EXCERPTS:

"We are trying to get legislation together to keep genetically modified rice out of Missouri." - Riceland Vice President Bill Reed

"We're pleased that they're moving 120 miles from us. We'd have been more pleased if it was 1,000 miles." - Sonny Martin, a Bernie rice farmer and chairman of the Missouri Rice Research and Merchandising Council.

" the market realities that have been presented to me by Riceland Foods, Anheuser-Busch, my rice producers, lenders and suppliers dictate that I must oppose the production of genetically modified rice in Southeast Missouri in crop year 2005." - U.S. Rep. Jo Ann Emerson of Cape Girardeau, who has previously been a strong supporter of such projects.

"We wonder why rice producers weren't involved in the discussions or negotiations. Nobody included us in any of this, and that was disappointing."- U.S. Rice Producers Association President Chris Williams.

[taken from item 1: Opposition KOs planned plot at Chaffee: Area farmers rally to protest genetic rice.]

Monsanto's reach has allowed it to implement double-digit price hikes for seeds carrying its technology, actions that have angered farmers.

"It has been a sore spot over the years that US farmers have to pay what they do," said Illinois Corn Growers spokesman Mark Lambert. "It is an issue."

Indeed, last year Basel, Switzerland-based Syngenta, the world's biggest agrochemical company, filed a lawsuit accusing Monsanto of using coercive tactics and unfair bundling arrangements since the 1990s to exercise monopolistic power in multiple markets.

Meanwhile, Monsanto has continued to expand its dominance of the US seed industry, making a series of acquisitions over the last several months.

[taken from item 2: Illinois Attorney General Probes Monsanto Pricing]
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1.Opposition KOs planned plot at Chaffee: Area farmers rally to protest genetic rice
by David Silverberg
Daily American Republic, 22 April 2005

Opposition to the proposed production of genetically modified rice near Chaffee was expressed by Southeast Missouri rice farmers to state legislators during a Saturday morning rally at Curtis Worley's farm southeast of Poplar Bluff.

"We want to stop it for fear of contamination to our rice," said Worley, who also is concerned about potential economic losses because of concerns expressed by two large purchasers of Southeast Missouri rice.

State Sen. Rob Mayer, Speaker of the House Rod Jetton and Reps. Gayle Kingery and Mike Dethrow were among legislators who participated in the rally at Worley's farm. Mayer informed the farmers that Ventria Bioscience, which is moving from California to Missouri, has agreed to not grow genetically modified rice in Southeast Missouri.

"I am pleased the project is not going forward in Southeast Missouri because of the risk of losing our markets," Mayer said. But he added that "genetically modified seeds hold promise for mankind and increased income for farmers. We need to continue to explore genetically modified seeds."

Riceland Vice President Bill Reed also spoke at Worley's farm and said he was glad the project is not going forward in Southeast Missouri.

"We are trying to get legislation together to keep genetically modified rice out of Missouri," Worley said. "We had a good turnout and it was a good meeting."

Anheuser-Busch Co. of St. Louis and Riceland Foods of Stuttgart, Ark., had urged federal regulators to deny a permit requested by Ventria to grow 150 acres of genetically modified rice on David Herbst's farm in order to produce human proteins used in drugs.

Herbst maintained the project was worthwhile and that contamination could be controlled. He said biopharming could have opened up new markets for rice.

Riceland Foods, the world's largest rice miller and marketer, is concerned its customers don't want to risk buying genetically modified rice. Anheuser-Busch, the nation's No. 1 buyer of rice and the largest brewer, said it would not buy Missouri rice if genetically modified, drug-making crops are allowed to be grown in the state.

According to the Associated Press, Anheuser-Busch dropped its threat to boycott Missouri's rice crop after Ventria agreed Friday to grow its genetically engineered rice at least 120 miles away from commercial rice farms in Southeast Missouri.

