Status of Biotechnology by Country
The Status of Biotechnology in Developed Countries
USA
In 2008 the USA held firmly to its top world ranking with a record of 62.5 million ha (50% of global biotech area) of biotech crops, including maize, soybean, cotton, canola, sugar beet, alfalfa, papaya and squash. The USA also leads the way in the cultivation of stacked traits in maize and cotton which offer farmers multiple and significant benefits.
The USA is one of the six “founder biotech crop countries” commercially growing biotech maize, soybean, cotton and potato since 1996 the first year of global commercialization of biotech crops.
In 2008 soybean had the highest adoption rate in the USA of 90% a total of 28.6 million ha. This high growth rate is due to farmers moving from the high input costs of maize production to the lower input costs of soybean which has proved to be more profitable for some. For this reason total maize production in 2008 was down by 7% from 2007 at a total of 35.3 million ha. However the adoption rate for biotech maize is still on the rise with strong growth in the stacked traits, especially the triple stacks which increased from 28% in 2007 to 48% in 2008. In terms of “trait hectarage” the total for the USA in 2008 was approximately 102 million ha up from 87.1 million ha in 2007.
A new biotech crop was planted for the first time in 2008 in the USA, herbicide tolerant sugar beet. Approximately 59% of the total 437,246 ha of sugar beet were biotech.
Farmers are very pleased with this new biotech product and have reported numerous benefits such as superior weed control, more cost-effective and less labour intensive, less soil compaction, less herbicide use and generally more profitable than the conventional sugar beet. The sugar from biotech sugar beet does not contain any DNA from the biotech transformation process so the end product is exactly the same as the conventional sugar and therefore does not need to be labelled in the USA or in foreign markets.
In 2008 in the USA biofuel production continued to increase with 29% of total maize area used for ethanol production of which approximately 8.7 million ha were biotech maize up from 7 million in 2007. Approximately 3.5 million ha of biotech soybean and 5,000 ha of canola were used for biodiesel production. In 2008 it is estimated that up to 500 million gallons of biodiesel were produced in the USA
It is estimated that the USA has enhanced farm income from biotech crops by US$20 billion and about 45% of global benefits in the period from 1996 to 2007. The benefits for 2007 alone were estimated at US$3.8 billion. These are the largest gains for any biotech crop country in the world. (Brooks and Barfoot, 2009)
Canada
In 2008 Canada lost its fourth place ranking to India in terms of total area of biotech crops and is now at fifth place globally. Despite this Canada still manage a 9% year-over-year growth rate and planted a total of 7.6 million ha of biotech crops. Canada is another member of the six “founder biotech crop counties”, having commercialized herbicide tolerant canola in 1996.
Canada has four biotech crops canola, maize, soybean and recently commercialized in 2008 sugar beet. The largest of these being herbicide tolerant canola, which amounted to 5.5 million ha of the total canola area of 6.4 million ha in 2008. This shows an increase of 8% growth rate from 2007. The total area of maize planted in 2008 was 1, 2 million ha of which 1,190,000 ha was biotech maize. The total area of soybean planted in 2008 was 1.2 million ha of which 880,000 ha was biotech soybean.
Except for USA, Canada is to only other country to grow a triple stack variety of maize with one gene for European corn borer, a second for root worm control and a third for herbicide tolerance. Of the biotech maize in Canada in 2008, 68% had single genes, 27% had 2 stacked genes and 5% had triple stacked genes
Canada is estimated to have enhanced farm income from biotech crops by US$2 billion in the period 1996 to 2007 and the benefits for 2007 alone were about US$0.5 billion (Brookes and Barfoot, 2009)
Australia
Australia is another of the six “founder biotech crop countries” who began planting biotech cotton in 1996. Australia now has three biotech crops for commercial use biotech cotton, biotech carnation and planting for the first time in 2008 biotech canola.
Australia grew 160,000 hectares of biotech crops in 2008 mainly biotech cotton. This is an increase of 320% from the 48,000 ha in 2007 during which Australia suffer a crippling drought.
