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MANILA - The Philippine government plans by July 1, 2003, to make firms notify it of any imported genetically modified organisms (GMOs), according to draft documents obtained by reporters.

Based on the Department of Agriculture draft rules, the government would prepare a list between now and June 30 next year of approved commodities that will be allowed entry into the country. After June 30, 2003, any GMO imported by any company not included in the list of the Bureau of Plant Industry (BPI) will be required to secure a permit, it said.

"No regulated article shall be allowed importation for direct use as food or feeds or for processing unless, one the importation has been duly authorised by BPI and two, the regulated article has been authorised for commercial distribution as food or feeds in the country of origin and three, regardless of intended use the regulated article poses no significant risks to human and animal health," the draft rules said.

A government source said that the draft rules, which have yet to be approved by Agriculture Secretary Leonardo Montemayor, will govern the release of GMOs for field testing, propagation and for direct use as food or feeds.

"We are doing this because biotech is a new technology, therefore we need a regulatory framework to access the benefits and study the risks involved," a government official told reporters.

The draft guidelines said that during the transition period, BPI will create a scientific panel to review the risks of importing GMO products to health.

Traders expressed worries that the proposed guidelines would lead to higher prices.

"Additional guidelines mean more costs," said one trader.

The Philippines imports about one million tonnes of soybean meal, about 300,000 tonnes of soybeans and at least 200,000 tonnes corn.: