As we’ve mentioned before, there are often several layers of regulation when it comes to alcoholic beverages, and determining which government agency is responsible can be a minefield - they all want to have a hand in the pot.
The USDA regulates the use of the term organic in product labeling and advertising. Certification by the USDA is required to even use the term “organic” on your product. For years the TTB simply deferred to the USDA for organic claims, and did not analyze them in alcoholic beverage labeling or advertising.
Until now...
TTB and USDA Memorandum of Understanding
The TTB and USDA have recently entered into a memorandum of understanding regarding the use of “organic” on alcoholic beverage labels. The TTB will now review all claims of “100% organic,” “organic,” and “made with organic ingredients” to see if the claims meet USDA National Organic Program guidelines.
Those labels for wine, beer and spirit labels that contain organic claims will now be approved by the TTB as “approved subject to compliance with the Organic Foods Production Act of 1990 and the National Organic Program regulations[.]” If a label does not comply with USDA organic labeling guidelines, the label will be rejected and the TTB will provide the applicant with a list of required changes to make the label compliant. An applicant may only appeal this rejection with the USDA's Agricultural Marketing Service.
What does this mean?
Any “organic” claims and certifications have always had to go through the USDA, this is nothing new. The USDA guidelines do not allow a product to be labeled or advertised as organic unless it meets the guideline requirements.
What is new, however, is that the TTB now will determine a label’s compliance with the USDA guidelines. Previously, the TTB treated organic claims as optional label information. These labels will take longer to evaluate, as the TTB is now required to know the USDA labeling guidelines and consult, if necessary, with the USDA on label compliance.
Appeals will also take longer. If the TTB rejects the label, the applicant appeals with the USDA, and the label is found to comply, it will have to re-submit the label for approval by the TTB.
The TTB and USDA have recently entered into a memorandum of understanding regarding the use of “organic” on alcoholic beverage labels. The TTB will now review all claims of “100% organic,” “organic,” and “made with organic ingredients” to see if the claims meet USDA National Organic Program guidelines.
Those labels for wine, beer and spirit labels that contain organic claims will now be approved by the TTB as “approved subject to compliance with the Organic Foods Production Act of 1990 and the National Organic Program regulations[.]” If a label does not comply with USDA organic labeling guidelines, the label will be rejected and the TTB will provide the applicant with a list of required changes to make the label compliant. An applicant may only appeal this rejection with the USDA's Agricultural Marketing Service.
What does this mean?
Any “organic” claims and certifications have always had to go through the USDA, this is nothing new. The USDA guidelines do not allow a product to be labeled or advertised as organic unless it meets the guideline requirements.
What is new, however, is that the TTB now will determine a label’s compliance with the USDA guidelines. Previously, the TTB treated organic claims as optional label information. These labels will take longer to evaluate, as the TTB is now required to know the USDA labeling guidelines and consult, if necessary, with the USDA on label compliance.
Appeals will also take longer. If the TTB rejects the label, the applicant appeals with the USDA, and the label is found to comply, it will have to re-submit the label for approval by the TTB.
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