Think Tank Warns Against Allowing GM Farm Imports from US
The Global Trade Research Initiative (GTRI) has cautioned the Indian government against allowing imports of genetically modified (GM) farm products from the U.S. under a proposed trade deal. The think tank warns that importing items like GM soybean meal for animal feed could lead to cross-contamination within India's supply chains. This could jeopardize India's GMO-free image and harm agricultural exports, particularly to the European Union, which has stringent regulations and strong consumer resistance to GM-linked products.
Unpacked:
India currently does not allow the import or production of GM crops for use in its food chain. However, there is consideration to permit GM corn and soy imports strictly for industrial purposes, such as ethanol and soybean oil production, but not for food or animal feed without strict controls.
The EU has stringent regulations and strong consumer resistance to GM-linked products. Even trace elements of GM origin can lead to shipment rejections and higher testing costs. Many European buyers prefer fully non-GM supply chains, so cross-contamination could erode India’s GMO-free reputation and hurt exports like rice, tea, honey, spices, and organic foods.
Experts suggest implementing robust traceability and labeling systems to ensure GM imports are strictly segregated for industrial use only, preventing entry into the food or animal feed chain. India would also need to manage by-products, like DDGS from ethanol production, potentially requiring their export to avoid cross-contamination domestically.
Allowing GM imports could risk India’s agricultural export competitiveness, especially in sensitive markets like the EU, due to possible shipment rejections and increased compliance costs. Conversely, it may help secure favorable terms with the US and avoid higher tariffs, but balancing trade benefits with export risks is a key concern.