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GMO Crops: To Grow or Not to Grow?

GMO Crops: To Grow or Not to Grow?. Marshall A. Martin Professor and Associate Head Department of Agricultural Economics Purdue University Crop Production Clinic Madison County, Indiana December 7, 2000. Organization of Today’s Presentation. GMO crops .

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GMO Crops: To Grow or Not to Grow?

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  1. GMO Crops: To Grow or Not to Grow? Marshall A. Martin Professor and Associate Head Department of Agricultural Economics Purdue University Crop Production Clinic Madison County, Indiana December 7, 2000

  2. Organization of Today’s Presentation • GMO crops

  3. Organization of Today’s Presentation • GMO crops • Public attitudes towards GMO crops

  4. Organization of Today’s Presentation • GMO crops • Public attitudes towards GMO crops • Economics of transgenic corn adoption

  5. Organization of Today’s Presentation • GMO crops • Public attitudes towards GMO crops • Economics of transgenic corn adoption • Crop segregation

  6. Organization of Today’s Presentation • GMO crops • Public attitudes towards GMO crops • Economics of transgenic corn adoption • Crop segregation • The Starlink case

  7. What is a GMO crop? • Transfer of a gene from a soil bacteria that codes for a protein

  8. What is a GMO crop? • Transfer of a gene from a soil bacteria that codes for a protein • Protein becomes a toxin and kills selected insects

  9. Insect Control with Biotechnology • Insect resistant crops commercially available, e.g., Bt corn, cotton, and potatoes

  10. Insect Control with Biotechnology • Insect resistant crops commercially available, e.g., Bt corn, cotton, and potatoes • Transgenic corn for rootworm control under development

  11. Crop Applications of Biotechnology • Herbicide tolerant crops, e.g., Roundup Ready corn and soybeans

  12. U.S. Crop Biotechnology Adoption (USDA Survey) 1999 2000 2000 US US IN Corn 33% 25% 11% Soybeans 57% 54% 63%

  13. Biotechnology Critics What are the public concerns?

  14. Monarch Butterfly • Cornell and Iowa State University laboratory studies of adverse Bt corn pollen impact

  15. Monarch Butterfly • Cornell and Iowa State University laboratory studies of adverse Bt corn pollen impact • Recent field studies suggest minimal adverse impact

  16. Undesired Gene Flow • Cross pollination

  17. Undesired Gene Flow • Cross pollination • Organic farmer concerns

  18. Undesired Gene Flow • Superweeds

  19. Food Safety • Allergenicity

  20. Food Safety • Allergenicity • Unknown diseases or future health consequences

  21. Many Europeans uneasy about biotechnology • Strong environmental movement

  22. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system

  23. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease (BSE)

  24. Many Europeans uneasy about biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease (BSE) • EU consumers perceive no benefits with potential risk

  25. Many Europeans uneasy about agricultural biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease (BSE) • EU consumers perceive no benefits with potential risk • Protectionist farm policies

  26. Many Europeans uneasy about agricultural biotechnology • Strong environmental movement • No coherent regulatory system • Weak public trust in government since mad cow disease (BSE) • EU consumers perceive no benefits with potential risk • Protectionist farm policies • Strong support for labeling

  27. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 Americans have heard of biotechnology

  28. 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

  29. U.S. Consumer Attitudes towards Food Biotechnology • About 3/4 would buy a GMO food if less pesticide use

  30. 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

  31. My Biotechnology Research • Economics of Corn Insect Control • graduate student research • ID-219 (extension pub) • Review of Agricultural Economics 21(2):1999 • AgBioForum, 3(1):2000 • 1998, 1999, & 2000 AAEA Selected Papers

  32. European Corn Borer • $1 billion annual damage in U.S.

  33. European Corn Borer • $1 billion annual damage in U.S. • Physiological damage

  34. European Corn Borer • $1 billion annual damage in U.S. • Physiological damage • Mechanical damage

  35. European Corn Borer Infestation

  36. Multi-State Study • Indiana • Illinois • Iowa • Kansas

  37. Decision Analysis Model • A decision tree

  38. Data • Collaborative arrangements • Indiana: Bledsoe and Obermeyer • Illinois: Steffey • Iowa: Hellmich • Kansas: Buschman and Higgins

  39. Data • Scouting and spraying costs

  40. Data • Scouting and spraying costs • Spraying efficacy

  41. Data • Scouting and spraying costs • Spraying efficacy • Corn planting dates • Probability distribution • Yield losses for late planting

  42. Data • Scouting and spraying costs • Spraying efficacy • Corn planting dates • Probability distribution • Yield losses for late planting • ECB yield damage by planting date

  43. Data • Probability of number of ECB given plant date and infestation

  44. Data • Probability of number of ECB given plant date and infestation • Probability of number of ECB per plant given infestation

  45. Data • Probability of number of ECB given plant date and infestation • Probability of number of ECB per plant given infestation • Overall probability of infestation

  46. Results – Indiana and Iowa • Returns to spraying less than per acre scouting costs

  47. Results – Indiana and Iowa • Returns to spraying less than per acre scouting costs • Compare Bt corn to non-Bt without a spraying program

  48. Results - Indiana

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