In November 2008, Western Australia lifted a ban on the commercial growing of biotech cotton in the Ord River Irrigation area that could amount to and additional US$50 million per year (ABC News, 2008a). Biotech cotton makes up 90% of total cotton grown in Australia.
Up until 2008 biotech canola was also banned from commercial use in Australia. The former Australian Minister of Agriculture Peter McGauran favoured the lifting of the state bans on biotech canola and stated that, “research is underway into the development of GM oil seed crops that produce healthier oils with better ratios of unsaturated fats, high levels of omega-3 oils which is normally sourced from fish, and increased levels of essential amino acids and vitamins. GM oils have the potential to cut production costs, increase product value and diversify the range of goods produced by the oilseed industry. With acceptance of such GM oil seed varieties, Australia would successfully compete with GM canola and soybean varieties currently produced overseas.” The increasing support from different areas of the community in Australia, including the federal Government, finally led to the lifting of the ban on biotech canola in the states of New South Wales and Victoria. A total of 9,500 ha of herbicide tolerant canola were grown in 2008.
A survey commissioned by Biotechnology Australia in 2007 indicated that biotechnology was gaining public favour with support for biotech crops increasing from 46% in 2005 to 73% in 2007 (Department of Innovation, Industry, Science and Research Report, 2008)
Australia is estimated to have enhanced farm income from biotech cotton by US$196 million in the period 1996 to 2007 and the benefits for 2007 alone is estimated at US$12 million (Brookes and Barfoot 2008)
European Union
In 2008 of the 27 EU countries 7 officially grew biotech maize commercially. The 7 EU countries from largest to smallest in biotech maize ha are Spain, Czech Republic, Romania, Portugal, Germany, Poland, and Slovakia. These 7 countries grew 107,719 hectares of biotech maize in 2008 up from 88,673 hectares in 2007.
Spain is the only country in the EU to produce a substantial amount of biotech crops. Spain has been producing biotech maize since 1998 when it planted around 22,000 ha of biotech maize. In 2008 biotech maize hit an all time high in Spain of 79,269 ha of the total maize area of 358,500.
Spain is estimated to have enhanced farm income from biotech maize by US$60 million in the period 1998 to 2007 and the benefits for 2007 alone were estimated at US$21 million (Brookes and Barfoot, 2009)
The Czech Republic approved biotech maize for commercialization for the first time in 2005 when it grew 150 hectares of biotech maize. In 2008 the Czech Republic increased is biotech maize hectarage to 8,380 hectares of the total maize area of 288,000 hectares.
Romania successfully grew over 100,000 ha of biotech soybean up until January 2007 when it became part of the European Union. Under the EU biotech soybean is not approved for commercial use, and therefore Romania had to discontinue planting biotech soybean much to the dismay of farmers and consumers. To make up for the short fall of soybean Romania will have to import soybean which is most likely to be biotech soybean the very same product banned from production by the EU. Romania then decided to plant biotech maize for the first time in 2007 planting 350 ha which increased in 2008 to 7,146 ha. Romania is the largest producer of maize in Europe at 2.5 million ha in 2008 with France being the second at 1.6 million ha.
A study by PG Economics estimated the yield benefits Romania experienced when planting biotech soybean were significant at an average yield increase of 31% in some cases as high as 50%. Romania is estimated to have enhanced farm income from biotech soybean by US$93 million in the period 2001 to 2006 the benefits for 2006 alone is estimated at US$29 million. (Brookes and Barfoot, 2008)
Germany started commercially planting biotech maize in 2000 on approximately 500 ha in 2007 the area was 2,685 ha in 2008 the area increased by 18% to 3,173. Commercial planting of biotech maize is under threat due to resent bans. If Germany were to increase its biotech maize production to the total area of maize planted (55,000 ha) it would increase its gains by about US$8.25 million a year.
Poland started commercially planting biotech maize in 2007 on 327 ha, due to a positive experience by farmers this area increased over 8-fold in 2008 to 3,000 ha of biotech maize. One Bt yellow maize is being used in Poland for animal feed and for ethanol production.
