National Organic Standard Bill 2024

High-Level Summary
The National Organic Standard Bill 2024 seeks to establish a legislative framework for a National Organic Standard, setting requirements for organic goods sold or imported into Australia to ensure consumer confidence and market growth.

Summary
The bill affects the sale and importation of organic goods in Australia by mandating that businesses selling organic produce obtain an organic certificate from an approved issuing body, valid for a 12-month period. An organic certificate is also required for importers, which must be obtained in the exporting country through a similar process matching the National Organic Standard. It allows certain exemptions, such as for businesses with an annual turnover of organic produce below $25,000, and provides a transition period of 3 years from the Bill's Assent. The bill makes the 'National Standard for Organic and Bio-Dynamic Produce' the domestic National Organic Standard and includes provisions for audits, compliance, and penalties for non-compliance. The bill also mandates an independent review after 6 years of operation. From the explanatory memo:
The Bill will: create a framework for regulating the sale or importation of organic goods, allow an exemption to the requirement to have an organic certificate if the annual turnover of organic produce does not exceed $25,000, and enable audit, compliance, and enforcement of the Bill.

Argument For
Normative Bases
  1. Non-Discrimination
  2. Consumer Protection
  3. Environmentalism

The National Organic Standard Bill 2024 is a necessary step for ensuring consumer confidence in organic products, as it addresses the lack of clear information that may currently impact consumer trust [Judgment]. By establishing a clear and consistent standard, the bill promotes transparency and honesty in the organic market, allowing consumers to make informed choices. Additionally, by setting a unified standard, the bill supports environmental sustainability by encouraging the production and importation of genuinely organic goods, which have a lower environmental impact than conventional products. Finally, the bill seeks to prevent market distortions caused by misleading labeling practices, thereby fostering fair competition and protecting consumers.


Argument Against
Normative Bases
  1. Propertarianism
  2. Utilitarian Ground Truth

While the National Organic Standard Bill 2024 aims to provide clarity and confidence in the organic market, it could impose unnecessary burdens on small businesses, particularly those that do not meet the $25,000 turnover exemption. The cost of obtaining certification and compliance could be prohibitive for small-scale producers, potentially driving them out of the market [Judgment]. Moreover, the requirement for certification might stifle innovation and diversity in organic farming practices, as producers may be forced to conform to a single standard rather than explore varied sustainable practices that might better suit local conditions or consumer needs. This could lead to a reduction in the overall well-being of producers and consumers, as the decreased competition and diversity may result in higher prices and less choice for consumers.


Date:

2024-11-19

Status:

Before Senate

Sponsor:

MCKENZIE, Sen Bridget

Portfolio:

Unspecified

Categories:

Consumer Protection, Agriculture, Trade Policy

Timeline:
19/11/2024

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