 "CCI orders investigation against Monsanto on govt complaint")
Seed industry body National Seed Association of India has asked Mahyco Monsanto Biotech Ltd to pay compensation to farmers who suffered losses due to cotton pest 'Pink Bollworm' that has developed resistance to the company's much-touted Bt cotton variety this year.
The second generation Bt cotton variety, Bollgard II, introduced by Monsanto in 2006, is supposed to be resistant to Pink Bollworm pest. The pest attack has been reported in Gujarat, Maharashtra, Karnataka and Andhra Pradesh.
In a letter to the company, the National Seed Association of India (NSAI) said some seed companies have started receiving notices from the state regulators for payment of compensation to affected farmers.
"As Pink Bollworm attack is due to technology failure, industry wants Monsanto to compensate the farmers for any production damage," NSAI Executive Director Kalyani B Goswami told PTI.
To this, a company spokesperson said, "We have received some communication from NSAI on February 22 and are in the process of examining the same. We continue to remain in constant touch with each of our sub-licensees and address any queries that they raise from time to time."
Stating the final report of Central Institute of Cotton Research (CICR) is awaited, the company said, "This (Pink Bollworm) has been proliferated by improper insect resistance management practices, absence of refuge planting and spread of illegal seeds in some districts of Gujarat."
While Pink Bollworm shows resistance, the technology continues to provide effective control of American Bollworm and Spotted Bollworm, it said.
Under the prevailing environmental conditions, the ability of the plants to express the trait and quality standards of the seeds supplied also need to be assessed to arrive at the correct solutions for addressing the issue, Mahyco Monsanto Biotech Ltd (MMBL) said.
"In agriculture, insect resistance is said to have developed when previously effective management techniques are no longer controlling target pests. We continue to find that our traits are still bringing great value to farmers in all the regions where they are used," MMBL added.
Meanwhile, the Union Agriculture Ministry is working with Indian Council of Agricultural Research (ICAR) as well as with seed industry to find a solution to the problem.
NSAI and MMBL are at loggerheads over the Centre's recent order of fixing cotton seed price including Bt versions royalty fee. Competition watchdog CCI has also ordered detailed investigation against MMBL for alleged monopoly in the business of Bt cotton in India.
Cotton production is estimated to decline 30.69 million bales of 170 kg each in the 2015-16 crop year (July-June), as against 34.80 million bales in previous year.
