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According to the National Onion Association (NOA), South Texas could soon lose its marketing order, and that will spell trouble for the entire onion industry. In fact, it could drive down prices and render grade standards moot, bringing down the entire domestic onion industry.
The marketing order is on the block to be terminated through USDA. But onion growers across the country can make a huge difference in this scenario by writing a note to the USDA to express concerns. The USDA has opened a comment period until Oct. 4, in which anyone can comment on a proposed termination of the South Texas Marketing Order.
So why should you be concerned? U.S. onion industry grading standards are governed by two marketing orders: the Idaho-Eastern Oregon Federal Marketing Order No. 958 (June 5-March 9) and the South Texas Onion Committee Federal Marketing Order No. 959 (March 10-June 4). Together, the orders impose grading standards on all imported onions for the entire year.
If the STOC order goes away, there’s a little over two months in which the proverbial floodgates open for imported onions with no restrictions on size or inspections, especially at the Texas border with Mexico, which sees massive imports into the United States.
“If it’s not there, it will open the floodgates for Canadian, Mexican, Chinese, Dutch, all kinds of onions coming in this country with no grade or inspection standards,” said NOA Executive Vice President Greg Yielding. “If it goes away, and a year from now growers in Texas say they want to reinstate the order, you won’t get the same protections because of trade agreements that the U.S. has engaged in through the years.”
The STOC’s order requires USDA to conduct a continuance referendum every six years. The USDA did just that last fall, in which only 57 percent of the STOC producers (representing 53% of onions produced) favored continuance. To continue, two-thirds of the producers voting, or those representing two-thirds of the volume produced needed to vote in favor.
All growers, packers and shippers will be affected negatively if this marketing order goes away. He is seeking help from throughout the industry to sway USDA Tom Vilsack to either keep the marketing order in effect or conduct another referendum.
Anyone can comment on the proposed termination by clicking HERE.
