Evaluating the holistic costs and benefits of corn production systems in Minnesota, US

Harpinder Sandhu,Fatemeh Behzadnejad,Nadia El-Hage Scialabba,Richard Houston,Chris Warner,Daniel Fujiwara,Kieran Keohane

doi:10.1038/s41598-020-60826-5

Harpinder Sandhu, Fatemeh Behzadnejad + Show 5 more

Open Access

https://doi.org/10.1038/s41598-020-60826-5

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Abstract

Global agriculture aims to minimize its impacts on environment and human health while maintaining its productivity. This requires a comprehensive understanding of its benefits and costs to ecosystems and society. Here, we apply a new evaluation framework developed by the Economics of Ecosystems and Biodiversity for Agriculture and Food (TEEBAgriFood) to assess key benefits and costs on the production side of genetically modified (GM) and organic corn systems in Minnesota, USA. The market value of GM corn is $4.5 billion, and only $31.8 million for organic corn using production data and market prices of 2017. GM corn generates revenue of $1488 per hectare (at $121 per MT), which is significantly lower than the organic corn at $2793 per hectare (at $294 per MT). Using a novel three-stage wellbeing valuation, analysis of the associations between corn production intensity and subjective measures of general health and wellbeing indicates that the total non-financial health cost associated with GM corn is $427.50 per hectare or $1.3 billion annually. We also find that the total annual environmental cost associated with GM corn production is $179 per hectare or $557.65 million within Minnesota. The use of the evaluation framework can help to improve decision making at farm and policy level to develop sustainable agriculture in order to minimize environmental and health related costs to society and economy.

Highlights

Global agriculture aims to minimize its impacts on environment and human health while maintaining its productivity
A case study to demonstrate proof of concept, we focused on corn in Minnesota, USA, and analysed key externalities associated with the production side of genetically modified (GM) and organic corn systems using true cost accounting (TCA) method by following TEEBAgriFood evaluation framework (The Economics of Ecosystems and Biodiversity for Agriculture and Food)[5]
The study used the TEEBAgriFood framework and revealed high hidden social, environmental and health related costs associated with GM corn production systems as compared to organic production in Minnesota

Summary

Introduction

Global agriculture aims to minimize its impacts on environment and human health while maintaining its productivity. 145 million tonnes of synthetic fertilizers are applied in agriculture along with pesticides and veterinary chemicals These agrochemicals, along with some high impact agricultural practices and high fossil fuel energy use, have resulted in pollution of water ways, eutrophication, depletion of freshwater resources, increased greenhouse gas emissions, land degradation and loss of biodiversity[8,9]. As. Area harvested, million ha Average yield, MT per ha Total production, million MT Market value of corn, $ million Average price of corn per MT a case study to demonstrate proof of concept, we focused on corn in Minnesota, USA, and analysed key externalities associated with the production side of genetically modified (GM) and organic corn systems using true cost accounting (TCA) method by following TEEBAgriFood evaluation framework (The Economics of Ecosystems and Biodiversity for Agriculture and Food)[5]. In other countries, most of the corn is used directly for human consumption

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