Access and Benefit Sharing · company size, culture and research and development (R&D) strategy. These in turn significantly impact demand for access to genetic resources, benefit

Access and Benefit Sharing in a Time of Scientific, Technological

and Market ChangeEssential Lessons for Policy-Makers

Sarah A. Laird and Rachel P. Wynberg March 2017

Acknowledgements:Our thanks are due to The Christensen Fund, GIZ, and Woods and Wayside International for their support of the process that produced this document, and to the many who contributed comments and insights during the research process, including Gordon Cragg, Dave Newman, Joseph Brinkmann, Sheo Singh, Frank Koehn, Maria Julia Oliva, Jan Engels, Bert Visser, Hope Shand, and Tobias Dierks, as well as the project team, in particular Jaci van Niekerk and Anne Virnig. We would also like to thank Paula Wood for her excellent design. For further information please contact [email protected]

ISBN Print: 978-0-620-73840-8

Photo credits: Shutterstock

Design/Infographics: Paula Wood Design

Botanicals Food and BeveragesBiotechnology AgriculturePharmaceutical Cosmetics

About the authors:

Sarah Laird is Co-Director of People and Plants International. Rachel Wynberg holds a research chair on the bio-economy at the University of Cape Town, South Africa. Both have worked for many years on policy issues relating to access and benefit sharing and the commercialisation of biodiversity.

www. peopleandplants.orgwww.bio-economy.org.za

Research Gate: https://www.researchgate.net/profile/Sarah_Laird https://www.researchgate.net/profile/Rachel_Wynberg

2

Science and

Technolo

gy

faster, cheaper, transform

ative1992

2002

2016

2014

2012

2010

2007

1995

Convention on Biological Diversity adopted

First gene sequenced

Bonn Guidelines adoptedHuman genome sequenced

Nagoya Protocol adoptedCraig Venter announced creation of first synthetic life form

Nagoya Protocol entered into force

The average industrialised country home is filled with products containing biotech ingredients or produced through biotech processes

CRISPR first used as a genome editing and engineering tool

Second-generation gene sequencing platforms

cost of reading DNA drops

3

Essential Lessons from 25 Years of ABS: change and diversity as central themes

Change and diversity characterise the sectors engaged in biodiscovery and the use of genetic and biological resources. This includes astonishing new developments in science and technology, fluctuating markets, and changes in business and intellectual property models, as well as dramatic diversity in company size, culture and research and development (R&D) strategy. These in turn significantly impact demand for access to genetic resources, benefit sharing and implementation of the Nagoya Protocol on Access to Genetic Resources and the Fair and Equitable Sharing of Benefits Arising from their Utilization to the Convention on Biological Diversity (Nagoya Protocol).

The research and commercial landscape that was encountered by negotiators to the Convention on Biological Diversity (CBD) in 1992 has transformed. Not only has our understanding of the natural world changed dramatically, but the ways in which researchers demand, study and use genetic resources do not resemble those of 25 years ago. Understanding these changed realities is critical for effective implementation of the Nagoya Protocol, and the development of effective access and benefit-sharing (ABS) policy.

The ‘Essential Lessons’ gathered here are the fruits of many years’ work on emerging technologies, the commercial use of genetic and biological resources, and engagement in ABS policy processes. The lessons are presented simply, with visual images and minimal explanatory text. Analysis, explanation, and complete references can be found in other, complementary work by the authors (see page 24). The purpose of this document is to emphasise the importance of these seemingly simple, but often poorly learned, lessons in a way that encourages their incorporation into policy-making. Given the momentum at present to ratify and implement the Nagoya Protocol, it is urgent that all involved arrive at a basic understanding of the sectors and activities these new laws will regulate, and the implications of different policy choices.

Markets for sectors using genetic and biological resources vary enormously in scale and scope, and this has significant implications for the ways in which the Nagoya Protocol is implemented. Within most sectors, only a portion of products or commercial activities depend upon access to genetic resources.

Global markets for key sectors(2013/2014)

Functional food and beverages

Seed

Food and beverages

$7,8

$46

$130billion

7%natural

Cosmetics$465billion

31% natural

products

Pharmaceuticals$989billion

Botanicals$96billion

billion

Industrial biotechnology $125

billion

trillion

$57billion Agrochemicals

4

Across the board, sectors that utilise genetic and biological resources are undergoing rapid growth, most significantly in industrial biotechnology and biopesticides. This is due to growth in emerging markets such as Brazil, China and India, as well as advances in science and technology that are producing new, highly efficient, and innovative processes and products. In other sectors, like botanicals, functional foods, and cosmetics, rapid growth is the result of increasing consumer demand for ‘natural’ products.

Projected global growth rates for key sectors using genetic and biological resources

Industrial b

iotechnology

10-15%

Pharmaceuticals – mature markets 2%

Agriculture – agrochemicals 5.5%

Agriculture – seed

9%

Botanicals7%

16%

Agricultu

re – biopesti

cides

Functional foods6-10%Natural cosmetics

9%Pharmaceuticals – emerging markets

13%

5

There are dramatic differences across sectors in the value of final products, the cost and number of years it takes to produce a commercial product, and the number of products produced by a company each year.

A comparison of estimated time, number and return on products

Aver

age

num

ber o

f pro

duct

s pe

r yea

r

Average years to develop a product

0 5 10 15 20

Industrial Biotechnology

Crop Protection

PharmaceuticalsBotanicals

1

2

3

4+

Functional Foods and Nutraceuticals

Natural Cosmetics

Agricultural Biotechnology


Botanicals

Pharmaceutical

Functional Foods and Nutraceuticals

Agriculture Biotechnology

Natural Cosmetics Estimated revenue per product

Crop Protection

6

Investments in R&D vary dramatically between sectors, paralleling the levels of technology employed in the discovery and development of products, as well as the approval and regulatory costs incurred. The scale, level of technology and research intensity of R&D programmes have enormous implications for demand for access, benefit sharing, and Nagoya Protocol implementation.

