This paper is relevant to the impact areas in the following areas:
| Crops | Soybean |
| Traits | Herbicide Tolerance |
| Countries | Romania |
| Regions | Europe |
| Tags | economics, Romania, soybeans |
This paper examines the farm level impact of use of Roundup Ready soybeans in Romania.
Context of soybeans in Romania
Romania has the third highest soybean area in Europe (75,000 ha in 2003) behind Italy and Serbia/Montenegro, and roughly equal to the area in France. Within the country the main soybean growing regions can be found in the southern third of the country.
Roundup Ready (RR) soybeans have been grown commercially since 1999. The share of total soybeans planted to RR seed has increased to 55%-60% (inclusive of farm-saved seed) by 2003.
Weeds and conventional control measures
Weeds are a major problem in Romanian agriculture causing significant loss of yield and downgrading of harvest quality. The weed problems largely reflect a combination of climate/soils and limited use of herbicides since 1990. As a result of the limited use of herbicides (caused essentially by the breakdown of the old socialist economic system and transition to a market economy), there has been a significant build up in the weed seed bank. In addition, there are some problem weeds such as Johnson grass that, once established are extremely difficult to control with most herbicides. The full, recommended treatment for delivering reasonable weed control in soybeans is the use of 3 or 4 four spray runs with different herbicides. Only a limited number of farmers have adopted these practices (lack of financial resources and low levels of profitability being the main reasons for this).
RR soybean users
The average farm size growing soybeans is 400 ha and the average size of farm growing RR soybeans is about 500 ha (there is, however no link between size of farm and take up of the technology). Most farms growing RR soybeans grow either all RR soybeans or mostly RR soybeans in other words conventional soybeans, if grown tend to have a small share of plantings and this largely reflects limited access to irrigation or RR seed (the latter is an issue in 2003).
Cost of the technology
RR soybeans are sold as a package with Roundup herbicide in Romania. The original cost in 1999 was equal to $160/ha but this has fallen to about $130/ha by 2003. The price paid by farmers does, however vary according to where purchased from and the ability to negotiate discounts (large users). Since the launch of the technology, the general price level of herbicides has remained broadly stable, although in the last 2-3 years the price of Roundup has fallen by about a third (in line with the falling prices of generic glyphosate alternatives that have recently become available in Romania).
Impact on yield
The average impact on yield has been +31%, within a range of +16% to +50% (on a base yield of 2-2.5 tonnes/ha). This significant yield improvement is due to improved weed control, especially of �difficult to control� established weeds like Johnson grass. This yield improvement compares with mostly yield neutral impact in countries like Argentina, the USA and Canada, where weeds are much less of a problem than in Romania.
Most farmers have also benefited from a 2%-3% improvement in the price received for their soybeans from improved harvest quality (less weed impurities).
Roundup Ready soybeans in Romania
Impact on costs and margins
Romanian farmers have, on average, made significant cost savings and improvements to gross margins. The average gross margin improvements have been +184%, +127% and +185% respectively for smaller farms using certified seed, larger farmers using certified seed and larger farms using farm saved seed (Figure 1). RR soybean user farmers indicated that this crop (RR soybeans) is now the most profitable arable crop grown in Romania). These gains derive from improved yields and improved quality of seed (see above) coupled with lower costs of production (savings on herbicide costs and application costs).
This average positive impact of the technology has been much higher than in other RR soybean
Other impacts/issues relating to use of RR soybeans
a) Some farmers indicated that they benefited from increased convenience and management flexibility, most notably from having an increased time period for spraying.
b) Romanian farmers have, to date, not adopted or gained any benefits from minimum/low tillage systems, as has been one of the main impacts of adoption in countries like the USA and Argentina. This lack of adoption in Romania reflects a combination of limited financial resources with which to buy specialist equipment/machinery required and the common occurrence of clay soils which make minimum tillage systems difficult to operate.
c) Some farmers indicted that they derived small savings to harvest costs (less time spent harvesting).
d) Significant benefits were cited by many farmers for follow-on crops. In particular followon maize crops benefited from improved weed control and hence reduced use of herbicides
e) All RR soybeans were/are sold through normal marketing channels without segregation from non GM soybeans
Roundup Ready soybeans in Romania
Effect on the environment
It is difficult to show trends in herbicide use on soybeans and/or to draw conclusions about usage because of the impact of economic transition and re-structuring on the agricultural sector (fluctuating areas planted and inconsistent information). The only consistent finding has been the increased use of glyphosate and its replacement of herbicides which have higher toxicity profiles than glyphosate. This is consistent with findings in other countries like the USA and Argentina.
National level impact
Grossing up the farm level impact on soybean production and margins, the adoption of RR soybeans has increased the value of Romanian soybean production by about �8.23-�8.62 million in 2002-03. In production terms this is equal to about +14% to +19%. .
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The farm level impact of using Roundup Ready soybeans in Romania (held on an external server, and so may require additional authentication details)
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