expenditure (85 % in less developed re- federal government and the Länder. Under the GAK gions and in the outermost regions) (Regulation (EU) 2019 framework plan, support under the above-men- No 305/2013). tioned promotion guidelines is structured as follows: 4.5% of the direct payments under the 1st pillar have been redistributed to the 2nd pillar of the Common Agricultural Policy (CAP) since 2015, i.e. approx. € 226 1 Regulation (EU) No 1305/2013 of the European Parliament and of the Council of 17 December 2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) and repealing Council Regulation (EC) No 1698/2005 (OJ EU No L 347 of 20 December 2013 p. 347). 2 Commission Delegated Regulation (EU) No 807/2014 of 14 March 2014 supplementing Regulation (EU) No 1305/2013 of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) and introducing transitional provisions. 3 Implementing Regulation (EU) No 808/20014 of 17 July 2014 laying down detailed rules for the implementation of Regulation (EU) No 1305/2013 of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD). 4 Commission Implementing Regulation (EU)No 2016/669 of 28 April 2016 as regards the amendment and the content of rural development programmes, the publicity for these programmes, and the conversion rates to livestock units. 19
ORGANIC FARMING IN GERMANY Table 3: Promotion of organic farming methods under the GAK 2018-2021 compared to 2013-2016 Type of culture Payments per hectare Introduction 2013 Introduction Maintenance 2013 Maintenance since 2015*) since 2015*) Vegetable 480 € 590 € (+23 %) 300 € 360 € (+20 %) growing Arable land 210 € 250 € (+19 %) 170 € 210 € (+24 %) Grassland 210 € 250 € (+19 %) 170 € 210 € (+24 %) Land under permanent crops 900 € 950 € (+6 %) 720 € 750 € (+4 %) or nursery crops *) The calculation of the payments took account of the deduction of the amount necessary in order to exclude the double funding of greening requirements. Under EU legislation, the payments are granted to Hence the GAK provides the framework for the compensate farmers for all or part of the additional setting of the premiums. The premiums set out in costs and income foregone due to special manage- the support guidelines of the Länder are decisive ment requirements. and can be accessed on www.oekolandbau.de/ landwirtschaft/umstellung/ablauf-und-planung/ Since 2015, support rates under the GAK have foerdermittel/ amounted to € 250 per hectare of arable land and grassland for holdings embarking on organic farming GAK also promotes the improvement of the process- and € 210 per hectare for holdings that maintain ing and marketing of quality products, including or- organic farming. This corresponds to an increase of ganically produced agricultural products. The support 19 % (introduction) and 24 % (maintenance) as com- covers the following measures: foundation of and pared with 2013. Holdings that participate in the con- actions taken by producer groups, investments for the trol procedure under the EU legislation on organic processing and marketing of agricultural products farming can receive an additional € 50 per hectare, up (quality products) and co-operations (collaboration). to a maximum of € 600 per holding. The Länder may The grant recipients, the eligibility conditions and the increase or lower the amounts listed in Table 5 by up subject of the support scheme are explained in aid to 30 %. section 3 “Improving the marketing structures” of the GAK framework plan The premiums are set by the Länder, within the scope www.bmel.de/DE/Landwirtschaft/Foerderung- of their competence for the implementation of the Agrarsozialpolitik/GAK/_Texte/GAK-Rahmenplan. GAK measures, against the backdrop of political pri- html orities and the available Land budget funds. 20
ORGANIC FARMING IN GERMANY 9. The “Organic Farming – Looking Forwards” Strategy Organic farming is a particularly resource-conserving and environmentally friendly type of farming geared towards the sustainability principle. The federal gov- ernment therefore supports the extension of organic farming in Germany as a full partner of the general farming sector. Consumer demand is rising, as seen in the dynamic market development. German organic producers cannot fully meet this demand. To boost growth in the organic agri-food sector, the Federal Ministry of Food and Agriculture (BMEL) initiated the “Organic Farming – Looking Forwards” strategy in 2015. Objective The strategy is intended to help address resource policy challenges in agriculture and identify addi- tional development prospects for farm operators in Germany. The selection of these areas of action is were set up at the beginning of the strategy process. pragmatically orientated around the key question of Each working group included representatives of prac- what can be done by policy makers at national level, titioners, public servants, advisers and scientists. The to make it possible in the medium term to achieve strategy first evaluated the status quo, specified the the target of “20 % organic farming“ that is enshrined concrete need for action and designated sub-goals in in the federal government’s sustainable development each case. After that, a list with existing and potential strategy.6 The principal focus is on creating an appro- new measures was drawn up for each line of action. priate policy framework for the relevant economic Detailed strategies were then developed for measures operators. In addition, it provides an overview of that were particularly relevant or worthy of intensi- the removal of barriers between organic and con- fying. The individual work steps were taken in close ventional methods of production, progressing from consultation with an advisory committee, whose coexistence to interaction. members included scientists and representatives of associations. In addition to that, two conferences were held during the strategy process, where interim The process results were presented and put up for discussion. Overall, some 200 persons were actively involved in The strategy was developed jointly with representa- drawing up the forward-looking strategy. The Johann tives of the organic food sector, with the federal states Heinrich von Thünen Institute, a departmental re- and with scientists. To sound out design options for search institution of the BMEL, was commissioned to stronger growth, different thematic working groups design and coordinate the workflow. 6 German Sustainability Strategy, 2016 version, page 68 21
