Biotech corn agreement gives farmers millions

DES MOINES, Iowa – The creator of a genetically modified corn that ended up in the food supply and prompted the recall of taco shells and other products has agreed to pay millions in compensation to farmers and grain elevators across the country.

Estimates of the cost to Aventis CropScience range from $100 million to $1 billion.

“We’re talking about massive amounts of grain,” Iowa Attorney General Tom Miller said Tuesday. “This is a significant agreement.”

Miller said the four-year agreement between Aventis and 17 states, mainly in the Midwest, calls for the company to pay farmers up to 25 cents per bushel for tainted corn, and reimburse them for other losses. The total amount of grain has not been determined.

In a statement, the company said it is pleased with the agreement. The deal does not prevent farmers or other individuals from suing the company.

At issue is StarLink, a genetically modified corn. Approved for industrial use and as animal feed, it was never licensed for human consumption because of questions about whether it can cause allergic reactions.

Some of it was mixed with other varieties of corn in 1999 and again last year. StarLink was withdrawn from the market last fall and taco shells were recalled nationwide.

Federal officials have also tested more than 100 product samples for StarLink. Among the products collected for testing were tortillas, corn meal, corn chips, puffed corn snacks, corn syrup and baby food.

Many farmers and grain elevators have been unable to sell their corn because of fears it may contain StarLink.

Aventis had already agreed to compensate farmers and assist with marketing. The agreement now gives state officials the legal footing to intervene if the company does not live up to its promises.

The states signing the agreement are: Iowa, Alabama, Illinois, Indiana, Kansas, Kentucky, Maine, Maryland, Minnesota, Mississippi, Nebraska, New Mexico, North Dakota, Ohio, Oklahoma, South Dakota and Wisconsin.

Farmers and grain elevator owners seeking damages can find an application procedure posted on the company’s Web site or contact the Attorney General’s Office. The deadline to apply is Feb. 15.