WTO confirms ruling against EU GMO moratorium

GENEVA (Reuters) - The World Trade Organization (WTO) has confirmed in a final ruling that a European Union moratorium on genetically-modified (GMO) foods was illegal, but Brussels said on Thursday the finding would not affect policy. The verdict, which was widely expected, also condemned six member states -- Austria, Belgium, France, Germany, Italy and Luxembourg -- for applying their own bans on a number of GMO products previously approved by the European Commission. "The substance of the ruling has not changed," said one diplomat with knowledge of the finding, which was issued late on Wednesday but not made public. The WTO made a preliminary ruling in February. The decision, in a case brought by the United States, Canada and Argentina, the world's biggest GMO producers, did not touch on the sensitive issue of whether GMOs are safe or whether they can be considered comparable to conventional products. The EU, where consumers are suspicious of what are often called "Frankenfoods," said there was no need for a rule change because the six-year moratorium on approving GMOs ended in 2004. Manufacturers have also withdrawn virtually all products covered by the individual state bans with the exception of a couple in Austria. "The U.S. and other complainants did not challenge the EU's regulatory framework on GMOs, which is rooted in science-based risk assessment. Nothing in this panel report will compel us to change that framework," a Commission spokesman said in Brussels. "Europe will continue to set its own rules on the import and sale of GMO foods," spokesman Peter Power told a news briefing, adding it was not the case that the EU operated a moratorium on GM foods, noting it had approved nine products since last May. BULLY OTHER COUNTRIES A spokesman for the United States Trade Representative said that he could not comment because the report was confidential. "When the report is made public, we expect WTO members to come into compliance and honor the rules-based trading system," said spokesman Stephen Norton. But anti-GMO activists were adamant nothing had changed. "It is clear that the U.S., Canada and Argentina will not be able to use this ruling to bully other countries to accept GMOs," said Eric Gall, political adviser to environmentalist group Greenpeace in Brussels. The 1,000-page report, which will not be officially released for some six weeks, found that by not approving GMO products between 1998 and 2004, the EU was applying an effective moratorium. This constituted "undue delay" and therefore violated trade rules. In addition it said the six countries had given no scientific evidence to justify their banning GMO products -- mainly maize and rapeseed -- which the EU had declared safe. GMO-making companies such as Monsanto, applauded the February ruling because they said it underlined the need for decisions affecting trade to be based on science. "We are encouraged by the international trading community's support for science-based regulatory approvals," said Christian Verschueren, director-general of CropLife International, a global federation representing manufacturers. The United States, which said its farmers lost $300 million a year because of the EU action, also welcomed it. Washington says it could help overcome reservations about GMO crops in other parts of the world. Both sides can appeal and it could be six months or more before the case is settled. "Source":[ http://today.reuters.co.uk/news/newsArticle.aspx?type=scienceNews&storyID=2006-05-11T154509Z_01_L10105775_RTRIDST_0_SCIENCE-TRADE-WTO-GMOS-DC.XML&pageNumber=0&imageid=&cap=&sz=13&WTModLoc=3]

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