ORGANIC FARMING IN GERMANY Core contents There are five lines of action at the centre of the The 24 action strategies that are assigned to the re- “Organic Farming – Looking Forwards” Strategy. They spective lines of action describe and specify the spe- were identified as national core areas for stronger cific instruments and approaches for achieving these growth and they address core challenges of the or- objectives. Depending on the identified weaknesses, ganic sector: the respective solution strategies have highly vary- ing approaches for providing the organic sector with additional growth impetus along the entire value 1 designing a viable and adding chain: they include legal and financial support coherent legislative framework instruments, action to promote research, technology and knowledge transfer as well as other conceptual responsibilities of the federal government. They thus 2 facilitating access range from the problem-oriented continued develop- to organic farming ment of the European legislation governing organic farming, and stronger specialised guidance for agri- cultural enterprises that decide to convert to organic 3 fully utilizing and expanding farming, to potential support for staff canteens the demand potential planning to offer their guests more organic products in the future. 4 improving the productivity In December 2019, approx. 150 experts met to initially of organic farming systems assess the current situation with a view to evaluat- ing how the implementation status of the measures had progressed since the publication of the “Organic 5 rewarding ecological Farming – Looking Forwards” Strategy and discussing contributions adequately approaches to the further development and readjust- ment of measures. 22
ORGANIC FARMING IN GERMANY 10. Bio-Siegel (German organic production logo) The Bio-Siegel constitutes an important step in the The Federal Office for Agriculture and Food (Bun- development of the organic market in Germany. desanstalt für Landwirtschaft und Ernährung; BLE) in 53168 Bonn provides information for interested The label may be used on a voluntary basis. The un- market operators (bio-siegel@ble.de). derlying standard set by the EU legislation governing organic farming as well as the waiving of further pro- Since the announcement of the Bio-Siegel on 5 Sep- cedural steps such as the award or licensing proce- tember 2001, 6,049 users of the label have notified the dures permit broad use of the label, even for products information centre of the labelling of 90,114 products from other EU states and third countries. EU law does (as of 31/01/2021). not allow a state label that goes beyond the standard set by the EU legislation governing organic farming. Businesses from the processing and trade sectors, in particular, use the Bio-Siegel. The Bio-Siegel This label can be used to mark any unprocessed establishes transparency and reliable guidance for agricultural products or any agricultural products consumers in the maze of trademarks in the organic processed for human consumption that are subject to sector. the EU legislation governing organic farming as long as the prerequisites regarding the indications refer- The Bio-Siegel has provided the processing and trade ring to organic production methods under Article 23 sectors with an uncomplicated label that does not in- of the EU Basic Regulation on Organic Farming have terfere with competition and that contributes to the been met. This basically means that the products are reliable supply of a sufficient volume all year round. manufactured and controlled in accordance with the requirements of the EU legislation governing organic The Bio-Siegel can be used in addition to the EU farming. organic logo. As the Bio-Siegel is based on the EU legislation governing organic farming, it is fully subject to its inspection provisions. The implementation of inspec- tions falls within the competence of the Länder. On 15 December 2001, an Eco-labelling Act took effect to legally protect the Bio-Siegel. The Eco-labelling Ordinance, which is based on the Eco-labelling Act, entered into force on 16 February 2002. It lays down detailed rules regarding the design and use of the Bio-Siegel. The Eco-labelling Ordinance also expressly permits the option of affixing national or regional indications of origin in the immediate environment of the Bio- Siegel, for example the “Biozeichen” of Baden-Würt- temberg, Hesse and Rhön. The Eco-labelling Act was adapted to the amended EU legislation governing organic farming with effect from 1 January 2009. 23
