-----Original Message-----
From: NLP Wessex [mailto:[EMAIL PROTECTED]]
Sent: Tuesday, November 02, 1999 11:24 AM
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Subject: BSE companies putting GM in animal feeds


Thanks to NGIN for this.

......................................................................
Corporate Watch
Press release for immediate release, 29 October 1999
Contact: Corporate Watch  44 (0)467 304155, 44 (0) 1865 791391

BSE companies putting GM in animal feeds, reveals report

As the scandals about French beef fed on sewage sludge and the latest
twists in the BSE story grip the UK, campaigners are focusing on one of
the biggest forgotten dangers now facing consumers genetically modified
animal feed.

New research by Corporate Watch has revealed that the vast majority of
genetically modified crops imported into this country now banned from
most supermarket shelves are taken straight to animal feeds mills to be
later fed to cattle, pigs and other farm animals.

This vast loophole in our safety regulations is a lifeline for
agri-biotech companies like Monsanto, who have been vilified for their
efforts to force unwanted GM foods down the throats of unwilling
consumers. Over 2 million tonnes of unsegregated soya GM and non-GM
all mixed together are imported into the UK each year and fed to
animals.

Corporate Watch has also revealed in four hard-hitting briefings
distributed to activists across the UK this week that the companies
behind GM animal feeds are the same companies now being blamed for
taking the profit-saving shortcuts which caused BSE.

Dalgety, BOCM Pauls and Associated British Nutrition (part of the ABF
group, which includes the Silver Spoon sugar, Kingsmill bread and
Twinings tea brands) are all currently giving evidence to the BSE
enquiry. All have already admitted to producing cattle feed containing
meat and bone meal from other cattle.

Corporate Watch spokesperson Mark Lynas said: �Latest estimates suggest
that the BSE crisis cost this country �4 billion, and new variant CJD
has now killed 43 people. This is what happens when animal feeds
companies take short-cuts in order to bolster their profits just like
they are now doing with genetically-modified animal feed ingredients.
UK farmers are already having a tough time, and this could be the last
straw. It�s time that these companies either reformed their practices
or went out of business.�

More information:

For copies of the Corporate Watch animal feeds briefings email
[EMAIL PROTECTED]
For further information contact Mark Lynas on 0467 304155 or 01865
791391
ENDS
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2.
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Corporate Watch Update:
Introduction
and Strategic Overview
----------------------------------
What is this briefing?
Why animal feeds?
The animal feeds industry
Traceability
Animal feed supply chain
The Feed Mill
Public relations
What goes into animal feed?
Micro ingredients
Government reassurance
Conclusion

What is this briefing?

This briefing aims to give campaigners an introduction to the animal
feed  industry. It is part of a GE series providing detailed briefings
on the major issues and companies involved in the biotech sector.
Details of how to obtain these can be found at the end of this document.

Why animal feeds?

Over half of all genetically modified crops grown in the world are fed
to  animals... [2]

A quarter of the entire US soya crop is imported by the European
Union... [1]

Two million tonnes of soya is imported into the UK each year for use in
animal feeds... [1]

Of this year�*�s US soya crop, 55% is genetically modified... [3]

"If we were to lose a debate on GM animal feed ... it could be very
damaging." - Dr Harry Swann, Monsanto [4]

Over 50% of genetically modified crop material grown around the world
currently goes into animal feed [2]. It is no accident that the crops
that  have gone into commercial production first - soya, maize, oilseed
rape and  cotton - are all key ingredients in animal feed. As consumers
around the  world mobilise against GM products in their own food, few
people realise that  eating meat and dairy products is throwing a
lifeline to the biotechnology  industry.

Animal feeds mean a lot to the agri-biotech industry. Four crops made
up  almost all the transgenic harvest in 1999: soybean (54% of the total
acreage  of GM crops), corn (28%) canola (rapeseed, 9%) and cotton (9%)
All four are major components in animal feeds [5]. Three countries grew
almost all of the world's commercially-produced transgenic crops in
1999: the United States (72%), Argentina (17%) and Canada (10%). As the
world leader in agri-biotech, US agribusiness is the main target of
efforts to cut off the markets of GM
producers.

