February 27, 2008

South Korea stamps on GMO apprehensions with first corn deal

South Korea recently announced the purchase of genetically modified corn for food to secure cheaper grains despite possible consumer group uproar.

On Tuesday, South Korea said it will buy 50,000 tonnes of US genetically-altered corn in May to manufacture starch and sweeteners.

Analysts said Korea's latest move is mainly economic. Natural corn costs around US$50 a tonne more than the genetically modified corn.

As global prices for wheat, corn and commodities reach record highs, the debate over the merits and safety of GMO crops is taking on new urgency, observers said.

However, if companies purchase genetically modified corn, consumer groups will boycott products from manufacturers, Kim Dae-hoon of ICOOP, South Korea's largest consumer lobby group, said.

Daesung, Doosan Corn Products Korea, Samyang Genex and Shindongbang CP, which supply nearly 90 percent of South Korea's corn starch and sugar, have signed a joint contract for the May purchase.

GMO corn has lately been preferred for benefits such as higher yields or drought resistance.

The global GMO planted area grew 13 percent to 252 million acres in 2006, while the farmers planting GMO crops rose 21 percent due to substantial economic, social and environmental benefits, according to the pro-GMO International Service for the Acquisition of Agri-Biotech Applications (ISAAA).

In affluent countries, the bulk of commercial GM crops are used in feed for livestock.