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Report finds SA farmers have lost up to $33 million as a result of ban on GM crops

South Australian farmers have lost up to $33 million from a longstanding ban on genetically modified crops, prompting calls for it be immediately overturned.

Is Gene Editing the Future of Farming?

South Australian farmers have lost up to $33 million from a longstanding ban on genetically modified crops, prompting calls for it be immediately overturned.

An independent report, released yesterday, found the ban had cost growers $33 million on canola crops since 2004, and if extended to 2025, they faced loses of at least another $5 million.

Grain Producers SA chief executive Caroline Rhodes said the moratorium had run its course and in the absence of premiums for the state’s farmers, it must be lifted.

“The grain industry should not continue to wear the cost of this redundant legislation, which is based on the false premise of a market premium,” Ms Rhodes said.

“South Australia is the last mainland state that has placed a ban on the commercial cultivation of GM crops.

“We have been denied access to crop varieties proven safe by the Office of the Gene Technology Regulator, based on a political ideology captured by the anti-GM movement.”

In September, the State Government commissioned economics emeritus professor Kym Anderson to investigate the cost and benefits of maintaining or removing the ban.

Adrian McCabe, a director at Grain Producers SA, with a canola crop at Alma, SA. He wants the moratorium lifted on genetically modified crops in the state.
Adrian McCabe, a director at Grain Producers SA, with a canola crop at Alma, SA. He wants the moratorium lifted on genetically modified crops in the state.

His report contained 19 findings, including that there is no price premium for the state's GM-free grain, the ban has discouraged investment into research and development and SA farmers did not have better access to European Union markets.

The majority of public submissions to the report were also in favour of the immediate removal of the GM ban on crop production and transport.

A small number favoured a proposal to retain the GM moratorium on Kangaroo Island to access the Japanese market.

Primary Industries Minister Tim Whetstone said the report debunked many myths about GM crops.

“The former Labor government continually spruiked the significant premiums for South Australia’s non-GM canola,” Mr Whetstone said.

“However, the report debunks this view, finding that there is no premium for SA grain when comparing data on prices of grain from neighbouring states.”

Mr Whetstone said the Government would consider the findings, including the ability to attract research funding.

He said a submission from a highly ranked SA university argued the removal of the ban would attract research dollars and postgraduate students.

The report follows one by market analysts Mercardo last year which also found growers did not receive a premium as a result of the moratorium.

The ban is in place until 2025 and would need a vote in Parliament to be overturned.

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Original URL: https://www.adelaidenow.com.au/business/sa-business-journal/report-finds-sa-farmers-have-lost-up-to-33-million-as-a-result-of-ban-on-gm-crops/news-story/1a534df0e0e283c16d9580acdb02fcff