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INTER-RELATION BETWEEN SOCIOECONOMIC AND
BIOTECHNOLOGY
Agus Pakpahan
August 27, 2014
Delivered at PERHEPI Pre-Conference WorkshopBogor, August 27, 2014
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1. OVERVIEW OF INDONESIAN AGRICULTURE
2. ANALYSIS OF SOCIO-ECONOMIC ASPECTS IN RELATION WITH BIOSAFETY
3. APPLICATION OF THE ABOVE ANALYSIS
4. CLOSING REMARKS
0
10
20
30
40
50
60
Ag
ric. S
ha
re o
f G
DP
an
d
em
plo
ym
en
t (%
)
% Agric GDP
% Agric. Employment
ECONOMIC STRUCTURE
TRANSFORMATION 1990-2012
Source: WDI, WB, 2013
INDONESIAN
POPULATION, LARGE AND
GROWING FAST
RICE PRODUCTION: MAIN FOOD STAPLE: “NO
RICE NO PEACE”
INDONESIA REACH
RICE SELF-SUFFICIENCY IN
1983
INDONESIA’S RICE SELF SUFFICIENCY IN
1984, AFTER ABOUT 15 YEARS OF
DEVELOPMENT
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
Cocoa
Palm oil (private
companies)
Coconut
LAND USE CHANGE:
The development of major plantation commodities
(1000 ha)
Rubber
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Indonesia’s GDP value/ha, 2005 $ constant price
Malaysia’s GDP Value/ha, 2005 $ constant price
Thailand’s GDP value/ha, 2005 US$ constant price
0.0
500.0
1,000.0
1,500.0
2,000.0
2,500.0
3,000.0
3,500.0
4,000.0
4,500.0
5,000.0
1990199119921993199419951996199719981999200020012002200320042005200620072008200920102011
Malaysia
Thailand
Indonesia
Philipines
Agricultural Export Value (US$/ha)
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
Ek
sp
or
Pe
rta
nia
n (
US
$ J
uta
)Total Agric Export Revenue (million US$)
Malaysia
Thailand
Philippines
Indonesia
0
5,000
10,000
15,000
20,000
25,000Land Resources Distribution According to Uses and Potential Uses (1000ha)
Arable land
Permanent Crops Land
Food Crops Arable Land Irigated Land
Dryland Food Crops
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
Malaysia agric. labor (%)
Indonesia Agric. Labor (%)
% OF AGRIC. LABOR
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Labor Dynamic in Indonesia: 1991-2010
Agric. Labor
Total Rural Labor
Non-Agricultural Labor
Industrial Labor
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
45,000,000
199119921993199419951996199719981999200020012002200320042005200620072008200920102011
NUMBER OF FARMERS
INDONESIA
Java
SUMATERA
CELEBESKALIMANTAN
GLOBAL HUNGER INDEX(GHI), 10 LOWEST GHI
DEVELOPING COUNTRIES INDEX
Rank Country 1990 1995 2000 2005 2013
1 Albania 9.2 6.0 7.8 6.1 5.2
1 Mauritius 8.5 7.6 6.5 5.9 5.2
3 Uzbekistan – 8.3 9.3 6.6 5.3
4 Panama 11.6 10.8 11.4 9.0 5.4
4 South Africa 7.2 6.5 7.4 7.7 5.4
6 China 13.0 10.4 8.4 6.7 5.5
6 Malaysia 9.5 7.1 6.9 5.8 5.5
6 Peru 16.3 12.3 10.5 9.9 5.5
9 Thailand 21.3 17.1 10.2 6.6 5.8
10 Colombia 10.4 8.0 6.8 6.9 5.9
Source: International Food Policy
Research Institute (IFPRI, 2013)
Position of Indonesia’s GHI
1990 1996 2000 2005 2013
20 Moldova – 7.7 8.8 7.3 9.2
21 Georgia – 16.6 9.2 11.3 9.3
22 Nicaragua 24.1 19.9 15.4 11.5 9.5
23 Indonesia 19.7 16.9 15.5 14.6 10.1
23 Paraguay 9.3 7.5 6.5 6.3 10.1
25 Mongolia 19.7 23.6 18.5 14.1 10.8
26 Bolivia 18.8 16.9 14.2 13.8 11.2
27 Lesotho 13.2 14.6 14.6 14.9 12.9
28 Mauritania 22.7 16.2 17.2 14.6 13.2
28 Philippines 19.9 17.4 17.7 14.0 13.2
30 Benin 22.5 20.5 17.3 15.2 13.3
Source: International Food Policy
Research Institute (IFPRI, 2013)
Food security
CORE LESSONS FROM OUR
PAST• GREEN REVOLUTION TECHNOLOGY AND ITS COMPLEMENTARY
INPUTS HAD BEEN ADOPTED VERY FAST
• 15 YEARS OF ITS APPLICATION GAVE INDONESIA RICE SELF
SUFFICIENCY STATUS
• BUT THE LAW OF DIMINISHING RETURN FROM OLD AGRIC.
