BI-crops as substitute for insecticide

World crop losses without the use of pesticides and other control measures is estimated to be 70% of the expected production. It is also estimated that, despite all efforts and measures, pests still destroy 50% of world production amounting to about US dollar 300 billion. In view of this, insect resistant crops offer great promise.

Estimates of potential substitution value of Bt-transgenic plants for insecticide have been made and it is believed that out of a total cost of US dollar 8.11 billion spent on insecticide, US dollar 2.69 billion can be replaced by Bt-transgenic crops. This will include com, cotton, rice and some fruits/vegetables.

While these International Agricultural Research Centres (IARCs) may develop and make available the transgenic crops in the developing world, for several other crops being developed by private sector, the farmers will have to pay for the investments made, so that the seed of transgenic crops will have to be purchased at a premium.

However, it is believed that the seed of transgenic varieties ay be sold at prices identical to those of non-transformed variety as a means of boosting the market for transgenic crop varieties. In USA, farmers paid US $32/acre in royalties for Bt-cotton for an estimated saving of US $60-120/acre generally spent on insecticide.

According to Monsanto (which marketed Bt- cotton), this gives a saving of at least US $33/acre. Similarly, in case of Nature MarkTM potatoes, the premium per acre is US $16 to $72, compared to chemical control cost of US $30 to $120 per acre, a net saving of at least $14.00 per acre.