Prompted by a year-end trade deadline from the European Union, the federal government has announced a plan to regulate and certify organic foods.

The Canadian Food Inspection Agency has recommended that farmers who adhere to a series of ecologically stable production methods — like proper soil fertility maintenance and forgoing synthetic fertilizers and pesticides — be given a "Canada Organic" label to display on their food products.

The European Union has set a Dec. 31 deadline for Canada to establish a national certification regime.

The CFIA announced a set of proposed regulations on Sept. 2 and is accepting comment for 75 days. The agency noted that the closure of EU borders to Canadian organic produce would translate into a loss of almost $500 million over the next 10 years.

"This national organic regime would facilitate international market access, provide protection to consumers against deceptive and misleading labelling practices and to support the further development of the domestic market," the agency said in a release.

"The need for a federal regulatory regime has been identified and supported by the Canadian organic industry."

The agency has been working on a certification regime since early 2004.

Under the current system, many organic foods in Canada are accredited by an assortment of authorities including the U.S. Agriculture Department, whose import rules require American certification. Quebec and British Columbia are the only two provinces to regulate organic produce.

The CFIA recommends accrediting and regulating existing bodies to govern the certification process.

About 4,000 organic farms in Canada produce about $1 billion worth of produce and livestock.

The organic industry has been growing steadily in Canada at an annual rate of 15 to 20 per cent over the past decade. About 3,670 certified organic farms across the country produced about $986 million worth of produce or livestock annually.

With files from the Canadian Press