R&D

inte

nsity

$ Investments

high

low

Estimated R&D expenditures, 2014

$35billion

$4.5billion

$51billion

$6.7billion

$10.8billion

Biotechnology

Botanicals

Pharmaceutical

Food and Beverages

Seed

Cosmetics

Crop Protection

7

North America, Europe and Asia (primarily China and Japan) are home to the world’s largest companies. These regions dominate global markets, and undertake the vast majority of R&D. However, investments in new technologies and the global expansion of markets mean the role of other countries and regions is likely to expand in the future.

Regions with largest companies and markets, and undertaking the bulk of R&D

RANK COMPANY COUNTRY2014 REVENUES

(USD million)

1 $46

2 $45

3 $39

4 $38

5 $37

6 $33

7 $26

8 $25

9 $20

10 $19

TOP 10 PHARMACEUTICAL COMPANIES


(USD million)

1 $78

2 $66

3 $47

4 $45

5 $43

6 $43

7 $35

8 $34

9 $34

10 $34

TOP 10 FOOD AND BEVERAGE COMPANIES


(USD million)

1 $31

2 $21

3 $20

4 $10

5 $8

6 $7

7 $6

8 $6

9 $6

10 $6

TOP 10 COSMETIC COMPANIES

8

TOP 10 AGROCHEMICAL COMPANIES


(USD million)

1 $11

2 $11

3 $7

4 $6

5 $5

6 $4

7 $3

8 $2

9 $2

10 $2


(USD million)

1 $11

2 $8

3 $3

4 $2

5 $2

6 $2

7 $1

8 $0.5

9 $0.4

10 $0.3

TOP 10 SEED COMPANIES

TOP 10 BIOCHEMICAL COMPANIES

RANK COMPANY COUNTRY

1

2

3

4

5

6

7

8

9

10

TOP 10 BIOFUEL COMPANIES

RANK COMPANY COUNTRY

1

2

3

4

5

6

7

8

9

10

9

Over the last few decades, and across sectors, a global trend towards consolidation through mergers and acquisitions has resulted in fewer, larger companies that span across different sectors. At the same time, a trend towards outsourcing, licensing, and partnerships has meant that R&D is spread across multiple entities and is often not housed within a single company.

Global trends toward consolidation: the food and beverage sector

1010

Global trends towards consolidation: the pharmaceutical sector (1980-2010)

1980

2010

Schering-Plough

Organon

Merck

Schering-Plough

Merck

Merck

Genentech

H-LaRoche Syntex

Genentech

Hoffman LaRoche

Roche

Hoffman

Marion Merril Dow

Rhone Poulenc

Sanofi

Synthelabo

Hoescht

Sanofi/ Synthelabo

RhonePoulenc & Fisons

Marion Merril Dow

Hoescht Roussel

Sanofi/ Synthelabo

RhonePoulenc & Fisons

Aventis

Sanofi/ Synthelabo

Sanofi-Aventis

Hoescht Roussel

Wellcome

Burroughs

Smith Kline & French

Beecham

SmithKline Beecham

SmithKline Beecham

Burroughs-Wellcome

Glaxo

GlaxoSmith Kline

Glaxo SmithKline

Glaxo

Wyeth

Pfizer

Parke-Davis

Warner Lambert

Monsanto

Searle

Upjohn

A H Robbins

Lederle (AHP)

Pharmacia

Wyeth

Pfizer

Warner Lambert

Monsanto Searle

Pharmacia Upjohn

Lederle (AHP)

Wyeth

Pfizer

Pharmacia

Lederle(AHP)

Wyeth

Pfizer

Pfizer

Bristol Myers

DuPont Pharma

Merck DuPont

Squibb

Bristol Meyers

Bristol-Meyers Squibb

Bristol-Meyers Squibb

Squibb

Co

nso

lidat

ion

has

bee

n a

cont

inui

ng p

roce

ss

No. Companies: (including Am

gen and Johnson and Johnson) 339

Ciba-Geigy

Sandoz

Ciba-Geigy

Sandoz

Novartis

11

Global trends towards consolidation:the seed sector (1996-2013)

DeKalb(1995)

HybriTech(1995)

SementesAgroceres

CustomFarmSeed

DeKalbAyalaAyala

AgriProWheat

HybriTechEurope

PauEuralis

Seminis

Cargill's intl. seed division

FirstLine

JacobHartz(1995)

Asgrow

Holdens

Renessen

Cargill

Calgene

CargillNorthAmerica

Agracetus

PBIC

Unilever

Monsoy

FTSementes

DeltaPineLand

Syngenta'sGlobal Cotton Division

Paras

Mahendra

Daehnfeldt

ASI

Crows

MidwestSeedGenetics

WilsonSeeds

GoldCountry

HeritageSeeds

NCPlusHybridsSpecialtyHybrids

Fontanelle

StewartSeeds

TrelaySeeds

StoneSeeds

CornBelt

AdvantaCanola

HubnerSeedLewisHybrids

REA

MoweaquaSeeds

iCORN

Jung

BoCa

InterstateCanola

Sensako

Agroeste

CDMMandiyu

Ciagro

Carnia

Diener

Sieben

KrugerTrisler

CampbellSeed

FieldersChoice

HeartlandHybrids

Hawkeye

NebraskaIrrigated

LimagrainCanada

Poloni

ISG

Western

Peotec

Mahyco

Terrazawa

DeRuiter

AlyParticipacoes(CanaVialis;

Alellyx)

Marmot

CottonStates

Stoneville

CornStatesHybrid

CornStatesIntl

Ecogen

CNDK

ChinaSeed

EIDParryRallis

Gustafson

Nunhems(1995)

Paragon SeedEx

Aventis AgrEvo

Schering

Proagro

SementesRibeiral

SementesFartura

MitlaPesquisa

Granja4Irmaos

AgrEvoCottonPGS

PlanTecBiotech

GeneXSorghum

CottonSeedIntl

Sunseeds

Hoechst

Nunza(1986)

RhonePoulenc

LeenDeMos

RioColorado

CaliforniaPlantingCotton

RelianceGeneticsAssocFarmersDelinting

NideraSemillas

Nidera

Pioneer

CurrySeedShandongDenghaiPioneer

Denghai Dunhuang

DunhuangPioneer

DoisMarcos

Hybrinova

Solae (ProteinTech. Int.)

