Expansion of GM crops, antagonisms between MERCOSUR and the EU. The role of R&D and intellectual property rights’ policy

Abstract

In the countries of the Southern Common Market, historically, increase in exports has been based on the region's primary sector (the production and extraction of raw materials). In the last decade, this growth has been mainly due to the expansion of genetically modified crops. This greater share of unprocessed raw materials (agrocommodities) has been accompanied by an increase in imported agro-inputs, which are mostly subject to intellectual property rights (patents and plant breeders’ rights). Unlike the Southern Common Market, the European Union shows an increase in research and development (R&D) associated with the boom of it's Knowledge Economy. A comparison of the number of intellectual property rights of both economic blocs is carried out with the purpose of analyzing this antagonism and its effects. Asymmetries are also analyzed by cross comparison of data from both intellectual property rights and R&D expenditure. The results indicate important relegation of research in the countries of the Southern Common Market. Growth and innovation of the agricultural sector in the Southern Common Market are being strongly affected by the tendency towards R&D expenditure in the European Union, thus deepening the asymmetry.