No help to the poor
03.09.2009
Fr McDonagh explains how GM crops benefit rich corporations, not the poor.
On May 18, 2009, Matin Qaim lectured on the benefits of genetically modified crops for the poor at the Pontifical Academy of Sciences Study Week in Rome. The theme of the conference was “Transgenic Plants for Food Security in the Context of Development.” He said, “Among these benefits are insecticide savings, higher effective yields through reduced crop losses, and net revenue gains, in spite of higher seed prices.”
Almost all of these claims are contested in the Friends of the Earth study: Food Sovereignty: who benefits from GM crops? Feeding the biotech giants, not the world’s poor. The Friends of the Earth study refutes the claim that GM crops lead to major reductions in pesticide use. In Argentina, the use of glyphosate (a non-selective systemic herbicide) more than tripled from 65.5 million litres in 1999/2000 to over 200 million litres in 2005-6.
In 2007, a glyphosate-resistant version of Johnsongrass (Sorghum halapense) one of the most damaging weeds in the world infested 120,000 hectares of the prime cropland in the country. Farmers are now using more toxic weedkillers such as paraquat, diquat and triazine to control weeds. It is estimated that 25 million litres of herbicides will be needed each year to control resistant weeds which, in turn, will increase overall production costs dramatically.
The claims for higher yield from GM crops are also disputed. The Friends of the Earth study states that “none of the GM crops on the market are modified for increased yield potential.” Even the U.S. Department of Agriculture admits that “genetic engineering has not increased the yield potential of any commercialized GM crop.” They point to a University of Nebraska study which attributes a 6% yield drag directly to unintended effects of the genetic modification process used to create Roundup Ready soybeans.
The one certainty about GM crops is that they are making massive profits for biotech corporations such as Monsanto. Monsanto is the largest seed firm in the world. It markets the Roundup pesticides. Because of its extraordinary control Monsanto’s revenue is expected to increase by 74% between 2007 and 2010. In money terms that involves a jump from $8.6 billion to $14.9 billion.
Despite these profits, seed prices have risen dramatically. The average price of soybean seed has increased by 50% in the past two years in the U.S. This will increase costs for farmers. Monsanto is also raising GM corn seeds by $90 to $100 a bag in 2009.
The retail price of Monsanto’s glyphosate, Roundup has increased by 134% in less than two years.
A similar pattern has emerged from Argentina. At the end of 2007, the increased demand from agrochemicals coincided with a substantial rise in the price of Roundup when compared to the price of herbicides which are used on conventional crops.
GM crops have made a fortune for biotech companies. Monsanto’s monopoly position has meant that it can increase both the price of its GM seeds and herbicide even when food prices are increasing, thus pushing more and more people into poverty. How this technology which is owned by corporations can help the poor, is beyond me.
Fr Sean McDonagh is a researcher on justice and peace issues and more recently ecological challenge.
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