L Buzdugan

TCE - I.M.B.

Genetically Modified Soybeanin Romaniain Romania

-economic aspects

The Great Braila Island Farm

Lucian Buzdugan - General Manager

Genetically Modified Soybeanin Romaniain Romania

economic aspects-

The Great Braila Island Farm

General Manager March 23, 2010

Brussels

BackgroundSoya in Romania

� Leading soya producing country in Europe

� Production of about 300 to 350 Thousand Metric

� But small by world standards (0.15% of total global

� Highly concentrated cultivation area

� 60% of GM soya (84kha) grown in 3 counties

� Core group of very large, highly professional growers

Roundup Ready SoyaRoundup Ready Soya

� One of the first GMO crops registered for cultivation

� Very rapid uptake and penetration

� Status 2006

� 5 Monsanto RR varieties

� 1 Pioneer RR variety

EU accession of Romania – 01 January 2007

� No transition requested by Gov’t for continuing

� Intensive activist activity to destabilizeregistration into 2007 upon EU accession

� RO Gov’t announced a huge subsidy programSoya

Background

Metric Tons (Italy produces about 500 TMT)

global production)

counties (total of 142kha GM soya in 2006)

growers with +500ha of farmland

cultivation in Europe (1999)

continuing GM soy cultivation during accession talks

existing situation and stop extension of RR

program for 2006 to support cultivation of conventional

Soybean map of Romania1999-

Soybean map of Romania-2006

Soya hectares grown by county

ARAD

BIHOR

GIURGIU

TIMIS

TELEORMAN

Soya hectares grown by county

IASI

BOTOSANI

VASLUI

█ 10000 &+ ha

█ 5000-10000 ha

█ 1000-5000 ha

█ 300-1000 ha

█ 100-300 ha

█ 0-100 ha

Soybeans area [ha]

BRAILA

CALARASI

IALOMITA

GALATI

GIURGIU

TULCEA

TELEORMANCONSTANTA

The evolution of the soybeans cultivated area

ROMANIA

143,9

199,2

140

160

180

200

220

15,5

32,2

17,331,1

39,6

61,6

86,1

137,3

0 0 0

99,8

117 118

71,8

128,8121

143,9

113,1

52,947,5

0

20

40

60

80

100

120

140

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Genetical Modified Total area GM Soybean Total soybean

The evolution of the soybeans total production

ROMANIA

298,5312,8

240,7250

300

350

183

69,5 72,7

145

224,9240,7

107,494,5

0

50

100

150

200

250

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Soybean's total production

TCE I.M.B.

The Great Braila Island

RR soybean The evolution of soybean cultivated area

The Great Braila Island

Ron / haTotal income per ha

Kg/haAverage Production

MUNotes

TCE I.M.B.How conventional soybean compares

economically with RR varieties?2007 comparable prices

Ron / haProfit / loss

Ron / ha*herbicides

Ron / haTotal costs, of which:

Ron / ha*subsidy per tonne 300 RON

Ron / ha*direct payment (per hectare) 80 €

Ron / ha*price per ton (equiv. 300 €)

Ron / haof which:

2631.8204.810Ron / ha

2901.2003.500Kg/ha

Non-GMORR%

SoybeanMU

How conventional soybean compares economically with RR varieties?

2007 comparable prices(1 EUR= 3.4 RON)

-- 640+ 2.970Ron / ha

9,386080Ron / ha

752.4601.840Ron / ha

2913601.050Ron / ha

100260260Ron / ha

2911.2003.500Ron / ha

2631.8204.810Ron / ha

The comparative costs with herbicides for soy production

TCE I.M.B.

6,82,5lPre-emergentGuardian2.

16,73,0-4.0lPre-emergentGliphosate1.

Cost

per haUnit

price

Dose

UM/ha

Conventional soybeans

MUTreatmentName of productNr

crt

228.6xxxXTotal

---lPost-emergent Glyphosate10.

--lPost-emergentGlyphosate9.

16,73,0lDesiccation/

dryingGlyphosate8.

501,6lPost-emergentPantera 40 EC7.

1261,0lPost-emergentPulsar 406.

602,5lPost-emergentBasagram F5.

