Agricultural Biotechnology: The U.S.-EU Dispute

In May 2003, the United States, Canada, and Argentina initiated a formal challenge before the World Trade Organization (WTO) of the European Union’s (EU’s) de facto moratorium on approving new agricultural biotechnology products, in place since 1998. Although the EU effectively lifted the moratorium in May 2004 by approving a genetically engineered (GE) corn variety, the three countries are pursuing the case, in part because a number of EU member states continue to block approved biotech products. Because of delays, the WTO is expected to decide the case by December 2005. The moratorium reportedly cost U.S. corn growers some $300 million in exports to the EU annually. The EU moratorium, U.S. officials contend, threatened other agricultural exports not only to the EU, but also to other parts of the world where the EU approach to regulating agricultural biotechnology is taking hold