Nov. 3, 2008
In Hyderabad, India, the Andhra Pradesh Biodiversity Board is seeking royalty payments from Monsanto India Ltd. for genetic information it alleges was “stolen” from Bacillus thuringiensis (Bt) bacteria found in local soils, reports livemint.com. India is asking for 1-2% of sales revenue earned from the sale of Bt cotton seeds.
The board claims that this bacteria strain was used in developing Monsanto’s genetically modified, bollworm-resistant Bt cotton seeds sold in India.
Raj Ketkar, deputy managing director of Mahyco Monsanto Biotech Ltd, a 50%-50% joint venture between Monsanto Holdings Pvt. Ltd. and Maharashtra Hybrid Seeds Corp. (Mahyco), which sells Bt cotton seeds in India. A Monsanto executive in charge of sales of its Bt cotton seeds, strongly denied the allegation. “There is absolutely no Bt research which Monsanto is doing in Andhra Pradesh. All Bt research was done in the US,” he said.
However, several of the more than 23 Indian firms to which Mahyco Monsanto sub-licenses Bt cotton sales rights have breeding research facilities in Andhra Pradesh, explained Ketkar: “Through what is called as breeding research, these companies cross the parent US Bt cotton seed, which Monsanto developed and provided them, with local disease-resistant varieties of cotton to develop hybrid seeds, which are then sold in India,” he said. Royalties are paid by all firms to which Mahyco Monsanto has sub-licensed the sales rights for Bt cotton.
The board’s chairman, R. Hampaiah, said Bt bacteria found in the soil in the Kurnool district of Andhra Pradesh has been used in developing the indigenous version of Bt cotton, claiming the company is also using the same technology for developing pest-resistant versions of corn and tomato. Hampaiah also claims to have held discussions with Monsanto India regarding what he terms its “bio-piracy.”
“Monsanto denied stealing any genes but admitted that information regarding the genetic sequence of the Kurnool Bt was used,” he said. “All we are seeking is benefit sharing.” Hampaiah said that while Monsanto was not willing to consider royalty payments, it offered to build roads and contribute to other physical and social infrastructure in the Mahanandi area as part of benefit sharing, which, he said, was not adequate in the board’s assessment.
Hampaiah said that the board will seek legal action if Monsanto doesn’t comply. Lawyers representing the board are in the process of consulting legal experts in the US where Monsanto has a patent relating to Bt cotton, he said, claiming a legal case against Monsanto could be filed in the next couple of months.
According to Rimmi Harindran, a Monsanto spokesperson, Monsanto Holdings’ wholly-owned, research and development unit Emergent Genetics India Pvt. Ltd has operations in five different locations in Andhra Pradesh including Kurnool. Harindran says the meeting that Hampaiah claims never took place, adding that there may have been meetings with the board on other issues. She added the company has also not received any official communication from the board on this issue.
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