The Cost of Genetic Modification

So far we have looked at the negative aspect of how GMOs can effect the environment. Probably one of the most controversial issues about GMOs is that who actually profits from them. Is it the farmers or are the corporations who make the GMO seeds? Why is this an issue? Some people may ask. It is clearly evident that these corporations are making more profit than the farmers are. Some companies claim that they are not making profits. For example Monsanto which is one of the heavyweights in producing GM seeds claims that their profits are substantially low compared to their previous years. On further study into their financial statements it is evident that Monsanto is pumping money into their Research and Development section of the company to pursue new and better GMOs. This, in turn, looks like a decrease in profits; when in actuality they are simply making capital expenditures in order to make even larger profits in the future.

Another one of the major fears concerning the GM food industry is something that gets relatively little publicity, but is increasingly more important is the idea of the world’s food supply being concentrated in the hand of a few large firms. This fear is based on the idea that these larger companies will now or in the future engage in anti-competitive practices; ultimately the loss of ownership of genetic resources to the private industry. According to Haroff, et. al., there is a belief in the business world that the GM based food industry is on the course for further consolidation; which in turn could be seen as an anti-competitive measure toward the industry. This concern creates further problems for our nation’s policy-makers. If they choose to put into place more stringent regulatory approval processes on the technology, they will be able to enhance food safety, however, they will risk the chance of increasing the market concentration of the GM materials.

As well, the integration of seed companies with agricultural chemical manufacturers may also cause GM traits to be introduced in undesirable uses. While some business practices, such as contracts that tie seed purchase to that of complimentary products such as agri-chemicals, may have exclusionary motives behind them, others seem a bit less intensive; a more benign concept is the use of terminator genes in new GM products.

Terminator Technology

What is terminator technology? Why is this harmful? How is it possible that corporations like Monsanto will make money using this technology? Terminator technology is a new patent pursued by Monsanto. In this new technology Monsanto has genetically modified the seed so that once the harvest is complete the new seed from the crop is sterile, that is to say that the seeds cannot be reused for next year.

Billions of people on the planet are supported by farmers who save seeds from the crops and replant these seeds the following year. Seeds are planted. The crop is harvested. And the seeds from the harvest are replanted the following year. Most farmers cannot afford to buy new seeds every year, so collecting and replanting seeds is a crucial part of the agricultural cycle. This is the way food has been grown successfully for thousands of years.

When farmers plant Monsanto’s new seeds which have terminator technology in them, the will not be able to reuse the seed as they did before. This ensures Monsanto that these farmers will have to return to them to by their seed once again from the over the coming years. By doing this Monsanto’s profit will rise ten fold through out the world. (SOURCE?????)

Ultimately the profits are always reaped by the corporations who research and sell the GM seeds to the farmers. All of the corporations which produce the GM seed and sell them will not allow farmers to save seed from the previous harvest and force the farmers to buy new seed from them every year.