A Catholic investment firm has fallen short of its goal to convince one of the world’s largest seed companies to be more forthcoming about its genetically modified crop business.
Only 7.3 percent of DuPont’s shareholders supported a resolution by Christian Brothers Investment Services that urged the company to disclose any risk or off-balance sheet liability posed by its manufacture and distribution of GMOs.
DuPont owns Pioneer Hi-Bred International Inc., which sells GM corn, soybeans and canola.
CBIS, an investment advisory firm that manages $4 billion US in assets on behalf of more than 1,000 Catholic institutions, said DuPont has done an unsatisfactory job of meeting the legal requirement to inform investors about the potential environmental contamination and health-related
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liabilities of selling GM crops.
DuPont advised its shareholders to vote down the resolution, claiming adequate controls are already in place.
“Each new product undergoes a myriad of laboratory and field tests at every stage of development and commercialization, with such testing lasting for a period of seven to 10 years,” the company said in a letter to shareholders sent out in advance of its April 26 annual meeting.
CBIS considers the 7.3 percent show of support for its resolution a “major step forward” in a multi-year process of building awareness and support for the resolution. The group only needed six percent of the vote to reintroduce the resolution at next year’s meeting.
“Today’s vote gives CBIS and other concerned groups considerable new leverage to keep up the pressure on DuPont to determine and disclose the potential risks associated with genetically modified agriculture,” said John Wilson, director of socially responsible investing at CBIS.
“At a minimum DuPont has an obligation to start acknowledging to its shareholders that there are valid concerns here about the potential risks associated with GMOs.”
