Journal of
Development and Agricultural Economics

  • Abbreviation: J. Dev. Agric. Econ.
  • Language: English
  • ISSN: 2006-9774
  • DOI: 10.5897/JDAE
  • Start Year: 2009
  • Published Articles: 424

Full Length Research Paper

The implications of refuge requirements for Bt cotton in India on world cotton markets

Rohit Singla
  • Rohit Singla
  • Department of Agricultural Economics, McGill University, Montreal, QC, Canada.
  • Google Scholar
Phillip Johnson
  • Phillip Johnson
  • Department of Agricultural and Applied Economics, Texas Tech University, Lubbock, TX, U.S.A
  • Google Scholar
Sukant Misra
  • Sukant Misra
  • Department of Agricultural and Applied Economics, Texas Tech University, Lubbock, TX, U.S.A
  • Google Scholar


  •  Accepted: 05 July 2013
  •  Published: 31 August 2013

Abstract

 

The study evaluated the potential impacts of refuge requirements for Bt cotton in India on world cotton markets. The objective was accomplished by estimating regional cotton yield functions in the Indian fiber model, and connecting it with rest of the world fiber model. Results revealed that the refuge requirements have potential to impact world cotton markets; magnitudes of impacts are smaller, however. The world cotton trade would be lower, and the cotton prices would be higher under higher refuge requirements, and vice versa. As the refuge requirements for an insecticidal Bt technology depend on its replacement rate, the time spent in R&D and regulation of the technology has implications for Bt crops refuge requirements and world commodity markets.

 

Key words: Bt cotton, India, refuge requirements, world cotton markets, world fiber model.