(Reuters) - The U.S. Senate panel said on Monday that it will hold a hearing on March 6 on a bill that would prohibit federal agencies from contracting with China's BGI, Wuxi Apptec and other biotechnology companies of concern.

The bill would also stop the government from entering into contracts with companies that use their equipment or services. News of the Senate bill, and similar legislation in the House, has sent shares of Wuxi Apptec tumbling in recent weeks on fears they would hurt the company's large U.S. business.

The Senate Committee on Homeland Security and Governmental Affairs hearing is a procedural step to discuss next steps on the bill.

A House bill introduced by Republican Congressman Mike Gallagher, chair of the House select committee on China, accuses the companies of aiding Beijing's military.

(Reporting by Karen Freifeld; editing by Chris Sanders)