PowerPoint - Agricultural Biotechnology

14,414 views

Published on

Published in: Technology, Business

PowerPoint - Agricultural Biotechnology

  1. 1. Agricultural Biotechnology Marshall A. Martin Professor and Associate Head Department of Agricultural Economics Purdue University March 2000
  2. 2. What is biotechnology? • New name for an old tool • Molecular biology • Genetic engineering • Techniques of rDNA
  3. 3. Medical applications of biotechnology • Control of diabetes with Humalin™ or Humalog™
  4. 4. What are the new products of biotechnology? • Food ingredients, e.g., chymosin
  5. 5. What are the new products of agricultural biotechnology? • Animal growth hormones, e.g., bST
  6. 6. What are the new products of agricultural biotechnology? • Herbicide tolerant crops, e.g., Roundup Ready soybeans and corn and Liberty Link corn
  7. 7. What are the new products of agricultural biotechnology? • Insect resistant crops commercially available, e.g., Bt corn, cotton, and potatoes • Corn rootworm resistance in 2001?
  8. 8. Biotechnology Adoption: 1999 • Chymosin 80% • Bst – Farmers 15% – Herds 30% • Crops – Corn 30% – Cotton 50% – soybeans 57% Technology Adoption Rates 0 20 40 60 80 100 1 3 5 7 9 11 13 15 17 19 Years -%_
  9. 9. What are the new products of agricultural biotechnology? • Identity-preserved or specific-attribute crops (vaccines, higher oil or starch content, additional amino acids)
  10. 10. Who are the stakeholders? • Farmers
  11. 11. Who are the stakeholders? • Agribusiness
  12. 12. Who are the stakeholders? • Consumers
  13. 13. Who are the stakeholders? • Environmentalists
  14. 14. Who are the stakeholders? • International traders
  15. 15. Who are the stakeholders? • Policy makers
  16. 16. Who are the stakeholders? • Ethicists
  17. 17. Biotechnology Critics What are their concerns?
  18. 18. Monarch Butterfly • Cornell University laboratory study of Bt corn pollen
  19. 19. Monarch Butterfly • Cornell University laboratory study of Bt corn pollen • Recent field research suggests very few adverse effects from Bt corn
  20. 20. “Superweed” • Cross pollination
  21. 21. “Superweed” • Cross pollination • Laboratory study of canola and mustard weed
  22. 22. “Superweed” • Cross pollination • Laboratory study of canola and mustard weed • Not likely a major problem but is possible
  23. 23. Food Safety • Allergenicity
  24. 24. Food Safety • Allergenicity • Unknown diseases or future health consequences
  25. 25. Food Safety • Allergenicity • Unknown diseases or future health consequences • Safety of animal products from livestock that consume GMO-feed
  26. 26. Structure of Agriculture • Corporate control of the food system
  27. 27. Structure of Agriculture • Corporate control of the food system • Ownership of intellectual property rights
  28. 28. Structure of Agriculture • Corporate control of the food system • Ownership of intellectual property rights • Further decline in the role of the family farm
  29. 29. Xenotransplant • Use of animals such as milk-goats as bio- factories
  30. 30. Xenotransplant • Use of animals such as milk-goats as bio- factories • Organ transplant such as pig heart into a human
  31. 31. Who regulates agricultural biotechnology? • U.S. Department of Agriculture’s Animal and Plant Health Inspection Service
  32. 32. Who regulates agricultural biotechnology? • Environmental Protection Agency
  33. 33. Who regulates agricultural biotechnology? • Food and Drug Administration
  34. 34. The International Trade Controversy over GMOs • Who are our customers for agricultural commodities?
  35. 35. U.S. Corn Use 1999 • Exports 21% • Feed 59% • Food, Seed,& Industrial 20%
  36. 36. U.S. Shelled Corn Exports 1999 • Canada 2% • Mexico 11% • South America 8% • EU-15 <1% • Asia 60% • (Japan) (30%)
  37. 37. U.S. Corn By-Products Exports 1999 • Canada 1% • Mexico 3% • South America 1% • EU-15 88% • Asia 6% • (Japan) (2%)
  38. 38. U.S. Soybean Use 1999 • Exports 31% • Crush 61% • Seed & Residual 8%
  39. 39. U.S. Soybean Exports 1999 • Canada 1% • Mexico 15% • South America 1% • EU-15 26% • Asia 52% • (Japan) (16%)
  40. 40. U.S. Soybean Meal Exports 1999 • Canada 13% • Mexico 2% • South America 15% • EU-15 7% • Asia 33% • (Japan) (4%)
  41. 41. Many Europeans uneasy about biotechnology • Strong environmental movement
  42. 42. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system
  43. 43. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease
  44. 44. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease • EU consumers perceive no benefits with potential risk
  45. 45. Many Europeans uneasy about agricultural biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease • EU consumers perceive no benefits with potential risk • Protectionist farm policies
  46. 46. Many Europeans uneasy about agricultural biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease • EU consumers perceive no benefits with potential risk • Protectionist farm policies • Strong support for labeling
  47. 47. Geographic diversity in views • Least support in Austria, Germany, Denmark, Sweden, and Luxembourg
  48. 48. Geographic diversity in views • Least support in Austria, Germany, Denmark, Sweden, and Luxembourg • More support in Portugal, Spain, Belgium, Finland, and Greece
  49. 49. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 Americans have heard of biotechnology
  50. 50. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 Americans have heard of biotechnology • About 1 out of 3 consumers know that GMO foods are now in our supermarkets
  51. 51. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 would buy a GMO food if less pesticide use
  52. 52. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 would buy a GMO food if less pesticide use • About 3/4 support FDA labeling of biotechnology foods with health and nutrition information
  53. 53. Montreal Agreement • “Precautionary principle”- allows refusal of import without scientific basis
  54. 54. Montreal Agreement • “Precautionary principle”- allows refusal of import without scientific basis • Establishes Clearing House for GMO seeds
  55. 55. Montreal Agreement • “Precautionary principle”- allows refusal of import without scientific basis • Establishes Clearing House for GMO seeds • Label “may contain” GMOs for food and feed
  56. 56. Montreal Agreement • “Precautionary principle”-allows refusal of import without scientific basis • Establishes Clearing House for GMO seeds • Label “may contain” GMOs for food and feed • Segregation still likely until 2002 when negotiators must meet again
  57. 57. What should I consider before adopting GMO crops? • Technology fee
  58. 58. What should I consider before adopting GMO crops? • Technology fee • Probability of a pest problem
  59. 59. What should I consider before adopting GMO crops? • Technology fee • Probability of a pest problem • Per acre return of GMO vs non-GMO
  60. 60. What should I consider before adopting GMO crops? • Technology fee • Probability of a pest problem • Per acre return of GMO vs non-GMO • Is there a market?
  61. 61. What should I consider before adopting GMO crops? • Technology fee • Probability of a pest problem • Per acre return of GMO vs non-GMO • Is there a market? • Will I need to segregate the crop?
  62. 62. Should I adopt GMO crops in Indiana in 2000? • Bt corn? – No in most Indiana locations due to low probability of ECB infestation • ID-219 “Economics of Bt Corn”
  63. 63. Should I adopt GMO crops in Indiana in 2000? • Roundup soybeans? – Maybe, depending on weed pressure, soil erosion concerns, input costs, and expected markets
  64. 64. Your Questions

×