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Reuters INTERVIEW - US Lobby Says World Not Ready for GMO Wheat

Date: 07-Jun-05
Country: VIETNAM
Author: Sambit Mohanty

After a strong worldwide backlash prevented Monsanto Co. from launching the world's first genetically modified wheat last year, the US wheat trade is in no hurry to see a transgenic variety of the food grain.

Vincent Peterson, vice president of overseas operations for the US Wheat Associates, said the first GMO wheat could be at least five years away as they try to learn from mistakes of corn and soybean traders who faced severe opposition to transgenic varieties.

"What happened in soybeans and corn gave us an opportunity to go back to school," Peterson told Reuters in an interview at a two-day wheat buyers' conference. "The market is not ready for GMO wheat yet."

StarLink corn and Roundup Ready soybeans from the United States ran into severe opposition in Asia a few years ago, prompting some Asian buyers to look at other supply sources.

The opposition to GMO wheat and rice is even stronger compared with corn and soybeans as the bulk is used for human consumption. Out of the 600 million tonnes of world wheat production annually, about 80 percent goes for human consumption and the remaining for feed.

And as the debate across the globe intensifies over GMO food grains, Asian governments are formulating stricter guidelines to ensure that imports and planting of these commodities are tightly regulated.

Organisations such as Greenpeace are trying their best to block GMO grains, arguing that they pose significant risks.

"We have to move very cautiously on that. Even if it takes 10 years, we should study consumers' minds," he said.

EYEING CHINA MOVES

The United States is the leading producer of biotech crops, with gene-spliced varieties accounting for more than 75 percent of US soybeans, and 35 percent of corn.

Peterson said U.S industry would be closely watching China, which is aiming to commercialise the word's first genetically modified rice as early as this year.

Flour millers in Japan, US's biggest wheat customer, have said they will not import GMO wheat. The United States supplies a little more than half of the six million tonnes of wheat a year imported by Japan.

"It's not that Japan will buy GMO wheat tomorrow. But Japan is a bit more friendly to at least discussions on GMO wheat, compared with what they were five or six years ago. The attitude is changing but very slowly."

US wheat trade officials attending the conference warned any move to push it aggressively could help Australia and other supplies snatch some key US customers.

But he believes GMO wheat will be needed sooner or later. "Wheat is losing acreage to commodities like corn and soybeans which are more resistant to drought and erratic weather. Probably, GMO wheat is the only way out."

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