Portugal recommenced planting biotech maize again in 2005 after a five year gap after initially planting approximately 1,000 ha in1999. Portugal planted 4,851 ha of biotech maize in 2008 a 14% increase from 2007.
Slovakia started commercially planting biotech maize in 2006 0n 30 ha in 2007 this area increased to 900 ha. In 2008 the total area of maize planted was around 236,000 of which 1,900 ha were biotech maize equivalent to a 111% increase from previous years.
It is becoming more and more imperative that the EU and the rest of Europe pay more attention to the benefits of biotech crops due to the current economic crisis, escalating food prices, climate change and a growing population this is one technology that cannot be ignored.
Status of Biotechnology in Developing Countries
In 2008, the number of countries planting biotech crops increased to 26, and comprised 16 developing countries and 10 industrial countries; they were, in order of largest biotech area, USA, Argentina, Brazil, Canada, India, China, Paraguay, South Africa, Uruguay, Philippines, Australia, Spain, Mexico, Colombia, Chile, France, Honduras, Czech Republic, Portugal, Germany, Slovakia, Romania, Poland and as of February 2009 Kenya.
The global biotech crop area in 2008 is up 9.4% from 2007 at 125 million ha or more precisely 166 million trait ha and 15% year-on-year growth. The number of small and resource-poor farmers benefiting from biotech crops in developing countries reached 12.3 million which is 90% 0f the global total of 13.3 million beneficiary biotech farmers in 2008. This very high adoption rate by farmers reflects the fact that biotech crops have consistently performed well and delivered significant economic, environmental, health and social benefits to both small and large farmers in developing and developed countries.
Argentina
Argentina is one of the six “founder biotech crop countries”, which commercialized herbicide-tolerant soybean in 1996, the first year of global commercialization. Argentina remains the second largest grower of biotech crops in the world, growing 19.1 million ha in 2007, comprising 19% of global biotech crop area.
There are three commercially grown biotech crops in Argentina namely soybean, maize and cotton. In 2008, 21 million ha of biotech crops were grown in Argentina. 18.2 million ha of soybean were planted of which 18.1 million ha or 99% were biotech soybean. 4 million ha of maize were planted of which 2.5 million ha were biotech maize. Approximately 400,000 ha of cotton were planted of which 350,000 were biotech cotton. An increase in farmer income, worth approximately US$8.3 billion in just over a decade 1996 to 2007 (Brookes & Barfoot, 2009)
Unlike India and China, farms in Argentina are large and it is a major exporter of grain and oil seeds. A recent analysis (INTA, Trigo and Cap, 2006) concluded that biotech soybean crops generated significant direct and indirect benefits of US$46 billion to the global economy from 1996 to 2005. Using this technology created a million new jobs, more affordable soybean for consumers, and significant environmental benefits. One of which being the practice of no till, for conserving soil and moisture content which importantly allows double cropping of biotech soybean.
The rapid adoption in Argentina was the result of several factors including: a well-established seed industry, a regulatory system that provided a responsible, timely, and cost-effective system for approving biotech products, and a technology with high impact. Biotech crops have generated multiple and significant benefits for Argentina in the first decade of commercialization. The challenge for Argentina is to sustain its world ranking at number 2 in the second decade, 2006 to 2015, in the face of increased competition from many more countries which did not participate actively in the first decade of commercialization.
China
China introduced biotech cotton in 1996 making it one of the six “founder biotech crop countries”. In 2008, biotech cotton was planted in China by 7.1 million small and resource-poor farmers on 3.828 million ha, (up from 3.5 million ha in 2006) which is equivalent to 69% of the 5.5 million ha of all cotton planted in China.
