sustainable cotton production of cotton-bayer

8/2/2019 Sustainable Cotton Production of Cotton-BAYER

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Bayer CropSciences contribution to

SUSTAINABLE

COTTON

PRODUCTION


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2.

3.

4.

5.

1. Introduction 41.1 Sustainable Development in Cotton 61.2 Bayer CropSciences Cotton Technologies and Solutions 7

Economic Viability 10

2.1 Economic Viability or Farmers 11

2.2 Economic Viability or Spinners and Merchants 14

Environmental Protection 16

3.1 Biodiversity 17

3.2 Water Use Eciency and Protection 19

3.3 Climate Change 20

3.4 ICM (Integrated Crop Management)/

IPM (Integrated Pest Management) 21

Social Equity 22

4.1 Employment and Job Creation 23

4.2 Health, Hygiene and Education 24

4.3 Labor Conditions 25

Conclusions 26

Content


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1. IntroductionSustainable Development was defned in 1987 by the Brundtland

Commission as: meeting the needs o the present without

compromising the ability o uture generations to meet their

own needs.1 In essence, sustainability strives to balance

environmental, social and economic considerations.

1United Nations. 1987. Report o the World Commission on Environment and Development,

General Assembly Resolution 42/187, 11 December 1987.

Or put in other words: Financial prosperity in the

long-term cannot be achieved at the expense

of the planet (environmental) or the people (so-

cial). The right balance has to be struck. Sustainability

makes perect business sense and it will continue to

be a dening characteristic o successul businesses

o the uture. An image commonly used to depict the

three dimensions o sustainable development is The

Three Pillars o Sustainable Development. It high-

lights economic sustainability, environmental protec-

tion and social responsibility. For Bayer CropScience,

sustainability is achieved when The Three Pillars o

Sustainable Development work in concert.

Our customers range rom small-scale armers with

less than one hectare o land, to large agricultural

business operators managing thousands o hectares.

Their needs and preerences are dierent. However,

our vision is the same or the whole spectrum o cus-

tomers, namely; to enable them to produce affordable

and good quality food and non-food crops in a socially

equitable, environmentally responsible and economi-

cally viable way.

Bayer CropSciences contribution to sustainable agriculture

nImproving eciency andproductivity o arming toensure the sucient supplyo aordable ood

nOptimizing natural resourceutilization on company sitese.g. water and energy

nReducing pre- and post-harvest losses

nTargeted pest management toreduce environmental ootprint

nImproved armland productivityconserve wildlie habitats

nProtecting & enhancing viableecosystems

nProviding consumers withdiverse aordable, high qualityproduce all year round

nImproving amers quality o lieand livelihood, which benetscommunities

nImproving health and hygiene,thus peoples quality o lie andliving standards

Economy Ecology Society

All targets are o equal importance

Sustainability o agriculture requires innovation

Sustainable Agriculture

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Global population growth is expected to reach

9 billion by 2050 and agricultural production

will need to double by then2. To meet the in-

creased demand or ood, eed, energy crops and also

bers, the ecient use o all options and the most ap-

propriate agricultural technologies is critical, within the

context o sustainable land management approaches.

Technological advances in cotton production eciency

between 1996 and 2006 have enabled increased yields

o 15%3 but using less land globally minus 1.8 million

hectares and with ewer inputs4. Advances in cotton

production have been achieved by using improved

varieties (including through sophisticated breeding),

integrated pest and nutrient management, and more

ecient irrigation and mechanization. These technol-

ogy packages and new breakthroughs in breeding will

enable cotton to continue on a path o increasing and

more ecient productivity while addressing all the three

sustainability dimensions that include social accep-tance, environmental health and economic benets.

Bayer CropScience, through its technologies and solu-

tions, makes an important contribution to optimizing

resource-use through eciency gains across the whole

lie-cycle o cotton production, rom the eld to the spin-

ning mill and through to the department store, and this

contributes to sustainable production and consumption

o cotton.