"I am pleased that Anheuser Busch and Ventria have reached a fair compromise that further cutting-edge life-sciences technology while protecting current markets for Missouri rice farmers," Gov. Matt Blunt said in a press release Friday.

The agreement was brokered by Blunt and U.S. Sen. Kit Bond, R-Mo.

"I am very proud that friends have come together in good faith and reached an agreement that addresses all concerns while permitting this critical technology to find a welcome home here in Missouri," Bond said in a press release Friday.

U.S. Rep. Jo Ann Emerson of Cape Girardeau, who has been a strong supporter of new technologies for value-added agricultural products, sent a letter to Blunt earlier Friday.

"However, the market realities that have been presented to me by Riceland Foods, Anheuser-Busch, my rice producers, lenders and suppliers dictate that I must oppose the production of genetically modified rice in Southeast Missouri in crop year 2005," Emerson said.

The Missouri Farm Bureau supports Ventria, which is moving to Northwest Missouri State University to be the anchor tenant of a new center for plant-made pharmaceuticals.

Ventria's president, Scott Deeter, has said fears of contamination are overblown because the company intends to use "a totally closed system of production" with a plant that pollinates itself. He also said the rice could be engineered to produce proteins that have the potential to address health issues like severe dehydration due to diarrhea, which kills more than 1.3 million children under the age of 5 annually worldwide.

Mayer said Missouri Department of Agriculture Director Fred Ferrell is working with Ventria to select a producer near Lamar north of Joplin to grow genetically modified rice.

U.S. Rice Producers Association President Chris Williams, a Poplar Bluff rice farmer, told the Southeast Missourian the agreement is a positive development, but he still has concerns.

"We wonder why rice producers weren't involved in the discussions or negotiations. Nobody included us in any of this, and that was disappointing," said Williams, who hopes other big buyers like Riceland, Gerber and Kellogg will continue to buy Missouri rice.

"We're pleased that they're moving120 miles from us. We'd have been more pleased if it was 1,000 miles," said Sonny Martin, a Bernie rice farmer who is chairman of the Missouri Rice Research and Merchandising Council.

Herbst is glad Ventria is staying in Missouri.

"This is a tremendous victory for the future of agriculture in Missouri," Herbst said.
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2.Illinois Attorney General Probes Monsanto Pricing
by Carey Gillam
Reuters, 21 April 2005

KANSAS CITY, Mo. - Monsanto Co.'s role in the US biotech seed business is the subject of scrutiny by the Illinois Attorney General's office, the agrochemical company said Wednesday.

Monsanto issued a statement saying it was cooperating with a subpoena seeking information on pricing and licensing of its genetically modified seeds. The company defended its market activities, which have been the subject of rising complaint as its market influence has grown.

"We firmly believe that Monsanto has and continues to compete fairly in establishing the value our innovations are bringing to our seed customers and to farmers," General Counsel Charles W. Burson said in a statement.

The St. Louis-based company controls 100 percent of the market for certain specialized soybean and corn seeds that have been genetically modified to help farmers fight weeds, along with more than 80 percent of the market for a corn that resists destructive insects. In all, Monsanto corn and beans strains are planted annually on more than 70 million acres of US farmland.

Monsanto's reach has allowed it to implement double-digit price hikes for seeds carrying its technology, actions that have angered farmers.

"It has been a sore spot over the years that US farmers have to pay what they do," said Illinois Corn Growers spokesman Mark Lambert. "It is an issue."

Indeed, last year Basel, Switzerland-based Syngenta, the world's biggest agrochemical company, filed a lawsuit accusing Monsanto of using coercive tactics and unfair bundling arrangements since the 1990s to exercise monopolistic power in multiple markets.

Meanwhile, Monsanto has continued to expand its dominance of the US seed industry, making a series of acquisitions over the last several months.

Melissa Merz, a spokeswoman for the Attorney General's office, said she could not discuss the subpoena or what prompted it.

Monsanto shares were down 9 cents at $59.41 in midday New York Stock Exchange trade.

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