At the heart of the recent flap between Syngenta and Bunge over Syngenta’s Viptera corn trait is whether China should be considered a “key” export market for U.S. corn.
Bunge says it will not accept delivery of Viptera corn with the MIR162 insecticidal trait because China has not approved import of the grain—and the company considers China a major export market.
Syngenta argues that it has secured approvals for the trait in all “key” markets recommended by both the National Corn Growers Association (NCGA) and the Biotechnology Information Council. And even though China has increased its purchases of U.S. corn in recent months, the country is still not considered to be a major export market by the two groups.
NCGA spokesman Nathan Fields says that’s because, to this point, China has not been a reliable importer of U.S. corn.
“It has not been a major market in the past—and it has, when it’s bought corn before, stopped buying soon thereafter,” says Fields. “So we don’t quite see it as a reliable market. We see it as a potential market and we definitely want to foster that market.”
According to USDA, exports to China account for less than one percent of U.S. grain production—but nearly everyone agrees the potential for Chinese purchases is huge.
So will NCGA consider designating China a “key” export market?
“We need to test the difference between having growers have access to technology and slowing down that technology to make sure we have market access to reliable, consistent markets,” Fields says, “and right at this time, China has not proven to be a reliable, consistent market. But we’ll constantly consider and re-analyze and take a look at how China progresses as a market before we make any policy changes.”
The Viptera situation has also rekindled the old debate over the aggressive—or, as some call it, “premature”—marketing of biotech trait events that are not fully approved for export markets.
The National Grain and Feed Association and the North American Export Grain Association issued an official joint statement that states: “Putting the Chinese and other markets at risk with such aggressive commercialization of biotech-enhanced events is not in the best interest of U.S. agriculture or the U.S. economy…the negative consequences of overly aggressive commercialization of biotech-enhanced events by technology providers are numerous, and include exposing exporting companies to financial losses because of cargo rejection, reducing access to some export markets, and diminishing the United States’ reputation as a reliable, often-preferred supplier of grains, oilseeds and grain products.”
AUDIO: Nathan Fields (7:00 MP3)
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