April 12, 2006

Economist says North America losing out by shunning GM wheat

A University of California agricultural economist says North American farmers are missing out by not being able to grow genetically modified (GM) wheat.

Research conducted by Colin Carter estimates the loss in Canada at US$200 million a year. Countries which do not plant GM wheat are losing out because such crops has higher yields and better weed control which bring about lower input costs.

Two years ago, seed company Monsanto abandoned plans to market its Roundup Ready wheat in Canada amid strong opposition. At the time, the Canadian Wheat Board said 80 percent of its customers did not want GM wheat.

Carter disputed that figure, saying that those in favour actually far outnumbered those who opposed.

He said Canada could segregate GM and conventional wheat varieties while growing them and charge a premium for customers wanting the non-GM version.

GM crops, such as canola and corn, have been grown in Canada for about a decade.  He country accounts for 6 percent of the world's GM crop production.

The United States tops the group at 56 percent, followed by Argentina at 19 percent and Brazil with 10 percent. 

Soy is the most popular biotech crop, accounting for 60 percent of total world production while corn is follows at distant second of 24 percent.

Carter thinks China will take the lead and be the first country to grow genetically modified wheat within the next three or four years, followed by other countries.