In 2006 and 2007, of 240 cotton growing households surveyed in 12 villages in three provinces – Hebei, Henan and Shandong, by the Center for Chinese Agricultural Policy (CCAP) of the Chinese Academy of Sciences, it is notable that every single family that reported growing Bt cotton in 2006, also elected to grow Bt cotton in 2007 – thus, the repeat index for farmers growing Bt cotton between 2006 and 2007 in three provinces in China was 100%. Based on the same study conducted by CCAP, on average at the farm level Bt cotton in China increases yield by 9.6%, reduces insecticide use by 60%, with positive implications for both the environment and the farmers’ health, and generates a substantial US$220 per ha increase in income, which makes a significant contribution to their lives as income of many cotton farmers is less than US$1 per day. It is estimated that China has enhanced its farm income from biotech cotton by US$6.7 billion in the period 1996 to 2007 (Brookes & Barfoot, 2009).
In 2006, biotech papaya, resistant to papaya ringspot virus was locally developed and commercialized. Approximately 88% (up 18% from 2007) of papaya which is mainly grown in Guangdong province is biotech and about 400 ha of biotech poplar are grown. Biotech poplar has decreased pest damage from 80% to only 10%.
In 2006, China grew 29.3 million ha of rice equivalent to 20% of the world total of 150 million ha. There are an estimated 250 million rice households in the world, and the vast majority of them are small and resource-poor farmers. There are an estimated 110 million rice households in China farming an average of 0.27 hectare of rice – these small and resource-poor rice farmers represent some of the poorest people in the world. China has the largest biotech rice program in the world. China’s biotech rice is resistant to specific pests (insect borers) and diseases (bacterial blight) and is awaiting approval after extensive field tests. Dr. Jikun Huang from the Center for Chinese Agricultural Policy (CCAP) estimates that on the average, biotech rice increased yield by 2 to 6%, and reduced insecticide application by nearly 80% or 17 kg per ha. At a national level, it is projected that biotech rice could deliver benefits of US$4 billion per year for China, plus environmental benefits that will contribute to a more sustainable agriculture and the alleviation of poverty for small and resource-poor farmers.
Chinese policymakers view agricultural biotechnology as a strategic element for increasing productivity, improving national food security and ensuring competitiveness in the international market place. There is little doubt that China intends to be one of the world leaders in biotechnology since Chinese policymakers have concluded that there are unacceptable risks of being dependent on imported technologies for food, feed and fibre security. China has a multitude of public sector institutes and thousands of researchers devoted to crop biotechnology and over a dozen biotech crops are being field-tested, including the three major staples: rice, maize, and wheat, as well as cotton, potato, tomato, soybean, cabbage, peanut, melon, papaya, sweet pepper, chilli, rapeseed and tobacco.
India
India, the largest cotton growing country in the world, where 60 million people are impacted by cotton, began growing Bt cotton commercially in 2002 on roughly 50,000 ha by an estimated 54,000 farmers. Five years later in 2007 the Bt cotton area soared to 6.2 million ha grown by 3.8 million small and resource-poor farmers. In 2008 this figure has dramatically increased again to 7.6 million ha or of Bt cotton (Total maize area 9.3 million ha) grown by 5 million farmers the highest increase in farmers growing biotech crop in the world for 2008. Therefore 82% of all cotton grown in India is biotech transforming India from a cotton importer to a cotton exporter.
Notably the decrease in pesticide usage in India from 2002 (first year of Bt cotton commercialization in India) to 2006 was equivalent to 22% despite the significant increase in the total cotton area. Importantly more than 9 out of 10 farmers who grew Bt cotton in 2005 also grew it in 2006 this figure is said to increase for 2008 and 2009. This confirms the trust and confidence of Bt cotton farmers after experiencing this technologies benefits in their own fields. Studies have consistently confirmed 50% to 110% increase in profits and yield increases of 30 to 60% in Bt cotton production. Insecticide spraying is generally reduced by 50%. It is estimated that India enhanced farm income from Bt cotton by US$3,2 billion in the period 2002 to 2007 and US$2.0 billion in 2007 alone (Brookes & Barfoot, 2009).