Early in 1999 Monsanto's chief executive Robert Shapiro told
shareholders  that the introduction of GM was "the most successful
launch of any technology  ever, including the plough". Yet within
months, US agricultural exports were  in crisis - in large part due to a
refusal by European consumers to bow to the GM �*�revolution�*�. It was
reported recently that US corn exports to the EU dropped 96% [6], and
the EU's import ban on GM corn is costing the US $200
million annually in lost sales to Europe [7].

The American Corn Growers Association has urged its members to consider
using  non-GM seeds next year. "We're sure as hell not going to grow a
product the  customer doesn't want," said the assocation's chief
executive, Gary Goldberg. [8] The ACGA had been expecting a 25% increase
in the amount of GM corn grown in the US. Now it's predicting a 25% drop
[9].

Deutsche Bank analyst Timothy Ramey has long been predicting the
emergence of a two-tier market in which 'improved' grains would sell for
less than  traditional non-GM varieties. The recent announcement by
commodity exporter Archer Daniels Midland that farmers should keep GM
grain and conventional grain segregated at silos shook the industry to
its foundations. Even food trading giant Cargill is getting interested
in the potential for segregation.

Eliminating GM crop material from animal feed would hit the biotech
industry hard.

The animal feeds industry

Animal feeds companies are currently particularly vulnerable. The
industry has been hit both by the crisis in British livestock farming
and by the continuing scrutiny of the BSE Inquiry. Their reliance on GM
leaves them in an even weaker position. Anticipating increasing consumer
opposition to GM in animal feeds, the industry is already investigating
options for sourcing "identity preserved" ingredients and has formulated
a defensive public relations strategy.

The animal feeds manufacturing and distribution industry is dominated by
three companies: BOCM Pauls, Dalgety and Associated British Nutrition
(ABN) [10]. All of them use GM ingredients in most of their animal
feeds. BOCM Pauls and Dalgety are both privately owned, having last year
been subject to management buyouts. ABN is a subsidiary of Associated
British Foods PLC, whose other subsidiaries include Silver Spoon sugar,
Allinson and Kingsmill breads and Twinings teas. The company trades as J
Bibby Agriculture, the name by which its products are best known. It
also trades as Trident Feeds.It is difficult to gauge how dominant these
companies are, but it is safe to say that BOCM Pauls and Dalgety have a
combined market share well in excess
of 50% of animal feed manufacture [10].

UKASTA
Offices:
3 Whitehall Court, London, SW1A 2EQ
Telephone: 0171 930 3611
Contacts: Feed Manager Judith Nelson [EMAIL PROTECTED] or
biotech spokesperson (Seed Manager), Paul Rooke
[EMAIL PROTECTED]

The United Kingdom Agricultural Supply Trade Association (UKASTA)
represents about 350 companies, co-operatives and agricultural merchants
who either manufacture animal feed or sell inputs such as feed, seed,
fertilisers, agrochemicals and forage additives to farmers and /or
market arable crops on their behalf. The combined turnover of the
membership is in excess of £5 billion annually. Its stated aims are to
achieve the most favourable economic conditions possible for members
through effective lobbying, supplying business information and helping
shape public �*�understanding�*� of the industry [11].

UKASTA�*�s statement on the use of GM ingredients in animal feeds
begins:
"UKASTA believes that technological advances, such as genetic
modification of plants, will offer significant future benefits to
consumers and play an important part in satisfying rising world demand
for efficiently produced food."

It goes on to claim that research has shown that the processing breaks
down the cellular structure of the crop, so that no intact genes can be
passed on to livestock or humans, and that it is unlikely (emphasis
added) that the consumption of livestock products could lead to specific
genes being transferred to humans even if they are intact in feed.

