Context:
Despite receiving clearance from India’s apex regulatory body for genetically modified organisms, the import of genetically engineered (GE) alfalfa hay from the United States remains pending final approval from the Ministry of Agriculture, creating a key sticking point in ongoing Indo-US trade talks.
Timeline of Developments
- July 2024: The Genetic Engineering Appraisal Committee (GEAC) cleared GE alfalfa hay imports after safety assessments.
- October 2022: The FSSAI raised reservations about GE animal feed imports.
- March 2024: The USTR report flagged India’s delay, citing repeated discussions with Indian authorities.
- October 2024: The USDA-FAS reported that the Indian Agriculture Ministry is reviewing the case and may soon authorize imports.
Key Details
- GE alfalfa hay was found to contain no living modified organisms, thus posing negligible environmental risk.
- FSSAI’s scientific panel concluded that it was safe for livestock and compliant with India’s GM crop policies.
- Final notification from the Ministry of Agriculture is awaited.
Trade and Policy Implications
- The delay in approval has emerged as a contentious issue in bilateral trade dialogues.
- The United States has consistently raised concerns since 2022, urging India to expedite the process.
- The issue was discussed during the January 2024 Trade Policy Forum (TPF) meeting.
India Also Reviews Alcohol Norms Amid US Push for Clarity
While the alfalfa import issue lingers, India is moving ahead in relaxing food safety norms for ready-to-drink (RTD) alcoholic beverages following US demands for a more flexible regulatory regime.
Low-Alcohol RTD Beverages: Regulatory Shift Underway
- India currently allows RTD beverages with 0.5–8% alcohol content.
- Discussions are underway to increase this range to 10–15%, a move supported by Indian industry stakeholders.
- The proposed changes aim to align with international standards and address USTR concerns.
USTR Highlights Additional Concerns in March 31 Report
- Lack of clear definitions for key product categories like single malt and grain whiskies
- Issues with non-recognition of US-issued certificates of analysis
- Ambiguity in labelling, alcohol standards, and packaging norms
- Concerns over adequate GI protection for products like Bourbon, Rye, and Tennessee Whiskey
India has sought specific clarifications from the US to resolve these matters and has acknowledged that GI protection and import of certain US spirits are already in place.
Outlook
With mounting pressure from the US, India is expected to finalize its stance on alfalfa hay imports and food safety standards for alcoholic beverages soon. These decisions could significantly impact bilateral trade flows, agri-tech cooperation, and regulatory
