Money News

India's PEC receives first cargo of non-GM corn from Ukraine-trade source

NEW DELHI (Reuters) - India’s PEC Ltd has received its first cargo of about 40,000 tonnes of corn from Ukraine, trade sources said, despite concerns that the state-run trader could find it difficult to secure supplies of grain from non-GM crops.

PEC Ltd firmed up plans to import corn in December last year, marking India’s first such overseas purchase in 16 years.

In an international tender competition launched in January, the government-backed trader awarded a contract to South Korea’s Daewoo International to supply 250,000 tonnes of yellow non-genetically modified corn.

Since India doesn’t allow GM food crops PEC sought in its import tender only non-GM corn, a condition that looked like a tall order to many trade and industry experts, as only a handful of countries grow grain which would qualify.

“PEC has received a cargo of about 40,000 tonnes. Of the contracted 250,000 tonnes, the rest are on their way from Ukraine,” said a source directly involved in the deal.

Reporting by Mayank Bhardwaj; Editing by Greg Mahlich