South Australia's mainland farmers will be able to grow genetically-modified (GM) food crops next year.

Key points: South Australia's grain and livestock groups have welcomed the State Government's decision to allow farmers to grow GM crops from next year

South Australia's grain and livestock groups have welcomed the State Government's decision to allow farmers to grow GM crops from next year The Primary Industries Minister says it gives grain growers more choice

The Primary Industries Minister says it gives grain growers more choice The ban will however continue on Kangaroo Island and Gene Ethics says that proves the "tangible benefits" of GM-free crops

South Australia has announced its intention to be the last mainland state to lift its GM moratorium, but Kangaroo Island will remain GM-free.

The moratorium, introduced by Labor in 2003, was due to extend until 2025 but the Liberal Government plans to overturn that.

The decision to lift the 16-year ban was made following an independent review by Emeritus Professor Kym Anderson earlier this year.

Professor Anderson estimated the cost of the moratorium to SA's grain industry was about $33 million since 2004 for canola alone.

Professor Anderson's review found that Kangaroo Island was the only region in South Australia able to demonstrate evidence a GM-ban delivered market benefits.

The South Australian Parliament's Legislative Council has also established a Select Committee to inquire into, and report on the moratorium of the cultivation of GM crops in South Australia.

That committee has not yet reported its findings.

A statutory consultation period will now go for six weeks to give feedback on the Government's announcement.

Minister for Primary Industries and Regional Development Tim Whetstone said he planned to introduce the legislation to Parliament in early December.

"This is about giving our farmers, our grain growers the choice, it's not dictating what they can and can't do," Mr Whetstone said.

"This review really is about trade and marketing, any of the plant health or the concerns around GM is a Commonwealth responsibility."

The South Australian Government is keeping the GM ban on Kangaroo Island for now to protect markets to places like Japan. ( Landline: Marty McCarthy )

Kangaroo Island remains GM-free ... for now

Kangaroo Island however will continue to ban GM crops, which Mr Whetstone was largely due to the significant overseas markets they have that require their produce be GM-free.

"We are looking to have Kangaroo Island on a watch and see, that'll give them an ability to see how mainland South Australia operates and I think their concerns will be alleviated, and then we can look at lifting the moratorium on Kangaroo Island should Kangaroo Island through a further consultation period see fit," Mr Whetstone said.

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Grain Producers SA chairman Wade Dabinett agreed further consultation needed to be had with Kangaroo Island as they see how things progress on the mainland.

"While they may want the moratorium to remain today that doesn't mean there's a crop in the pipeline that might really suit the climate of KI in which case they would want to participate in," Mr Dabinett said.

"KI have their own specific niche marketing arrangements with their grain growers but they need to appreciate there livestock producers out there that are looking at developments in the GM space."

Mixed response from industry

South Australia's peak lobby groups for grain and livestock — Primary Producers SA, Grain Producers SA (GPSA) and Livestock SA — have all supported the lifting of the moratorium.

GPSA chairman Mr Dabinett said it was a great day for agriculture in SA.

"It's been one that's taken too long to get here but we appreciate the action the Minister has taken.

This moratorium has been a handbrake on our industry so we're pleased we're finally moving to line ourselves up with our Victorian neighbours.

Mr Dabinett says the Government's decision to lift the ban is exciting and will give growers access to the latest genetics.

"We can now access the same tools they have available to them and we're excited about the change," Mr Dabinett said.

"Since the organisation's inception, GPSA has consistently argued the moratorium offers little in the way of trade and marketing benefits to the majority of agricultural producers in SA and removes the option of using GM tools which have been independently proven to be safe and effective."

Lobby group Gene Ethics however said the Select Committee's inquiry into the GM moratorium should be allowed to run its course and report before any changes are made to the moratorium.

The group's director Bob Phelps said the plan to end the GM ban by amending regulations would betray the parliament and the people of the state.

"The winners from lifting the GM-free ban would be foreign seed and agrochemical companies and the losers South Australia's farmers and shoppers," Mr Phelps said.

"Keeping Kangaroo Island GM-free so it can continue producing GM-free products to earn premiums is clear proof of tangible GM-free benefits."