Change on cards: Local seed companies rule agriculture landscape, thus far

New laws could give dominant role to multinationals, sideline small firms.

ISLAMABAD:

Domestic seed companies catering to the needs of genetically modified (GM) crops are offered a satisfactory return in the country that is a dominant player in agriculture production.

These companies, while promoting their seeds, have not disturbed conventional farming practices and farmers freely exchange GM crop seeds without any threat of penalty and flouting the law.

Multinational firms, however, are unable to seize the opportunity due to what they say a lack of protection law. They, particularly the US agrochemical and agricultural biotechnology giant, Monsanto, are seeking exclusive rights for marketing seeds, coming in for a lot of flak from other players.



Similarly, in India and some other countries, the multinational companies have faced scathing criticism for their monopolistic practices.

This fear of strong reaction has stopped past governments in Pakistan from wooing the multinationals to enter the fray and market GM seeds. Monsanto, though, put in much effort and sought marketing rights in Punjab, which has a major share in agricultural produce, but the provincial administration refused. In the province, BT cotton, or GM, seeds are planted only on a small scale.

The multinationals argue they are being ditched as domestic companies fear MNCs will snatch their market share. Local firms have also wider influence in the bureaucracy and government circles, which have a role in policy-making, they say.

The farmers, most of which are illiterate, are not aware of the application and outcome of planting GM seeds and are comfortable with the conventional way of farming. They, however, are ready to sow the seeds marketed by multinationals, but without caring for the result.

Pakistan has introduced National Biosafety Rules 2005, under the supervision of National Biosafety Council, to regulate local companies and there are no rules to shield multinational firms, making them shy of working in the country.

According to the rules, the council monitors technical evaluation of GM crops, seed import, lab and field tests before commercial marketing of seeds. In the same manner, the Pakistan Central Cotton Committee undertook a two-year field trial of BT cotton before its commercialisation. Officials deny BT cotton seeds are being smuggled into the country, stressing local firms are marketing the seeds.

New laws

The federal cabinet has already approved amendments to the seed bill, allowing the farmers to exchange seeds but forbidding landlords to sell them. Only certified companies will be allowed to market seeds.

Another piece of legislation called Plant Breeder Right Act is in the pipeline as it has been given the go-ahead by the prime minister and assessed by the Law Division. The cabinet is likely to take it up for approval in an upcoming meeting.

It will offer monopoly rights to Monsanto and allow farmers only 30% exchange of seeds, which will hamper the conventional way of seeds changing hands among small farmers and force them to rely excessively on multinational companies.

Biosafety authority

The government is considering setting up the National Biosafety Authority as an independent body to oversee the application of new laws on marketing of GM seeds. It will also be the regulator to protect the interest of multinational firms that want to market their seeds.

Multinational, local firms

The multinationals that are working in the country are Syngenta, Pioneer, ICI, Bayer, Basf Global and Monsanto, which are also present in different countries around the world, promoting the GM technology.

Here, they are not marketing the technology and are waiting for some patent protection and proper regulation of the agricultural sector. Thus far, no law is in place in the country to give protection to them.

At present, domestic companies are marketing BT cotton seeds as they have inserted BT gene in local varieties. Some of the prominent names are Four Brothers Agri Services, Ali Akbar Seeds, Auriga Seed Corp, Neelum Seeds and Resham Seeds.

Weather impact

GM crop varieties have not proved to be a success across the world as the seeds need different weather conditions. According to officials, during the tenure of previous government, BT seeds were imported from China, but they failed to give results due to an unsuitable environment.

Experts argue that a lot of work needs to be undertaken before opening the GM market for multinational firms. Though the government is taking measures to encourage the multinationals, it should take other stakeholders, including farmers and civil society, on board before introducing any law for the benefit of big firms.

Other GM crops

The country has adopted BT cotton as its genetically modified (GM) crop. However, maize is another that is planted but on a small scale.

The GM version of maize is only used by corporate or progressive farmers. There are other crops that come under the realm of genetic transformation but are not commercially planted in Pakistan.

In recent years, the Pakistan Agriculture Research Council (PARC) has invested $17 million and established four biotech institutes. Crops that lie under genetic transformation by different public sector institutes include wheat, rice, sugarcane, cotton, soybean, chickpea, groundnut, brassica, potato, tomato and chilli.

Additionally, 26 centres at various agriculture crop institutes and universities have been modernised and undertake tissue culture-related activities, crop improvement using marker-assisted selection techniques, DNA testing and detection of Genetically Modified Organisms in Pakistan.

It is estimated that Pakistan’s economic gains from biotech crops between 2010 and 2012 were $470 million. Experts believe that with the approval of different varieties of BT cotton, maize and sugarcane, this figure will increase drastically.

Published in The Express Tribune, September 29^th, 2014.

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