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Because
they are able to use inputs more efficiently, farms adopting
Bt (Bacillus thuringiensis) corn seeds fare better
in terms of production and income compared to non-Bt corn
farms, a recent study in Isabela province showed.
The
paper “Biotechnology and smallhold agriculture: the
impact of genetically-engineered seed adoption on corn farm
efficiency” by Albert P. Aquino (PCARRD), Alberto R.
Domingo (Isabela State University), Sonny P. Tababa (SEARCA)
and Fezoil Luz C. Decena (PCARRD) suggests that Bt corn farms
post higher yields because they are more technically efficient
and are therefore able to realize higher incomes.
These
findings came from an empirical study of 167 smallhold corn
farms (66 are Bt-corn users, 101 are non-Bt) in Isabela during
the wet season of 2004.
The
average yield of Bt corn farms sampled was 26% higher than
that of the non-Bt farms. The study attributed the yield disparity
to differences in technical efficiency between these farm
types.
A
farm is said to be technically efficient if it is producing
the maximum output it can given the resources it employs (such
as labor and machinery) and technology available.
Using
econometric methods, the study estimated that Bt corn farms
have a mean technical efficiency index of 0.76 compared to
0.66 in non-Bt corn farms, indicating that Bt corn adoptors
were able to produce more output for a given set of inputs.
A
technical efficiency index of 1.00 indicates that the farm
is operating at the most technically efficient or best production
level.
It
was found that there was strong correlation between technical
efficiency and yield among the sample farms, implying that
the more efficient Bt corn farms are indeed more productive.
Further,
the study pointed out that the overall technical efficiency
index of all farms in the sample (which includes Bt corn farms)
was almost 50% higher than those of the entirely non-Bt corn
farms sampled in a 1999 study (by Aquino) in the same province.
These
results provide a basis for the promotion Bt corn technology
to make farms more technically efficient and profitable.
The
use of Bt corn has been a cause of much debate particularly
on food safety grounds. However, as mentioned by the paper,
various studies worldwide have demonstrated the safety of
Bt corn. The paper cited the acceptance and use of Bt corn
in Argentina, Australia, Canada, China, the European Union,
Japan, Korea, the Philippines, South Africa, the United States,
and Uruguay.
The
paper appeared in the March 2007 issue of the Asia Pacific
Economic Journal (Volume 4, Number 2). (Richard B. Daite,
S&T Media Service)
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