Quarterly Journal of International Agriculture No. 3/05
Impacts of genetically modified crops in developing countries: a survey
Matin Qaim and Ira Matuschke
University of Hohenheim, Stuttgart, Germany
Abstract
This article reviews the evolving academic literature on the impacts
of genetically modified (GM) crops in the developing world. GM
technologies used so far in various countries of Latin America, Africa,
and Asia include herbicide-tolerant soybeans, insect-resistant Bt
cotton, and to a lesser extent Bt maize. While herbicide-tolerant crops
lead to cost savings in weed control and tillage operations, Bt crops
entail significant pesticide reductions and higher effective yields. In
spite of regional and temporal variability, average economic gains for
adopting farmers are sizeable, including both small and large-scale
growers. GM crops also bring about environmental advantages, albeit
long-term interactions with natural systems need to be further
analyzed. Almost all GM crop applications to date have been
comercialized by the private sector. Developing countries can benefit
substantially from proprietary innovations, as the empirical evidence
demonstrates. However, without more public sector involvement, certain
niche markets for marginalized farmers and consumers are likely to be
neglected.
Keywords: biotechnology, economic effects, environmental effects, pest control, small farms
JEL: Q 160, Q 12, Q 18
Vol. 44 (2005), No. 3: 207-227