US To Propose Tighter
                   Organic Food Rules


                   March 6, 2000

                   WASHINGTON (Reuters) - The Clinton
                   administration has decided to propose a ban
                   on genetically engineered grains in any food
                   labeled organic, the Washington Post
                   reported on Saturday.

                   The newspaper, quoting people briefed on
                   the proposed new rules, said the move was
                   part of an administration effort to create the
                   nation's first official definition of ``organic.''
                   New regulations will be formally unveiled
                   next week by the US Department of
                   Agriculture, the paper said.

                   The guidelines would also ban pesticides on
                   crops labeled organic, bar the use of sewage
                   sludge as fertilizer, prohibit irradiation and
                   tightly restrict the use of antibiotics in farm
                   animals.

                   In addition to trying to satisfy a small but
                   growing number of American consumers who
                   shop for organic foods, the rules are also
                   seen as a way to defuse trade conflicts with
                   Europe.

                   When European governments banned some
                   of the same controversial farming practices
                   that would be banned by the proposed
                   organic rules, the US government objected,
                   calling them unfair to trade, and imposed
                   retaliatory trade sanctions.

                   The report said the rules would also embrace
                   organic standards on farm subjects ranging
                   from how animals should be treated to what
                   constitutes organic manure.

                   A spokesman for the Agriculture Department
                   would not comment on the report, but said
                   the agency expected to get the new
                   proposed rules out as soon as possible.

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