Export giants call for go-slow on GM

By SIMON COLLINS

New Zealand's biggest horticultural exporters want the Government to rethink its plan to allow commercial releases of genetically modified organisms after the ban ends on October 29.

Kiwifruit exporter Zespri and Enza Foods - which sells apple products - want the ban extended because of the risk of any GM release damaging NZ's reputation in sensitive markets such as Europe and Japan.

The big traders' exports are worth at least $1 billion a year.

Vegetable firm Heinz Wattie's says it accepts the political decision to lift the ban in October, but has adopted a GM-free company policy and is concerned about the likely cost of avoiding contamination if any GM crops are allowed.

But meat and dairy exporters support a bill now before Parliament that would allow "conditional release" of GM organisms.

Francis Wevers, the executive director of the Life Sciences Network, which represents them and other groups supporting GM, offered a $1000 bet that the Government would not compromise on its determination to end the ban.

The Government's Maori caucus meets tonight to consider its stance on the issue. Parliament's education and science committee is due to report the bill on conditional release back to the House next week.

A Herald-DigiPoll survey published on Saturday found that 68.6 per cent of New Zealanders want the ban extended.

Enza Foods chief executive Mike Konig said overseas customers wanted a guarantee that its products, such as apple, pear and kiwifruit juice, did not contain GM materials.

He said that guarantee would be difficult to provide if any GM crops were grown in New Zealand.

"We have asked to continue the moratorium because the key markets overseas are not in favour of GM," he said.

"The food industry is pretty hard to compete in internationally and we don't need another hurdle."

Heinz Wattie's managing director, Nigel Comer, has told the parliamentary committee that any conditional release of a GM organism would have "immediate financial implications" for his company.

But the chief executive of the Fruitgrowers Federation and the Vegetable and Potato Growers Federation, Peter Silcock, said horticulturists supported trials of GM products, such as onions modified to withstand the weedkiller Roundup.

"We do not believe there is any horticultural producer or exporter right now saying they desperately want to grow GM crops," said Mr Silcock.

"But we are certainly not saying let's shut the door and not do anything ... We need to do things case by case and proceed with caution."

Fonterra, which sells more than 90 per cent of New Zealand's dairy production, also backs "conditional release" of GM organisms - although it says it will not use GM in its own products while overseas consumers are opposed to it.

The company said a blanket ban on GM would be "like saying we won't have electricity".

"Fonterra has chosen to engage in biotechnology research now so that in the future it has the option to use the technology should the market demand it," it said.

The Meat Industry Association has told the committee that it also supports conditional release.

It urged MPs to "facilitate the use of gene technology unless there are sound scientific or evidence-based reasons for not doing so".

Federated Farmers also supported conditional release.

But the chairman of its maize section, Colin MacKinnon, says in a letter to the Herald published today that maize farmers do not support growing GM maize in this country.

Export lineup

ANTI-GM

Zespri: the monopoly marketer of New Zealand kiwifruit.

Enza Foods: owned by Turners and Growers.

Heinz Wattie's: NZ's biggest producer of canned and frozen vegetables, owned by US-based Heinz.

PRO-GM (cautiously)

Fonterra: co-operative owned by 14,000 dairy farmers.

Meat Industry Association: firms responsible for meat exports.

Federated Farmers: represents 18,000 NZ farmers.

Fruitgrowers Federation and Vegetable and Potato Growers Federation: represent 6600 growers.