India’s Minister of Finance recently cited the success of Bt cotton and advocated that “It is important to apply biotechnology in agriculture – what has been done with cotton must be done with food grains. The success achieved in cotton must be used to make the country self sufficient in rice, wheat, pulse and oilseed production.” India has the following biotech food products in field trails – rice, tomato, potato, groundnut, okra, cabbage, castor, cauliflower, corn/maize, cabbage and Bt brinjal (eggplant), drought and saline tolerant rice is under development and will be available for commercialization in the near future. A recent survey conducted by the Indian Institute of Management in collaboration with Ohio State University revealed that 70% of Indian’s middle class is prepared to consume biotech foods.
In September 2008 India approved the much awaited National Policy of Biofuel. India will aim at a 20% blend in biofuel, (bioethanol and biodiesel) by 2017. Production of which will be restricted to non-edible oil seeds grown on waste/degraded/marginal lands and will not be grown on fertile irrigated lands. The policy seeks a Minimum Support Price with the provision of periodic revision for biodiesel oil seeds at a fair price to the growers. The policy envisages a Minimum Purchase Price for the purchase of bioethanol by the Oil Marketing Companies based on the actual cost of production and the import price of bioethanol, The Minimum Purchase Price for biodiesel should be linked to the prevailing retail price for diesel.
India’s Minister of Agriculture and Consumer Affairs recently stated that “With limited natural resources available to improve agricultural production, genetically engineered crops developed by applying biotechnology tools, are being looked upon as a promising alternative which can benefit farmers, manufacturers as well as consumers”.
Brazil
Brazil has both large farmers, and small and resource-poor farmers. The latter particularly in the poor North East of the country and under the current administration, alleviation of poverty in the rural area is a high priority. In 2008, Brazil retained its position as the third largest adopter of biotech crops in the world, estimated at 15.8 million ha, of which 14.2 million ha were planted to soybean and 250,000 ha planted with a single gene Bt cotton and 1.3 million ha of Bt maize were planted for the first time. Brazil is estimated to have enhanced farm income from biotech soybean by US$2.9 billion in the five year period 2003 to 2007 (Brookes & Barfoot, 2009)
Brazil is currently the second largest producer of soybeans. Brazil is the third largest producer of maize in the world, the sixth largest producer of cotton and the tenth largest grower of rice (3.7 million ha) and the only major producer of rice outside Asia. In addition, Brazil is also the largest sugarcane producer in the world with 6.2 million hectares and uses approximately half of its national sugarcane area to produce sugar and the other half for the production of ethanol for biofuels. After the USA, Brazil was the second biggest producer of ethanol in the world in 2007 and one of few countries that is self-sufficient in both fossil fuels and biofuels in which it is a world leader. In 2009 it is projected that biotech soybean will occupy about 14.2 million ha of the total soybean area of 21.9 million ha. The total area of cotton will be about 960,000 ha of which 250,000 ha will be biotech cotton. In December 2008 the total planting of maize was about 4.3 million ha of which about 730,000 ha are biotech maize.
To date, the introduction of biotech crops in Brazil has suffered significant delays because of legal and judicial restraining orders delaying the deployment of approved biotech crops. A 2007 study by Dr. Anderson Galvão Gomes, has estimated the benefits lost to Brazilian farmers because of delayed approval due to a cumbersome approval process, particularly the legal challenges from various interest groups, including Ministries within the Government. Taking the fast adoption rates of herbicide-tolerant soybean in neighbouring Argentina as a practical bench mark for adoption, the study concluded that delayed approval of herbicide-tolerant soybean in Brazil for the period 1998 to 2006 cost farmers US$3.10 billion and cost technology developers an additional US$1.41 billion, for a total of US$4.51 billion in lost benefits a significant sacrifice for Brazil as a nation and the major losers were farmers. However, recent commitments by the current administration of funds, demonstrates strong political will and support for biotechnology by the Brazilian government. In November 2007 President Luis Inacio Lula da Silva of Brazil announced a US$23 billion investment in a four-year “Plan for Action for Science, Technology and Innovation.” One of the four thrusts of the Plan is to support research and innovation in strategic areas particularly biotechnology, biofuels and biodiversity.
