Ashok B. Sharma
Financial Express, 6 March 2005
NEW DELHI, MARCH 6: Debate over the success or failure of India's Bt cotton gains steam, with the regulatory authority last Friday deferring its decision extending the approval period for three varieties of Mahyco's Bt cotton.
Mahyco's 3 Bt cotton hybrids - Mech-162 Bt, Mech-12 Bt and Mech-184 Bt — were cleared for commercial cultivation since March 2002. As the approval period was for three years, it's due for a review of the performance for subsequent extension of the approval or otherwise.
The Genetic Engineering Approval Committee (GEAC) had the performance of these 3 varieties on its agenda, but the discussion was inconclusive. The final decision will be taken at the next GEAC meeting on April 13.
Battlelines are drawn between those who claim Bt cotton performance as a success and those who claim it is a failure. Monsanto India, which has conducted a study for 2004 season through IMRB has claimed that Bt cotton yields have increased 58% on a countrywide basis and by 46% in Andhra Pradesh.
Farmer's incomes have risen 60% across the country, and by 42% in Andhra Pradesh. Cost on pesticide use has been reduced by 50% on a countrywide basis and by 65% in Andhra Pradesh. The IMRB study said that gross earning of farmers on a countrywide basis is Rs 5,977 per acre and Rs 3,923 per acre in Andhra Pradesh.
Several organisations have contested the study conducted on behalf of Monsanto (I), saying farmers have incurred huge losses on account of Bt cotton. The Centre for Sustainable Agriculture (CSA) which did an independent study aided by a team of scientists says that Bt cotton cultivation has placed the farmers in Medak and Warangal districts in AP at huge losses.
Promises of higher yields, income and reduction in pesticide use have been belied. CSA has already presented the findings to GEAC. NGOs like Greenpeace India, Deccan Development Society, Sarvodaya Youth Organisation and some farmers' bodies are busy finalising their studies. What has added fuel to the fire is a study by an expert team deputed by the Andhra Pradesh commissioner and director of agriculture. This has shown "poor yields of Bt cotton" in Warangal, and losses for farmers. Based on this report, the district joint director of agriculture has written to Mahyco Monsanto India, asking the company to shell out Rs 2,48,85,630 as compensation for farmers.
The total compensation has been worked out at the rate of Rs 1,469.25 per acre. As per the MoU between the company and the AP government, compensation should be paid on account of damages done to farmers. Mahyco Monsanto Biotech managing director Dr MK Sharma admitted to receiving the letter. He, however, said: "We have appealed before the state agriculture commissioner to reconsider the decision."
Divya Raghunandan of Greenpeace India is not content with the compensation package sought by the Warangal district authority. She said: "The compensation of Rs 1,469.25 per acre is too low. It does not cover even the cost of seeds which is Rs 1,600 per acre."
The district authority has manipulated the yield figures to save the company from paying more, she added.