Press Kit: Facts, Figures and Frequently Asked Questions

Mission

The National Honey Board will serve the honey industry by
increasing demand for honey and honey products

Why doesn't the Board do something about honey prices?

Marketing and promotion boards such as the NHB are typically mandated by their enabling legislation to increase demand for their product through research, product innovation and promotion. They are prohibited from attempting to manipulate supply or set prices. Because the market price of goods in a "free" economy depends generally upon the relationship between two forces - how much of a good is available (supply) and how many people want to buy it (demand), when demand is strong (as it is currently for honey) but supply is also high, the price will remain relatively low. As supplies drop, prices generally increase.

Prices may increase under several conditions; demand growth outpaces supply, supply is reduced, or a product establishes a stronger appeal to consumers than other similar products in the marketplace. This is why the Board remains committed to researching and promoting honey's unique characteristics and qualities.


Why doesn't the Board promote U.S. honey only?

Because assessments are collected on both domestically produced and imported honey, the NHB may not promote U.S. Honey only. NHB programs concentrate on increasing demand for honey both in the U.S. and abroad. We may also promote honey based upon its unique characteristics, floral sources and uses. Export promotions for U.S. Honey are funded mainly through the Foreign Agricultural Service's Market Access Program.

Although the Board may not promote U.S. Honey only (except to export markets), domestic producers and packers certainly may! Highlight domestic or local honey sources on your product labels, brochures and other marketing materials. (Be sure that your label complies with all applicable labeling laws and standards.) Regardless of whose honey is promoted, all honey benefits from generic promotional programs.


Why doesn't the Board ask the government to stop or slow imported honey from coming into the United States?

The NHB's current enabling legislation mandates assessment collection from both importers and domestic producers. Importers contribute approximately one-half of the funding for NHB programs. The Board is expressly forbidden to "attempt to influence any legislation or opinion of the general public concerning legislation" either directly or through correspondence with a government official participating in the formulation of legislation. Influencing (usually called "lobbying") is defined as any action that attempts to change existing policies or regulations.

The Board itself may not undertake changes to these provisions - if the industry wishes to change how the NHB is administered, the industry must press for these changes. Various industry trade associations periodically lobby for governmental assistance including honey price support programs and trade actions on imports.


Why couldn't the Board help us get our loan program back?

See the answer to the above question regarding the prohibition against legislative lobbying. However, the honey industry does have several trade associations that address many industry issues effectively at the national level. While we are prohibited from lobbying, we do provide government officials and interested industry members and groups with statistics and information to use in their efforts.


Why can't I choose whether or not to pay the assessment?

The National Honey Board legislation did originally have a provision allowing the refund of assessments. The industry eliminated this provision by an overwhelming majority in the 1991 referendum vote. Having the assessment apply to everyone equally helps ensure the costs and benefits of Board programs are equitable for everyone.


What is the Board's relationship with the USDA?

The USDA has regulatory oversight of the NHB - that is, they approve the NHB's budget and contracts, provide compliance enforcement, administer referenda, and ensure that the NHB operates within the provisions of its enabling legislation. In addition, the USDA provides staff time and support when honey industry members correspond with or visit the USDA, and they provide information to the legislature regarding honey industry issues.

In return, the Board pays the USDA each year for these services. The amount the Board pays includes expenses directly attributed to the NHB (such as industry member visits or referenda costs) plus a portion of the USDA's general overhead costs that are allocated among all of the research and promotion boards.


Why doesn't the Board conduct paid TV advertising?

The Board has determined that the return on investment to pay for TV ads does not justify its enormous expense. In order to be effective, ads must be aired during prime times and over a long period of time. In addition, in many cases (especially for health and energy claims), it is much more believable and effective to have experts "discover" and discuss our research findings and incredible product on the air through such vehicles as "public service announcements" and "Video News Releases." The NHB has received a substantial amount of free editorial TV coverage through such expert endorsements.


Producers don't have enough "say" on the Board.

Both domestic producers and importers pay assessments to the National Honey Board. Producers control seven of twelve seats on the Board. At present, the Board membership consists of seven producers, two handlers, two importers and one cooperative member.


How does the NHB select its meeting sites?

The decision of what city will host the NHB is determined by evaluating several criteria including region of the country, whether an area offers exceptional service and facilities for the least cost, and whether facilities are adequate for a professional national meeting. While the NHB meeting planner is aggressive in negotiating the best possible rates for the Board, it is also important to meet in various regions of the country, allowing for greater industry participation. In addition, less expensive hotel rooms or lower food rates may be offset by more expensive airfare, no free airport to hotel shuttles, inadequate technical facilities, and the like.

Meeting space selection includes evaluation of the overall pricing mix, provision of a professional business environment and staff, proximity to necessary auxiliary services, clean sleeping rooms, ability to provide meals to large groups, meeting space adequacy and technical equipment availability and rates. Since Board members donate their time to fulfill their commitment to the industry, staff makes every effort to ensure a comfortable and productive work environment for each meeting. All Board meetings are public and industry members are encouraged to attend.


Only certain people can get on the Board.

The National Honey Board is committed to diversity among its membership. The Honey Nominations Committee, which operates independently from the Board, nominates individuals for Board seats that are being vacated. The Secretary of Agriculture then selects board members from among these nominations. Honey Nominations Committee members are nominated by individual state beekeeping associations.


What does the Board really do for me?

We're so glad you asked! In a nutshell, the Board's role is to increase the demand for honey. As demand in the U.S. increases overall, everyone may expand their customer base. In addition, the Board is able to accomplish activities through cooperative funding that may be impossible for individuals or small companies to afford on their own. For example we:

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