Monsanto has withdrawn an application seeking approval for its next generation of genetically modified cotton seeds in India. This technological breakthrough would have potentially pushed up crop yields. Monsanto’s decision to withhold introducing the technology could hurt Indian cotton farmers. The new seed variety helps fight against weeds, which sap the cotton crop of vital nutrients and depress yields.

An earlier technology introduced by Monsanto and approved by India in 2006 helped transform India into the world's top producer and the second-largest exporter of the fiber as output jumped fourfold. But this technology is slowly becoming vulnerable to bollworms and, as any technology, has a limited shelf life.

Monsanto is the world's biggest seed maker and it is objecting to a proposal that would force it to share its technology with seed companies in India. The company is also at loggerheads with India over how much it can charge for its genetically modified cotton seeds, costing it tens of millions of dollars in lost revenue every year.

Monsanto also protested a decision that it should share its proprietary technology with its technology partner in India. More than 41 million GM cotton seed packets were sold last year, earning royalties of $97 million for Monsanto.