Costs and Benefits



"Study: Larger Farmers Benefit More From GM Crops"

Julianne Johnston
AgWeb.com
January 2, 2001

A study conducted by the University of Wisconsin-Madison reveals that larger farmers in the state are more likely to benefit from genetically modified crops. According to the study, cash grain operations and large farmers were more likely to plant GM crops, with smaller farmers shying away from GM crop sin 1999 and 2000. Study authors say smaller Wisconsin producers seem to be taking a pragmatic approach - they're dropping GM crops because these varieties aren't making money for them. Fred Buttel, a rural sociologist at the College of Agricultural and Life Sciences and doctoral candidate Lucy Chen surveyed Wisconsin producers on their use of Bt corn, herbicide-tolerant corn and soybeans. They collected data from the same producers over three years, surveying farmers who adopted, continued to use, or de-adopted GM crops, along with farmers who never planted GM varieties. Wisconsin growers showed a steady increase in HT soybean use, from 26 percent in 1998 to 49 percent in 1999 and 53 percent in 2000, reveals the study. In addition, respondents evaluated the performance of GM and conventional crop varieties in terms of yield, expense, pest damage, and profit per acre. More than half reported higher profits from BT corn and HT soybeans. Farmers who were satisfied with Bt corn were most impressed with reductions in pest damage, while HT soybeans were valued for their reduced production costs. On the other hand, nearly half the respondents reported no difference or a decrease in profits from Bt corn and HT soybeans, and more than 60 percent reported unchanged or lower profits from HT corn, according to the survey. Those who didn't see improved profits were more likely to drop geneticallymodified varieties, the researchers found.

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