The statement also stresses that cross-pollination, the difficulty of
achieving total segregation throughout the whole supply chain and the
absence of any tolerance levels may make it impossible to guarantee
wholly GM-free feed [3].

Traceability

Since the BSE crisis the animal feed industry has been trying to regain
public confidence. One attempt is the �*�UKASTA Feed Assurance
Scheme�*�(UFAS).

According to UKASTA it has been developed to provide a unifying set of
principles or minimum standards for the safe handling of animal feed and
help restore confidence in the industry. Although limited, the scheme
could help manufacturers source GM-free ingredients because it does
provide for traceability, and is a service that the big three
manufacturers all provide [11].

The UKASTA feed assurance scheme provides complete traceability -
meaning a farmer can find out exactly what ingredients are in a feed,
where they come from and where they have been at every stage in the
supply chain, right back to the farmer who grew the crop. There�*�s one
snag: this information is only available to industrial customers.

Public relations

Both UKASTA and Dalgety Agriculture use the same PR company, Mistral.
Their representative there is Mike Evans. He claims that it is
impossible to guarantee GM free animal feed, and gives two principal
reasons. The first is that segregated or "identity preserved" (IP) crops
are not available in sufficient quantities. Less than 1 million tonnes
of the 75 million tonnes of the 1998 US soya crop was IP [3].

The second is that many of the micro ingredients used in animal feed,
such as vitamin B12, are also genetically engineered [12]. He also
claims that the "�poor old animal feed companies" (his words) are
trapped between raw materials suppliers who don't segregate - or charge
a massive premium when they do - and supermarkets, which demand animal
products at low prices.

Mistral "develop creative communications solutions based on carefully
planned, sound marketing strategies". They are also members of
EnviroComm, "an international group of independent agencies specialising
ienvironmental communications". As well as representing UKASTA and
Dalgety, Mistral have done PR work for ICI and Monsanto [13].

Contacts: Mike Evans on 01865 883308, or at Mistral, Jericho Farm Barns,
Cassington, Oxford, OX8 1EB

Animal feed supply chain

Animal feed manufacturers buy their bulk raw materials from suppliers
such as Archer Daniels Midland and Arkady Feed - the two biggest
suppliers to the industry [10]. Some of these, such as wheat, are grown
in the UK. However it is the imported raw materials, such as soya and
maize, that are GM. They arrive by ship at docks, where they are stored
temporarily.

Arkady Feed is the primary user of Merlin Stores Ltd's facility at South
West 1 Canada Dock in Liverpool [14]. They move in excess of 200,000
tonnes of animal feedstuff through Liverpool each year. From here it is
transported to mills where it is processed and mixed with micro
ingredients (see below). As well as imports, animal feed contains raw
materials that come from both farms and the by-products of the human
food industry. From the mill most feed goes direct to farmers, though
some is sold through intermediaries.

ADM Head Office:

ADM International, Church Manorway, Erith, Kent, DA8 1DL
Telephone: 01322 443000
Arkady Feed: Congress House, Lyon Road, Harrow, Middlesex, HA1 2HY
Telephone: 0181 424 9222 / 0181 420 9000
Fax: 0181 424 0694

The Feed Mill

Animal feed is manufactured in mills. Bulk materials (eg soya, maize,
wheat etc) are delivered to the mill in lorries and are transferred to a
storage bin or silo. They are then transferred to blending bins where
they are mixed, often with micro-ingredients such as vitamins and amino
acids (see below).

These ususally come in the form of a pre-mix which arrives at the mill
in bags. Depending upon the type of feed the mix may be pressed into
pellets or cake before going to a finished product bin. Other types of
feed go straight into finished product bins.

>From here the final products are despatched to farms (or occasionally to
regional distribution centres) either in bags or in bulk lorries, many
of which are part of the company's own fleet of vehicles.

What goes into animal feed?