ORGANIC FARMING IN GERMANY 11. Federal Scheme for Organic Farming and Other Forms of Sustainable Agriculture Aim Activities In 2002, the Federal Organic Farming Scheme was Since the start of the programme, more than 1,200 set up to improve the general conditions for organic research projects have been supported with a fund- farming. ing volume of some € 190 million. In addition, more than 50 measures, including a knowledge transfer The Scheme was extended to include other forms of and advanced training programme with several sustainable agriculture under a resolution adopted by hundred seminars for representatives of the entire the German Bundestag on 26 November 2010. value-added chain, were devised and implemented, while seven support guidelines provided support The Federal Scheme for Organic Farming and Other for approx. 2,500 companies at trade fairs, 183 infor- Forms of Sustainable Agriculture (BÖLN) aims at im- mation projects on organic farming and more than proving the general conditions for the organic agri- 680 holdings either in the lead-up to or during their food sector and other forms of sustainable agriculture conversion to organic farming. In the course of the in Germany and at paving the way for a well-balanced implementation of the “Organic Farming – Looking expansion of supply and demand. Forwards” Strategy since 2019, the main focus has been on strengthening organic value chains. Building on the identification of problems and devel- opment potential, the Scheme provides for support Both the composition of this coherent package of measures where growth can be efficiently boosted by measures of BÖLN and the concepts of the individual closing gaps in support. measures are continually adapted to take account of experiences and the changing conditions. A range of different measures for all areas of the pro- duction chain are included under this general aim: At the same time, the BÖLN scheme is the central from agricultural production, data collection, and funding instrument for the “Organic Farming – processing to trade, marketing and consumers. Looking Forwards” Strategy (see Chapter 9). Its main 24
ORGANIC FARMING IN GERMANY activities in this respect are focusing on the key activity further 12 projects, including 9 with German involve- areas “Facilitating access to organic farming”, “Exploit- ment. The projects started in late 2020/early 2021. ing and expanding demand potential” and “Improving the performance of organic agricultural systems”. Financial envelope The financial resources of BÖLN are also used to fund an ERA-NET (European Research Area Net- The programme was provided with around work). ERA-NET activities are designed to strengthen € 35 million annually for 2002 and 2003, € 20 million cooperation between national and regional research annually for 2004 to 2006, and € 16 million annually promotion institutions in the EU. respectively for 2007 until 2012. Since 2013, Within ERA-NET’s CORE Organic (Coordination of € 17 million per year have been made available. Un- European Transnational Research in Organic Food der the 2017 budget year, the title was topped up by and Farming Systems), transnational research pro- € 3 million to € 20 million. In the 2018 budget year , jects on organic farming and organically produced the BÖLN funds were raised to € 30 million. In 2020, foods are supported and coordinated. The CORE part of the expenditure for the office was for the first Organic ERA Net was established in 2004 under the time financed under another budget title. In the 2021 6th framework programme for research. 25 partners budget year, funds totalling € 33.38 are available for from 19 European countries are now involved in the BÖLN scheme. the research support network. A total of 45 trans- national research projects have been realized thus far, of which 34 involved German research institu- Office tions. In 2019, a joint announcement with ERA-NET SUSFOOD2 (SUStainable FOOD production and The BLE is charged with the implementation and consumption) on sustainable organic food systems execution of the Scheme. The Office for the Federal was published. The budget of the 21 funding part- Scheme for Organic Farming and Other Forms of Sus- ners from 18 countries/regions for this call amounts tainable Agriculture (GS-BÖLN) has been set up there to approx. € 9.5 million. Funding is provided for a for this purpose. 25
ORGANIC FARMING IN GERMANY 12. Research The Institute for Organic Farming is, as part of the Under the Federal Scheme, a significant part of the research concept, now one of 14 institutes affiliated funds will be used to support practice-orientated to the Thünen Institute. It is located at the Trenthorst research and development projects. site in Schleswig-Holstein. In addition, any thematically relevant invitations to The institute’s tasks include subjects relating to tender announced by the BMEL or other government organic farming and to the processing, safety and departments can also be used to fund organic farm- quality of organic food. A number of other research ing projects. The BMEL is pressing for tender offers institutes affiliated to the BMEL also deal with these for research projects, ERA-NET schemes, etc. to be subjects. The research is organised on an interdis- instigated at the European level. The BMEL supports ciplinary basis and meaningfully interlinked with transnational research projects on organic farming research activities related to the conventional agri- via the ERA-NET CORE Organic scheme. cultural and food industries. 26
ORGANIC FARMING IN GERMANY 13. Federal Organic Farming Competition Every year, the Federal Ministry of Food and Agricul- The awards are presented to a total of up to three ture stages the Federal Organic Farming Competition holdings or business co-operations and come with (BÖL) to reward innovative approaches in certain prize money of up to € 7,5007 per winner, i.e. a maxi- fields that have been successfully put into practice by mum of € 22,500 in total. organic farms. Information on the conditions for participation, the These approaches are intended to set an example to application areas and the application forms can be other organic farms, whilst providing incentives for accessed on the Internet at: conventional farms to switch to organic farming. www.wettbewerb-oekolandbau.de. Another objective of this competition is to increase the general public’s appreciation and understanding of organic farming as a particularly eco-friendly type of production. 7 de minimis aid in accordance with Regulation (EU) No 1407/2013 and Regulation (EU) No 1408/2013 of 18 December 2013 as amended by Regulation (EU) No 2019/316 of 21 February 2019 27
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