August 13, 2004

 

 

Paraguay Set To Approve Use Of Monsanto's GMO Soy Seeds

 

The Paraguayan government will soon allow farmers in Paraguay to plant genetically modified soybean seeds, the country's Agriculture Ministry confirmed Thursday.

 

"The approval will be given before Aug. 16," said Nicolas Gonzalez, a spokesman with the Ministry's press office stated.

 

Paraguayan farmers have already planted modified seeds purchased in a vast underground market. As a result, it is unclear how the approval of new seeds, made by the agricultural giant Monsanto, will affect soybean output.

 

"Everyone here uses modified seeds," Gonzalez said. "Farmers are not waiting for government approval to use these seeds. So it's hard to say how this will affect production."

 

That said, Paraguay's farmers usually use seeds that are often of poor quality, which can actually hinder production, analysts say.

 

"Until now, there has been a huge clandestine seed market," said Luis Cubilla, an agriculture advisor with the Paraguayan Chamber of Cereal and Oilseed Exporters. "This has led to very disparate yields. The approval of new seed technology will facilitate the entry of known, quality seed varieties into the market. This will produce a radical change in the use of biotechnology in Paraguay. It will have a positive impact on production."

 

It was not clear Thursday which seeds will be approved by the Agriculture Ministry. Moreover, Monsanto officials, who were in Paraguay last week to discuss the issue with the Ministry, were not immediately available for comment.

 

Paraguay exports most of its soybean production, according to the Foreign Agricultural Service of the U.S. Department of Agriculture. Paraguay produced 4.5 million metric tons of 2003-04 soybeans, USDA data show.

 

In 2003, Paraguay produced 4.5 million tons of soybeans, according to the exporters chamber. Some 3.1 million tons of this was exported.

 

The average yield last year hovered around 2.9 metric tons per hectare. Analysts expect this to increase as farmers begin to use better seed technology.