An investment bank report finding lower prices for genetically engineered food is being hailed as good news for GE-free New Zealand farmers.

Leading investment bank Deutsche Bank reported this week that giant biotechnology companies are in financial turmoil and the bank is advising investors to sell their shares. The Bank says 'increasingly, GM organisms are, in our opinion, becoming a liability to farmers.'

"The really good news for New Zealand farmers is the report indicates that GE-free crops are already being sold at a higher price than their GE equivalent," said Green Party Agriculture spokesperson Ian Ewen-Street.

"Our marketing advantage lies in our clean green image and current GE-free status. We would be well advised to reject any suggestion that genetically engineered crops or animals will lead to better export returns

The Deutsche Bank's report concludes simply that 'genetically modified organisms are dead' because consumers are suspicious about their impact on human health and the environment. It warns that farmers who plant GE crops could lose money, that the stock market value of GE companies could collapse and that food companies will not risk using such ingredients.

"Because of concerted action by consumers around the world, financial institutions are now sending a clear message that genetically engineered foods are a liability," said Ian Ewen-Street.

"Once the investors start having jitters, the whole economic viability of the GE food industry is threatened. This is the strongest signal yet that the Green Party's determined action to keep New Zealand farming GE free is the best path for the economy," Mr Ewen-Street said.

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