Biotech Updates

Should India Commercialize GM Rice with or without China?

July 10, 2009

An article on Balancing Productivity and Trade Objectives in a Competing Environment: Should India Commercialize Genetically Modified (GM) Rice with or without China, authored by Guillaume Gruere and colleagues at the Institute of Food Policy Research Institute, World Bank and Université de Pau et des Pays de l'Adour in France was recently published in the Journal of Agricultural Economics. The authors analyzed the economic effects of introducing GM rice in India with or without China in the presence of labeling and import approval regulations of GM food in GM sensitive countries. The results showed that the welfare gains with GM rice in India would largely exceed any potential export loss, and that the segregation of non-GM rice could help reduce the minor losses. In addition, there is no significant first mover advantage for India or China on GM rice.

The abstract of the report is downloadable and the full paper is available to subscribers at: http://www3.interscience.wiley.com/journal/122463385/abstract