OptimumQualityGrains

SPS

GoldenHarvest

Goldsmith

ResourceSeeds

ZeraimGedera

Sanbei

Fischer

AdvantaNACornSoybeans

GarstInterstatePayco

AgriPro

PSAGenetics

Gutwein

DiaEngeiNovartis

CibaGeigy

Sandoz

AstraZeneca

AstraZenecaMogen

ExSeed Genetics

Thurston

Maisadour

KoipesolAgrosemAgra

EridaniaBeghinSay/Koipe

SturdyGrow

Agritrading

NorthrupKing

AdvantaEUVegetable

Westhove

HarrisMoran

Clause

BiogemmaRhoBio

AgReliant

Wensman

ProducersHybrids

LochowPetkus(1967)

CPBTwyford

Hazera

CarlSperling

Kyowa

Innoseeds

BioSeeds

VandenBerg

GermainsCotton

HollandCottonseed

BrownÞeldSeedDelinting

HelenaCotton

Indusem

Agroceres

Barham

Petoseed(1995)

RoyalSluis(1995)

ChoongAng

Horticeres

Bruinsma(1994)

Genecorp(1994)

Hungnong

GreenLeafGenetics

Danisco

Avesthagen

ConradFafard

LongReach

AWB

Swaghat

CeeKay

AustralianGrainTech

YuanLongping

DairylandSeed

Mycogen

BioPlantResearch

RenzeHybrids

Agromen

MTI

Sudwestsaat

Brodbeck

DuoMaize

Triumph

EmpresaBrasileira

Hytest ABIAlfalfa

SpecialtyGrains

CooperativeBusinessIntl

AgrilianceCenexHarvest

FarmlandIndustries

Cenex

HarvestStates

SOYGENETICS

FFRCoop

NickersonVerneuil

MorganUnitedAgriseeds

HibridosColorado

BiogeneticaDeMilho

DinamilhoCarolPhytogen

JGBoswell

IllinoisFoundation

AdvancedAgriTraits

Phil Howard, Associate Professor, Michigan State Universityhttp://www.msu.edu/~howardp

Chemical Companies

Zimmerman

Seed Companies

Other Companies

Partial OwnershipSize proportional to global seed market shareFull Ownership

Sunseeds

CropDesign

(1995)

Roussel-Uclaf

Dahlco

joint research & development

Becker Underwood

Kenfeng-KWS

Kenfeng

Genective

GreatLakes CerealGrains

SunbeamExtract

SemíliaGenética Melhoramento

Riber

DeltaPesquisa

Devgen

SunÞeld

Maribo

Pybas

Synergene

Monsanto's global hybrid

sunßower seedsMayAgro's vegetable breeding

Metabolon

PasteuriaBioscience

CircleOne Global

Doebler'sPennsylvania

Hybrids

TerralNandi's

cotton business

Pannar

SeedConsultants

NuTech

Nagarjuna's cotton

germplasm

AgVenture

Hoegemeyer Hybrids

Verdia

Warner

AgSource

AnhuiHengji

Link

Eurodur

GeneticaAgricola

BiscoBioSciences

Brasmilho's corn & sorghum seed

Anadolu

Century

MaïcentreDomagri

ClovisMatton

Atash

LSL

K&BDevpt's onion business

SuTarim

Mikado

CampbellSoupCo's vegetable seed

wheat joint venture

DonMario

Cal/West PrairieBrandSeeds

NorthwestPlantBreeding

HRZWheats

GrandValleyHybrids

Hyland

PÞsterHybrids

Floragenex

MelhoramentoAgropastoril's soy

germplasmWehrtec

ProSoyGenetics' germplasm

Abbot&Cobb's melon seed

businessSoyTech

Hornbeck

RapsGBR's canola business

EUROSORT

SORT

Prophyta

Agrauxine

AgraQuestAgroGreen's

BioNem

Athenix

Pannon

InterGrain

Seminium

WestBred

SemillasCristianiBurkard

Divergence

Beeologics

PrecisionPlanting

RaNATherapeutics

GrassrootsBiotechnology

RosettaGreen

SyntheticGenomics

Inc.

EmergentGenetics

Monsanto

Syngenta DuPont

Land O'Lakes

KWS

Limagrain-Vilmorin

Bayer

Dow

BASF

ChannelBio

DeKalb(1995)

HybriTech(1995)

SementesAgroceres

CustomFarmSeed

DeKalbAyalaAyala

AgriProWheat

HybriTechEurope

PauEuralis

Seminis


FirstLine

JacobHartz(1995)

Asgrow

Holdens

Renessen

Cargill

Calgene

CargillNorthAmerica

Agracetus

PBIC

Unilever

Monsoy

FTSementes

DeltaPineLand


Paras

Mahendra

Daehnfeldt

ASI

Crows

MidwestSeedGenetics

WilsonSeeds

GoldCountry

HeritageSeeds


Fontanelle

StewartSeeds

TrelaySeeds

StoneSeeds

CornBelt

AdvantaCanola


REA

MoweaquaSeeds

iCORN

Jung

BoCa

InterstateCanola

Sensako

Agroeste

CDMMandiyu

Ciagro

Carnia

Diener

Sieben

KrugerTrisler

CampbellSeed

FieldersChoice

HeartlandHybrids

Hawkeye

NebraskaIrrigated

LimagrainCanada

Poloni

ISG

Western

Peotec

Mahyco

Terrazawa

DeRuiter


Alellyx)

Marmot

CottonStates

Stoneville

CornStatesHybrid

CornStatesIntl

Ecogen

CNDK

ChinaSeed

EIDParryRallis

Gustafson

Nunhems(1995)

