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Brussels, Belgium
13 October 2008
The EU livestock industry has been
forced into significant losses in the marketing year 2007/2008
with rising grain prices while meat and milk prices have not
kept up. The poor harvest 2007 has been the key problem, but the
inability to import feedstuffs from around the world had a
significant cost impact. New GM maize varieties have been
approved and grown elsewhere in the world, but not yet approved
in the EU. Zero tolerance on new GM unapproved EU varieties have
practically stopped the import of Cornglutenfeed and Distillers
Dried Grains (DDGs) as valuable feed ingredients, in a year of
shortages.
COCERAL,
FEFAC and
UECBV sent
a case study report to Commission President Dr Barroso and
members of the GM Sherpa group on 9 October 2008, estimating
this cost for the livestock industry at 10-15% of the total loss
or more than 2.5 Bio €. The situation will get worse, with new
GM soya varieties been grown for seed multiplication in 2008 for
commercialization in 2009 as a stark warning. New GM soya
varieties show significant yield benefits and are likely to be
quickly adopted by US and South American farmers.
Soya supplies are critical to the EU livestock industry, and
there are real dangers that we will destroy our livestock
industry due to lack of raw material supplies, warns the report.
Soya products are a vital protein component of animal feeds
within the EU. Overall, the EU is 78% dependent on imported
vegetable proteins. Soya can only be replaced to a very limited
extent either from domestic production or alternative imported
products. With soya beans supplies in Argentina and USA being
95-97% GM and in Brazil heading for 80%, the supply chain will
quickly lead to the presence of technically unavoidable residues
with these new GM varieties. This would apply to non GM as well
as GM supplies. A zero tolerance means that imported soya would
be severely restricted as shippers will not take the risk in
importing
The EU Advisory Group “cereals, oilseeds and protein crops”
adopted on 26 September 2008 a motion calling for the creation
of an immediate workable threshold for low-level presence of RR2
soybeans and the creation of a general workable threshold of EU
not yet authorised GM events, duly authorised in the exporting
countries. The EU Advisory Group concluded that “The
Zero-tolerance policy is impossible to implement … it has led to
de-facto import bans. The situation is likely to worsen as more
and more countries are growing GMOs worldwide regardless of the
approval process of the EU”.
Regarding the outlook for the marketing year 2008/2009, the
report confirms earlier estimates that the EU livestock industry
could face a massive loss of competitiveness. As the EU
livestock production declines, then imports will increase.
Ironically these imports would have been fed these
“non-approved” GM products. Therefore, the EU has to take a
practical view and implement a workable threshold for GM events,
and implement a speedier process for approvals for new GM
varieties being grown elsewhere in the world.
Foot notes for the editor
The case study report "Impacts of EU Unauthorised GM’s on the
feed & livestock sectors” was conducted by
Cardy-Brown Co Ltd.
on behalf of the following European trade associations:
- COCERAL, represents the
European Committee of the Cereal and Animal Feed Trade
- UECBV, represents the
European Livestock and Meat Trading Union.
- FEFAC, represents the
European Compound Feed & Premix Manufacturers’ Federation.
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European feed supply security threatened |
October 15 2008
Source:
Cardy-Brown & Co Ltd
On behalf of COCERAL, FEFAC and the UECBV
Cardy-Brown and Co Ltd reviewed the impact of ‘not
yet’ authorised GM’s and the zero tolerance rules
for Europe’s feed and meat sector.The results of
which will be used to persuade the European
Commission to adjust their authorisation process of
new GM events.
The world’s centres of grain and oilseed production
are set to plant the next generation of biotech
seeds. This ‘second generation’ includes a new and
improved version of Monsanto’s herbicide tolerant
soybeans –RoundUp 2 Yield (RR2Y) which is expected
to enjoy even greater penetration of soybean
acreages. The majority of the US, Argentine and
Brazilian soybean acres in 2010 will be planted with
seeds containing the RR2Y event.
Pressure grows between industry trade associations
(representing grain traders, meat processors and the
feed industry) and the European Commission to
authorise soybeans containing RR2Y. RR2Y represents
the tip of the iceberg in terms of new traits.
Within the next coming years more than 20 new traits
are expected to enter the market in the US, Brazil
and Argentina for soybeans alone. With Europe highly
dependent on imports of soybeans from these
locations the outlook looks murky for the European
meat industry which has suffered devastating feed
prices over the last 18 months.
Biotech events for other crops are also developing
rapidly – with not only new generation technology
coming through but many different biotech events are
now ‘stacked’ within one seed, particularly seen in
corn seeds, some of the events are approved for
import into the EU, some of them not.
The result is; a massive loss of imports of corn,
maize gluten and DDG’s that Europe could use in feed
or food. This will result in a major loss of
competitivity for the European meat industry as it
will be forced to use more expensive raw materials
for feed.
Not only are GM crops becoming the norm in the world
outside the European Union but supply of non-GM is
also threatened as the Zero tolerance of GM content
rules imposed on grain and oilseed imports are
impossible to live up to.
Cardy-Brown & Co Ltd was commissioned by COCERAL,
FEFAC and UECBV to complete a review of the current
situation facing the European meat market. The
report was delivered for the European Commissions
Sherpa group and feedback is expected soon.
The report is available for down load at:
http://www.fefac.org/file.pdf?FileID=15694&CacheMode=Fresh
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