Genetically Modified Foods: Are They Safe? W.F. Kee – Industry Analyst Technical Insights Group
AGRI-FOOD SAFETY AND STANDARDS SEMINAR 2010 Berjaya Times Square Hotel & Convention Centre, Kuala Lumpur January 26, 2010
Agenda
1
Who is Frost & Sullivan?
2
Introduction to GMO
3
Key Drivers and Challenges, Key Players
4
Overview of GM Industry and Trends
5
Malaysia’s Biosafety Act 2007
6
Conclusion
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1
Who is Frost & Sullivan?
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The Growth Consulting Company
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Over 1,700 employees across 31 global locations in 22 countries.
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Over 10,000 clients worldwide including emerging companies, the global 1000 and the investment community
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Founded in 1961
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Developers of the Growth Acceleration System, which includes the CEO’s 360 Degree Perspective, CEO’s Growth Team, Growth Model, Growth Excellence Matrix and Growth Workshop.
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1
1. 2. 3. 4. 5. 6.
7. 8.
9.
10.
Frost & Sullivan’s Industry Coverage
Aerospace & Defense Automotive & Transportation Chemicals, Materials & Food Electronics & Security Energy & Power Systems Environmental & Building Technologies Healthcare Industrial Automation & Process Control Information & Communications Technologies Measurement & Instrumentation
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2
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Introduction to GMO Definition of GMO: A genetically modified organism (GMO) whose genetic material material has been altered using genetic engineering techniques. Genetic engineering techniques include gene targeting, gene splicing, gene silencing, gene transfer, etc. Rank
Country
Area (million hectares)
Types of Crops
1
USA
62.5
Soybean, corn, cotton, canola, squash, papaya, alfalfa, sugarbeet
2
Argentina
21.0
Soybean, corn, cotton
3
Brazil
15.8
Soybean, corn, cotton
4
India
7.6
Cotton
5
Canada
7.6
Canola, corn, soybean, sugarbeet
6
China
3.8
Cotton, tomato, poplar, petunia, papaya, sweet pepper
7
Paraguay
2.7
Soybean
8
South Africa
1.8
Corn, soybean, cotton
9
Uruguay
0.7
Soybean, corn
Bolivia
0.6
Soybean
10
Source: ISAAA, 2008
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3
Key Drivers
Food Security
High Price of Food
Sustainability
Alleviation of Poverty and Hunger
Climate Change
Source: Frost & Sullivan.
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3
Key Challenges
Difficulty in Obtaining Biological Sequences
Intellectual Property Rights
Prohibitive Costs
Ecological Concerns
Safety of GMO on Human Health
Source: Frost & Sullivan.
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3
Key Players
Monsanto
Syngenta
Dow Agrosciences GM Seeds DuPont
Bayer Bioscience (division of Bayer Cropscience) BASF Plant Science Source: Frost & Sullivan.
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4
Desired Crop Traits
Soil Tolerance Herbicide Tolerance
Insect Resistance
Delayed Ripening
Crop Traits
Virus Resistance
Drought Tolerance
Stacked Traits Enhanced Nutrition
Source: Frost & Sullivan.
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4
GM Crops Soybean
Corn
• 70% (65.8 million has.) of total global soybean planted is GM
• 24% (37.3 million has.) of total global corn planted is GM
• Countries growing GM soybean: Argentina, Bolivia, Brazil, Canada, Chile, Mexico, Paraguay, Uruguay, South Africa, and the USA.
• Countries growing GM corn: Argentina, Brazil, Canada, Chile, Czech Republic, Egypt, Germany, Honduras, Philippines, Poland, Portugal, Romania, Slovakia, South Africa, Spain, Uruguay, and the USA.
Canola
Cotton
• 20% (5.9 million has.) of total global canola planted is GM
• 46% (15.5 million has.) of total global cotton planted is GM
• Countries growing GM canola: Canada, Chile, and the USA.
• Countries growing GM cotton: Argentina, Australia, Brazil, Burkina Faso, China, Colombia, India, Mexico, South Africa, and the USA.
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4
Breakdown of GM Crops
5% 12%
Soybean Corn Cotton 53%
Canola
30%
Source: ISAAA, 2008
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4
Countries Growing GM Crops Source: Clive James, 2008
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4
Varieties of GM Crops
Crop
GM Property
Soybean
Herbicide resistant, different lipid profile
Corn
Herbicide and insect resistant, vitamin enriched
Rapeseed / Canola
Herbicide resistant, different lipid profile
Cotton
Pest resistant
Papaya
Virus resistant
Tomato
Delayed ripening
Potato
Higher starch content
Sugar cane
High sucrose content, pesticide resistant
Sugar beet
Herbicide resistant
Rice
Vitamin A enriched (“golden rice”)
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4
Technology Trends in GM Crops
Future
Stress tolerant
Present
Enhanced nutrition Multiple traits
Disease resistant
Past
Therapeutic crops
Insect resistant Stacked trait seeds
Patent-protected food crops (herbicide resistant) First commercialized in the 1990s Source: Frost & Sullivan.
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5
Malaysia’s Biosafety Act 2007
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According to the Act, a “living modified organism " means any living organism that possesses a novel combination of genetic material obtained through the use of modern biotechnology
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The Act calls for the establishment of the Genetic Modification Advisory Committee, whose function is to provide scientific, technical and other relevant advice to the Minister or the Board
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With regards to GM labelling, the Act requires that all living modified organisms, items containing living modified organisms and products of such organisms shall be clearly identified and labelled
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Conclusion
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GMOs are increasingly viewed as one of the best solutions to end world hunger, as genetically enhanced crops typically provides higher yields than conventional crops
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It is increasingly difficult to determine whether a consumable product contains GMOs or not. For example, GM corn could easily be used to produce corn syrup or even alcohol, which is then inserted into various types of foods and beverages.
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It is predicted that GMOs will become a mainstream food product on a global scale by the end of the decade, and acceptance of GMOs, especially by the developing world, will increase.
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Q&A
W.F. Kee Senior Industry Analyst Technical Insights Asia Pacific (+603) 6207-1051
[email protected] Bernard Weber Sales Manager Technical Insights North America & Europe (+44 207 343 8352)
[email protected] 17