Columbia, Missouri
January, 2007
AgBioForum
Volume 9 Number 3
Partial table of contents of interest for seed professionals
(Links are to the original articles)
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Insect resistance management for Bt Corn: an assessment of
community refuge schemes
Jennifer L. Price, Bureau of Labor Statistics Jeffrey
Hyde and Dennis D. Calvin, Penn State University
Because of Bt corn's efficacy in controlling European corn
borer, farmers are required to implement an insect
resistance management (IRM) program that constrains each
farmer to plant no more than 80% of the farm's corn to Bt
varieties. This "refuge" must be planted within a half-mile
of Bt corn and must be contained on the same farm.
"Community refuge" schemes, those which allow the refuge
area to be planted on a neighboring farm, have been
proposed. In this analysis, we estimate the potential gains
to all farms in the community in two representative
locations: Pennsylvania and Iowa. The results of a decision
analysis model show that the potential gains are very small;
the greatest is only $652 over a 2000-acre community ($0.33
per acre). This gain would almost certainly be offset by the
costs of developing such a community.
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Global impact of biotech crops: socio-economic and
environmental effects in the first ten years of commercial
use
Graham Brookes and Peter Barfoot, PG Economics Ltd.,
Dorchester, UK
Genetically modified (GM) crops have now been grown
commercially on a substantial scale for ten years. This
paper assesses the impact this technology is having on
global agriculture from both economic and environmental
perspectives. It examines specific global economic impacts
on farm income and environmental impacts of the technology
with respect to pesticide usage and greenhouse gas emissions
for each of the countries where GM crops have been grown
since 1996. The analysis shows that there have been
substantial net economic benefits at the farm level
amounting to $5 billion in 2005 and $27 billion for the ten
year period. The technology has reduced pesticide spraying
by 224 million kg (equivalent to about 40% of the annual
volume of pesticide active ingredient applied to arable
crops in the European Union) and as a result, decreased the
environmental impact associated with pesticide use by more
than 15%. GM technology has also significantly reduced the
release of greenhouse gas emissions from agriculture, which,
in 2005, was equivalent to removing 4 million cars from the
roads.
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An analysis of McLean County, Illinois farmers' perceptions
of genetically modified crops
Nagesh Chimmiri, Kerry W. Tudor, and Aslihan D.
Spaulding, Illinois State University
McLean County, Illinois farmers were surveyed in order to
explore their perceptions of biotechnology and genetically
modified crops, and to analyze the relationships between
those perceptions and choices regarding use of genetically
modified crops. Statistical analyses revealed that
perceptions could be used to distinguish between users and
non-users of genetically modified crops, but the approach
was more effective for past use than for planned use.
Perceptions that were related to past use of genetically
modified crops included satisfaction with the benefits of
biotechnology, the perception that biotechnology would be
beneficial to agriculture, and the perception that farmers
were well informed and could easily obtain objective
information about biotechnology. Perceptions of the
agronomic and economic benefits of genetically modified
crops, with the possible exception of Bt corn, were of
limited use when distinguishing between users and non-users.
Age, education, and farm size had limited impact on choices
regarding genetically modified crops.
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Consumers willingness to pay for biotech foods in China: a
contingent valuation approach
William Lin, Agapi Somwaru, and Francis Tuan, US
Department of Agriculture Jikun Huang and Junfei Bai,
Chinese Academy of Sciences
Based on a large-scale survey, this study employs the
contingent valuation method to estimate consumers’
willingness to pay (WTP) for biotech foods in China and to
account for the effects of respondents’ characteristics on
the likelihood of purchasing biotech foods and WTP. The
survey, covering 1,100 consumers in 11 small-to-large cities
(including Beijing and Shanghai) along China's eastern
coast, was conducted in the fall of 2002. Although the
survey covers eight different kinds of biotech foods,
soybean oil made from imported biotech soybeans and
insect-resistant biotech rice are the focus. A
majority—about 60% or higher—of respondents were willing to
purchase biotech foods without any price discounts. However,
about 20% of them would only accept non-biotech foods. Price
premiums that respondents were willing to pay for
non-biotech foods averaged about 23-53% for non-biotech
soybean oil and 42-74% for non-biotech rice. The lower bound
WTP comes closer to the true value in light of hypothetical
bias associated with the contingent valuation method.
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Perceptions of genetically modified and organic foods and
processes
Jon C. Anderson, Minnesota Crop Improvement
Association Cheryl J. Wachenheim, North Dakota State
University, Fargo William C. Lesch, University of North
Dakota, Grand Forks
Both organic production and the use of biotechnology have
increased dramatically over the past decade. This study
contributes to existing work on consumer acceptance of these
practices and the resulting products through the use of twin
survey instruments. Respondents indicated their level of
agreement with statements about genetically modified (GM) or
organic processes and products in the construct areas of
health, environment, ethics, and risk. Organic food was
perceived as healthier and safer. Organic practices were
perceived to be more environmentally sound. Respondents
expressed some level of concern over the unknown effects
genetic modification could have on the environment and
society as a whole. However, participants in general felt
the technology could be used effectively and valued some of
the associated benefits.
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Bales and balance: a review of the methods used to assess
the economic impact of Bt cotton on farmers in developing
economies
Melinda Smale and Patricia Zambrano, International
Food Policy Research Institute (IFPRI) Mélodie Cartel, Ecole
Nationale Supérieure d'Agronomie de Montpellier
We assess 47 peer-reviewed articles that have applied stated
economics methods to measure the farm-level impacts of Bt
cotton in developing agriculture from 1996. We focus on
methods, although findings are also contrasted and compared
in qualitative terms. The central research question assessed
by the articles reviewed is: what are the current and
potential advantages of transgenic cotton with respect to
yield, pesticide use, input cost, revenue and/or profits at
the farm-level, by farm type, and geographical region? We
find that, while the evidence is promising, the balance
sheet remains inconclusive&mdashin part because of some
methodological limitations and in part because institutional
and political context, which is mutable and often ignored,
shapes economic impacts, especially over the longer-term.
Most often, the contextual factors that influence whether a
new variety succeeds or fails are more critical than whether
yield advantages can be demonstrated in on-farm trials.
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