1. Impact of Bt Cotton in IndiaPresenter Chandrmouli Singh MBA (AB) II Year 12/19/2013IABM Bikaner1

2. Slide to slide Introduction Performance: Production, area and yield of cotton In India Socio-Economic Impact Major Issues Conclusion12/19/2013IABM Bikaner2 3. Introduction Bt: Bacillus thuringiensis Bt Cotton: transgenic cotton crop Resistant to ball worm complex Introduced by Monsanto Pvt. Ltd. in 2002-03 Monsanto gave license to 44 companies still only 9-10 big players in market Production: 32 mn bales in India (95% of total cotton production) MSP of cotton 1363 to 2242 (2002-2012) Current market price 4377 12/19/2013IABM Bikaner3 4. Source: Seed companies reap rich harvest on Bt cotton wave. Business Standards, Sanjeeb Mukherjee ,New Delhi, February 23, 2012 12/19/2013IABM Bikaner4 5. Production, area and yield of cotton in India Year Area# Production* 1950-51 5.88 3.4 1960-61 7.61 6.0 1970-71 7.60 5.7 1980-81 7.82 7.8 1990-91 7.43 11.7 2000-01 8.57 14.0 2001-02 8.73 15.8 2002-03 7.66 13.6 2003-04 7.63 17.9 2004-05 8.78 24.3 2005-06 8.67 24.1 2006-07 9.14 28.0 2007-08 9.41 30.7 2008-09 9.40 29.0 2009-10 10.31 30.5 2010-11 11.14 33.9 2011-12 12.19 34.5 #In million hectares; *In million bales. One bale =170 kilograms; **Yield in kilograms per hectare; Note: Bt cotton was introduced in India In 2002 Source: Cotton Advisory Board 12/19/2013IABM BikanerYield** 99 134 127 169 267 278 308 302 399 470 472 521 554 524 503 517 4815 6. Socio-Economic Impact Benefits of Bt cotton to Indian small farmers - Production and yield increased at a steady growth rate of 9.25 per cent and 4.95 per cent since 2002-03 - Farmers' income jumped up by nearly 375 percent - 84 per cent farmers say that quantity of seed usage per hectare is less in Bt Cotton than used in Non-Bt cotton - 76 per cent and 71 per cent of farmers reduced quantity and expenditure on pesticide usage respectively with Bt cotton seeds Source: http://farmersforum.in/policy/study-on-socio-economic-impact-assessmentof-bt-cotton-in-india/ on October 8, 2013 12/19/2013IABM Bikaner6 7. Benefits to companies - Labour has highest input cost 53 per cent, followed by fertilizers 10.84 per cent, seed 9.61 per cent and mechanization 8.86 per cent Benefits to Environment - Steep decline in pesticide consumption: 23 percent (2002-09)12/19/2013IABM Bikaner7 8. Major Issues -Farmers suicide Poor institutional credit Lack of irrigation facilities in rain-fed areas Fluctuating prices for cotton crop Faulty export policies of the Government of India Higher prices - Cost of Bt seed 450 g: 800-140012/19/2013IABM Bikaner8 9. Conclusion From fifth-largest cotton producer largely known for its lowquality fibre, India is now the worlds second-largest grower of cotton, only behind China The surge in Bt Cotton has ushered another equally important development the coming of age of Indian seed companies 10,000 crore market, almost 40 per cent is dominated by Bt cotton Bt cotton dramatically changed the relationship between farmer and seed but still need to improve12/19/2013IABM Bikaner9 10. Thank you12/19/2013IABM Bikaner10