TECHNOLOGY ARRIVED VERY SOON
• WIDENING GAP BETWEEN DEVELOPED AND DEVELOPING
COUNTRIES IN FOOD SECURITY
• ENVIRONMENTAL THREATS AND INCREASING NATURAL RESOURCES
SCARCITIES ESPECIALLY WATER
• BIOTECHNOLOGY IN ONE OF HUMAN INGENUITY
• SOCIO-ECONOMIC ASPECTS CONSIDERATION IS STATED IN
CARTAGENA PROTOCOL
Mankind is passing from the primacy of the past to the
primacy of expectations of vast future changes.
Harold D. Lasswell
SUSTAINABILITY?
ENTERING A NEW WORLD
FROM GREEN REVOLUTION TO
GREENER GENE REVOLUTION
SUSTAINABILITY IS: HOW CAN WE SUCCESSFULLY
ORGANIZE ECONOMIC TRANSFORMATION?
AGRICULTURAL INVOLUTION
AGRICULTURAL SIZE EXPANSION
INDONESIA USA, JAPAN, KOREA & ALL
DEVELOPED COUNTRIES
THE ORIGIN OF CARTAGENA
PROTOCOL
AND
THE EMERGENCE OF SOCIO-
ECONOMIC CONSIDERATION IN IT:
THE WAY TO UNDERSTAND AND HOW
WE COPE WITH IT
UN CONFERENCE ON ENVIRONMENT AND DEVELOPMENT
(AGENDA 21): THE SOURCE OF ORIGIN OF CARTAGENA
PROTOCOL FOR BIOSAFETY OF GMO
• UN Conference on Environment and Development –
• 20 years after the 1972 UN Conference on the Human Environment (Stockholm)
• Rio de Janeiro, 1992, after several years of preparatory meetings.
• Resulting in Agenda 21 and the Rio Declaration
Agenda 21 (1992)
• Ch.1: Preamble:
• Humanity is confronted with a worsening of poverty, hunger, ill health and illiteracy, and the continuing deterioration of the ecosystems.
• Causes:• Population growth• Changing consumption patterns • Global warming and sea level rise• Etc.
Agenda 21 (1992)
Section I. Social and economic dimensions
Ch. 2. Sustainable development in developing countries Ch. 3. Combating poverty Ch. 4. Changing consumption patterns Ch. 5. Demographic dynamics and sustainability Ch. 6. Human health conditions Ch. 7. Sustainable human settlement development Ch. 8. Integrating environment and development
Agenda 21 (1992)
Section II. Conservation and management of resources.
Ch. 9. Protection of the atmosphere Ch. 10. Management of land resources Ch. 11. Combating deforestation Ch. 12. Combating desertification and drought Ch. 13. Sustainable mountain development Ch. 14. Sustainable agriculture and rural development Ch. 15. Conservation of biological diversityCh. 16. Environmentally sound management of biotechnology
Ch. 16: Env. Sound Management of Biotechnology
Preamble: Modern biotechnology is a set of techniques for bringing about specific changes in DNA in organisms.
By itself, biotechnology cannot resolve all the fundamental problems of environment and development, but it promises to make a significant contribution in enabling the development of, for example, better health care, enhanced food security through sustainable agricultural practices, improved supplies of potable water, more efficient industrial development processes for transforming raw materials, support for sustainable methods of afforestation and reforestation, and detoxification of hazardous wastes.
