March 8, 2002 -- The Chinese government March 7, 2002, agreed to a proposal to delay the implementation of any new regulatory provisions on genetically
modified product imports, if the products have completed the regulatory review process in the exporting country and have initiated the
approval process in China. For U.S. corn exporters and producers, this means trade will trade will not be disrupted when China’s new
biotechnology regulations go into effect March 20. 

As originally stated, the new regulations would have required genetically modified products to have safety certificates from from China's
Ministry of Agriculture, as well as a government statement from the originating country that it poses no harm to humans, animals, or the
environment. Sales would have been allowed only after the certificates were issued. The U.S. government maintained these requirements
would shut off foreign trade and President George W. Bush raised the issue with Premier Zhu Rong Ji during Bush's February visit to
China.

“We’re pleased that China appears to appreciate our concerns and has said that it is developing an interim arrangement to reduce
trade disruptions and address our specific concerns including approvals, market access and labeling," read a joint statement issued by
U.S. Agriculture Secretary Ann M. Veneman and U.S. Trade Representative Robert B. Zoellick. "It’s a step in the right direction. 
China has indicated that it will publish the details of the arrangement soon, and we look forward to reviewing them closely."

But the U.S. Grains Council (USGC) is encouraging U.S. life sciences companies to pursue certification fo their biotech products. "It's
evident that there will be some sort of certification," says David McGuire, USGC director of trade relations. "Thus, technology providers
should be submitting applications for all U.S.-approved biotech events in order to avoid disruption of trade in the future."

It is estimated that U.S. corn exports to China could grow to 7.2 million metric tons by 2004, making China the third -largest overseas
market for U.S. corn.

Meanwhile, the United States enjoys a near 100 percent share of Taiwan's corn import market. The Taiwanese government has again
removed corn from the list of agricultural commodities to be permitted entry from the People's Republic of China, so the United States will
not face competition in the Taiwan market from mainland China between now and July.

Japanese processors are set to resume imports of U.S. corn for food uses now that concern over the discover of banned StarLink corn in
U.S. shipments has subsided. Nikkei News reported that Japanese starch and sweetener manufacturers should resume normal imports
by May, and that companies will pay a premium of up to 20 percent for corn that has been identity-preserved at all stages of planting,
harvest and distribution.