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ERS Issues New Report on Organic Contracts

The report, "The Role of Contracts in the Organic Supply Chain: 2004 and 2007," details the extent and logic in contracting organic operations.

December 13, 2010

The Economic Research Service (ERS) report, "The Role of Contracts in the Organic Supply Chain: 2004 and 2007," details the extent and logic in contracting organic operations.

The report is based on survey data collected from certified organic processors, distributors, and manufacturers.  It found that contracts between handlers and suppliers is common due to the rise in demand for organic products.

Proof of certification was required in most contracts which outlined how high quality products would be delivered, prices paid (including flat rate and market price) and possible penalties for lesser quality product delivery.

Download a pdf version of the report.

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