monsanto 09-20-05b

Bt Corn in Spain

Miguel LeónLleida, September 21st, 2005

Some of the major milestones in agricultural biotechnology originated in Europe

• Agrobacterium transformation (Belgium)• First commercial GM plant (bromoxinil tolerant

tobacco, Rhone Poulenc, France)• First processed GM food: tomato paste

(ICI - UK)• First Bt corn grown in the USA (Novartis -

Switzerland)• First GM canola (spring oil seed rape) grown in

Canada (PGS - Belgium)• First Bt corn grown in Europe (Novartis -

Switzerland)

The EU has made significant advances in the adoption of ag biotechnology

• A completely overhauled, rigorous and comprehensive regulatory system

• End of the moratorium• New product approvals (NK603, GT73, etc.)• 17 Bt corn hybrids listed on the EU Catalog• Commercial plantings in 2005 in five EU

countries (Spain, Portugal, France, Germany and the Czech Republic)

• Over 200,000 Has of Bt corn grown in Spain since 1998

Indeed, the EU has been using and consuming GMO products since 1996

• Field trials:– Over 2,000 plant releases since 1991

• Imports:– 32 million MT of soybean products from

USA, Argentina and Brazil– 4 million MT of corn gluten feed from the

USA– 0.5 - 1 million MT of corn grain from

Argentina

Spain is an important agricultural countrywithin the EU

% contribution of each memberstate to the total agricultural

production in the EU -15

France: 23.1%

Germany: 15.4%

Italy: 15.4%

Spain: 12.5%

UK: 8.7%

The Netherlands: 6.8%

Corn is an important crop in many areas of Spain

Source: Ministry of Agriculture

15-1,0001,000-2,6002,600-6,1006,100-17,000

17,000-26,00026,000-51,000

Ha’s

AREA(KHa's)

Average YieldMT/Ha)

Production('000 MT)

France 1,900 8.5 16,000

Italy 1,150 9.4 11,000

Spain 450 10.2 4,900

Total EU (15) 4,425 8.8 39,000

Source: EU Commission, Coceral

Corn Borer infestations occur to some degree in all corn growing regions

Source: Syngenta SeedsNot significantLowMediumHigh

Corn borer pressure

Overall, about 20% of Spanish corn suffers some or severe economic losses because of

corn borer attacks

Corn borers tunnel into the ears and stalk causing extensive damage:

• Weak stalks, loss of yield• Damage to the ears

Damages are not only to yield, but also to grain quality

Corn borers are difficult to control with conventional (chemical) methods

Overwinteringlarvae

pupae

adults

larvae

eggs

adults

pupaeeggs

larvae

NOV-APR MAY JUN JUL AUG SEP OCT

• 2 - 4 generations/yr• Severe damage in the early stages of plant growth

Bt corn (Bt) offers many advantages to the grower and to the environment

• Season long insect protection to thewhole plant (leaves, stalks and ears)

• Healthy plants that yield more• Higher grain quality• No impact on beneficial insects• Easier crop management• Savings in time and money• Reduction in insecticide use

In 2004, more than 19 million Has of GM cornwere grown around the World

USA

Honduras

Canada

Argentina

Spain

Philippines

So. AfricaUruguay

Trials were done to study the benefits ofBt corn in Spain

02468

10121416

1997 1998

Corn yield (MT/Ha)

Conventional (untreated)Conventional (treated)Bt

In view of these results and the corn borer problems, Spain adopted Bt corn in 1998

• The Min. of Ag. approved 2 varieties of Bt corn (of which only one was actually planted)– Total surface had to be limited to about

25,000 Ha’s (5% of the total corn planted in the country)

– Seed company had to follow a 5 year monitoring plan

• In the period 1998-2005, over 200,000 Ha’s of Bt corn have been grown in Spain

The economics of Bt corn are very favorable for the farmer

200

8001,200

2,200

3,4003,800

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

10% 30% 50% 70% 90% 100%

Stalks with borer attacks

Yie

ld L

oss

(Kg/

Ha)

Cost of Bt

Good results and farmer satisfaction have resulted in substantial increase in Bt corn use

In 2005, there are 29 Bt corn hybrids approved for planting in Spain, 17 in the EU

22.5 22.5 22.5

15

22.5

32

58

48

BT

Cor

n Su

rfac

e (K

HA

's)

'98 '99 '00 '01 '02 '03 '04 '05

Bt corn

Conventional corn

20%

80%

Penetration of Bt corn(% m.s. of the corn borer market)

The trade of corn grain and consumption of corn based products has not been disrupted

The trade of corn grain and consumption of corn based products has not been disrupted

• 85% of Spanish corn is used for feed

• 50,000 - 120,000 MT of locally produced GM-free corn purchased by major wet miller (corn processor for food):

- Traceability- Agreements with

individual coops or large farmers

- Testing of grain lots• Cost to the corn trade:

0.5% of price of grain

Biotechnology is the future. Good technologies ultimately succeed and prevail

“In the future, all crops will be transgenic”James Watson, 2005

“Laws and institutions must go hand in hand with the progress of human kind.As that becomes more developed, more enlightened, as new discoveries are made, new truths disclosed, and manners and opinions change with the change of circumstances, institutions must advance also, and keep pace with the times”

Thomas Jefferson, 1816