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GM Crops: GM canola could be worth extra $200 million

Checkbiotech
Jodie Thomson
August 20, 2007

Allowing WA farmers to grow genetically modified canola could unlock a crop worth an extra $200 million a year, according to an assessment by a leading academic which increases pressure on the State Government to end its moratorium on GM crops.

Professor Michael Jones, director of the WA Agricultural Biotechnology Centre at Murdoch University, said GM canola could deliver a windfall for growers through boosted yields of up to 20 per cent.

Professor Jones’ assessment came as Federal Agriculture Minister Peter McGauran released a national report outlining the environmental and economic benefits of the new technology in a move designed to add pressure on State governments to lift moratoriums on GM crops.

The Bureau of Rural Sciences report examining oilseed crops such as canola and cotton warned the industry would struggle over the next decade without production benefits from biotechnology.

Professor Jones said GM canola would increase yield potential by 15 to 20 per cent, adding $200 million a year to the value of WA’s canola crop.

“They would be using more environmentally friendly herbicides and down the line you would expect oils with improved health properties and you could also see more efficient use of fertiliser,” he said.

Canola is an oil and fodder crop and can also act as a “break crop” where it is used in crop rotation systems to help control weeds and plant diseases.

About 500,000 tonnes of canola is expected to be harvested in WA later this year, less than 7 per cent of the State’s total predicted grain crop, which is dominated by wheat and barley.

GM canola has been grown for years by major competitors Canada and the US and is likely to be the first broadacre GM crop to be grown in the WA Wheatbelt if the State Government’s moratorium is lifted.

A conventional canola variety is in full flower at Ashley Wiese’s property south of Narrogin. He expects per hectare returns to be good this year, a result of booming global prices and above average yields. While the returns can be strong, it is a relatively expensive and risky crop to grow, which has led to the State’s production falling in recent years. The offer of better gross margins was likely to increase canola plantings. Mr Wiese supports the push by the State’s farm groups for the GM moratorium to be lifted.

“I think there has been a swing in producer sentiment,” he said. “In the early days the big concern was that we would lose markets but I think consumers have shown us direction in their lack of willingness to pay a premium for non-GM product.”

An estimated 4.8 million hectares of GM canola, about 5 per cent of global biotech crop area, was grown last year, mainly in Canada and the US.

Yesterday’s BRS report warned that the failure to adopt the GM technology could cost the Australian economy $3 billion over the next decade and the oilseed industry would struggle in coming years without production benefits associated with GM varieties. WA shadow agriculture minister Gary Snook yesterday criticised Labor’s “sit and see” policy.

Agriculture Minister Kim Chance denied there was significant pressure on the State to lift its moratorium, which is due to be reviewed next year.

“Most of the contact received by this office seeks an extension of the moratorium,” he said.

GM opponents said the report was a “rehash” of well-known facts and figures.

Biological Farmers of Australia spokesman Scott Kinnear said the promise of improved profits for farmers was unrealistic and Australia was likely to follow the experience in North America where there were problems segregating grain or seed.

Source: Checkbiotech.
Original Source: The West Australian

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prakash_tmb.jpgAgBioWorld founder Professor C.S. Prakash of Tuskegee University offers a weekly synopsis of topics of concern to the agricultural biotech community covering the latest news, innovation and commentary from AgBioWorld members. The AgBioWorld GMO Food For Thought blog will also offer guest blog posts and the latest industry news.

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