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U.S. to challenge Europe over biotech moratorium, Brazil's proposed biotech labeling rules worry Argentine exporters

(Friday, May 9, 2003 -- CropChoice news) -- The Bush administration has decided to challenge the European Union's moratorium on genetically modified foods in the World Trade Organization.

A senior U.S. official told ABC news that a case will be filed no later than mid-June.

Meanwhile, Brazil postponed its new rules requiring labels to identify genetically modified foods if they contain more than 1 percent transgenic material, Argentine exporters are still nervous. They complain of enormous costs that would be involved with separating such food.

The proposed rules also apply to soy oil, corn oil, and dairy and meat from animals fed genetically engineered grain.

According to the Organization of American States, Brazil is Argentina's main trading partner, taking in 13 percent of Argentina's $11.4 billion exports last year.

Sources: Reuters, ABC news