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From Field to Fork : an industry perspective on Crop

Biotechnology

Delivered by

Daniel Rahier
Director , Government and Public Affairs – Europe
Du Pont Agriculture and Nutrition
Pioneer Hi-Bred Europe

E.L.O. Conference – April 26, 2005

“Food & Sanitary Safety: a challenge for the Enlarged EU
Brussels

1. It is a pleasure to be part of this conference organized by E.L.O and to contribute

on behalf of ABE to raise awareness of farmers, rural entrepreneurs and land
managers about the standards and regulations that EU implemented to ensure safe
and better food to consumers.

2. I am also pleased to be here, representing DuPont, a 203-year old company and its
seeds division, Pioneer Hi-Bred that for almost 80 years helps farmers to get more
value from each unit of land and reduce costs and risk associated with food
production.

3. More important than additional or stricter regulations, the development and use of
new technologies will significantly contribute to achieve the safety requirements
that are today request from the farming community

4. During the 20 th century, safety was paramount in everything we did. It remains so

but farming from the 21st century is facing an additional challenge: industry as
well as farming activities must be sustainable.

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5. Ag Industry will place tremendous emphasis on safety and sustainability, not only
in Europe but also worldwide. This will certainly drive future developments in
agriculture in Europe.

Society needs

6. But we should not forget the social and economic realities that our planet is
facing:
 Population will increase 30% by 2025 mainly in Asia and Africa
 Between now and 2025 we will have to double the world’s food and fiber
production on virtually the same amount of land in production
 Water tables are dropping with even as demand for water will rise
 Agriculture is more and more competing for land and water against
increased urbanization and salinization
 The demand for protein (meat from cattle, pigs, chickens) is rising faster
than the rate of population increase due to diet shifts driven by affluence

7. To respond to all these needs, we have no choice but to consider the use of new
technologies. The technologies we adopt must address productivity, consistency,
adaptability quality and sustainability.

Development of crop biotechnology

8. Today, biotechnology is a powerful tool at our disposal for addressing these

global needs: Biotechnology and more specifically genetic engineering are not
new. For more than 30 years the technology is being used by the food and
fermentation industry to improve the quality, the conservation, the taste or even
the nutritional quality of food. (example: Vitamin B12)

9. Biotechnology applied to crops (genetically engineered crops) is used for more

than 10 years by farmers worldwide. Today more than 8.25 million farmers

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worldwide are growing biotechnology crops. Ninety % of those farmers (more

than 7 million) are small farmers living in developing countries. In total, 81
million ha have been grown in 2004. It is expected that 15 million farmers will
grow 150 million ha with biotech crops by 2010.(ISAAA, 2005)

And what about Europe?

10. In the EU, Spain is the only country to plant a significant area of biotech crops
with 58,000 ha of insect resistant (bt) maize. Romania planted 100,000 ha of
genetically modified soybeans.

Is crop biotechnology safe ?

11. Biotech products reaching the market have undergone unprecedented scrutiny.
Products are rigorously tested for safety. All scientific societies that have
reviewed crop biotech have acknowledged the safety of these products. They
have been consumed by three billon people worldwide without any human safety
incidents.

12. The European Union had invested more than 80 million € through more than
150 research and studies with public scientific institutions to assess the safety of
biotech products .All research results confirmed the safety of the products.

13. The European Union started to work in 1988 on a regulatory framework to assess
the health, food and environment safety of biotech crops. The EU regulatory
framework has been substantially revised. It is now the most stringent and
comprehensive in the world.

14. Every biotech seeds reaching the EU market have gone through a thorough and
lengthy approval process. This framework plays an important role in meeting
Lisbon objectives so that safe, innovative technology can contribute to the
economic well being of European citizens.

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Addressing society needs in a sustainable manner

15. The challenge of European agriculture is to remain economically viable and

competitive while demonstrating a sustainability gain for society. It is critical that
the industry and the farming community work together to develop suitable
solutions rather than being imposed some by regulatory bodies.

16. Let me give an concrete example: in two years time, French corn growers have
seen a series of political decisions impacting their business: ban of herbicide,
suppression of insecticide treatment , limited access to water, high oil price. In the
same time , the Spanish farmer can grow insect-resistant maize, resulting in yield
increase of 6-15 %, water and tractor fuel saving.