Paragon SeedEx

Aventis AgrEvo

Schering

Proagro

SementesRibeiral

SementesFartura

MitlaPesquisa

Granja4Irmaos

AgrEvoCottonPGS

PlanTecBiotech

GeneXSorghum

CottonSeedIntl

Sunseeds

Hoechst

Nunza(1986)

RhonePoulenc

LeenDeMos

RioColorado



NideraSemillas

Nidera

Pioneer


Denghai Dunhuang

DunhuangPioneer

DoisMarcos

Hybrinova



SPS

GoldenHarvest

Goldsmith

ResourceSeeds

ZeraimGedera

Sanbei

Fischer



AgriPro

PSAGenetics

Gutwein

DiaEngeiNovartis

CibaGeigy

Sandoz

AstraZeneca

AstraZenecaMogen

ExSeed Genetics

Thurston

Maisadour

KoipesolAgrosemAgra


SturdyGrow

Agritrading

NorthrupKing

AdvantaEUVegetable

Westhove

HarrisMoran

Clause

BiogemmaRhoBio

AgReliant

Wensman

ProducersHybrids

LochowPetkus(1967)

CPBTwyford

Hazera

CarlSperling

Kyowa

Innoseeds

BioSeeds

VandenBerg

GermainsCotton

HollandCottonseed


HelenaCotton

Indusem

Agroceres

Barham

Petoseed(1995)

RoyalSluis(1995)

ChoongAng

Horticeres

Bruinsma(1994)

Genecorp(1994)

Hungnong

GreenLeafGenetics

Danisco

Avesthagen

ConradFafard

LongReach

AWB

Swaghat

CeeKay

AustralianGrainTech

YuanLongping

DairylandSeed

Mycogen

BioPlantResearch

RenzeHybrids

Agromen

MTI

Sudwestsaat

Brodbeck

DuoMaize

Triumph

EmpresaBrasileira

Hytest ABIAlfalfa

SpecialtyGrains



FarmlandIndustries

Cenex

HarvestStates

SOYGENETICS

FFRCoop

NickersonVerneuil


HibridosColorado

BiogeneticaDeMilho


JGBoswell

IllinoisFoundation

AdvancedAgriTraits


Chemical Companies

Zimmerman

Seed Companies

Other Companies


Sunseeds

CropDesign

(1995)

Roussel-Uclaf

Dahlco


Becker Underwood

Kenfeng-KWS

Kenfeng

Genective


SunbeamExtract


Riber

DeltaPesquisa

Devgen

SunÞeld

Maribo

Pybas

Synergene



Metabolon

PasteuriaBioscience

CircleOne Global


Hybrids

TerralNandi's

cotton business

Pannar

SeedConsultants

NuTech

Nagarjuna's cotton

germplasm

AgVenture

Hoegemeyer Hybrids

Verdia

Warner

AgSource

AnhuiHengji

Link

Eurodur

GeneticaAgricola

BiscoBioSciences


Anadolu

Century

MaïcentreDomagri

ClovisMatton

Atash

LSL


SuTarim

Mikado


wheat joint venture

DonMario



HRZWheats

GrandValleyHybrids

Hyland

PÞsterHybrids

Floragenex


germplasmWehrtec



businessSoyTech

Hornbeck


EUROSORT

SORT

Prophyta

Agrauxine


BioNem

Athenix

Pannon

InterGrain

Seminium

WestBred


Divergence

Beeologics

PrecisionPlanting

RaNATherapeutics


RosettaGreen

SyntheticGenomics

Inc.

EmergentGenetics

Monsanto

Syngenta DuPont

Land O'Lakes

KWS

Limagrain-Vilmorin

Bayer

Dow

BASF

ChannelBio

DeKalb(1995)

HybriTech(1995)

SementesAgroceres

CustomFarmSeed

DeKalbAyalaAyala

AgriProWheat

HybriTechEurope

PauEuralis

Seminis


FirstLine

JacobHartz(1995)

Asgrow

Holdens

Renessen

Cargill

Calgene

CargillNorthAmerica

Agracetus

PBIC

Unilever

Monsoy

FTSementes

DeltaPineLand


Paras

Mahendra

Daehnfeldt

ASI

Crows

MidwestSeedGenetics

WilsonSeeds

GoldCountry

HeritageSeeds


Fontanelle

StewartSeeds

TrelaySeeds

StoneSeeds

CornBelt

AdvantaCanola


REA

MoweaquaSeeds

iCORN

Jung

BoCa

InterstateCanola

Sensako

Agroeste

CDMMandiyu

Ciagro

Carnia

Diener

Sieben

KrugerTrisler

CampbellSeed

FieldersChoice

HeartlandHybrids

Hawkeye

NebraskaIrrigated

LimagrainCanada

Poloni

ISG

Western

Peotec

Mahyco

Terrazawa

DeRuiter


Alellyx)

Marmot

CottonStates

Stoneville

CornStatesHybrid

CornStatesIntl

Ecogen

CNDK

ChinaSeed

EIDParryRallis

Gustafson

Nunhems(1995)

Paragon SeedEx

Aventis AgrEvo

Schering

Proagro

SementesRibeiral

SementesFartura

MitlaPesquisa

Granja4Irmaos

AgrEvoCottonPGS

PlanTecBiotech

GeneXSorghum

CottonSeedIntl

Sunseeds

Hoechst

Nunza(1986)

RhonePoulenc

LeenDeMos

RioColorado



NideraSemillas

Nidera

Pioneer


Denghai Dunhuang

DunhuangPioneer

DoisMarcos

Hybrinova



SPS

GoldenHarvest

Goldsmith

ResourceSeeds

ZeraimGedera

Sanbei

Fischer



AgriPro

PSAGenetics

Gutwein

DiaEngeiNovartis

CibaGeigy

Sandoz

AstraZeneca

AstraZenecaMogen

ExSeed Genetics

Thurston

Maisadour

KoipesolAgrosemAgra


SturdyGrow

Agritrading

NorthrupKing

AdvantaEUVegetable

Westhove

HarrisMoran

Clause

BiogemmaRhoBio

AgReliant

Wensman

ProducersHybrids

LochowPetkus(1967)

