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Dominos in the dairy: An analysis of transgenic maize in Dutch dairy farming

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  • Groeneveld, Rolf A.
  • Wesseler, Justus
  • Berentsen, Paul B.M.

Abstract

Isolation distances to limit the risk of cross-pollination from transgenic to nontransgenic crops can severely limit the potential use of transgenic crops through a so-called 'domino effect' where a field of non-transgenic crops limits adoption of transgenic crops not only on plots in its direct vicinity, but also in plots further away as its neighbors are forced to grow the non-transgenic varieties, forcing their neighbors to grow the non-transgenic variety, and so on. The extent to which this effect takes place, however, may depend crucially on the type of farm. For example, dairy farms can use grassland as a buffer between transgenic and conventional maize plots. This article assesses the effects of isolation distances for transgenic maize in dairy farming. A spatially explicit farm model is applied to a region in the Southern Netherlands to identify to what extent a single farmer (who uses non-transgenic maize) can limit other farmers’ potential to grow transgenic maize. The main findings are that 50% or more of the farms in the study area will not affect the potential adoption of transgenic maize by growing conventional maize at all. This result even holds under distance measures of 800m, which is the largest distance implemented by member states of the European Union. When they do have such effects, isolation distances can reduce the benefits from transgenic maize by €5,000 - €6,000, for a considerable part through a domino effect. Large net benefits of transgenic maize may limit the spatial effects as farmers are more willing to relocate maize production to areas where transgenic maize is allowed.

Suggested Citation

  • Groeneveld, Rolf A. & Wesseler, Justus & Berentsen, Paul B.M., 2011. "Dominos in the dairy: An analysis of transgenic maize in Dutch dairy farming," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114595, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaae11:114595
    DOI: 10.22004/ag.econ.114595
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    Cited by:

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    2. Marion Desquilbet & Sylvaine Poret, 2014. "How do GM/non GM coexistence regulations affect markets and welfare?," European Journal of Law and Economics, Springer, vol. 37(1), pages 51-82, February.
    3. Pavla BLAHOVA & Karel JANDA & Ladislav KRISTOUFEK, 2014. "The perspectives for genetically modified cellulosic biofuels in the Central European conditions," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 60(6), pages 247-259.
    4. Jonas Kathage & Manuel Gómez-Barbero & Emilio Rodríguez-Cerezo, 2016. "Framework for assessing the socio-economic impacts of Bt maize cultivation," JRC Research Reports JRC103197, Joint Research Centre.
    5. Brown, Zachary S. & Connor, Lawson & Rejesus, Roderick M. & Yorobe, Jose M., 2021. "Landscape-level feedbacks in the demand for transgenic pesticidal corn in the Philippines," Ecological Economics, Elsevier, vol. 180(C).
    6. Thomas J. Venus & Koen Dillen & Maarten J. Punt & Justus H. H. Wesseler, 2017. "The Costs of Coexistence Measures for Genetically Modified Maize in Germany," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(2), pages 407-426, June.
    7. Klara Fischer & Camilla Eriksson, 2016. "Social Science Studies on European and African Agriculture Compared: Bringing Together Different Strands of Academic Debate on GM Crops," Sustainability, MDPI, vol. 8(9), pages 1-17, August.
    8. Pascal Tillie & Koen Dillen & Emilio Rodríguez-Cerezo, 2016. "Special Issue on GMO Coexistence," EuroChoices, The Agricultural Economics Society, vol. 15(1), pages 17-23, April.
    9. Skevas, Ioannis, 2020. "Inference in the spatial autoregressive efficiency model with an application to Dutch dairy farms," European Journal of Operational Research, Elsevier, vol. 283(1), pages 356-364.
    10. Ioannis Skevas & Alfons Oude Lansink, 2020. "Dynamic Inefficiency and Spatial Spillovers in Dutch Dairy Farming," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(3), pages 742-759, September.
    11. Ioannis Skevas, 2023. "A novel modeling framework for quantifying spatial spillovers on total factor productivity growth and its components," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(4), pages 1221-1247, August.
    12. Wesseler, Justus, 2014. "Biotechnologies and agrifood strategies: opportunities, threats and economic implications," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 3(3), pages 1-18, December.

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