Agrochemical Industry & Sustainable Development
M. Raghavender
Viewpoints
Acknowledgements
Dr. Matthieu Vanhaecke Nufarm
Mr. Dennis Avery “Saving the planet with pesticides and plastics”
Dr. Gerry Stephenson University of Guelph, Ontario, Canada
TO DOUBLE WORLD FOOD PRODUCTION BY 2050
We need advances and better application of both,
&
INTEGRATED PEST MANAGEMENT
CROP GENETICS
Industry’s Purpose
To provide Crop Protection Solutions & thereby ensure food & fibre security.
Sustainable ??
IT MUST !IT MUST !
But how ???
Regulations to ensure Industry’s sustainability
“Regulations” represent our perpetual
effort to replace more environmentally
damaging products with more benign
alternatives.
Global Harmonization of regulations a real challenge, but efforts are on in full force.
Sustainability depends on….
11 The profitability of the manufacturers
22 The productivity & profitability of the growers & health impact on applicators
33 The health of the consumers
44 The environmental impact on society
In all cases the Benefits must out-weigh all associated Risks
Manufacturers' point of view
Benefits must outweigh risks
Grant of Registration
Re
ven
ue
Time (Yrs.)
Patent Expiry
10
20
8
23
Data Generation
& Submission
Data Protection
Ends
First Sales Patent Expiry
Direction of current pressures
Years0 10 15 20 25
100
80
60
40
20
0
-20
-40
-60
-80
-100
$106
TYPICAL CUMULATIVE DISCOUNTED CASH FLOW FOR A SUCCESSFUL
NEW PRODUCT
Years1950 1975 2000 2025 2050 2075 2100
Manufacturers' point of view
Benefits must outweigh risks
Growers' point of view
Growers Plight – Indian Scenario
Cost-Risk-Return structure getting adverse
Growing indebtedness ~ 55% farm house-
holds in Maharashtra are in debt 2005.
Chronic under-nutrition (endemic hunger)
Cost of crop production invariably higher
than the minimum support price
Consequent spate of suicides.
Growers Plight – Indian Scenario
Risk of nature’s fury – earthquakes, droughts, floods & cyclones, incessant & untimely rains
<10% of farmers covered under crop insurance.
Poor post harvest infrastructure & consequent spoilage losses.
Rural credit mechanism does not address the twin issues of “transaction cost” and “risk”.
Pesticides pose health risk to growers & applicators
~3million reports of serious poisoning each year globally
220 thousand accidental deaths
Health problems 13 times higher in developing countries
Chronic effects?
Health risks with pesticides
PesticideToxicity
PesticideToxicity
Human ExposureHuman
Exposure
Depend on
Health risks are preventableProper pesticide use rarely cause health problems
Can be prevented by the continued development of safer pesticides.
Industrialized countries have effective regulatory, educational and training programmes for applicators.
These programmes are expensive to maintain and will be challenge to implement in developing countries.
Responsibility of the Government
Indian Central & State governments need to mobilize over 3 million trainers to cover our 100 millions farms.
May need to rope in World Bank support to augment the inadequate resources of the Agri-extension Dept. eg T&V programmes of the 70s to promote water literacy etc in Chambal region.
Industry resources cannot do justice to education and training programmes.
11
22
33
Economic benefits to growers
Crop losses would be at least 10% – 60% if pesticides are not used.
The economic benefit in Rupee terms is positive (Rs3-5 return on every Rupee spent on pesticide?) depending on cost of pesticide and the ruling commodity prices at harvest.
Low cost Generic pesticides have helped improve farm economics
Need to develop credible data on the indices of “Economic benefits” statewise and cropwise.
Benefits must outweigh risks
Manufacturers' point of view
Consumers' point of view
Growers' point of view
Shift in environmental concerns
1960s1960s
Insecticides
TodayToday
Herbicides
Pesticide Residues – a concern
New low dosage herbicides introduced to lower the risk in general.
Encouragement being given to non-chemical alternatives wherever economically feasible.
Significant international effort addressing residue concerns.
Global Efforts - USA
USA – EPA under FIFRA is
reviewing all prior 1984
pesticides to ensure that
Pesticide Food Residues meet
FQPA standards. Globally
Harmonized System
implementation to resolve MRL
differences within NAFTA
members.
Global Efforts - EU
Procedure involves peer review of Annex II dossier by European Food Safety Authority and commented upon by European Commission Evaluation Group and Member States. Thereafter a positive vote by the Standing Committee on Food Chain and Animal Health to make it to the Annex I list.
Efforts on to establish a positive of active substances (Annex I) that have been shown to be without unacceptable risk to people or environment.
Benefits must outweigh risks
Manufacturers' point of view
Growers' point of view
Society's point of view
Consumers' point of view
• .
Pesticides help save land
Advances in crop protection, breeding and fertility
World Agricultural production tripled since 1960 on 6 million sq miles of land.
We would need to find new land for agriculture equivalent to USA, Brazil and EU combined.
Intensive farming as opposed to extensive farming is the only option
US society’s benefit from Pesticides
Annual pesticide use $6.5billion
Prevents $26billion in crop losses from pests
4:1 returns to growers in dollar terms
Indirect cost of pesticide use $8billion (regulation, training, health & environmental losses)
Total benefit $26billion vs total cost 14.5billion
2:1 return to society on every $ spent on pesticides
Thank You
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