The European Union and the United States have strong disagreements over the EU's regulation of genetically modified food. The US claims these regulations violate free trade agreements, the EU counter-position is that free trade is not truly free without informed consent.
In Europe, a series of unrelated food crises during the 1990s created consumer apprehension about food safety in general, eroded public trust in government oversight of the food industry, and left some consumers unwilling to consider "science" to be a guarantee of quality.
This has further fueled widespread (*) public concern about genetically modified organisms (GMO), in terms of potential environmental protection (in particular biodiversity), health, and safety of consumers. Critics of GM foods contend that there is evidence that the cultivation of genetically modified plants may lead to environmental changes.
Many European consumers are demanding the right to make an informed choice about whether or not to consume GMO foods. Some polls indicate that Americans would also like labeling, but it has not yet become a major issue. New EU regulations should require strict labeling and traceability of all food and animal feed containing more than 0.5 percent GM ingredients. Directives such as directive 2001/18/EC were designed to require authorisation for the placing GMO on the market, in accordance with the precautionary principle. (see also Tax, tariff and trade).
A 2003 survey by the Pew Research Center found that a majority of people in all countries surveyed felt that GM foods were "bad". The lowest scores were in the US and Canada, where 55% and 63% (respectively) were against it, while the highest were in Germany and France with 81% and 89% disapproving. The survey also showed a strong tendency for women to be more opposed to GM foods than men. *
In 2002, Oregon Ballot measures gave voters in that state one of the first opportunities in the United States to directly address that issue. The measure, which would have required the labeling of genetically engineered foods, failed to pass by a ratio of 7 to 3.
Friedrich-Wilhelm Graefe zu Baringdorf, member of the German Green Party and vice president of the Landwirtschaftsausschuss (committee of agriculture) of the European Commission said on the 1 July 2003: "In America 55% of the consumers are against GM food and 90% in favor of a clear labeling."
The value of agricultural trade between the US and the European is estimated at $57 billion at the beginning of the 21st Century, and some in the U.S., especially farmers and food manufacturers, are concerned that the new proposal by the European Union could be a barrier to much of that trade.
In 1998, the United States exported $63 million worth of maize to the EU, but the exports decreased to $12.5 million in 2002.
The drop-off might also be due to falling commodities prices, less demand due to the recession, U.S. maize being priced out of foreign markets by a strong dollar, and importing countries' reaction to the planned invasion of Iraq. Similar European public opposition to Israeli treatment of Palestinians has also affected Israeli food exports. However, American farm industry advocates blame the EU's ban.
The new European tax, tariff and trade proposal would particularly affect US maize gluten and soybean exports, as a high percentage of these crops are genetically modified in the USA (about 25 percent of US maize and 65 percent of soybeans are genetically modified in 2002).
The ultimate resolution of this case is widely thought to rest on labeling rather than food aid. Many European consumers are asking for food regulation (demanding labels that identify which food has been genetically modified), while the American agricultural industry is arguing for free trade and is strongly opposed to labeling, saying it gives the food a negative connotation.
Lori Wallach, director of Public Citizen's Global Watch indicates that American agricultural industry is "using trade agreements to determine domestic health, safety and environmental rules" because they fear that "by starting to distinguish which food is genetically modified, then they will have to distinguish energy standards, toxic standards that are different to those the European promotes."
The American Agricultural Department officials answer that since the United States does not require labeling, Europe should not require labeling either. They claim mandatory labelling could imply there is something wrong with genetically modified food, which would be also a trade barrier. Current U.S. laws do not require GM crops to be labeled or traced because U.S. regulators do not believe that GM crops pose any unique risks over conventional food. Europe answers that the labeling and traceability requirements are not only limited to GM food, but will apply to any agricultural goods.
The American agricultural industry also complains about the costs implied by labeling.
Zoellick's critics argue that US concern over Third World starvation is merely a cover for other issues. Some money for development aid is used by the American government via the World Food Programme (WFP) to help their farmers by buying up overproduction and giving it to the UN organisation. GM-scepticism interferes with this program. American farmers lost marketshare in certain countries after changing to genetically modified food because of sceptical consumers.
Another European response to the claims of immorality is that the EU gives 7 times more in development aid than the US, yet its economy is less than 10% bigger than America's, and its GDP/head much lower than that of the US.
In May 2003, after initial delay due to the war against Iraq, the Bush administration officially accused the European Union of violating international trade agreements, in blocking imports of U.S. farm products through its long-standing ban on genetically modified food. Robert Zoellick announced the filing of a formal complaint with the WTO challenging the moratorium after months of negotiations trying to get it lifted voluntarily. The complaint was also filed by Argentina, Canada, Egypt, Australia, New Zealand, Mexico, Chile, Colombia, El Salvador, Honduras, Peru, and Uruguay. The formal WTO case challenging the EU's regulatory system was in particular lobbied by U.S. biotechnology giants like Monsanto and Aventis and big agricultural groups such as the National Corn Growers Association (NCGA).
EU officials questioned the action, saying it will further damage trade relations already strained by the U.S. decision to launch a war against Iraq despite opposition from members of the U.N. Security Council. The US move was also interpreted as a sanction against the EU for requesting the end of illegal tax breaks for exporters or face up to $4 billion in trade sanctions in retaliation for Washington's failure to change the tax law, which the WTO ruled illegal four years ago.
Jonas Sjoestedt, a Swedish Left member of the EU assembly, said that "this legislation should help the EU to counter recent accusations by the U.S administration that the EU is to blame for the African rejection of GM food aid last year."
The United States did not sign the protocol, saying it was opposed to labeling and fought import bans.
Six countries were in favour (33 votes - Spain, UK, Netherlands, Finland, Sweden, Ireland) three abstained (25 votes - Germany, Belgium, Italy), while six countries voted against (29 votes - Denmark, Greece, Luxembourg, Austria, Portugal, France).
The new GM sweet corn, BT-11, produced by Syngenta was modified to produce its own insecticide and is also resistant to herbicide. It was rejected for the following reasons:
Geert Ritsema of Friends of the Earth Europe said, "There is clearly no scientific consensus over the safety of this modified sweet corn. The decision not to approve it is a victory for public safety and common sense. The European Commission now has the opportunity to re-think its position. The public doesn't want to eat GM foods and question marks remain over its safety. The Commission must put the well-being of European citizens and their environment before the business interests of the US Government and the biotech industry."
The approval of that GMO corn would have been de facto considered as a lift of the moratorium on new GMO foods. A decision to lift the moratorium might occur in spring 2004.
In Europe, and particularly in the U.K., there is less trust of regulatory oversight of the food chain. In many parts of Europe, a larger measure of food is produced by small, local growers using traditional (non-intensive & organic) methods (see local food).
See also: Trade war
European Union law | International trade | genetically modified organisms
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It uses material from the
"International trade of genetically modified foods".
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