Ch. 16: Env. sound management of biotechnology
Objective: Promote the development of sustainable applications of biotechnology and to establish appropriate enabling mechanisms, especially within developing countries, through three program areas:
a. Increasing the availability of food, feed and renewableb. Improving human health;c. Enhancing protection of the environmentd. Developing international mechanisms for cooperation
Estimated total annual cost (1993-2000): 5 billion USD.
CARTAGENA PROTOCOL ADOPTED IN
MONTREAL 2000: How Agriculture Worlwide
Changing Explained?
COMMERCIALIZATION OF GMOs: The Impacts
of Legal, Political and Policy Changes Globally
•Commercialization of GMOs started in
1996
•The world planted GMOs in by only
1.7 million ha
• Now is about 175 million hectares
Explaining What Lesson from 1992 to 2014 w/ Regard to
Biotech Utilization
SOCIO-ECONOMIC CONSIDERATION WITHIN
THE CONTECT OF CARTAGENA PROTOCOL
Agenda 21: Section I. Social and economic dimensions
Article 26 Socio-economic Consideration
In Cartagena Protocol Social and Economic
Dimension in Agenda 21 Section I has been
reduced to BIOSAFETY ISSUE:
I. ENVIRONMENTAL SAFETY
II. FOOD SAFETY
III. FEED SAFETY
Ch. 2. Sustainable development in
developing countries
Ch. 3. Combating poverty
Ch. 4. Changing consumption
patterns
Ch. 5. Demographic dynamics and
sustainability
Ch. 6. Human health conditions
Ch. 7. Sustainable human
settlement development
Ch. 8. Integrating environment and
development
Article
26
SOCIO-ECONOMIC CONSIDERATIONS
1. The Parties, in reaching a decision on import under this Protocol or under
its domestic measures implementing the Protocol, may take into account,
consistent with their international obligations, socio-economic considerations
arising from the impact of living modified organisms on the conservation and
sustainable use of biological diversity, especially with regard to the value of
biological diversity to indigenous and local communities.
2. The Parties are encouraged to cooperate on research and information
exchange on any socio-economic impacts of living modified organisms,
especially on indigenous and local communities.
TEST OF CLARITY OR LACK OF AMBIGUITY OF
MEANINGS OF CERTAIN TERMS OR THEIR RELATIONS
Agenda 21 (1992)
SOCIAL and ECONOMIC
ASPECTS WITHIN THE
CONTEXT OF
SUSTAINABLE
DEVELOPMENT (VERY
BROAD)
Cartagena Protocol adopted in Montreal on 29 January 2000
• Biosafety Context:
A concept refers to the need to protect human health and the environment from the possible adverse effects of the products of modern biotechnology
Socio-economic aspects as a part of consideration in biosafety approval
CARTAGENA PROTOCOL: THE CLARITY OF
SOCIO-ECONOMIC CONSIDERATION
UNDERSTANDING
Article
3
USE OF TERMS
For the purposes of this Protocol:
(a) “Conference of the Parties” means the Conference of the Parties to the
Convention;
(b) “Contained use” means any operation, undertaken within a facility, installation
or other physical structure, which involves living modified organisms that are
controlled by specific measures that effectively limit their contact with, and their
impact on, the external environment;
(c) “Export” means intentional transboundary movement from one Party to
another Party;
(e) “Import” means intentional transboundary movement into one Party from
another Party;
(f) “Importer” means any legal or natural person, under the jurisdiction of the
Party of import, who arranges for a living modified organism to be imported;
(g) “Living modified organism” means any living organism that possesses
a novel combination of genetic material obtained through the use of modern
biotechnology;
(h) “Living organism” means any biological entity capable of transferring
or replicating genetic material, including sterile organisms, viruses
and viroids;
(i) “Modern biotechnology” means the application of:
a. In vitro nucleic acid techniques, including recombinant deoxyribonucleic
acid (DNA) and direct injection of nucleic acid into cells or organelles, or
b. Fusion of cells beyond the taxonomic family, that overcome natural
physiological reproductive or recombination barriers and that are not
techniques used in traditional breeding and selection;
(j) “Regional economic integration organization” means an organization
constituted by sovereign States of a given region, to which its member
States have transferred competence in respect of matters governed by this
Protocol and which has been duly authorized, in accordance with its
internal procedures, to sign, ratify, accept, approve or accede to it;
(k) “Transboundary movement” means the movement of a living modified
organism from one Party to another Party, save that for the purposes of
Articles
17 and 24 transboundary movement extends to movement between Parties
and non-Parties.
