How Genetically Modified (GM) Technology Benefits The World Economy

Genetically modified (GM) crops have consistently increased recently. In 1994, the first commercial genetically modified crops were planted. A significant area of GM crops was planted which was approximately 1.66 million hectares in 1996. Since 1996, there has been a large increase in planting, and the global planted area reached more than 160 million hectares by 2012. We may hear that GM food is devil. Many people try to avoid it when they see GM sign on food products. But is GM food really bad? The debate for GM food is complex, definitely both pros and cons are involved, but I will argue that GM technology benefit world economy. Genetically modified plants are created by splicing DNA from various sources, including viruses and bacteria, into the genomes of plants, giving it new or different characteristics. The changed characteristics could include changing the way the plants grow, making it resistant to a particular disease, or having better tastes. Genetically modified organism (GMO) has been used commercially for more than 20 years. A study by U.K.-based PG Economics finds that GMO benefits farmers and consumers, produces large welfare gains and creates positive effects for the environment. Crops biotechnology has a positive effect on farm income because of efficiency gains and enhanced productivity. At the global level, in the year of 2012, the important changes and impacts of GM crops occurred. The net benefits at farm level are approximately $18.8 million in 2012. From the year of 1996 to 2012, GM technology have generated more than a hundred million wealth. GM technology also contribute to increase global production level of the four main crops. Since the GM technology introduced in the mid-1990s, the global production of soybeans and maize has been added 122 million tonnes and 230 million tonnes respectively.

At the country level, in United States, plating GM soybean helps farmers to save $73 per hectares in 2016. This is about three times higher compared to adoption in early years. The income benefit of growing GM soybean has rapidly risen from $5 million in 1996 to $159.8 million in 2016. The farm net income from 1996 to 2016 was about $79500 million. In addition, GM cotton have significant cost saving of $223 per hectares in Australia, with net farm income of 103.7 million in 2015. Since 1996, Australian cotton and canola farmers have gained $1.37 billion worth of extra income. In China and India, GM cotton has added $29.8 billion additional income for cotton farmers. After 22 years of GM crops adoption, more than 2.34 billion hectares were planted by millions of farmers, which added the value to farmers. Thus, growing GM crops does help farmers to gain more revenue and lower the costs. CM crops reduce the pressure on scare land resources. In the period of 19 years from 1996, GM crops has added large additional global production, which includes 158 million tonnes of soybeans, 322 million tonnes of corn, 24.6 million tonnes of cotton and 9.2 million tonnes of canola. Crop biotechnology is a good investment for farmers. Farmers are able to grow more without using additional land by investing in GM crops. In 2014, the cost farmers paid for accessing crop biotechnology was 28 percent of the total gains. In other words, for each dollar that farmers invested in GM crop seed, they could receive an average of $3.6 revenue. Furthermore, GM crops benefit the world environment.

GM crops reduce the amount of greenhouse gas emissions. The reduced gas emissions in 2014 was equal to removing 22.4 billion kilograms of carbon dioxide or to removing ten million cars from the road for one year. Also, from 1996 to 2014, crop biotechnology has reduced pesticide spraying by 580 million kilograms, which is equal to the total amount of pesticide in China for more than a year. At the same time, farmers recently increasingly use conservation tillage practice used in conjunction with soil cover practices, which leads to soil health benefits. In conclusion, GM crops can help us to feed a fast-growing world. Crops biotechnology has consistently provided important production gains, economic wealth, and improved incomes for farmers worldwide. Farmers are able to grow more on less land, increase crop yields, contribute to international completeness, and reduce agricultural environmental impacts by accessing GM technology. Thus, it can be concluded that genetically modified technology benefits the global economy.

References

1. Brookes, G., and Barfoot, P. 2014. Economic impact of GM crops: the global income and production effects 1996-2012. GM crops & food, 5(1), 65–75. doi:10.4161/gmcr.28098
2. Biotechnology Innovation Organization. 2018. 'Global Economic and Environmental Benefits of GE Crops Continues to Rise.' BIO. October 2018.Accessed April 25, 2019. https://www.bio.org/articles/global-economic-and-environmental-benefits-ge-crops-continues-rise.
3. ISAAA. 2018 'Pocket K No. 5: Documented Benefits of GM Crops.' Documented Benefits of GM Crops | ISAAA.org. October 2018. Accessed April 25, 2019. https://www.isaaa.org/resources/publications/pocketk/5/default.asp.
4. PG Economic. 2016. 'Global Economic Benefits of GM Crops Reach $150 Billion.' PG Economics. May 31, 2016. Accessed April 25, 2019. https://pgeconomics.co.uk/press releases/3/Global
5. economic benefits of GM crops reach $150 billion. Staropoli, N. 2016. 'Are There Environmental and Economic Benefits to GMO Crops? Study Claims $150 Billion since '96.' Genetic Literacy Project. June 08, 2016. Accessed 4 15, 2019. https://geneticliteracyproject.org/2016/06/08/environmental-economic-benefits-gmo-crops-study-claims-150-billion-since-96/.
6. The Royal Society. 2016. 'What Are GM Crops and How Is It Done? | Royal Society.' The Royal Society. May 2016. Accessed April 25, 2019. https://royalsociety.org/topics-policy/projects/gm-plants/what-is-gm-and-how-is-it-done/