The Andhra Pradesh government has filed a case against the seed multinational Monsanto, for royalty overcharging, which caused farmers to pay more for Bt cotton seeds.
State Agriculture Minister N Raghuveera Reddy said he was neither for nor against Bt cotton. ‘‘The seed has been approved by the genetic engineering approval committee which is the supreme authority in the matter. Who are we to question it,’’ he said.
However, a case had been filed against Monsanto under the MRTP Act (Monopolies Restrictive Trade Practices Act) for charging abnormally high trait values or royalties. The case is due for hearing on January 10.
‘‘Monsanto is charging Rs 1,250 for 450 grams of seed in the name of trait value. We have information that they charge (the equivalent of) Rs 108 in the US for the same 450 gm of seeds,’’ said Reddy. The seed cost for one acre of land is Rs 450 which is at least three times higher than normal hybrids.
Seed growers are paid only Rs 250 for 450 grams of seed, and farmers, buy them at Rs 1,850 per 450 grams, he said. ‘‘We tried our best to correct the practice through a series of meetings with Monsanto. But in comparison to last year’s rate of Rs 1,700 per 450 gm of seeds, the company raised it to Rs 1,850,’’ he said.