Burkina Faso
In 2008 the government through the evaluation of the National Bio-Security Agency of Burkina Faso approved two varieties of Bt cotton for seed production and commercialization. Approximately 8,500 ha of Bt cotton were planted for seed production and initial commercialization for the first time in Burkina Faso. In 2009 approximately 160,000 ha of Bt cotton will be planted equivalent to one third of total cotton production in Burkina Faso. This is a significant increase from 2008 and will act as a model for many other developing countries growing cotton
The National Agricultural Research Institute (INERA) has been field testing Bt cotton since 2003 with tremendous results. Bt cotton requires only two insecticide applications compared with 6-8 for conventional cotton. Insecticide use amounts to about 30% of total growing costs of cotton. Bt cotton provides about 75% saving in insecticide and labour. Bt cotton generally provides a 30% higher yield than conventional cotton. This results in a more competitive product for the international cotton market and higher profits for small-scale and resource-poor farmers,
In a recent study by Vitale et al 2008 the economic impacts of second generation Bt cotton would generate an estimated US$106 million per year for Burkina Faso based on a yield increase of only 20% and a decreased use of insecticides. In another study by Falck-Zepeda et al 2008 concluded that “Bt technology needs to be adopted, if only to catch up with major cotton producing countries in the rest of the world. Under the assumptions of the model, all the study countries are worse off economically by not adopting Bt cotton”
Egypt
On March 24 2008, Egypt became the first country in the Arab world to commercialize biotech crops, by planting 700 ha of biotech yellow maize hybrid which was developed by crossing Bt maize (MON 810) with the maize variety Ajeeb to produce the new biotech Bt yellow maize hybrid AjeebYG. This biotech maize is resistant to three maize insect pest borers (Massoud, 2005).
Only 3% of Egypt’s 100 million ha land area is devoted to agriculture making it one of the world’s lowest levels of cultivable land per capita. This makes Egypt dependent on imports for about half of its food supply. The agriculture sector does however contribute about 20% to their GDP and provides about 50% of their employment.
Egypt’s main crops are rice, wheat, sugarcane and maize. Egypt produces about 6.1 million tons of maize (mostly yellow maize) and imports 4, 5 million tons of yellow maize valued at about US$1.3 billion. Field trials of Bt yellow maize have indicated a yield increase of up to 30% over conventional yellow hybrid maize. Egypt will soon be able to reduce the amount of maize imports by increasing its production of biotech maize.
South Africa
South Africa is considered the leader in crop biotechnology in Africa and has been commercially growing biotech crops since 1998. South Africa is ranked number eight in the world in terms of total biotech crop area with a total biotech crop area of 1.813 million ha in 2008, almost a 30% increase over the 1.4 million ha in 2006.
Biotech maize, cotton and soybean are grown in South Africa and their adoption rate has increased every single year since the first plantings in 1998. The total area of biotech maize in 2008 was 1.617 million ha, which is 62% of total maize area this is a 5% increase from 2007. The total area of white maize was 1.6 million ha of which 56% was biotech maize. The total area of yellow maize was 1 million ha of which 72% was biotech maize. Of the total area of biotech maize, 64% was Bt maize, 17% was herbicide tolerant maize and 19% stacked trait maize.
In 2008 the total area of soybean planted was 230, 000 ha of which 184,000 ha or 80% was biotech soybean.
In 2008 the total area of cotton planted was13, 000 ha of which 12,000 or 92% was biotech cotton. Of the total area of biotech cotton 83% was of staked trait cotton 9% was herbicide tolerant cotton and 8% was Bt cotton.
South African farm income from biotech crops in 2007 is estimated at US$227 million. This is a significant benefit to both small-scale and commercial farmers who have put their trust and confidence in biotech crops.
South Africa plays an extremely important role in the biotech sector in Africa as it has the experience of planting biotech crops for over 10 years. It is vital for South Africa to continue participating in technology transfer programs with the rest of Africa and the world.