Economic Implications of Biotechnology &

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Economic Implications of Biotechnology and Genetically Modified Organisms : 

Prasad.GI MSc Forestry Economic Implications of Biotechnology and Genetically Modified Organisms Economics of Bio Safety Issues &

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INTRODUCTION Like any technological innovation in agriculture, biotechnology will have economic impacts on farmers, consumers and society as a whole. A central reason for conflict has been that bio safety governance has to be largely anticipatory, given scientific and normative uncertainties surrounding risks and benefits associated with dissemination and use of this technology.

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AGRICULTURAL BIOTECHNOLOGY Agricultural biotechnology encompasses a range of research tools scientists use to understand and manipulate the genetic make-up of organisms for use in agriculture (crops, livestock, forestry and fisheries).

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Biotechnology can overcome production constraints that are more difficult or intractable with conventional breeding. It can speed up conventional breeding programmes and provide farmers with disease-free planting materials. It can create crops that resist pests and diseases, replacing toxic chemicals that harm the environment and human health, It can provide diagnostic tools and vaccines that help control devastating animal diseases It can create new products for industrial uses. OBJECTIVES

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It can offer direct and indirect health benefits. Direct benefits - improving the nutritional quality of foods (e.g. Golden Rice), reducing the presence of toxic compounds (e.g. cassava with less cyanide) and reducing allergens in certain foods (e.g. groundnuts and wheat). Indirect health benefits – reduced pesticide use, lower occurrence of mycotoxins (caused by insect or disease damage), increased availability of affordable food and the removal of toxic compounds from soil. OBJECTIVES

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BIOTECHNOLOGY vs GENETIC ENGINEERING Biotechnology is much broader than genetic engineering, including also genomics and bioinformatics, marker assisted selection, micro propagation, tissue culture, cloning, artificial insemination, embryo transfer and other technologies.

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CURRENT STATUS In agriculture Genetic modification technology was first appeared in the mid 1990s in the US ( the world's largest grower of GM crops). In 2004, GM crops occupy 81 million hectares in 17 countries. Contribution 1.6 % of the total agricultural land in the world and the area is growing at a rate of 20 per cent every year.

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CURRENT STATUS - Largest biotechnology research program in the developing world (14 public-sector) Research on GM cabbage, cauliflower, chickpeas, citrus, eggplants, mung beans, melon, mustard, potatoes, rice, tomatoes and cotton Monsanto - private company developed the majority of the GM crops

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CURRENT STATUS - Soybean, maize, cotton and canola (rapeseed) - occupy 99 per cent of commercial plantings. widely used GM technologies involve herbicide tolerance (HT) applied in soybean and canola, and insect resistance, based on genes isolated from Bacillus thuringiensis (Bt), applied in maize and cotton.

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Advancements in Agricultural Biotechnology in 2008 In June, researchers stated that biotechnology in agriculture will play a key role in increasing corn and soybean yields by 40 percent over the next decade and overcoming climate challenges like crop-killing droughts. In Asia, researchers announced that genetically modified Golden Rice, which is meant to improve nutrition in the developing world, may be available to farmers by 2011. According to a report released this year, among the 23 countries growing agricultural biotechnology crops, half are less developed countries. 11 of the 12 million farmers growing biotech crops are small-holder, resource poor farmers.

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Advancements in Agricultural Biotechnology in 2008 Herbicide-tolerant crops contribute significantly to soil conservation because more farmers employ no-till, thus reducing erosion. In China, farmers growing biotech rice reduced their pesticide use by nearly 80 percent and more than half of them used no pesticide at all. More than 10% of farmers growing conventional rice showed symptoms of pesticide poisoning, while none of the farmers growing pest resistant rice did. Agricultural biotechnology is also being recognized for its environmental benefits.



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IMPACTS The impact of the technology on agronomic practices and yields Consumers' willingness to buy foods and other products derived from transgenic crops, and Regulatory requirements and associated costs. In long term, the industry concentration in the production and marketing of transgenic crop technology may also influence the level and distribution of economic benefits.

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IMPACTS The gain or loss depends on consumer preferences and regulatory regimes evolve. Consumers generally benefit from innovation has lower prices and/or higher quality.

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OBJECTIVES But it is complicated with transgenic crops for at least two reasons: mandatory labeling and market segregation could add to the costs of producing and marketing transgenic crops, some consumers are strongly opposed to the technology. Hence the net economic impact of transgenic crops on society is thus a highly complex and dynamic concept that is not easily measured.