CPBTwyford

Hazera

CarlSperling

Kyowa

Innoseeds

BioSeeds

VandenBerg

GermainsCotton

HollandCottonseed


HelenaCotton

Indusem

Agroceres

Barham

Petoseed(1995)

RoyalSluis(1995)

ChoongAng

Horticeres

Bruinsma(1994)

Genecorp(1994)

Hungnong

GreenLeafGenetics

Danisco

Avesthagen

ConradFafard

LongReach

AWB

Swaghat

CeeKay

AustralianGrainTech

YuanLongping

DairylandSeed

Mycogen

BioPlantResearch

RenzeHybrids

Agromen

MTI

Sudwestsaat

Brodbeck

DuoMaize

Triumph

EmpresaBrasileira

Hytest ABIAlfalfa

SpecialtyGrains



FarmlandIndustries

Cenex

HarvestStates

SOYGENETICS

FFRCoop

NickersonVerneuil


HibridosColorado

BiogeneticaDeMilho


JGBoswell

IllinoisFoundation

AdvancedAgriTraits


Chemical Companies

Zimmerman

Seed Companies

Other Companies


Sunseeds

CropDesign

(1995)

Roussel-Uclaf

Dahlco


Becker Underwood

Kenfeng-KWS

Kenfeng

Genective


SunbeamExtract


Riber

DeltaPesquisa

Devgen

SunÞeld

Maribo

Pybas

Synergene



Metabolon

PasteuriaBioscience

CircleOne Global


Hybrids

TerralNandi's

cotton business

Pannar

SeedConsultants

NuTech

Nagarjuna's cotton

germplasm

AgVenture

Hoegemeyer Hybrids

Verdia

Warner

AgSource

AnhuiHengji

Link

Eurodur

GeneticaAgricola

BiscoBioSciences


Anadolu

Century

MaïcentreDomagri

ClovisMatton

Atash

LSL


SuTarim

Mikado


wheat joint venture

DonMario



HRZWheats

GrandValleyHybrids

Hyland

PÞsterHybrids

Floragenex


germplasmWehrtec



businessSoyTech

Hornbeck


EUROSORT

SORT

Prophyta

Agrauxine


BioNem

Athenix

Pannon

InterGrain

Seminium

WestBred


Divergence

Beeologics

PrecisionPlanting

RaNATherapeutics


RosettaGreen

SyntheticGenomics

Inc.

EmergentGenetics

Monsanto

Syngenta DuPont

Land O'Lakes

KWS

Limagrain-Vilmorin

Bayer

Dow

BASF

ChannelBio

DeKalb(1995)

HybriTech(1995)

SementesAgroceres

CustomFarmSeed

DeKalbAyalaAyala

AgriProWheat

HybriTechEurope

PauEuralis

Seminis


FirstLine

JacobHartz(1995)

Asgrow

Holdens

Renessen

Cargill

Calgene

CargillNorthAmerica

Agracetus

PBIC

Unilever

Monsoy

FTSementes

DeltaPineLand


Paras

Mahendra

Daehnfeldt

ASI

Crows

MidwestSeedGenetics

WilsonSeeds

GoldCountry

HeritageSeeds


Fontanelle

StewartSeeds

TrelaySeeds

StoneSeeds

CornBelt

AdvantaCanola


REA

MoweaquaSeeds

iCORN

Jung

BoCa

InterstateCanola

Sensako

Agroeste

CDMMandiyu

Ciagro

Carnia

Diener

Sieben

KrugerTrisler

CampbellSeed

FieldersChoice

HeartlandHybrids

Hawkeye

NebraskaIrrigated

LimagrainCanada

Poloni

ISG

Western

Peotec

Mahyco

Terrazawa

DeRuiter


Alellyx)

Marmot

CottonStates

Stoneville

CornStatesHybrid

CornStatesIntl

Ecogen

CNDK

ChinaSeed

EIDParryRallis

Gustafson

Nunhems(1995)

Paragon SeedEx

Aventis AgrEvo

Schering

Proagro

SementesRibeiral

SementesFartura

MitlaPesquisa

Granja4Irmaos

AgrEvoCottonPGS

PlanTecBiotech

GeneXSorghum

CottonSeedIntl

Sunseeds

Hoechst

Nunza(1986)

RhonePoulenc

LeenDeMos

RioColorado



NideraSemillas

Nidera

Pioneer


Denghai Dunhuang

DunhuangPioneer

DoisMarcos

Hybrinova



SPS

GoldenHarvest

Goldsmith

ResourceSeeds

ZeraimGedera

Sanbei

Fischer



AgriPro

PSAGenetics

Gutwein

DiaEngeiNovartis

CibaGeigy

Sandoz

AstraZeneca

AstraZenecaMogen

ExSeed Genetics

Thurston

Maisadour

KoipesolAgrosemAgra


SturdyGrow

Agritrading

NorthrupKing

AdvantaEUVegetable

Westhove

HarrisMoran

Clause

BiogemmaRhoBio

AgReliant

Wensman

ProducersHybrids

LochowPetkus(1967)

CPBTwyford

Hazera

CarlSperling

Kyowa

Innoseeds

BioSeeds

VandenBerg

GermainsCotton

HollandCottonseed


HelenaCotton

Indusem

Agroceres

Barham

Petoseed(1995)

RoyalSluis(1995)

ChoongAng

Horticeres

Bruinsma(1994)

Genecorp(1994)

Hungnong

GreenLeafGenetics

Danisco

Avesthagen

ConradFafard

LongReach

AWB

Swaghat

CeeKay

AustralianGrainTech

YuanLongping

DairylandSeed

Mycogen

BioPlantResearch

RenzeHybrids

Agromen

MTI

Sudwestsaat

Brodbeck

DuoMaize

Triumph

EmpresaBrasileira

Hytest ABIAlfalfa

SpecialtyGrains



FarmlandIndustries

Cenex

HarvestStates

SOYGENETICS

FFRCoop

NickersonVerneuil


HibridosColorado

BiogeneticaDeMilho


JGBoswell

IllinoisFoundation

AdvancedAgriTraits


Chemical Companies

Zimmerman

Seed Companies

Other Companies


Sunseeds

CropDesign

(1995)

