Syngenta Files Law Suit Against Bunge in US
Syngenta alleges Bunge is attempting to block the legal merchandising of the Agrisure Viptera trait which was launched in compliance with all U.S. regulatory requirements as well as industry guidelines for commercialization.
Aug 24 2011 --- Syngenta in North America has filed a complaint in U.S. District Court for the Northern District of Iowa against Bunge North America “for having violated a number of Federal and State laws.” Syngenta alleges Bunge is attempting to block the legal merchandising of the Agrisure Viptera trait which was launched in compliance with all U.S. regulatory requirements as well as industry guidelines for commercialization.
“We are taking this action to remove the illegal impediment Bunge imposed on growers when they announced mid-season that they would not accept grain enhanced by the Agrisure Viptera trait,” said David Morgan, President, North America.” “When a product has been legally approved, growers should be able to use that technology without subsequently being subjected to arbitrary actions.”
“Our first priority is growers,” said Morgan. “Growers inherently face a myriad of risks and Bunge’s decision to change grain specifications when farmers had already planted their corn is unacceptable. We are working with farmers who are impacted by this decision to help them find alternatives for delivering their grain.”
Soren Schroder, Bunge North America president and CEO resonded by stating. "Bunge North America is aware from press reports of Syngenta's allegations. From what we know and from prior conversations with Syngenta, we are surprised and disappointed that Syngenta has taken an action which could put at risk a major export market for U.S. corn producers -- China.”
“Bunge is a strong proponent of agricultural biotechnology and the benefits it offers to the entire value chain. We have communicated to Syngenta on several occasions that Bunge looks forward to accepting Agrisure Viptera once approval from China is secured. We understand that Syngenta expects this will happen in early 2012.”
“However, until this approval occurs, we must protect the integrity of our export supply chain by not accepting Agrisure Viptera and other varieties that do not have major export market approval. Our obligation to our farmer customers is to provide access to the global marketplace and the price benefits of that access. Syngenta's decision to commercialize Agrisure Viptera should not foreclose our ability to sell to a major market " China.
Bunge claim that their decision not to accept Agrisure Viptera is consistent with the North American Export Grain Association's (NAEGA) policy to advocate that technology providers receive all major international approvals for a trait prior to seed sales. The grain export industry, which includes Bunge, notified Syngenta more than a year ago that China is considered a major export market.
According to the U.S. Department of Agriculture, China is currently the seventh largest destination for U.S. corn with imports expected to grow significantly this year.
