North Carolina trying to lure medicinal tobacco research company.(Brief Article)

2002 MAR 6 - (NewsRx.com & NewsRx.net) -- North Carolina is trying to lure a biotech company from Virginia that develops genetically modified tobacco for medicine, a move officials said could increase demand for the leaf.

Economic development recruiters, lawmakers, politicians and farmers are backing efforts to give more than $3 million in aid to CropTech Corp. if it relocates in North Carolina.

Tobacco is suited well for such bioengineering because it is easily altered at the genetic level and grows quickly, project backers said. CropTech would set up facilities to process the altered tobacco and harvest proteins and other building blocks for new medicines.

Boosters said landing the business would help a rural economy hurt by reduced demand for tobacco.

"North Carolina is in danger. Its agriculture is in danger. This is one way to fix the problem," said Arthur Weissinger, a crop science professor at North Carolina State University who is researching new uses for tobacco.

The state's Tobacco Trust Fund, created with tobacco lawsuit settlement money, committed $3 million for the economic package in September. An aide to state Senate leader Marc Basnight and other North Carolina officials involved in negotiations declined to release other details on the offers.

CropTech announced last year that it was soliciting incentive packages from several states after a group of tobacco farmers in Virginia failed to raise $6 million in venture capital for the firm. J.D. Brooks, the company's chief operating officer, said his company has not decided where it will go.