Roussel-Uclaf

Dahlco


Becker Underwood

Kenfeng-KWS

Kenfeng

Genective


SunbeamExtract


Riber

DeltaPesquisa

Devgen

SunÞeld

Maribo

Pybas

Synergene



Metabolon

PasteuriaBioscience

CircleOne Global


Hybrids

TerralNandi's

cotton business

Pannar

SeedConsultants

NuTech

Nagarjuna's cotton

germplasm

AgVenture

Hoegemeyer Hybrids

Verdia

Warner

AgSource

AnhuiHengji

Link

Eurodur

GeneticaAgricola

BiscoBioSciences


Anadolu

Century

MaïcentreDomagri

ClovisMatton

Atash

LSL


SuTarim

Mikado


wheat joint venture

DonMario



HRZWheats

GrandValleyHybrids

Hyland

PÞsterHybrids

Floragenex


germplasmWehrtec



businessSoyTech

Hornbeck


EUROSORT

SORT

Prophyta

Agrauxine


BioNem

Athenix

Pannon

InterGrain

Seminium

WestBred


Divergence

Beeologics

PrecisionPlanting

RaNATherapeutics


RosettaGreen

SyntheticGenomics

Inc.

EmergentGenetics

Monsanto

Syngenta DuPont

Land O'Lakes

KWS

Limagrain-Vilmorin

Bayer

Dow

BASF

ChannelBio

12

Aloe vera Glycine max Centella asiatica Ginkgo biloba

Increasing number of patents on biodiversity

Examples of plants popular in patents for cosmetic and botanical use

Patents and other forms of intellectual property are increasingly central to industry R&D strategies. The number of applications for patents linked to biodiversity has increased significantly since around 2000.

0

5

10

15

20

25

30

45

50

40

35

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

Grants

Applications

13

Biotechnology is employed in virtually every industry today, and yet is largely invisible to the average consumer. Industry sectors making use of biotechnology include chemicals, plastics, food and feed, detergents, pulp and paper, electronics, automotive, packaging, household products, cosmetics and personal care, textiles, bioprocessing catalysts, and bioenergy.

Projected growth in industrial biotechnology 2013 – 2018

Biopolymers/plastics 15%

Chemicals10-15%

Biofuels5-10%

A snapshot of industrial biotechnology in the home

Clothes, shoes

Diapers

Plastic bottles, containers,packaging

Cooking oil, bread

Laundry detergent, cleaning products

TyresCar seats, carpets

Lubricants

Fuel

MedicinesCurtains

Soaps, cosmetics, shower gel,

shampoo

Pillows, blankets

Foam, leather

Carpet

Paper

Paint

The average developed country home today is filled with products containing biotech ingredients or produced through biotech processes

14

Trends in natural product research and drug discovery: a time of transformation

19901965 2015

TECHNOLOGIES

MATERIALS STUDIED

NUMBERS OF OF COMPOUNDS ISOLATED AND STUDIED FROM A SAMPLE

SIZE OF SAMPLES

TIME TO TEST A SAMPLE

• Automated biochemical screening

• Modern analytical chemistry

Natural products chemistry

Genomics-driven drug-discovery

= 1 – 2

Kilograms

Months/years

= 10 – 15

Grams

Days

= 50 – 100

Milligrams or less

Hours

The divergence between research intensive, ‘high’ technology industries and ‘lower’ technology users of genetic resources is growing. This is due in part to rapid transformations in science and technology that pull research-intensive industries into ever-higher technologies. At the same time, consumer demand for natural, sustainable, organic and fair trade products has grown significantly, meaning cosmetic, food and beverage, and botanical sectors are pulled in the opposite direction toward traditional knowledge and raw material-based approaches.

Companies today are interested primarily in the genetic material contained within organisms, something that can increasingly be acquired as digital information. When companies do collect physical samples, the sample size is milligrams or less, unlike the grams or more needed in 1992. Within a single sample 50-100 compounds, rather than 10-15 compounds, might be identified, and within hours rather than days.

15

1992 2016Botanicals Food and Beverages


Agriculture Pharmaceutical

Cosmetics

Demand for products of

industrial biotech processes, or

‘biological factories’

Demand for bulk commodity raw material for

manufacture

Trends in demand for access to biological resources for product manufacture

Biological factories Biology is not just a

science, it is a material.– Drew Endy,

Stanford University“

16

Over the last few decades, global consumer demand for products that are green and fairly traded has consistently increased. Interest in marketing these products has also increased, along with the number of certifiers and accreditors.

Trends in demand for access: botanicals, natural cosmetics, and functional foods

2009

28%

2013

45%

Awareness of ethical sourcing of biodiversity in France, Germany, the UK and USA

RESOURCES USED

INTRODUCTION OF NEW SPECIES

USE OF TRADITIONAL KNOWLEDGE

INTEREST IN ENVIRONMENTAL AND SOCIAL CONCERNS

RISING AFFLUENCE

CERTIFICATION

1990 20151965

Identify useMarketing

Proof of safety and efficacyIdentify cultivation or harvesting

techniques


Proof of safety and efficacy

Identify cultivation or harvesting techniques


Proof of safety and efficacy

Identify cultivation or harvesting techniques

In developed countries

In developed and developing

countries

Source: UEBT Biodiversity Barometer 2009-2014

17

Researchers in high technology sectors are primarily interested in the genetic material of microorganisms. Improved techniques mean that most of the microbial diversity previously unavailable to researchers can now be studied. Companies have sufficient material available to them in existing collections or locally, but some companies continue to have an interest in novel and diverse organisms from other parts of the world. Increasingly, however, physical samples are not shared and instead genetic material is transmitted digitally.

