The global income and production effects of genetically modified (GM) crops 1996–2011

Abstract

A key part of any assessment of the global value of crop biotechnology in agriculture is an examination of its economic impact at the farm level. This paper follows earlier annual studies which examined economic impacts on yields, key costs of production, direct farm income and effects and impacts on the production base of the four main crops of soybeans, corn, cotton and canola. The commercialization of genetically modified (GM) crops has continued to occur at a rapid rate, with important changes in both the overall level of adoption and impact occurring in 2011. This annual updated analysis shows that there have been very significant net economic benefits at the farm level amounting to $19.8 billion in 2011 and $98.2 billion for the 16 year period (in nominal terms). The majority (51.2%) of these gains went to farmers in developing countries. GM technology have also made important contributions to increasing global production levels of the four main crops, having added 110 million tonnes and 195 million tonnes respectively, to the global production of soybeans and maize since the introduction of the technology in the mid-1990s.