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Estimated Costs for Fruit and Vegetable Producers To Comply With the Food Safety Modernization Act’s Produce Rule

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  • Bovay, John
  • Ferrier, Peyton
  • Zhen, Chen

Abstract

Under the Food Safety Modernization Act of 2011, the U.S. Food and Drug Administration started to implement its Produce Rule in phases beginning in 2018. Implementation of the rule will increase costs for farms supplying almost all fresh produce sold in the United States. This study estimates farm-level costs to comply with the rule by commodity, State, and farm size. Across commodities and States, differences in costs are driven by differences in farm size and range from 0.3 percent of annual produce sales for the largest farms to 6.8 percent for the smallest.

Suggested Citation

  • Bovay, John & Ferrier, Peyton & Zhen, Chen, 2018. "Estimated Costs for Fruit and Vegetable Producers To Comply With the Food Safety Modernization Act’s Produce Rule," Economic Information Bulletin 276220, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersib:276220
    DOI: 10.22004/ag.econ.276220
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    References listed on IDEAS

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    Cited by:

    1. Ferrier, Peyton M. & Zhen, Chen & Bovay, John, 2023. "Price and Welfare Effects of the Food Safety Modernization Act Produce Safety Rule," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 48(1), January.
    2. Dilhani Nisansala Jayawardhana & Loan Thi Thanh Cao & Thomas A. Yeargin & Kristen E. Gibson & Angela M. Fraser, 2020. "The Relationship between Environmental Characteristics and Risk Management Practices on Produce Farms: A Systematic Literature Review," Agriculture, MDPI, vol. 10(12), pages 1-21, November.
    3. Todd M Schmit & Gretchen L Wall & Elizabeth J Newbold & Elizabeth A Bihn, 2020. "Assessing the costs and returns of on-farm food safety improvements: A survey of Good Agricultural Practices (GAPs) training participants," PLOS ONE, Public Library of Science, vol. 15(7), pages 1-18, July.
    4. Aaron Adalja & Erik Lichtenberg & Elina T. Page, 2023. "Collective investment in a common pool resource: Grower associations and food safety guidelines," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(1), pages 144-173, January.
    5. John Bovay, 2023. "Food safety, reputation, and regulation," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 45(2), pages 684-704, June.

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