We may conclude:
•There is no defined socio-economic
term provided by Cartagena
Protocol
•So, it does not clear by its given
regulation.
•It will depend on whose interest counts
in making interpretation and
decision
Then: What do we mean by Socio-
economic Consideration?
• Meaning of socio-economic depends on
ones philosophical methodological
orientation regarding values
(Johnson, 1986):
– Positivism and its variation such as
conditional normativism
– Normatism
– Pragmatism
Output of Research According to Its
Phillosopical Foundation
• Positivism
– value free positivistic knowledge.
– It rejects values as characteristic of real world. It is only exist in the head of knowing mind.
– At most it just assuming about values such as found in the case of maximizing utility (the more the better)
• Normativism: Knowledge of values
• Pragmatism: Prescriptive Knowledge
Knowledge Generation: Types of Research, Kinds of
Knowledge, dan Main Philosophical Underpinning
Normative Knowledge: Information of values for
making decisionsCharacteristics of a thing, a
situation or a condition in social
context
Norms, laws, rules, and other
things similar
Rightness Wrongness
Goodness Monetary Value The area of decision
making that should be
avoided. It is because
wrong by according to
norms, laws, etc.
Non-Monetary
Values
Badness Monetary Value
Non-Monetary
Value
Net Value X? The cost of avoiding
wrong desicion/the cost
of adopting wrong
decisions.
Decision Making In Biosafety of
GMOs
Rationality Bounded Rationality
(Herbert Simon)
Theoretical Perfect Information,
Optimization
Satisfying Criteria,
Heuristic, Non-
optimization
Practical Constrained by perfect
information/knowledge
assumtion
Having perfect
knoweldge infinitely
costly
REAL WORLD?
Human Mind and Skill
Philosophyies
Sciences
Religions
Culture
Beliefs
Knowledge
Ideas, Opi
nions.
etc
Arts
ENGINEERING
Knowledge
What? Descriptive Knowledge of Values or Value Free Positivistic Knwledge
What ought to be done: Prescriptive Knowledge= Recommendation
• Value Free Positivistic Knowledge:– Species of plant or animals
– Types of soil
– Height of trees, etc
• Knowledge about Values:– Monetary value:
• Cost of production
• Profit, rent, etc.
– Non-monetary values:• Goodness :
safe, secure, etc
• Rightness: according to certain rules or norms
• PRESCRIPTIVE
KNOWLEDGE:
– WHAT IS RIGHT THING
TO DO TO ACHIEVE
CERTAIN POLICY
OBJECTIVES OR GOALS
• TEST OF OBJECTIVITY:
– WORKABILITY
HARMONIZING SUBSTANTIAL EQUIVALENCE
AND PRECAUTIONARY PRINCIPLE
Substantial Equivalence Precautionary Principles
• Right according to the
Results
• Right according to
regulatory procedures
BOTH ARE IMPORTANT:
NEED HARMONIZATION
NEED:
TRANSDISCIPLINARY SCIENCE BASED POLICY
RECOMMENDATION
APPLICATION: Trying to use the
above frame of thinking
Biotechnology as Endogenous Variable Socio-
economic as one of Exogenous Variables
Activities In Biotechnology
Explanatory/Exogenous Variables:
• Investment in R&D
• R&D policies
• HRD in R&D and Education
• National Research Systems
• Politico, Legal and Socio-cultural variables
Outputs/IMPACTS
DEVELOPMENT OR
UNDER-DEVELOPMENT
OF BIOTECHNOLOGY
EITHER IN
LABORATORY OR IN
THE FIELDS OF
APLICATIONS
Cause
GREEN REVOLUTION
• Global & national convergence on
decision of what must be excercised
to boost food and agric production
• National government had played as
an engine of growth and Green
Revolution Tech as its gasoline
• Significant change in almost all
aspects of agriculture and its
associated variables: industry,
consumption, trades, laws, land use,
infrastructure
• Critics on negative impacts on
environments such as water pollution
• Socio-economic impact: farmers
getting poorer and inequality issue.
