Agricultural subsidies can undermine biotechnology in African countries

There is a growing consensus that modern biotechnology is the key to sustainable development. It is, in particular, in light of the fact that world population is growing rapidly, with no expansion land. Modern biotechnology is considered cost-effective and therefore very applicable to farming scarce resource. Mounting scientific evidence linking GM crops and high yields. This explains why sub-Saharan Africa, long ravaged by drought and famine is encouraged to embrace modern biotechnology.

Modern biotechnology is already dominant in the United States, Canada, Spain, Mexico, China, Argentina and Brazil. These countries not only produce enough for its domestic consumption, but also for export. Perhaps this is the most significant aspect of the cultivation of GM crops. Because without the surplus market returns would be ready to go to waste. I raise this issue because the current trade imbalance threatens endangered North-South technology transfer. This is especially critical in Africa, which for years has struggled to penetrate oversees markets with little success.

Let me illustrate this point. Currently, the United States and Europe are involved in a bitter trade war with four West African countries - Burkina Faso, Benin, Chad and Mali, as well as subsidies that have their cotton producers. The four West African countries, popularly known as C4 attribute low cotton prices, which are seriously crippling their farmers, these subsidies. The grants are intended to ensure that farmers always have value for their investment in agricultural holdings. They need not worry about price fluctuations are guaranteed compensation from governments.

The current regime in which the United States and Europe heavily subsidize their cotton growers heavy handicaps their counterparts in poor countries whose governments can not afford subsidies! They end up going to take the cotton bit 'of money, in fact unsustainable making his farm. White gold, once West Africa is about to turn into dust. This is unacceptable because it means bankrupt the economies of these already poor countries. Twelve of the 15 Economic Commission for West African States (ECOWAS) States are considered least developed. Do not rich countries think they have a contribution to make to leave these countries from the yoke of poverty?

In Benin and Burkina Faso, cotton accounts for about 40 percent of export earnings of goods, while in Mali and Chad, which represents 30 per cent. Cotton, then the backbone of the economies of these countries.

It is instructive to note that direct losses to West Africa as a result of U.S. and EU subsidies are estimated at 250 million U.S. dollars annually. The United States, alone, in the 2001-2002 season subsidized its cotton farmers to the tune of 2.3 billion U.S. dollars. The economic damage wrought by subsidies on these countries is unfathomable. Urgent action and the United States and Europe must come to their rescue.

These West African countries have now submitted a petition to the World Trade Organization (WTO) to correct this imbalance of trade. Unfortunately, the U.S. and Europe pledged to dig their heels to frustrate them. Their action is ill advised and in bad faith.

During the September 2003 WTO Ministerial Conference in Cancun, the U.S. government has proposed that West African countries diversify cultivation of cotton. Because these countries diversify from cotton farming? This defeats the very spirit of modern biotechnology, among other benefits, farmers ensure high yields.

As a strategy to help farmers improve their cotton growing cotton, the United States, through the powerful International Cotton Advisory Committee and the U.S. Agency for International Development (USAID) is offering to share their discoveries in biotechnology. This technology transfer, as a matter of fact, lead to high yields. Where are expected to take their surplus cotton if the global market for this product remains tilted in favor of the United States and Europe?

There is general willingness on the part of African countries to embrace modern biotechnology. Some West African countries, including Mali and Burkina Faso are already experiencing thurigiensis Bacillus (Bt) cotton in the hope of improving their cotton production. The best way for the United States and Europe to encourage poor countries to embrace modern biotechnology is to ensure their ready market for their agricultural products. Removal of agricultural subsidies is the first step towards achieving this goal.