Nagpur: In a new twist to the Indo-China dispute over rice trade, Chinese authorities have suspended import licences of three Indian companies, one is Nagpur-based, after rejecting their consignments on grounds that it was genetically modified organism (GMO) material. GMO relates to plants or animals whose DNA is altered to get desired traits. It’s the first time in the recent past that trade licences of Indian rice exporters have been suspended by China. This is expected to have a far-reaching impact on the Indian rice trade, especially when it’s the global market leader for the commodity, say exporters. Moreover, there’s no legal approval for cultivation of GMO paddy in India which raises questions of India sending GMO rice to India, say sources.The three companies are Shriram Food Industry Ltd from Nagpur, Raipur-based Spone Enterprises Private Ltd and NM Foodimpex Private Ltd from Haryana.Last month, Chinese authorities had turned back the consignments of broken rice shipped by these companies, alleging it was GMO rice. This despite a Chinese state-owned agency, which has its lab at Visakhapatnam, issuing a non-GMO certificate to the rice before ships sailed off. TOI has access to the certificate.Sources said Chinese authorities have asked the Agriculture and Processed Food Products Development Export Development Authority (APEDA) to inspect the three companies’ facilities to ascertain whether it was GMO rice. The suspension may be reviewed after a report by APEDA, said sources. The exporters, however, say APEDA should rather probe seed makers or growers as rice mills only process paddy. The entire verification by APEDA, which is an agency under the ministry of commerce, is expected to be a long-drawn process. Until then, exports by the three companies will have to wait.Traders point out that China has put up a non-GMO condition on Indian rice imports while there’s no such clause for Pakistani consignments.Officially, only GMO cotton is allowed in India. Known as Bt cotton, it has been made resistant to bollworm, a major pest that threatens the crop. Another variety of GMO cotton, which is herbicide-tolerant, is rampantly available through the grey market as it awaits a legal approval.


