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AusBiotech position paper: The impact of state-based moratoriums on investment, innovation and Austrlia's future in biotechnology
August 3, 2004

State Agricultural Moratoria starting to show ‘true colours’

Australian agricultural biotechnology is at a ‘cross-roads’ and the research, investment, innovation, education and skills that underpin it are in crisis, according to a Position Paper released today by AusBiotech – Australia’s Biotechnology Industry Organisation.

The AusBiotech Position Paper, titled ‘Backing Innovation: the way forward for Australian agriculture’, was developed in consultation with industry, concerned stakeholders, AusBiotech Members and international colleagues. This Paper clearly sets out the impacts of the state-based moratoriums on investment, innovation, education and Australia’s future in biotechnology.

It also highlights the way forward for Australian agriculture, if Australia is to be internationally competitive with high-value agricultural technologies and products and not purely reliant on commodity markets.

Five Australian states have placed moratoriums on the development of genetically modified (GM) food crops for the next two to four years despite their strategic plans to develop the biotechnology industry, of which agriculture is a key component.

“This sends a confused and uncertain message to the global community and investors about Australia’s ability to commercialise agricultural innovation, as the moratoriums go against both National safety assessments and global trends,” said Dr Anthony Coulepis, Executive Director, AusBiotech.

“Australia now has an urgent choice to make – whether to back innovation and lead as an agricultural nation, or remain a commodity based community.”

The AusBiotech Position Paper highlights how the moratorium decisions will:

  • Reduce investment in agriculture and the broader biotechnology industry, decreasing capacity to undertake research and development in Australia, which is essential to the growth and development of the agricultural, as well as other biotechnology sectors;

  • Reduce opportunities for university students to make a career in the agricultural life sciences;

  • Reduce the competitiveness of Australia’s farmers while allowing other countries (e.g. Canada) to gain entry into Australian markets;

  • Make the quest for environmental sustainability more difficult;

  • Lessen Australia’s standing in the international community and put Australia at risk for future World Trade Organization (WTO) challenges because of the compromise of our science-based regulatory system;

  • Put future agricultural breakthroughs at risk by diverting research resources into other areas; and

  • Compromise the intent of the joint state-Commonwealth regulatory system, as agreed by the Council of Australian Governments.

“It is important that Australia now moves forward and works on minimising these impacts before Australian agriculture is irreversibly damaged,” Dr Coulepis said. Industry has outlined a way forward in the AusBiotech Position Paper, in order to provide agriculture with the same ‘fair go’ and opportunities that have been provided to medical and other biotechnology sectors.

Specifically, the Paper suggests the following five-point-plan:

  • By early 2005, State Governments to put in place, as a matter of priority, a pathway forward from research and development to commercialisation;

  • For canola, this pathway would facilitate reasonably sized co-existence trials in more than one location to test the protocols and capabilities of the supply chain in 2005;

  • Develop a coordinated State Government approach to issues such as adventitious presence and liability;

  • Provide reassurance to the science / investment and international communities that Australia is moving forward with Agricultural science, technology and commercialisation; and

  • Develop a unified and coherent approach to assessments and approvals for Agricultural products through an independent advisory group, chaired by industry in partnership with the OGTR.

The moratoriums were imposed following the approval of two varieties of genetically modified canola crops as being safe for humans and the environment by the Australian Government’s Office of the Gene Technology Regulator (OGTR) and for human consumption by Food Standards Australia New Zealand (FSANZ), following extensive consultation and evaluation.

The moratoriums on GM food crops are contrary to the policy intent for the national coordinated regulatory system, as agreed by the Council of Australian Governments, and has effectively created a fragmented and inconsistent two-tiered regulatory system.

The AusBiotech Position Paper is available in PDF format on the AusBiotech website at http://www.ausbiotech.org/policy/pdf/backing.pdf

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