4.4550,025kgPost-emergentHarmony 50 SG4.

1330,3kgPre-emergentSexone 75 DF3.

The comparative costs with herbicides for soy production – 2007

-----52.352.3550

-----17.082.3514.73

Total

Cost

per ha

Cost

with

treat

Cost

per haUnit

prize

Dose

UM/ha

Total

cost

per ha

Cost

with

treat

Cost

per ha

RR soybeansConventional soybeans

Eur

24.344.719.64xx247.4118.8228.6

12.172.359.8216,72--

12.172.359.8216.72---

-----17.082.3514.73

-----25.882.3523.53

-----39.352.3537

-----46.472.3544.12

-----35.112.3532.76

-----14.092.3511.74

Combaterea buruienilor la soia conventionalaSpecification

Herbicides Roundup Guardian Lexone

Active ingredient Glyphosate 360 g/l Acetoclor 820-860 g/l Metribuzin 70%

Date of application Pre-emergent + desiccant Pre-emergent

Dose 2 + 2 2,5 0,5

Cost (lei/UM)

(lei/ha)

13

52

41

103

188

94

1.Dycotils weeds

Abutilon th -

Solanum nigrum (x)

Xanthium sp -

Cirsium arv (x) (x)

Gallium sp - (x)

Chenopodium album

Datura

Brassica sp - -

Sinapis arv -

Sonchus sp -

Convolvulus sp - (x)

Weed control for conventional soybean

Polygonum sp

Capsela bursa past - -

Hibiscus trionum - -

Matricaria spp -

Portulaca oleracea

Amaranthus spp

Ambrozia elatior - -

Atriplex patula - -

Galeopsis tetrahit -

Raphanus raphanistrum - -

Thlaspi arvense - -

Rumex spp - -

2. mono weeds

Setaria sp

Echinochloa

Digitaria sanguinalis

Panicum sp -

Sorghum halepense rizomi

Bromus tetorum -

Alopecurus

Avena fatua -

Combaterea buruienilor la soia conventionalaHarmony 50 Pulsar Basagran Pantera Total

Thyfensulfuron

metil 500Imazamox 40 g/l Bentazon 480 g/l Quizalofop-p-tefuril 40g/l X

2-4 leaves of dycotils weedsSorghum halepense 15-20

cm

0,024 1,0 2,5 1,7 12,2

5.609

135

195

195

97

242

70

119

x

940

-

(x) -

-

(x) -

- - -

- -

(x) -

- - -

-

- - - -

- (x) -

Weed control for conventional soybean

- -

- -

- - -

- -

- -

- -

- - -

- - -

- - -

- - -

- - -

- - -

- -

- -

- -

- -

- (x) -

- - -

- - -

- - -

Profitability of soybean cultivation

3 200

3 600

4 000

4 400

4 800

Support on the unit surface Support on the product tones

Others cost Herbicides

Conventional soybean

TCE I.M.B.

260

360

1200

1600

860

-640

-800

-400

0

400

800

1 200

1 600

2 000

2 400

2 800

3 200

1820

2460

Profitability of soybean cultivation

Support on the product tones Income from sale/tones

Profit/loss

Roundup Ready soybean

4810

260

1050

3500

1760

80

2970

1840

TCE I.M.B.

WHY ROUNDUP READY SOYBEAN?

CONVENTIONAL SOYBEAN

WHY ROUNDUP READY SOYBEAN?

Roundup Ready SOYBEAN

Why ROUNDUP READYSOYBEAN?

TCE I.M.B.

CONVENTIONAL SOYBEAN

Why ROUNDUP READYSOYBEAN?

Roundup Ready SOYBEAN

Weed Infestation

TCE I.M.B.

70

80

90

100

Phragmites communis

%

0

10

20

30

40

50

60 Phragmites communis

Sorghum halegense

Cirsium arsense

Sonchus spp

Solanum nigrum

Xanthium strumarium

Weed Infestation

Phragmites communis

Conventional soybean

Phragmites communis

Sorghum halegense

Xanthium strumarium

TCE I.M.B.

Why ROUNDUP READY soybeans?

No Till (directly drilled after harvest)

Why ROUNDUP READY soybeans?

