NPA Seal On Nearly 300 Natural Products; New CEO Gay Is Ready For 2010

The Natural Products Association has certified nearly 300 personal-care products since the introduction of its standard in May 2008, and the organization expects more manufacturers to pursue its seal as the economy picks up in 2010.

The group's standard and certification program "has been received very well," NPA vice president of Scientific and Regulatory Affairs Daniel Fabricant told "The Rose Sheet" Dec. 9.

He noted that almost 100 of the 300 certifications to date have gone to ingredients.

"We're really excited about that because I think one thing we want to do is shake up the supply chain and make it easier to make a natural product," he said.

Global chemicals supplier Cognis announced Dec. 7 that more than 60 of its ingredients have been certified as compliant with the "strict guidelines" of NPA's standard for natural products.

Fabricant noted that the cost of reformulating or overhauling manufacturing processes and undergoing a third-party audit can deter firms from pursuing certification.

"The natural personal-care industry doesn't always have the deep pockets that traditional mainstream personal care does. So while there are a lot of folks out there making really good and truly natural products, they haven't made the investment of getting a seal," according to Fabricant.

However, he said, "with the economy coming back, especially in personal care and with natural personal care doing so well, I think we'll see a lot more."

Fabricant acknowledged that overall the natural industry has been less dramatically impacted by the recession than other market segments.

"We're actually doing quite well because everyone wants to do something on a daily basis [that is] positive for their health," he suggested, "and they feel positive about the role that naturals play in that."

Standard Evolving As Intended

When it launched in 2008, NPA characterized its standard as a "living" standard that would evolve as the naturals industry matured.

The group was optimistic that by May 2010 no synthetic ingredients would be allowed under NPA guidelines. In its current form, NPA's standard permits up to 5 percent non-natural ingredients as long as no viable natural alternatives are available and the synthetic is not a suspected health threat (¹ (Also see "NPA Unveils First U.S. Standard For Natural Personal Care; Criteria Will Evolve" - HBW Insight, 5 May, 2008.)).

Regarding the May 2010 deadline, Fabricant said naturals science is progressing to the point where NPA will be justified in amending its standard to prohibit the use of synthetic fragrances. He noted that suppliers have also begun carrying a wider selection of natural surfactants, allowing NPA to take a harder line on synthetic variants.

"For other ingredients, though, it's been tougher," he said. "So we're still going to probably have some synthetic allowances for some of those ingredients, but we're moving the standard upwards. What can be done, what [synthetics] can be moved out, we're moving out."

Fabricant indicated that NPA is laying the groundwork for a mutual recognition program with the German industry group NaTrue, which has its own label for "true" natural products and a natural framework that bears "a lot of similarity" to NPA's standard.

"We've got kind of an agreement in principle with them; we're working on formalizing that agreement," which would qualify recipients of the NaTrue label for NPA's seal of approval. Fabricant said the program could launch in early January 2010.

NPA also has recognized some products that are certified to the U.S. Department of Agriculture's organic criteria. "Certainly we feel that for products that have met the USDA standards and also meet our guideline, manufacturers shouldn't have to incur an additional cost," Fabricant said.

As for the ongoing debate in the U.S. as to what constitutes organic personal care and what set of standards should govern organic marketing, the NPA exec said: "We are involved, for better or worse. We get put into [the organic mix] because - having a natural certification program, which is the only natural one here in the U.S. - folks tend to lump it all together."

"I think it's an important discussion," he added. He noted that David Bronner, president of Dr. Bronner's Magic Soaps, assisted in the creation of NPA's natural standard.

Dr. Bronner's, a proclaimed fighter of "organic fraud" that has joined forces with the Organic Consumers Association in a crusade for "organic integrity," has been embroiled in litigation against personal-care brands whose organic claims it contends are misleading to consumers.

Recently the groups applauded the final recommendation of USDA's National Organic Standards Board, which is pushing the agency to police organic cosmetics and personal care products as it does organic food, taking action against alleged organic brands that are not certified under the National Organic Program (² 'The Rose Sheet' Nov. 9, 2009, In Brief).

"I think our place in the debate is that natural isn't the enemy of organic," said Fabricant. "For something to be organic, first it does have to be natural. As we get better on natural, we'll certainly evolve and get more involved in the [organic] discussion."

New Chief Exec Prepared To Tackle Challenges

NPA announced the appointment of John Gay as its executive director and CEO Oct. 22, following David Seckman's departure in July. President Pat Sarnell said Gay's 25 years of working in Washington on policy issues make him "the ideal person for the job."

Most recently Gay was senior VP of government affairs and public policy for the National Restaurant Association. He also has nonprofit experience and worked as a Senate staffer.

In a Dec. 9 interview, Gay noted that "the National Restaurant Association had a number of small retail members, a lot of family-owned businesses - second-generation and third-generation folks in the same business - and a lot of passion for serving their customers ... and I see that in the natural products industry [as well]." Having an understanding of the issues faced by small retailers will serve him in his new role, Gay suggested.

He noted that small and large natural products companies alike stand to be affected by the political climate surrounding the Obama administration. "It's pretty clear that this industry - all industries - are in an atmosphere that is encouraging greater regulation and greater oversight by government," he said.

It is essential in such an environment that industry's voice be heard on Capitol Hill. "The work I've done building or running coalitions, those skills are transferable and necessary for any industry in order to maximize their work to policymakers," Gay said.

He emphasized the importance of "bringing people together, working out differences and finding the one voice, or chorus, that we can speak with" so that all members are "carrying the same message."

"It's a strong industry, it's a great industry, and there are challenges out there no doubt, but I don't think there's anything we can't overcome," the exec concluded.

- Ryan Nelson ( ³ [email protected] )