1992 2016


Botanicals

Pharmaceutical

Food and Beverages

Agriculture

Cosmetics

Demand for genetic information

(often transmitted digitally)

Demand for physical material samples for R&D

GTCATGAC

Trends in demand for access to genetic resources for R&D

18

Botanicals Food and Beverages


Agriculture Pharmaceutical

Cosmetics

The use of traditional knowledge (TK) varies significantly across sectors. Higher-technology industries very rarely, if at all, use TK in their R&D programmes today. In contrast, those marketing fair trade and sustainable products like natural cosmetics, botanicals and functional foods and beverages, often rely on TK to develop novel products and ingredients, to prove safety and efficacy, and for marketing.

Trends in demand for traditional knowledge

Indigenous peoples’ rights grow in visibility on the world stage

Second-generation

gene-sequencing platforms

Green and fair trade movements become mainstream

First synthetic lifeform

Convention on Biological Diversity

First gene sequenced

Decreased interest in TK as a source of

new leads in high technology sectors

1992 2016

Cost of reading DNA drops

Increased industry interest in

TK for m

arketing,

novelty, safety and efficacy

Consumer interest in TK

Awareness of obligations for Prior Informed Consent (PIC), equitable partnerships, and benefit sharing with indigenous people and local communities providing TK remains inconsistent across and within sectors.

19

Local harvesters, producers and traders of biological resources are already burdened by costly and bureaucratic regulations under forestry, agriculture, trade, taxation and other measures. Additional regulation in the form of ABS should clearly benefit, and not penalise, these groups.

RESOURCE LAWS STANDARDS

ACTORS

Customer

Retailer Brand owner

Product manufacturer

Processer Ingredient supplier

Harvester community

Harvesting permit

Phytosanitary permit

Export permit

Certification standards

Quality food safety

Bioprospecting permit following

PIC and MAT

If defined as ABS

Requires renegotiation of

PIC and MATNEWR&D

ABS as the last straw: regulatory overload with the best intentions

An already complex regulatory framework for baobab has been made more so due to the view held by the South African government that the use of baobab in food and cosmetic products constitutes bioprospecting. The question of whether or not baobab oil falls into an ABS ‘category’ revolves largely around its utilisation. Some think it is a commodity, but others believe activity claims attached to the oil gives it ‘functional food’ or cosmetic status, thus triggering ABS requirements. At present, developing a baobab oil product in South Africa not only needs to meet a variety of measures and standards, but also requires

a bioprospecting permit which is issued upon proof of benefit sharing and PIC. Any new R&D on the oil would require a renegotiation of ABS terms. These measures have failed to generate additional benefits for local groups, and instead have resulted in added bureaucracy for local harvesters and traders, as well as companies, some of whom have halted marketing of baobab products due to legal uncertainty. The emerging lesson is that the best intentions for ABS policy-making can undermine rather than enhance local livelihoods if they are based on unrealistic views of harvesting, trade and markets.

Developing a baobab oil product in South Africa

20

Policy-makers grapple today with the central definitional challenge of what constitutes ‘genetic resources’ and the scope of ABS. This is particularly true if digital genetic information, rather than physical material, is exchanged. There is also confusion in cases where governments fold biological resources, and the exchange of raw materials known as ‘biotrade’, into ABS.

Genetic and biological resources: a single regulatory framework?

GTCATGAC

Patented Organism

Biological factory

Genetic resources Biological resources

CBD definition Genetic material of actual or potential value. Genetic material is any material of plant, animal, microbial or other origin containing functional units of heredity

Biological resources include genetic resources, organisms or parts thereof, populations and any other biotic component of ecosystems with actual or potential use or value for humanity

Resource aspects of interest

Genetic information contained within genetic material

Qualities associated with whole organism, multiple compounds

Levels of technology High Low to medium

Sizes of companies Small through to very large Small to medium, some very large

Size of sectors Very large Small to medium, some very large

Use of material R&D to develop new products, ingredients, processes, etc.

Industrial processing and manufacture

Form accessed Digital transmission of genetic information and some physical material

Bulk raw material, often a commodity

Use of TK None to very little Can be significant

LEAVESSenna (Senna alexandura)Gingko (Gingko biloba)

SEEDSMilk Thistle (Silybum marianum)Flax seed (Linum usitatissimum)

FLOWERSt. John’s Wort

(Hypericum perforatum)

FRUITElderberry

(Sambucus nigra)Cranberry

(Vaccinium macrocarpon)Saw Palmetto (Serenoa repens)

ROOTKava

(Piper methysticum)Maca

(Lepidium meyenii)Ginseng

(Panax spp.)Black Cohosh

(Actaea racemosa)

BARKYohimbe (Pausinystalia yohimbe)Pau d’Arco (Tabebuia spp.)

Has ABS become too complex and broad to be effective? Would ABS function better using principles and requirements that are integrated into existing measures, rather than a single regulatory umbrella for extremely different activities?

Genetic resources Biological resources

21

Companies undertaking biodiscovery engage with a complex web of regulations at the local, national, regional and international level. ABS measures should be streamlined and coordinated with other laws that impact genetic resource use, in order to increase their effectiveness and likely adoption.

quality control

finance and taxation

land tenure

traditional knowledge protection

customs and excise control

quality control

forestryRegional

agreements

customs

safety and efficacy agricultureconsumer protection

IPR

IPR

ABSABS

USERS

PROVIDERS

trade tradetransport

phytosanitary

natural resource

customary law

The mix of laws and policies for genetic resources

INTERNATIONAL LAW CITES, WTO/TRIPS, ITPGRFA, CBD, Nagoya Protocol, UNDRIP, UNFCCC

VOLUNTARY MEASURES• Certification: fair trade, organic, sustainable, quality control • Industry standards for best practice

ACRONYMSCITES – Convention on International Trade in Endangered Species of Wild Fauna and FloraWTO/TRIPS – World Trade Organization/Agreement on Trade-Related Aspects of Intellectual Property Rights

ITPGRFA – International Treaty on Plant Genetic Resources for Food and AgricultureUNDRIP – United Nations Declaration on the Rights of Indigenous PeoplesUNFCCC – United Nations Framework Convention on Climate Change

22

Awareness of ABS and the CBD has grown within and across sectors, but there remain great differences between them. Many governments, international agencies, industry associations, and others, are working to increase industry awareness of these issues and policies, and in some sectors such as cosmetics, this has had a significant impact. Other sectors such as botanicals, food and beverage, and industrial biotechnology, continue to lag in their awareness of the CBD.

