Bennett markets organic grains
By ROWENA PLETT
Staff writer
Harry Bennett of Marion spends a lot of time on the telephone. Working out of his home office at 1761 Remington Road, he is the market coordinator for the Kansas Organic Producers Association (KOPA).
The organization is a farm cooperative encompassing seven states including Kansas, the surrounding states, Texas, and Utah. Herb Bartel of Hillsboro and Doug Sharp of Marion are two of approximately 100 members.
The cooperative sells organic small grains to two types of buyers: those who process and/or use the grain for livestock consumption and those who process it for direct human consumption such as organic flour or in the case of food grade soybeans, for tofu and soy milk.
The other officers of the cooperative also work out of their homes, eliminating the bricks-and-mortar expenses of an office headquarters. Earl Wright of Council Grove is the marketing director. The general manager lives in Goff and the accountant lives in Bremen.
Lawyer Steve Boyda, husband of state representative Nancy Boyda, provides legal services.
As a marketer, Bennett helps producers connect with buyers and ensures that they get paid.
Bennett began his job in November 2004, shortly after he and his wife Margie returned from a two-year stint in Belize, Central America, as Peace Corps volunteers.
He dabbled in organic farming after he purchased the small acreage west of Marion in the 1970s. He joined the association in 1979 and used a 25-acre field to learn about organic production, dividing the land into five-acre tracts in various stages of rotation.
At that time, there was no established certification process for organic producers, and the demand was small.
From 1980-1984 and 1988-1992, Bennett served on the board of directors. In 1991, the association was chartered as a corporate marketing cooperative.
Bennett said the organic sector has seen 20 percent growth in each of the past five years and now has approximately two percent of the ag production in this country.
"We are the only thing that recognizes supply and demand," he said.
In most cases, the demand for organic products outpaces the supply. Because of the labor-intensive nature of organic production, few farmers go that route. As a result, many organic products are being imported.
According to an organic soybean producer from Iowa, more production of organic feed grains is desperately needed.
"The organic livestock industry is exploding," he said. It grew by 30 percent this past year while organic feed grain production increased only eight or nine percent.
The certification process
Members of KOPA are certified organic to produce specific products. Certification is provided through agencies or companies accredited under USDA's National Organic Program, which was established in 2002 to set the standard for organic products.
In order for a farmer to seek certification, he must have had no prohibited substances such as chemical fertilizers and pesticides applied to his land for three years.
After an application is submitted, an inspector visits the farm to review the farmer's records and see when, what, and where a crop was planted.
The farmer has to have a fertility plan in place which includes crop rotation, planting legumes between crops, or adding organic fertilizer.
The inspector conducts an interview, and asks the farmer to sign an inspection affidavit before a final review and certificate is issued.
The certificate is specific to a particular piece of ground and a particular product. The farm is inspected every year for compliance.
"Certification depends 90-100 percent on the integrity of the producer," Bennett said.
In some cases, such as soybeans, there is a quick way to check for genetically-modified organisms (GMO), he said. The buyer retains the right to test the soybeans and reject them if traces of GMO are found.
The buyers
Every day, Bennett talks with producers and buyers from all over the country.
On one particular day, Bennett received a phone call from an agent for Dakota Beef in Sioux Falls, S.D. The company was in the market for organic oats for their feedlots in Iowa.
Bennett informed the agent that two semi-loads of oats were available. She was interested but requested a sample of the oats before making the purchase.
A flour mill in North Carolina purchases 150,000 to 200,000 bushels of organic wheat from KOPA each year for making organic flour.
According to Bennett, in Utah, Mormon farmers have large-scale organic wheat operations. Other such operations are scattered throughout the seven-state region.
A soybean mill in Sabetha processes organic beans delivered by farmers to be made into organic meal for organic poultry producers and dairies.
This past winter, six rail cars of organic feed corn were sent to the West Coast from Nebraska.
A customer in Pennsylvania uses organic milo and millet to produce organic dog food.
Some organic grain is sold at Whole Foods in Kansas City and the Community Mercantile at Lawrence.
Bennett said the association likes to recruit two or more farmers from the same area who are producing the same product. That facilitates the marketing process.
For example, around Scott City, three farmers are certified to grow organic grain. After harvest, when a buyer is found for the grain, a train car is consigned to be parked on a side rail in the area, and the farmers deliver the grain to the car, so it can be delivered to the buyer. They sell certified milling wheat, feed wheat, and feed corn.
Beating the competition
KOPA isn't the only entity marketing certified organic grain. The association competes with brokers.
Bennett said brokers take a six percent marketing service fee right off the top. But his association takes its fee from the return on the final product.
"Because we are farmer-owned, we are farmer sensitive," he said. "We make sure farmers know what comes out of their grain to produce the final product."
KOPA belongs to OFARM, a consortium of seven cooperatives throughout the country.
Managers of the co-ops connect in a conference call every two weeks and meet twice annually to discuss the market and determine prices to be paid to their producers.
Although the price for organic grains can be double or more that of conventionally-produced grains, the size of the premium depends on the quality of the end product, and the process requires a good rotation system, manual weed control, and strict record-keeping.
"Ultimately, it's about what is best for the soil," Bennett said.
Is organic produce next?
The association is looking for farmers to produce organic sweet potatoes. Bennett said the climate is ideal, sandy loam soils are abundant, and the crop can thrive with a minimum of moisture.
This past year, at least 7,000 pounds of sweet potatoes were grown on three one-acre plots owned by Kansas State University and sold to distributors in Denver and Kansas City. This year, 16 acres in Kansas are in production.
"There's no place on earth like the Midwest for agricultural production," Bennett said. "This is a gift and, sad to say, we haven't been the best stewards of it."
American consumers spend an average of 10 percent of their wages for food. Bennett would like to see them willing to spend more for food out of each dollar they earn, so that they, the earth, and conscientious feed and food producers all could thrive.