This data table is from the organic handlers contracts data, which provides information about the use of written and verbal contracts and common contract provisions. Contracts data include information on 9 commodity groups and 39 commodities from 620 facilities that use contracts.

• For more information, see the Documentation.
• For 2004 data, see Contracts Data 2004.

Commodity:	All Commodities Combined Coffee, Tea, Cocoa ... Cocoa ... Coffee ... Tea Dairy ... Milk and Milk Products (except cheese) Fibers Fruits and Tree Nuts ... Apples/Pears ... Berries ... Citrus ... General Fruit (not specified) ... Grapes ... Nuts ... Other Misc. Fruit ... Stone Fruit Greenhouse/Nursery, Seeds, Mushrooms, Herbs/Extracts ... Essential Oils/Essences/Extracts ... Herbs and Spices ... Honey/Maple Syrup ... Other Greenhouse/Nursery Etc. ... Seeds Livestock Oilseeds/Grains/Legumes/Feed ... Barley ... Beans (not soy) ... Cane ... Corn ... Flax ... General/Mixed Grains (unspecified) ... Oats ... Oil and Oilseeds (except soy) ... Other Misc. Grains ... Rice ... Soybean and Soy ... Wheat Poultry and Eggs ... Eggs ... Poultry Vegetables and Melons ... Cabbage/Cauliflower/Broccoli ... Carrots ... Lettuce and Greens ... Onions/Garlic ... Other Misc. Vegetables ... Peppers ... Potatoes/Sweet Potatoes ... Tomatoes
	Download this table

All Commodities Combined in National Totals 2007

Basic characteristics of handlers Range of number of handlers    over 40  Function  1/  2/ Manufacturers/processors 73% All other functions 44% All handlers Manufacturer/ processor All other functions Type of contract Percent of handlers 3/ Written 75% 74% 76% Verbal 25% 26% 24% Compensation term used most often Flat price 30% 32% 28% Market price for organic products 30% 28% 31% Fixed price plus a quality premium 9% 8% 13% Conventional price plus a mark up 2% 2% 3% Production costs plus a mark up 3% 2% 4% Negotiated price at time of transaction 23% 23% 22% Price based on performance relative to other suppliers 1% 1% 2% Price determination not in contract 3% 2% 4% Other method 5% 4% 8% Price mechanisms in standard contract Quantity discount 22% 21% 24% Quality premium 21% 19% 27% Penalties for lower than contracted quality 20% 19% 25% Prices depend on supplier's past performance 7% 6% 9% Method of quality measurement for pricing purposes)   Observing samples 52% 54% 54% Testing samples 63% 64% 62% Third-party certification 24% 25% 22% USDA grading standards 23% 21% 23% Downstream price 7% 6% 9% Price does not depend on quality measures 13% 14% 14% When suppliers are paid Upon delivery of product, organic certificate 36% 40% 33% At harvest 3% 3% 5% A specified number of days after harvest, delivery date, or invoice 53% 53% 53% After downstream sale 7% 4% 12% Other 7% 6% 8% Contract length Seasonal 30% 28% 36% Yearly 45% 48% 40% Multi-year 10% 10% 9% Other 5% 5% 5% Time not specified 10% 10% 10% Standard contract clauses Automatic renewal 11% 10% 12% Verification of organic certification 82% 83% 83% Minimum quality standards 67% 68% 68% Number of acres you will buy production of 21% 21% 20% Best management practices 18% 17% 19% Reject deliveries that don't meet specs 56% 58% 55% Other actions if contract specs not met 33% 34% 34% Place of delivery 59% 60% 60% Date of delivery 49% 51% 49% Exclusive supply 9% 7% 13% Other 1% 1% 1%

N/A = Not available, not applicable, or not reportable for reasons of confidentiality (fewer than three respondents).
1/ Firms often reported more than one function; responses from a single firm may be reported in both the “Manufacturer/processor” and “All other functions” columns. Thus, summing across functions often exceeds 100 percent.
2/ Non-responses to all questions are not reported
3/ See the Documentation for how the percentages are calculated.