Industry and the CBD: growth of awareness 1992-2015

20151992

Industry revenues

Green and fair trade certification

Regulation of safety, efficacy and quality

Botanicals Food and Beverages


Agriculture Pharmaceutical Awareness of CBD

Cosmetics

ITPGRFA – International Treaty on Plant Genetic Resources for Food and AgricultureUNDRIP – United Nations Declaration on the Rights of Indigenous PeoplesUNFCCC – United Nations Framework Convention on Climate Change

23

PAGE 4Carlson, R. 2014. How did the US Bioeconomy Perform in 2012?; IMS Health, 2014. Global Outlook for Medicines through 2018; Nutrition Business Journal, 2014. NBJ’s Global Supplement and Nutrition Industry Report. https://www.plunkettresearch.com/industries/food-beverage-grocery-market-research/; Phillips McDougall, 2015. Chemical Crop Protection and GM Seed Industries 2014. http://phillipsmcdougall.co.uk/wp-content/uploads/2015/07/chemical-crop-gm-seeds-infographic_Linked.pdf-Final.pdf; Sloan, E. 2012. Beverage Trends in 2012 and Beyond. Agro Food Industry 23: 8–12; Syngenta, 2014. Our Industry; Szalai, I. 2015. Evolving Habits in Global Beauty. In-Cosmetics, Barcelona. Euromonitor International.

PAGE 5Carlson, R. 2016. Estimating the Biotech Sector’s Contribution to the US economy. Nature Biotechnology 34: 247-255; IMS Health, 2014. Global Outlook for Medicines through 2018; Markets and Markets 2015. Seed Market worth $92.04 billion by 2020; Nutraceuticals World, 2015. Functional Food Ingredients Market worth $2.5 Billion by 2020. Press Release, July 2; Nutrition Business Journal, 2014. NBJ’s Global Supplement and Nutrition Industry Report; Parsippany, N.J. 2013. At $29+ billion, the Global Natural Product Care Market is Naturally Strong, say Kline. KlineGroup.com; Stoneman, B. 2015. Biopesticides: Some Industry Perspectives on Research and Demonstration. Biopesticide Industry Alliance.

PAGE 7 Chakma, J., Sun, G.H., Steinberg, J.D., Sammut, S.M. and Jagsi, R. 2014. Asia’s Ascent – Global Trends in Biomedical R&D Expenditures. The New England Journal of Medicine 370(1):3-6; CropLife International, 2016. https://croplife.org/crop-protection/stewardship/research-development/; EFPIA, 2014. www.efpia.eu; Ernst and Young, 2015. Beyond Borders, Reaching New Heights: Biotechnology Industry Report 2015; Food Drink Europe, 2014. Data and Trends in the European Food and Drink Industry 2013-2014; Phillips McDougall, 2015. Chemical Crop Protection and GM Seed Industries 2014. http://phillipsmcdougall.co.uk/wp-content/uploads/2015/07/chemical-crop-gm-seeds-infographic_Linked.pdf-Final.pdf; PhRMA, 2015. www.phrma.org.

PAGE 8Food Engineering Mag, 2014. The World’s Top 10 Food and Beverage Companies; Pharmaceutical Executive, 2014. Pharma 50 2014; Women’s Wear Daily, 2013. The 2013 Beauty Inc Top 100.

PAGE 9ETC Group, 2015. Mega-Mergers in the Global Agricultural Inputs Sector: Threats to Food Security and Climate Resilience, October 30; Lane, J. 2014. Genomatics, Solazyme, Amyris, BASF Take Top Slots in the 30 Hottest Companies in Biobased Chemicals and Materials for 2014-2015 and LanzaTech, GranBio, Algenol, and Novozymes take Top Slots in the 50 Hottest Companies in Bioenergy for 2014-2015. The Biofuels Digest, November 2014.; Vilmorin & Cie, 2015. Presentation to Investors, March 9.

PAGE 10Gauthier, J. for Oxfam 2013. Behind the Brands: Food Justice and the ‘Big 10’ Food and Beverage Companies. Oxfam Briefing Paper No 166.

PAGE 11Kearney, P. 2011. What is the Future for the Big Pharma Model? AFG Venture Group Dispatches; Newman, D.J. 2015. US National Cancer Institute, pers. com.

PAGE 13Oldham, P., Hall, S. and Forero, O. 2013. Biological Diversity in the Patent System. PLoS ONE 8(11): e78737.

PAGE 14BIO, 2014. Current Uses of Synthetic Biology for Renewable Chemicals, Pharmaceuticals, and Biofuels; Carlson, R. 2016. Estimating the Biotech Sector’s Contribution to the US Economy. Nature Biotechnology 34: 247-255; EuropaBio, 2015. Industrial Biotech: Enabling a Competitive, Sustainable and Renewable Bioeconomy; OECD, 2011. Future Prospects for Industrial Biotechnology.

PAGE 20Wynberg, R. and Laird, S. 2014. Access and Benefit Sharing for Baobab Fruit, Oil and By-products in South Africa. A Briefing Document. PhytoTrade Africa.

www.peopleandplants.orgwww.bio-economy.org.za www.abs-initiative.info

Sources

For more information on these sectors, see other work by these authors: https://www.researchgate.net/profile/Sarah_Laird • https://www.researchgate.net/profile/Rachel_Wynberg

ISBN 978-0-620-73840-8

9 780620 738408

Documents

Access and Benefit Sharing · company size, culture and research and development (R&D) strategy. These in turn significantly impact demand for access to genetic resources, benefit