Bridges Trade BioRes • Volume 2 • Number 2 • 7th February 2002
European Commission Not to Force Biotech Issue at EU Summit
European Commission Not to Force Biotech Issue at EU Summit
The European Commission last week decided not to push for an end of the EU de facto moratorium on the approval of new genetically modified organisms (GMOs) at the EU summit in March, but will instead focus on the issue of EU competitiveness in the field of biotechnology. For its part, the US is growing increasingly impatient with the European and Chinese policies on GMOs which it claims are seriously affecting US exports of agricultural products.
Commission puts emphasis on competitiveness
Competitiveness of the European biotechnology sector will be the focus of talks at the EU summit in Barcelona, Spain, on 15-16 March, rather than the EU’s de facto moratorium on GMOs as had been hoped by the US. Discussions will be based on a report released on 23 January (see “Additional Resources” below) in which the European Commission emphasises the role of life sciences and biotechnology as “one of the most promising frontier technologies for the coming decades”, calling on Europe to develop “pro-active policies” to exploit these technologies. The Commission furthermore outlines a multi-point action plan to implement its strategy aimed at allowing Europe to benefit from the positive potential of life sciences and biotechnology, to ensure proper governance, and to meet Europe’s global responsibilities. Regarding the new labelling and traceability laws that several EU member states want to see in place before lifting the moratorium and that are not expected to enter into force until 2003, the Commission simply “invites” members to speed up the adoption with a proposed timeframe of 2002.
US Anger Growing Over EU, China GMO Policy
According to trade sources, US Trade Representative Robert Zoellick last week repeated threats that the US administration would seriously consider a challenge at the WTO should the EU not lift its de facto moratorium on the approval of new GMOs, in place since 1998 (see BRIDGES Trade BioRes, 24 January 2002). EU Trade Commission Pascal Lamy during a recent visit to Washington stressed that such a move would be “counterproductive, in that it would be seen as a challenge to consumer fears and perceptions.” EU members are not expected to address this issue until after elections in Germany and France later this year.
Zoellick also attacked China’s import regulations for GMOs — scheduled to come into effect on 20 March — which he said “as drafted, could serve as an unfair barrier to trade”. China, however, remains adamant that it will not postpone the entry into force of its GMO regulations. Some observers believe that China might be using its GMO regulations to protect its soya bean sector against the flood of cheap imports of agricultural products expected to follow the country’s recent accession to the WTO. At the same time, China “is developing the largest plant biotechnology capacity outside North America,” according to findings published in the 25 January edition of the journal Science. “Small farmers in China have begun to aggressivley adopt GM crops when permitted to do so,” the survey concludes, adding that “response by China’s poor farmers to the introduction of Bt cotton eliminates any doubt that GM crops can play a role in poor countries.”
“Zoellick warns Lamy of possible biotechnology WTO challenge,” INSIDE US TRADE, 1 February 2002; “European Commission opts not to push for end of GMO moratorium,” INSIDE US TRADE, 25 January 2002; “China uses GM rules to shield food producers,” IPS, 30 January 2002; “USTR Zoellick questions China’s food import intent,” REUTERS, 4 February 2002.