* EU farm chief eyes biotech proposal by year-end
* Worried about soy supplies due to zero-tolerance policy
By Mia Shanley
VAXJO, Sweden Sept 14 (Reuters) - Europe's farm chief urged the 27-member bloc on Monday to draw up rules by end-2009 to allow resumption of vital soybean imports from the United States -- held up for months because of food safety fears.
While the EU has approved a string of genetically-modified -organisms (GMOs) -- mainly maize varieties -- by default rubberstamps since 2004, it does not permit other GMOs, even in minute amounts, until EU approval for those products is given.
Soybeans, and to a lesser extent maize, are an important ingredient in animal feed.
Europe's agriculture commissioner, Mariann Fischer Boel, told Reuters on the sidelines of a meeting of EU agriculture ministers in southern Sweden that a proposal on a maximum level for GMO residues in imports should be ready before the end of the year.
"Over the summer I have become even more worried about this because of the fact that we are importing into Europe a lot of soybean, and we desperately need soybean for our pig and meat production," she said.
Since the EU's three main country suppliers of soy, a high-protein raw material for feed, mainly grow GM varieties, non-biotech soy has become increasingly difficult to source for the EU's manufacturers of animal feed.
The three suppliers are Argentina, Brazil and the United States.
More than 200,000 tonnes of U.S. soy have been refused entry at EU ports in recent months after traces of unapproved GM maize varieties were discovered in them.
The blockage raised fears in the EU feed industry that it will be unable to buy millions of tonnes of U.S. soybeans as planned unless the zero-tolerance policy on unapproved GMOs is changed.
The Commission has said it will find a technical solution to what is known as "low-level presence" of GMO residues.
"I've been very keen on this issue, raising the discussion on a quicker approval system, making it quite clear that member states do have their obligations...," she said.
Already, Fischer Boel said the Commission has received positive feedback from the EU's scientific advisory body, the European Food Safety Authority (EFSA), on a variety of GM corn -- MON 88017 -- which she hopes will be quickly approved by member states.
"Here, I hope that member states will show their responsibility and vote in favour," she said.
Fischer Boel said Sweden's Agriculture Minister, Eskil Erlandsson, had promised to put the issue of MON 88017 on the agenda at the next council meeting.
But getting a proposal on a biotech approval system on the table by the end of the year could be tricky.
Diplomats do not expect anything firm until a new team of European commissioners starts work in early 2010.