As well as dioxin, excrement and their aunts and uncles (all sources of
recent food scares), livestock are fed a carefully regulated diet,
depending on the kind of animal, breed, age and function. Feed is split
broadly into two types, for monogastrics (for animals with one stomach
such as pigs and poultry) and ruminants (for animals with more than one
stomach such as sheep and cattle). While it is possible to produce
ruminant feed without using soya or maize, it is apparently impossible
to raise pigs and poultry to the standards demanded by supermarkets and
consumers on a soya-free diet [12].

Feed mixtures typically include protein concentrates from fishmeal or
soya bean and additives - vitamins, trace minerals, food colourings and
antibiotics [10].

Micro ingredients

This is the collective term used to describe the additives used to
enhance the nutritional quality of animal feed. Most of these are
produced by genetically engineered micro-organisms like bacteria. A
recent Genewatch report revealed that releases of genetically modfied
micro-organisms are taking place every day from laboratories and
factories across the UK [15].

Government reassurance

A team at Leeds University led by Professor Mike Forbes is currently
conducting MAFF-funded research on the effect of feeding livestock GM
material. Oddly, in the tests �*�the materials used for this research
were not GM crops, but the gene used was chosen because its DNA sequence
is similar in length to the transgene in GM maize�** [16].

An earlier MAFF-commissioned report from the University of Leeds,
stated: �*�Genetically modified crops�*| [could] exacerbate the problem
of resistance to strains of bacteria, already causing significant
problems such as the  resurgence of tuberculosis. It is unlikely to be
proved impossible for transfer of such genes from plant to microbe to be
completely excluded.�**[17]

Conclusion

Animal feed manufacturers have up until now largely evaded the public
spotlight, despite the overwhelming consumer rejection of GM technology
in human food. This is because people simply don�*�t realise that when
they buy meat and dairy products they are indirectly consuming GM
products.The bottom is falling out of the GM market. Segregation is
being re-introduced, even by the industry�*�s biggest players. Yet
millions oftonnes of transgenic soya and maize are continuing to be
imported into this country as animal feed ingredients. If animal feed
manufacturers can be persuaded to
avoid GM ingredients, biotech companies will be starved of one of their
most vital sources of income.

Footnotes
1. Irish Times 4 September 1999, quoting from American Soyabean
Association
2. Conversations with MAFF and UKASTA, July-September 1999
3. UKASTA position statement on the use in animal feed of ingredients
from GM crops
4. The Millenium Environment Debate - Genetically Modified Animal Feed.
June 1999
5. International Service for the Acquisition of Agri-Biotech
Applications, and World Watch Institute via Washington Post, 9 October
1999
6. Guardian 9 October 1999
7. International Trade Reporter, vol 6, no. 39, 6 October 1999
8. Los Angeles Times, 5 October 1999
9. BBC Online, 5 October 1999
10. Key Note Report. Animal Feedstuffs. 1999. Key Note Ltd
11. UKASTA website. <http://www.ukasta.org.uk/>www.ukasta.org.uk
12. Various industry sources. August/September 1999
13. Public Relations Consultancy Association Yearbook 1997
14. Mersey Docks and Harbour Company website.
<http://www.merseydocks.co.uk/>www.merseydocks.co.uk
15. �*�Leaking from the lab? The �*�contained�*� use of genetically
modified micro-organisms in the UK�*�, GeneWatch, June 1999.
<http://www.genewatch.org/>www.genewatch.org
16. �*�Leeds Team Addresses Fears Over GMOs in Feed�*�, Farmers Weekly,
11June 1999
17. MAFF-commissioned report from the University of Leeds (CS0116)

Other titles in this series:
ABN Ltd
BOCM Pauls
Dalgety Agriculture
Other major animal feeds manufacturers
Also available:
AgrEvo
Copies of these briefings can be obtained by sending an A4 SAE (45p
postage) to Corporate Watch. You can also see them on our website
(www.corporatewatch.org) or we can send you an e-mail version.


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