FDA WANTS FIRST LOOK AT DISPUTED BIO-FOODS

SARAH MULHOLLAND

WASHINGTON -- The Food and Drug Administration here recently issued a proposed rule requiring manufacturers of food and feed that is produced using genetically modified organisms to meet with the agency before taking their products to market.

However, the FDA will not require special labels on bio-foods, despite pressure from environmental and consumer groups. Those who do not use GMOs will still have the option of including that information on the label.

Currently, developers of food and feed using biotechnology participate in a voluntary consultation program with the FDA. To date, all such food and feed products marketed in the United States have gone through the consultation program before entering the market. While the process remains fundamentally unchanged, the revised regulations serve to reassure consumers of the safety of genetically modified foods in the wake of recent controversy surrounding the use of GMOs in food production.

In addition, the FDA has issued a draft guidance document, providing direction to manufacturers who wish to label their food products as being made with or without ingredients developed through biotechnology.

According to Peter Cleary, manager of public policy and communications for the Grocery Manufacturers of America,Washington, the FDA's move is a healthy boon to the industry.

"Reaffirming the voluntary label setting, while creating standards for what bioengineered means, will be very helpful to consumers," he said. "They want to know that there is standard information available."

According to Greg Badishkanian, vice president of equity research for New York-based Salomon Smith Barney, the natural foods channel will continue to benefit from the ability to advertise a lack of bioengineered ingredients.

While Badishkanian notes that public concern regarding GMOs has not reached a critical level in the United States, he advises mainstream retailers to stay abreast of this trend.

"There is a growing demand for products without GMOs and a supermarket cannot transform its shelves overnight," he said. "It takes time to procure and merchandise these items and mainstream supermarkets stand to lose customers in the interim."