Economics of Bio Safety Issues : 

Economics of Bio Safety Issues

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CONTENTIOUS ISSUE - T. Crops Lack the regulatory frameworks and technical capacity necessary to evaluate these crops and the conflicting claims surrounding them Less scientific consensus on the environmental hazards associated with transgenic crops Regulatory procedures should be strengthened and rationalized to ensure that the environment and public health are protected and that the process is transparent, predictable and science-based Hence Appropriate regulation is essential to command the trust of both consumers and producers

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CARTAGENA PROTOCOL ON BIOSAFETY Convention on Biological Diversity adopted a supplementary agreement known as the Cartagena Protocol on Biosafety on 29 January 2000. The protocol became international law in September 2003 and has since been ratified by more than 100 countries excluding USA. India has acceded to the Biosafety Protocol on 17th January 2003. [Cartagena is in Colombia].

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SCOPE OF THE PROTOCOL The Protocol seeks to protect from the potential risks posed by Living Modified Organisms (LMOs) resulting from modern biotechnology intended for direct use for food, feed or processing. It incorporates procedure for import of LMOs with respect to Food Feed and Product (FFP), Risk Assessment and Risk Management Framework and Capacity Building.

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CARTAGENA PROTOCOL Some of the salient features of the protocol are: 1. Precautionary principle: 'Precautionary principle', is the basis of the Cartagena Protocol. The Protocol reaffirms the Precautionary principle in decision procedures, risk assessment and risk management in the context of the protocol. 2. Advance informed agreement (AIA) : It establishes an advance informed agreement (AIA) procedure for ensuring that countries are provided with the information necessary to make informed decisions before agreeing to the import of such organisms into their territory.

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3. Traceability : Protocol calls for provision of detailed information for handling, packaging and transportation, and clear identification of LMOs. Importer of LMOs should be able to trace back the original exporter. 4. Liability & Redress : The term "liability" is normally associated with the obligation under the applicable law to provide for compensation for damage resulting from an action for which that person is deemed to be responsible. 5. Biosafety Clearing-House [BCH] : The Biosafety Clearing-House was established by the Protocol to facilitate the exchange of information on living modified organisms and to assist countries in the implementation of the Protocol. CARTAGENA PROTOCOL

Bio Safety Procedures & Issues - India : 

Bio Safety Procedures & Issues - India

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BIOSAFETY ISSUES India has acceded to the Biosafety Protocol on 17th January 2003. Genetically modified organisms are regulated in India under the purview of the 1986 Indian Environment (Protection) Act. Ministry of Environment & Forests, has notified the Rules for the Manufacture, Use, Import, Export and Storage of Hazardous Microorganisms/ Genetically Engineered Organisms or Cells under this act. These rules also define the competent authorities and composition of such authorities for handling of various aspects of the rules.

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BIO SAFETY PROCEDURES Presently there are six competent authorities Recombinant DNA Advisory Committee (RDAC), Institutional Biosafety Committees (IBSC), Review Committee on Genetic Manipulation (RCGM), Genetic Engineering Approval Committee (GEAC), State Biotechnology Coordination Committee (SBCC) and the District Level Committee (DLC)

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THEIR ROLE Department of Biotechnology Review Committee on Genetic Manipulation (RCGM) , supervises research activities including small scale field trials Ministry of Environment and Forests Genetic Engineering Approval Committee (GEAC), approvals for large scale releases and commercialization of GMOs

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Bt. Cotton Transgenic crops approved for commercial cultivation in India: Three Bt. cotton hybrids MECH 12, MECH 162 & MECH 184 expressing cry 1 Ac gene

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RECOMBINANT DNA PHARMACEUTICALS Recombinant DNA Pharmaceuticals approved for marketing in India : Recombinant DNA pharmaceuticals approved for manufacturing in India:

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Socio-economic Issues The types of decisions that governments have to make Whether to import GM ingredients, or manufacture foods and products containing GM ingredients Whether to allow GM seeds to be planted commercially Policy on research in agricultural biotechnology; Setting a balance between public and private investment. Appropriate laws and regulatory mechanisms to ensure GM food products cannot harm the health of people, animals, environment or pollinate non-GM crops Whether food containing GM produce should be labeled.

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