GM cotton in India: Better quality, price, acreage and profits.

Bt cotton acreage jumps 65 pc

- The Hindu, Nov. 11, 2007 Via Agbioview

http://www.hindu.com/thehindu/holnus/015200711111331.htm

New Delhi: Indian farmers appear to have come to terms with Monsanto, a name that was associated with controversies, with sowing of Bollgard (Bt) cotton growing impressively to 14.4 million acres, up from 8.7 million acres last year.

Mahyco Monsanto Biotech (MMB) claimed that a large number of farmers have cultivated Bollgard on over 50 per cent of India's total cotton growing area on account of high profit.

"The acreage under Bt cotton in the northern region has seen three-fold jump since one year. In Punjab, the acreage has gone up to 7.24 lakh [lach=100,000] acres this year from 3.07 lakhacres last year, while in Haryana, it has surged to 5.3 lakh acres in 2007 from 78,000 acres last year," MMB Deputy MD Raj Ketkar said.

He said with the adoption of Bt cotton, the production has risen from an average 150 lakh bales in 2002 to 270 lakh bales in 2007. The yield has also shot up from 300 kg per hectare to 500 kg. Bollgard is resistant to insects like bollworms that damages the crop.

Ketkar said not only are planted acres of Bt cotton increasing, but Indian farmers are reaping better socio- economic benefits from growing the crop. "High yield per acre and less use of pesticide has translated into increased profits. On an average, farmers who have planted Bt cotton are earning an additional Rs 7,757 income compared to conventional farmers," he said.

Monsanto's Bt cotton is subject to doubts of all those who are opposing the cultivation of the 'wonder seed' in India.

Opposing the impressive growth claimed by Monsanto's Bt cotton, environmental activist Vandana Shiva said, "The company is exaggerating the growth figures. Bt cotton yield has not risen to the levels it claims today."

Another agriculture expert Devender Sharma expressed similar doubts on productivity levels of Bt cotton. "It is not farmers, but the company which is earning huge profits by introducing Bt cotton in India," he said.

Debunking the allegations associated with Bt cotton, Confederation of Indian Textile Industry (CITI) Chairman P D Patodia said: "About 40 per cent of our export basket comprises Bt cotton. Bt cotton has not only increased the yield but also the quality of the fibre, due to which India is getting better price in the global market."

Currently, the price difference has narrowed down to 1-2 cents from 6-7 cents, he added.

He said: "Earlier the quality of India's cotton was considered to be lower due to which our exporters used to get less price compared to other countries."

"Now, the situation has changed for better and Indian cotton is accepted worldwide. The price difference has diminished for the domestic cotton in the global market," he said adding, when other countries have adopted this technology, then why not in India?


(See previous post, Maintaining the status quo is not risk free, for detailed economic commentary and data)


Update


University Report Cites Benefits of Bt cotton to Indian Farmers
Posted at ISAAA 24 August 2007

A 170 page- report on the "Economics of Bt cotton vis-à-vis traditional cotton varieties (Study in Andhra Pradesh)" by the Agro-Economic Research Centre of the Andhra University in India concludes that Bt farmers earned three times more than non-Bt cotton farmers in Guntur district and eight times more in Warangal district of Andhra Pradesh. The Government of Andhra Pradesh commissioned the study three years ago to examine the advantages, disadvantages, cost of cultivation and net return to Bt cotton as compared to other cotton varieties in selected districts.

The study confirmed that the average Bt farmer had a 46 per cent higher yield and applied 55 per cent less pesticides than the non-Bt cotton farmer in Guntur district. Bt cotton farmers in Warangal district applied 16 per cent less pesticides and reaped 47 per cent more cotton yield as compared to non-Bt farmers. Farmers noted that Bt cotton gave early high picking rate due to less pest susceptibility and boll color was also good.

Economics of Bt Cotton vis-a-vis Traditional Cotton Varieties in Andhra Pradesh

For a copy of the report, contact Prof. LK Mohan Rao, Honorary Director, Agro-Economic Research Centre (AERC), Andhra University, Visakhapatnam, Andhra Pradesh, India. More information regarding biotech in India from Bhagirath Choudhary at b.choudhary@isaaa.org.