Monsanto expects a surge in demand for maize

Farm labour shortage, changing weather patterns, and growing demand for animal protein will drive future growth in India for Monsanto, the world's largest seed company. The company plans to introduce cotton seed that can survive chemical weed-killers and biotech corn that could be a gamechanger for yields on small farms, directly benefiting Indian poultry and dairy industry.

However, the speed at which new technology benefits farmers and consumers will depend on the predictability of India's approval process, senior company officials said. "India is a huge opportunity in cotton, corn and vegetables.

It is attractive because of well-developed intellectual property rights and a robust regulatory process. But this process must be science-based so that seed companies can better plan their investments. With a new individual at the helm of the ministry of environment and new guidelines, we are hopeful of greater clarity on expectations for regulatory approvals," said Consuelo Madere, vice president in charge of Asia business.

The Genetic Engineering Approval Committee, in the Ministry of Environment and Forests, last month made it mandatory for seed companies to first get approval from state governments for field trials of biotech seeds. The move was sharply criticized by industry for adding to delays and unpredictability.

Monsanto's insect-resistant Bt cotton is now grown on 80% of India's cotton farms and helped the country turn from net importer to the world's second largest exporter in less than a decade.

However, with changing weather, erratic rainfall and rising cost of production, farmers are demanding seeds packed with more traits and able to beat pests rapidly acquiring immunity. Hitherto focused on large-scale farming, shrinking farm size in markets like India, Brazil, and Mexico has now compelled Monsanto to take a broader approach to technology. "We have re-defined ourselves as a yield company. We will access, develop and partner solutions for small growers that include conventional breeding and organic farming," said Kerry Preete, senior vice president, global strategy.

First in Monsanto's India product pipeline is Bollguard II Roundup Ready Flex cotton that in addition to insect resistance, allows farmers to spray their fields with glyphosate -- a common herbicide that was originally developed by Monsanto, withoutkilling the cotton plant, said Dr Robb Fraley, Chief Technology Officer. Spraying is the cheaper and faster alternative to manual weeding, which is becoming a drag on farm profitability.

It will be followed by Bollguard III, a three-gene technology, which will provide added protection from more pests, including army worms that pluck bolls off plants and caterpillar feeding damage. BG III should be able to raise yields another 3-5%, said Ty Vaughn, Cotton and Specialty Crops Technology lead. "Farmers did not plant adequate refuge with BG I and that led to quick resistance in pink bollworm.

Through extension services, we will make sure that problem does not recur," he added. With an eye on the rising demand for corn to feed chickens and livestock, Monsanto plans to introduce biotech corn that will have the same type of genes as cotton to resist pests and herbicides. "It is going through the regulatory process and has been tested for the first year," Dr Fraley said.