17. Applying biotechnology to corn is a good way to illustrate how the technology
will help to improve sustainable agricultural production.
The development of insect-resistant hybrids is an answer to a real unmet need,
because until these hybrids were developed there was no good alternative to
spraying with chemicals. But chemical control is only partially effective and relies
a lot on fossil energy to be produced and applied.

18. The first step was to protect the stem; leaf and ear against caterpillar pests like
corn borer significantly reducing the level of mycotoxins. The second generation
of biotech corn is aimed at protecting maize against root pests –the corn
rootworm- Both contribute to improve productivity, quality and yield. Both
enhance sustainable production. This is applicable to all farmers regardless of
size, geography and agriculture practices.

19. One of the emerging challenges for European agriculture is the use of water
resources. We are trying to improve responsiveness of maize to crop. Such

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drought tolerance would gain 200,000 liter of water/ha with 1% water

efficiency improvement.

20. Assessment of 4 of the EU’s major crops (maize, oilseed rape, sugar beet and
cotton) indicate that based on 50% adoption biotech crops, pesticide spraying
could be more targeted and efficient with usage reduction up to 14 million kg /
season. 20.5 million liters of tractor fuel could be saved resulting in 73000
tones less carbon dioxide into the atmosphere.(Phipps and al., 2002)

21. A new report published yesterday demonstrates that the adoption of GM

technology would help Polish arable farmers to reduce the volume of herbicides
applied by 33 to 50%. It will help to reduce soil disruption and the release of
carbon dioxide from ploughing by using low tillage cultivation method.
(Brookes, April 2005)

New opportunities:

22. Th use of biotechnology in agriculture will not be limited to the improvements of

agriculture practice. It provides the opportunity to strengthen the role of
agriculture in the European economy and to develop new market opportunities for
farmers.

23. The European Union has targeted that by 2020, 20% of fuel must come from
biofuels. Seeds companies have already start to design new crop varieties and
bio-refining processes that better address this objective. In the US, corn is largely
used as a source of ethanol.

24. In order to limit the manufacturing steps or to better respond to market demand, a
series of biotech crops are currently underdevelopment. The use of biotechnology
in many forms, including GMO’s aids plant breeders to develop traits that are
otherwise not possible with conventional breeding.

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25. High-energy corn for feed uses is close to reach the market in the US. Soybean
oils are being modified to eliminates the need for hydrogenation which produces
unhealthy trans-fats.

26. Longer term, we are addressing the increasing demand for Omega 3 fatty acids, a
key component of human diet known for their positive impact on heart health.
Omega-3 typically derived from fish. But wild fish resources are diminishing.
Biotechnology allows producing these molecules in a land-based renewable
system like soybean or rapeseed.

Economically viable

27. To work on the long run, a new technology must also bring economic incentives
to its users. Europe must find out the best possible balance between its quality,
sustainable and economic objectives. The CAP subsidies will not be there for
ever. Competition from the rest of the world is increasing. There is one
additional reason for considering any new tools that are available to farmers.

28. Prospective studies in Hungary have highlighted than the adoption of existing
biotech corn against corn borer and corn rootworm – two major pests in
Hungary – translates into additional welfare of more than 12 million euros for
Hungarian farmers. (Demont and al. , January 2005)

29. In Poland adoption of GM technology for corn, rapeseed and sugarbeet would
generate an increase in farm income between 67 and 123 million euros. (Brookes,
April 2005)

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Need to communicate

30. In Europe, the debate around biotechnology has been largely mobilized by groups
hostile to the technology. This led Europe to adopt the most robust regulatory
approval system in the world.

31. There is still this perception of a lack of consumer acceptance in Europe but
consumer opinion is neutralizing to different extend across Europe. When asked
about food safety concerns, only 5% of consumers spontaneously mentioned GM
crops compared to 10% on seafood or ready meals.

32. Information plays an important role to address society concerns. 5 years ago the
industy has set up the ABE (Agriculture Biotechnology in Europe) to respond to
this information need and ensure that any stakeholder can get access to factual
and relevant information when facing his own choice.

33. Industry must continue to innovate and farmers must have the choice and the
freedom to use new tools like biotechnology to meet society requirements for
quality, safe and sustainable products. Denying this choice to farmers will not
only erode the competitiveness of farmers but will also represent a missed
opportunity for Europe future

Thank you.

Daniel Rahier
April 26, 2005