----- forwarded message -----
Date: Tue, 24 Jul 2001 14:50:13 +0200
From: secr <[EMAIL PROTECTED]>
Subject: Brazil soy winning higher premiums as GM-free


Brazil soy winning higher premiums as GM-free

http://www.planetark.org/dailynewsstory.cfm?newsid=11712


  BRAZIL: July 23, 2001

SAO PAULO - Brazilian soy product exports are winning higher
premiums from France, Japan and other countries in search of grains
that are free of genetic modification (GM), a spokesman at world
grains trader Louis Dreyfus said last week.

Coinbra, Louis Dreyfus' Brazilian unit, has been making a name for
itself  certifying GM-free soy shipments for Europe and Japan where
bio-engineered foods have encountered resistance from increasingly
health-conscious consumers.

Brazil is the world's No. 2 producer of soybeans after the United
States and the only agricultural exporter in the Americas that forbids the
sale of transgenic crops or food.

"Our soymeal program has been growing on since last year, formerly out
of Victoria port, but now we are shipping out of Paranagua. The lion's
share of the meal is going to France, some to Europe and a little to Japan,"
said head of sales at Coinbra, Timothy Carter.

Brazil allows life science companies such as Monsonto to conducts GM
research on crops like soy and corn on special farms in the country but
has never allowed the sale of the foods on concerns over health and
environmental risks.

Local grain companies have been reporting that Brazil's conventional
agricultural products have seen greater demand around the world
because of their GM-free reputation.

"The premiums for normal pellets in Paranagua (Brazil) versus those of
normal pellets on the Argentine liquid market used to be $10 to $11 (a
tonne). Now they're $17 to $20. You can argue that there is a greater
demand for Brazilian meal because it is perceived as non-GM," said Carter.

Although officially Brazil bans the sale of GM-food, it is not entirely
free of genetically altered crops. Some southern farmers in an attempt to cut
costs and boost productivity have planted illegal GM seeds - most
likely smuggled in from Argentina to the south where they are permitted.

But the availability of conventional soybeans is still much greater
than in Argentina and the United States and Brazil is thought to have 
virtually no other illegally planted crops aside from the smuggled GM soybeans 
in the south. Beans from the soy-rich center-west, corn and other crops are
believed to be grown from conventional seeds.

As a result, Coinbra is carving a niche for itself shipping soymeal
from Brazil with various degrees of GM-free certification or guarantees.

"Depending on the program, there are different kinds of premiums. For
instance if there is (GM) traceability testing involved the premium is
higher but if it's just the certification of origin then the premium is
lower," said  Carter.

He added that Coinbra used a the world's biggest inspection and testing
company, Swiss-based SGS to test soy products and that Coinbra had
contracted special silos to avoid the contamination of tested soy meal
with general meal moving through Paranagua port.

According to a source at the private terminal of Soceppar in Paranagua
who preferred to remain unnamed, the terminal recently closed a deal
with Coinbra to ship 550,000 tonnes of GM-free soy meal to France by January
of 2002, as well as 50,000 tonnes of GM-free corn. He also said silos
with a 40,000 tonne capacity had been set aside for Coinbra's GM-free grain
movement.

   Story by Reese Ewing

   REUTERS NEWS SERVICE

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