Min Till

TCE I.M.B.

Why ROUNDUP READY soybeans ?

Wheat in no till system


Same field at harvest time


TCE I.M.B.

Characteristics of RR soybeans cultivation

�High green mass ;�More numerous nitrogen fixing bacteria�The nitrogen amount left in the soil is 50-100 kg/ha;

Characteristics of conventional soybeans Characteristics of conventional soybeans cultivationcultivation

� Le� The nitrogen amount left in the soil is 10�Chemical nitrogen fertilizer needed� Pollution of the water table� Increased weed seed reserve in the soil

�The nitrogen amount left in the soil is 50-100 kg/ha;� Nitrogen chemical fertiliser is necessary in reduced volume� A much lower presence of tough weeds in the following crop (investment)�Better control & planning of farm activities, less peaks (3 major crops);�Biodiversity conservation around RR soya fields�Relative simple technology based on a single herbicide

� Pollution of the water table� Increased weed seed reserve in the soil�Numerous costs�Harvest quality is poorer


Characteristics of conventional soybeans Characteristics of conventional soybeans cultivationcultivation

Less green mass with less nitrogen fixing bacteriaThe nitrogen amount left in the soil is 10-15 kg/ha;Chemical nitrogen fertilizer neededPollution of the water tableIncreased weed seed reserve in the soilPollution of the water tableIncreased weed seed reserve in the soilNumerous ag operations resulting in additional

costsHarvest quality is poorer

TCE I.M.B.

� Increase yields significantly;

� Diminish soil erosion and compaction (min till);

� Significant benefits in the crop rotation pattern;

� Significant reduction in number of sprayings;

� Permanent reduction in fuel use and CO2 emissions;

Herbicide tolerant biotech cropsSummary of key attributes

� Permanent reduction in fuel use and CO2 emissions;

� Produce better crop (and food) quality;

� Increase convenience and management flexibility;

� Conservation of soil moisture;

� Increase the efficiency of water usage;

� Contribute to sustainable economic benefits.

Diminish soil erosion and compaction (min till);

Significant benefits in the crop rotation pattern;

emissions;

Herbicide tolerant biotech cropsSummary of key attributes

emissions;

Increase convenience and management flexibility;

TCE I.M.B.

Why GMO crops?

GMO corn

Why GMO crops?

Conventional corn

TCE I.M.B.

Why GMO crops?

GMO corn

Why GMO crops?

Conventional corn

TCE I.M.B.

Why GMO crops?

GMO corn

Why GMO crops?

Conventional corn

TCE I.M.B.

Why GMO crops?

GMO corn

Why GMO crops?

Conventional corn

FromFromFromFrom thethethethe EuropeanEuropeanEuropeanEuropean CommissionCommissionCommissionCommission

What are the expectations of the Romanian farmers

TCE I.M.B.

�To approve the re-introduction of RR soybean

�Has favorable climatic conditions.

�Suitable for up to 1 million ha.

�Can be self-sufficient for vegetable protein

�Can provide substantial amounts (1-2 million�Can provide substantial amounts (1-2 million

�Production costs for RR soybeans are lower

�Environmental benefits due to less pesticide

�To approve cultivation of 3 types of transgenic

consumption):

�Among all EU countries, Romania has the

�The herbicide treatment expenditures would

�Beneficial impact over environment.

�Improved quality of final product.

�To allow Member States to make their own decision

after EFSA scientific opinion issued.

�To support and guarantee all agricultural systems


soybean into cultivation in Romania, that

protein.

million tons) of soybeans to the EU mkt .million tons) of soybeans to the EU mkt .

lower than for conventional varieties.

pesticide application.

transgenic maize (that are already authorized for

the widest weed reserve

would diminish drastically.

decision regarding the cultivation of PG crops,

systems – organic, conventional and biotech.

FromFromFromFrom thethethethe BiotechnologyBiotechnologyBiotechnologyBiotechnology ResearchResearchResearchResearch


TCE I.M.B.

�To focus on and deliver products addressing

�Row and oilseed crops and with draught resistance

�Rapeseed resistant to coleopterans (cheuthorincus),�Rapeseed resistant to coleopterans (cheuthorincus),

temperature (to avoid winterkill) and…..

