ZF English

Pioneer invests $26m in seed "factory"

27.05.2005, 19:41 6

Pioneer Hi-Breed Romania, a member of the American group DuPont that is worth 27 billion dollars a year, has announced the completion of its 27 million dollar (20 million euro) investment in what is the largest seed processing plant in Europe, in Ganeasa, Ilfov County.

Together with Monsanto, Pioneer is a proponent of genetically modified crops and was one of the first companies to bring genetically modified seeds to the Romanian market. Officially, Romania only cultivates genetically modified soy - 50,000 hectares annually - but has over recent years been suspected of growing other genetically modified plants. The Romanian authorities have rejected the accusations.

Genetically modified plants are immune to certain pesticides, which are sold by the same companies that sell the seeds.

Despite the fierce debate over the growing and importing of genetically modified grain currently raging in the European Union, the EU is itself one of the biggest importers of genetically modified soy from North and South America. After joining the EU, Romania could become important to the United States in Europe in the battle over genetically modified crops. "Romania is already acting as a bridgehead for the United States in the battle with the EU over genetically modified crops. I don''t believe any US growers of genetically modified plants will come to Romania in the future, however, since the Americans are already working with important Romanian farmers," said Adrian Chihaia, director of the Association of Soy Growers in the US. He says that this year has seen growing support for genetically modified soy.

Mihai Anghel, who is chairman of Cerealcom Dolj, an agricultural holding that cultivates over 25,000 hectares, believes Pioneer''s investment is good news for Romanian farmers.

"This investment will bring very high quality seeds to the Romanian market. I already work with Pioneer and am using their hybrids, which have very good production potential and are very adaptable to our soil."

Genetically modified soy production is performed by factories, such as Ultex Tandarei and Expur Urziceni, which are specialised in extracting oil. The by-product of the process is used by animal farmers as fodder.

The seeds are genetically modified to resist certain herbicides, which are in fact produced by the very same firms that sell the seeds (in this case Pioneer).

Since entering the Romanian market 11 years ago, Pioneer has invested over 1.5 million dollars in a warehouse and a research centre for sunflower hybrids for Eastern Europe. stelian.negrea@zf.ro

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