Fonterra threatens to shift research

By Felicity Anderson, Nzoom.com Business News Editor

Friday 19th October 2001

The Dairy industry and scientific groups are maintaining a strong line as the row continues over whether to extend the moratorium regarding genetic engineering gains political momentum.

In 10 days the government will decide whether to accept recommendations in the Royal Commission on Genetic Modification or extend a current moratorium on new GE field trials and large scale releases.

The commission recommends GE research only go ahead after approval of an application to the Environmental Risk Management Authority which could mean indoors or outdoors.

Matthew Hooton, spokesperson for dairy industry giant Fonterra says any compromise to this would mean it will have to re-consider where it carries out its research operation, worth around $110 million and 460 jobs.

He says the company needs to carry out the research and will carry out the research. Hooton says the company would prefer to carry it out in New Zealand but if it can't, it will move.

The Crown Research Institute, Crop and Food Research, has joined Fonterra warning too that it will have to move part of its operation offshore if the moratorium is extended.

Chief Executive Paul Tocker says he's concerned at the way the issue has moved away from science and become politicised.

He says the moratorium is a blunt instrument and will have a significant impact on New Zealand's economy.

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