�Maize – events with resistance to a wider

tanymecus spp and tetranychus).

�Crops (other than legumes) able to efficiently

biologic N in the soil

�Crops able to tolerate salty soils and/or excess

�Plants able to better use macro- and micro

absorption capacity.

�Crops able to process increased amounts

�Crops suitable to green energy production,

for conventional energy.

ResearchResearchResearchResearch


their needs:

resistance (wheat, corn, soybeans etc.).

(cheuthorincus), attack, but also tolerant to low(cheuthorincus), attack, but also tolerant to low

pest range (ostrinia, helicoverpa, agriotes spp,

efficiently utilize the atmospheric N and to generate

excess humidity.

micro elements of the soil through increased

of CO2 to reduce greenhouse effects.

production, as an alternative to the depleting resources

TCE I.M.B.

Conclusion: Europe must move forward

� Publicly acknowledge agricultural biotechnology;

� Allow EFSA to deliver safety opinions on biotech products and base decisions on these conclusions;

� Allow biotech products to be placed on the market;

Green Biotechnology Manifesto

� Allow biotech products to be placed on the market;

� Set up workable thresholds for adventitious presence of biotech seeds in seed lots;

� Monitor implementation of measures to ensure alignment with the EU recommendations on coexistence.

� European farmers should support technology more vocally;

� Policies should not discriminate against biotechnology;

� Need to actively inform citizens about the technology, its safety, its advantages and the existing regulatory framework.

Conclusion: Europe must move forward

Publicly acknowledge agricultural biotechnology;

Allow EFSA to deliver safety opinions on biotech products and base decisions on

Allow biotech products to be placed on the market;Allow biotech products to be placed on the market;

Set up workable thresholds for adventitious presence of biotech seeds in seed lots;

Monitor implementation of measures to ensure alignment with the EU

European farmers should support technology more vocally;

Policies should not discriminate against biotechnology;

Need to actively inform citizens about the technology, its safety, its advantages and

•WhoWhoWhoWho benefitsbenefitsbenefitsbenefits fromfromfromfrom thethethethe factfactfactfact thatthatthatthat

countriescountriescountriescountries withwithwithwith suitablesuitablesuitablesuitable conditions)conditions)conditions)conditions)

RRRRRRRR soybeans?soybeans?soybeans?soybeans?

Instead of “The End”…CUI PRODEST?

TCE I.M.B.


consumeconsumeconsumeconsume RRRRRRRR soybeans,soybeans,soybeans,soybeans, butbutbutbut notnotnotnot totototo

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arablearablearablearable landlandlandland uncultivateduncultivateduncultivateduncultivated (of(of(of(of whichwhichwhichwhich

devoteddevoteddevoteddevoted totototo RRRRRRRR soybeans)?soybeans)?soybeans)?soybeans)?


exporter,exporter,exporter,exporter, hashashashas turnedturnedturnedturned intointointointo aaaa netnetnetnet importerimporterimporterimporter

thatthatthatthat RomaniaRomaniaRomaniaRomania (one(one(one(one ofofofof thethethethe fewfewfewfew EUEUEUEU

conditions)conditions)conditions)conditions) isisisis notnotnotnot allowedallowedallowedallowed totototo cultivatecultivatecultivatecultivate

Instead of “The End”…CUI PRODEST?

thatthatthatthat EUEUEUEU isisisis permittedpermittedpermittedpermitted totototo importimportimportimport andandandand

totototo plantplantplantplant it?it?it?it?

annuallyannuallyannuallyannually leavingleavingleavingleaving 3333 millionmillionmillionmillion hahahaha ofofofof

whichwhichwhichwhich 1111 millionmillionmillionmillion couldcouldcouldcould easilyeasilyeasilyeasily bebebebe

thatthatthatthat Romania,Romania,Romania,Romania, fromfromfromfrom aaaa regionalregionalregionalregional

importerimporterimporterimporter ofofofof vegetablevegetablevegetablevegetable protein?protein?protein?protein?

Thank you !

TCE - I.M.B.

Thank you !Thank you !Thank you !

Technology

L Buzdugan