The Associated Chambers of Commerce and Industry of India (ASSOCHAM) has expressed concern on the verdict of Monopolies and Restrictive Trade Practices Commission (MRTPC) in the case of Mahyco Monsanto Biotech (India) Ltd (MMB) asking it to review its trait value and therefore urges the Commission to review its decision.

In a statement issued here, ASSOCHAM said, the judgement of MRTPC in this particular case is inappropriate and will only serve as a setback to both the agricultural and the biotechnology industry in India.

ASSOCHAM, however, added that the use and application of biotechnology should be encouraged to promote Indian agriculture as with the introduction of Bollgard cotton in India in 2002, Bt cotton farmers have enjoyed numerous benefits including substantial increase in yields per acre, greater profits and better savings due to reduced pesticide usage.

Biotech crops are grown by approximately one million resource-poor farmers whose increased incomes from biotech crops contributed to the alleviation of their poverty. The yield in cotton has grown up consistently since the introduction of Bollgard in the country. It increased from 309 kg/hectare in 2002 to more than 460 kg/hectare in 2005.

The interim ruling of the MRTPC will create an unfavourable atmosphere in India with regards to corporate investments and will impede industrial and agricultural growth as the ruling came at a time when the nascent biotechnology industryin the country had just begun to flourish.

Forcing companies to cut down on technology fees will have a direct and adverse impact on amount spent on necessary research and development (R&D). The farmers to lose the benefits of Bt cotton if seed companies are forced to reduce R&D expenditure and cannot constantly analyse and improve their product on Indian soil, the Chamber said.

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