While North Dakota legislators recently debated the pros and cons of restricting the production of biotech wheat in this state, the chairman of the North Dakota Wheat Commission was in Japan discussing the market implications of commercializing biotech wheat.

Berthold, N.D., wheat grower Alan Lee was one of five U.S. wheat industry representatives who traveled to Japan April 15-20 to meet with representatives of the Japanese Food Agency and leading milling companies. Discussions with the Japanese industry leaders reinforced the cautious and conditional approach that has been endorsed by U.S. Wheat Associates and the National Association of Wheat Growers with regard to the introduction of biotech wheat.

"The message was clear that Japanese consumers are not ready for biotech wheat," Lee reported.

Japanese milling industry leaders told the U.S. team that they would purchase wheat from U.S. competitors if in the future the United States cannot ensure that Japan will receive biotech-free wheat. They said there's also the possibility that rice consumption could increase at wheat's expense. "We emphasized to the Japanese officials and milling executives that customers come first," Lee said. "We explained that our mission was not to sell them on biotechnology, but instead to listen to their concerns." The U.S. team stressed that no wheat varieties derived from biotechnology are expected to be commercialized in the United States until 2003 to 2005. The Japanese industry leaders indicated they don't oppose biotechnology, per se - in fact, many recognize its potential. "All of the industry leaders urged us to first work towards getting the release of new products derived from biotechnology that have consumer and processing benefits," Lee said. "This should help in gaining consumer acceptance." Japan enacted a new law April 1 that requires that any foods containing genetically modified products be labeled as such. Japanese consumers have a high level of distrust in genetically modified products as a result of recent food safety issues in Japan.

The U.S. delegation found that the Japanese millers were very aware of the legislation that had been proposed in North Dakota to restrict the production of biotech wheat. Lee said at the time of the visit, the Japanese officials thought that the restrictions had been approved. Instead, the North Dakota House of Representatives concurred with the Senate version of the bill while the team was in Japan. The bill now calls only for a possible study of issues surrounding biotechnology. The Japanese were appreciative of the visit by U.S. officials in advance of the potential release of biotech wheat and of the candid discussions that took place, Lee said. Seiji Terada, USW country director in Japan, arranged for the team's visit and coordinated the meetings with key industry representatives. The team outlined the USW-NAWG position statement on biotechnology as well as the actions that the national wheat organizations are taking in anticipation of the eventual commercialization of biotech wheat. USW and NAWG are urging technology providers to obtain international regulatory approval and to ensure customer acceptance prior to commercializing biotech wheat.

They are also requesting that an identity preserved (IP) or closed loop system be developed to prevent the commingling of biotech and non-biotech wheat. There is skepticism about the reliability of an IP system, but the Japanese millers agreed to work with a U.S. industry advisory committee to review a system being proposed by Monsanto.

The company is preparing for the launch of "Roundup Ready" wheat, which is resistant to its leading herbicide. Even with a viable IP system, Japanese millers emphasized that their wheat import costs would likely increase because of new mandated labeling and testing requirements. Flour millers expressed very strong objections to absorbing any increased costs.

In addition to North Dakota's Alan Lee, other members of the U.S. delegation were Darrell Hanavan, chairman of the USW/NAWG biotechnology committee and executive director of the Colorado Wheat Administrative Committee; Nelson Denlinger, vice president of U.S. Wheat Associates, and Barbara Spangler, executive director of the Wheat Export Trade Education Committee, both of Washington, D.C.; and Mike Bruer, vice president of the Minnesota Association of Wheat Growers.

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