September 27, 2004

Brazil Agriculture Minister Says Biotech Soybean Ruling Could Come In November

Brazil will not have a formal ruling on biotechnology in utilizing the production of soybeans before Oct. 10, but a final decision could come in November, Brazilian Agriculture Minister Roberto Rodrigues said.
 
A controversial provision in biosafety legislation is now before the Brazilian senate, but Rodrigues said with two weeks to go before Brazil's municipal elections, the vote on the biotech law will be pushed aside.
 
"This is not only for soybeans (but will be beneficial for other crops) ... and (President Luiz Inacio Lula da Silva) is convinced that this is scientific progress," Rodrigues said during a breakfast briefing in New York sponsored by the Brazilian-American Chamber of Commerce Inc. However, he said a final decision could be made in November.
 
In July, Brazil's federal court tribunal ruled that the National Biosafety Commission, or CTNbio, will have approval over the bioengineered crops, but an environmental impact study was not excluded for Roundup Ready soybeans.
The current senate legislation would, however, give final approval authority to a National Biosafety Council largely consisting of federal ministry representatives instead of the CTNbio.
 
Rodrigues said the formal ruling on the senate legislation is key to moving forward.
 
However, with uncertainty remaining over the status, that variety of crop will be in doubt and could discourage infrastructure projects.

Rodrigues said that with a strong showing of farmers who are also involved in trade and are linked to the Chicago Board of Trade and New York Board of Trade, one of the main constraints is infrastructure.
 
"The Brazilian government has invested (some) in this sector, but we need more infrastructure ... it is crucial," Rodrigues said.
 
With the current infrastructure in place, Rodrigues said Brazil can support 135 million tons of grains.
 
If the current infrastructure is improved upon, Rodrigues said that could move to higher levels, in terms of grains, in the next two to three years.