Hungarian poppy seed growers are concerned about their business after Alkaloida, Hungary’s sole maker of morphine, decided to get its feedstock from Tasmania. Poppy seed growers have not been informed in writing about the cancellation of their contracts to supply Alkaloida with feedstock to make morphine. Hungarian farmers grow poppy seed on 13,000 hectares, according to the National Association of Poppy Seed Producers (MTOSZ), business daily Vilaggazdasag said. The country is one of the biggest producers of morphine in the world, it added. The association is appealing to the government for assistance in the matter, business daily Napi Gazdasag said. Alkaloida, a unit of Indian-owned ICN Magyarorszag, said early in January that it was halting production of active ingredients in Hungary but would continue to make medicines and packaging. CEO of Alkaloida, Harin Mehta, informed the council of Tiszavasvar (E Hungary), where the company is based, in December about the move which he explained citing global market conditions. Market prices of active agents, including morphine and its derivatives, are lower than production costs, which made production loss-making, the company said. Alkaloida had net losses of USD 24m on USD 24.2m sales revenue in its previous business year ending at the end of March 2013. Revenue rose USD 7.6m and losses were up USD 2.7m from a year earlier.