GREENER GENE REVOLUTION
• Private companies innitiatives supported by government policies
• Adoption rate has been very fast. Increase from 1.7 M ha to 175M ha in 18 years increase by 1375 %/year or 25000% increase in 18 years
• Understanding of Socio-economic consideration in the context of Precautionary Principle
Biotechnology as One of Exogenous Variable, what are
the impacts?
Here We See Biotech As Major Changing Variable
Special Case of GMOs Impacts
Conservation and
sustainable use of biological diversity
• What socio-economic consideration?
– Initial socio-economic condition of rural and agric societies and their interests
– Knowledge, concern and adaptability of communities to GMOs technology
– Expected positive impact and prohibited/avoidance of negative impacts
Value of biological diversity to
indigenous and local
communities.
• Lesson learned through co-evolutionary process
• Protection of indigenous and local communities
• Because spatial distribution of biological diversities do not follow administrative boundary then the benefits of R&D for same species can be shared
INDONESIA LAWS AND REGULATIONS IN
TRANSGENIC PRODUCTS
• Ministry of Agriculture Desicion No. 856/Kpts/HK.330/9/1997: Biosafety for Genetically Modified Products of Agricultural Products
• Joint Decree of Ministry of Agriculture, Ministry of Health, Ministry of Forestry and Plantation and State Ministry of Food and Horticulture Nomor 998.1/Kpts/OT.210/9/99: Biosafety and Food Safety of Genetically Modofied Organism.
• Law No. 21, 2004: Ratification of Cartagena Protocol on Biosafety to the Convention on Biological Diversity
• Government Regulation No. 21, 2005: Biosafety of Genetically Mofied Organism
• President Regulation No. 39, 2010: Biosafety Commission for GMOs
• President Regulation 2014
R&D Capacity of Agency for Agricultural Research and Development (AARD)
• Human Resource Capacity:
1994 -2002: • Mollecular Biologists: 11 persons • Reproduction and growth researchers: 9 persons• Graduate Program in The Netherland, Australia, USA and Japan: 11 persons
2003 – present – Mollecular bilogy research group: 34 persons – Cells and organ reserach group: 13 persons(Source: AARD, 2013)
Year Output
2001 Minister of Agriculture Decision Nomor 107/Kpts/KB.430/2/2001: Limited release of Bt-cotton in South Sulawesi
2002 Ministry of Agriculture Decision Nomor 03/Kpts/KB.430/1/2002: Limited release of Bt-cotton to be planted in 7 regencies in South Sulawesi
2003 Ministry of Agriculture Decision Nomor 102/Kpts/KB.430/2/2003: Limited release of Bt-cotton in 9 regencies in South Sulawesi
2011 Decision of Head of Food and Drugs Agency No. HK.04.1.52.02.11.01383: Permit for distribution of Corn event MON 89034Decision of Head of Food and Drugs Agency No. HK.04.1.52.02.11.01384: Permit for distribution of Corn event NK 603Decision of Head of Food and Drugs Agency No. HK.04.1.52.04.11.03588: Permit for ditribution of Soybean event GTS 40-3-2 and Soybean MON 8978d
Minister of Agriculture Decision Nomor 2464/Kpts/PD.620/5/2011: Feed Safety of Ronozyme AX (CT)
Output of current policies on Biotech
Closing Remarks
• Socio-economic consideration should be understood within the broader context of undertanding of inter-relationships between biotechnology and its environments (one is socio-economic).
• Revolution in Agriculture:– from hunting and gathering to slash and burning (shifting)
agriculture
– from shifting agriculture to agriculture
– from traditional agriculture to industrialized agriculture
– from industrialized agriculture to scientific based agriculture• Biotechnology revolution
• Revolutionary agriculture
• Need new Norms, Laws, Policy and Regulatory for better future for all people in this one only PLANET for all of us