South Dakota grain dealer charged in alleged $71 million ‘fake’ organic sales scheme

organicstamp

A $71 million fraud case in South Dakota is the latest blow to the organic supply chain.

Federal prosecutors in February accused Kent Duane Anderson, a Rapid City, S.D., businessman, with passing off conventional grain and seed as organic for more than five years.

Prosecutors said Anderson bought nonorganic grain and seed from Cargill and Archer Daniels Midland, shipped it to a storage facility just east of Bismarck, N.D., labeled it as organic, and sold it to organic customers.

He turned a profit of about $25 million on the fake organic sales between 2012 and 2017. The website for one of Anderson’s companies, Green Leaf Resources, said it offers “both natural and certified organic flax and canola” seeds, meal and oils.

Related article:  Viewpoint: Activist myth-making, anti-science lobbying undermine Uganda's path to food security

Growing truly organic grain is arduous. Most synthetic pesticides and herbicides are forbidden, so farmers must alter the ways they fight weeds and bugs and they must rotate crops more often. For those reasons, organic grain and seed sell for significantly higher prices than conventional grain and seed.

“$71 million is not an insignificant amount of money, and it really taints the market,” said Ryan Koory, director of economics for Mercaris, an organic market data and trading company.

Read the original post

Outbreak
Outbreak Daily Digest
Biotech Facts & Fallacies
Talking Biotech
Genetics Unzipped
can you boost your immune system to prevent coronavirus spread x

Video: How to boost your immune system to guard against COVID and other illnesses

Scientists have recently developed ways to measure your immune age. Fortunately, it turns out your immune age can go down ...
mag insects image superjumbo v

Disaster interrupted: Which farming system better preserves insect populations: Organic or conventional?

A three-year run of fragmentary Armageddon-like studies had primed the journalism pumps and settled the media framing about the future ...
dead bee desolate city

Are we facing an ‘Insect Apocalypse’ caused by ‘intensive, industrial’ farming and agricultural chemicals? The media say yes; Science says ‘no’

The media call it the “Insect Apocalypse”. In the past three years, the phrase has become an accepted truth of ...
globalmethanebudget globalcarbonproject cropped x

Infographic: Cows cause climate change? Agriculture scientist says ‘belching bovines’ get too much blame

A recent interview by Caroline Stocks, a UK journalist who writes about food, agriculture and the environment, of air quality ...
organic hillside sweet corn x

Organic v conventional using GMOs: Which is the more sustainable farming?

Many consumers spend more for organic food to avoid genetically modified products in part because they believe that “industrial agriculture” ...
benjamin franklin x

Are most GMO safety studies funded by industry?

The assertion that biotech companies do the research and the government just signs off on it is false ...
gmo corn field x

Do GMO Bt (insect-resistant) crops pose a threat to human health or the environment?

Bt is a bacterium found organically in the soil. It is extremely effective in repelling or killing target insects but ...
favicon

Environmental Working Group: EWG challenges safety of GMOs, food pesticide residues

Known by some as the "Environmental Worrying Group," EWG lobbies for tighter GMO legislation and famously puts out annual "dirty dozen" list of fruits and ...
m hansen

Michael Hansen: Architect of Consumers Union ongoing anti-GMO campaign

Michael K. Hansen (born 1956) is thought by critics to be the prime mover behind the ongoing campaign against agricultural biotechnology at Consumer Reports. He is an ...
News on human & agricultural genetics and biotechnology delivered to your inbox.
Optional. Mail on special occasions.
Send this to a friend