Monsanto dips as parent co drops plan to launch GM cotton seed

Decision to suspend this introduction in India is an outcome of the uncertainty in the business and regulatory environment. said Monsanto

Shares of Monsanto India fell nearly three per cent after the US bio-technology major Monsanto said it has withdrawn application seeking approval for the next generation genetically modified (GM) cotton seeds in India because of regulatory uncertainties.

The scrip went down 2.78 per cent to end at Rs 2,368.90 on BSE. Intra-day, it slipped three per cent to Rs 2,362.70.

At NSE, shares of the company lost 2.71 per cent to close at Rs 2,374.60.

The application seeking environment clearance for commercial cultivation of 'Bollgard-II Roundup Ready Flex technology' was withdrawn on July 6.

"Our decision to suspend this introduction in India is an outcome of the uncertainty in the business and regulatory environment, which includes the regulation of trait fees and introduction of the draft compulsory licensing guidelines," Monsanto Spokesperson said in a statement.

This decision has no impact on our current cotton portfolio being sold in India, it said.