Electronic Journal of Biotechnology ISSN: 0717-3458 Vol. 11 No. 2, Issue of April 15, 2008
© 2008 by Pontificia Universidad Católica de Valparaíso -- Chile Received January 25, 2007 / Accepted August 21, 2007
DOI: 10.2225/vol11-issue2-fulltext-5
BIOTECHNOLOGY ISSUES FOR DEVELOPING COUNTRIES

Can owners afford humanitarian donations in agbiotech - The case of genetically engineered eggplant in India

Deepthi Kolady*
Department of Applied Economics and Management
Cornell University
Ithaca, New York, USA 14853
Tel: 607 255 8048
Fax: 607 255 9984
E-mail: dek28@cornell.edu 

William Lesser
Susan Eckert Lynch Professor in Science and Business
Department of Applied Economics and Management
Cornell University
Ithaca, New York, USA, 14853
Tel: 607 255 4595
Fax: 607 255 9984
E-mail: whl1@cornell.edu

Website: www.cornell.edu

*Corresponding author

Financial support: Ford Foundation International Fellowships program and USAID funded ABSPII project provided financial support for the research.

Keywords: Bt eggplant, market segmentation, public-private partnership.

Abbreviations:

Bt: Bacillus thuringiensis
CV: contingent valuation
GE: genetically engineered
OPV: open pollinated variety
OPVS: open pollinated varieties
WTP: willingness to pay

Abstract   Full Text

Are humanitarian donations in agbiotech economically feasible for the donor? We address this question by conducting an ex ante analysis of genetically engineered (GE) eggplant in India. Our analysis indicates that it is economically viable for a firm to donate the technology for poor farmers’ use by restricting use to open pollinated varieties while selling hybrid verities. By extension, this means of segmenting markets would likely apply in cases where different levels of production technologies are used based on access to market, irrigation, and credit, at least for perishable crops.

Supported by UNESCO / MIRCEN network