The Three Pillars o Sustainable Development provide

the ramework to understand how the company ap-

proaches cotton production and strives to achieve

a balance between the requirements o armers, ag-

riculture businesses, spinners, consumers and other

stakeholders. As a leader in cotton seeds, traits, crop

protection and harvest aids, Bayer CropScience con-

tributes to the sustainability o cotton production and

manuacturing by oering integrated technology pack-

ages that assure high-quality cotton ber downstream.

Introduction

1.1 Sustainable Development in Cotton

Through high investment in R&D, Bayer

CropScience oers a broad range o cotton

technologies and approaches that respond to

armers needs, including seeds, traits, crop protection

and services. The core research platorms include yield

and quality perormance, as well as plant health. In the

uture, urther improvements will be achieved through

innovative crop protection products, plant breeding and

the use o plant biotechnology. Stress tolerance is one

trait that is currently being developed.

Bayer CropScience boasts several cotton seed brands

(GM and non GM) adapted to geographies that are in-

tegral components o sustainable cotton production

FiberMax, Stoneville,AFD, and Surpass.

In particular, FiberMax cotton seed varieties, available

in the US, Mexico, Brazil, Spain, Greece and Turkey,

have created entirely new opportunities or armers who

want to grow high-yielding, high-quality ber.

FiberMax cotton varieties have a longer staple length

and better strength, both o which attract price premi-

ums. In addition to ber quality, Bayer CropScience

also oers the Certifed FiberMax program, the only

process o its kind that enables the certication o ber

rom the eld, all the way to the mill. When a grower

certies a bale o FiberMax cotton, that cotton be-

comes a value-added product desirable to down-

stream manuacturers and stakeholders. The Certifed

FiberMaxprogram gives an added layer o account-

ability as cotton purchasers are guaranteed that their

product is made rom 100 percent FiberMax cotton.

Conceivably, i a customer wanted to know how and

where the cotton ber was produced, the cotton pur-

chaser could track this inormation.

FiberMaxvarieties have had a proound impact on im-

proving ber quality within regions, most notably in Texas,

USA, where it has gained a signicant market share.

Caliornia is characterized by the production o Extra

Long Staple cotton (the term staple reers to ber

length), known as Pima (Gossypium barbadense). Up-

land cottons (Gossypium hirsutum) tend to be classied

as short to medium staple and they are grown in the

other regions o USA, including Texas and the Missis-

sippi Delta.

In ten years, FiberMax was able to achieve a 34.5%

market share in the USA, mainly through its devel-opment in Texas. The improvement in ber length

observed in Texas is directly linked to the development

o FiberMax varieties. These varieties now even chal-

lenge Pima varieties with respect to ber length.

In 2004, R&D in cotton traits provided the LibertyLink

gluosinate-tolerant technology, which gave armers in

the USA the option o using Ignite herbicide (gluosi-

nate), which particularly improved weed control in areas

experiencing weed resistance to glyphosate.

1.2 Bayer CropSciences Cotton Technologies and Solutions

Average Fiber Length in US Growing Regions

1 99 8 1 99 9 2 00 0 2 00 1 2 00 2 2 00 3 2 00 4 2 00 5 2 00 6 2 00 7

CaliorniaTexas Delta

32

seconds

ofan

inch

30

31

32

33

34

35

36

37

38

39

US Planted Cotton Acres

Success story o FiberMax in the US

2United Nations

3http://www.pgeconomics.co.uk/pd/GM_Crop_yield_summary.pd

4The Role o Biotechnology in Improving the Sustainability o Cotton, Cotton Incorporated, Cantrell

Data: USDA reports (1998 - 2009)

FiberMax

1998 2000 2002 2008 200920062004

50%

40%

30%

20%

10%

0%

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Uncontrolled Admire treated at 200g/ha

Introduction

In 2009, the GlyTol glyphosate-tolerant technol-

ogy achieved regulatory approval and is expected

to be released in the USA in 2010, along with a

stacked5 herbicide-tolerant technology with both Gly-

Tol and LibertyLink traits. Through the introduc-

tion o these two traits into the same cotton variety,

both glyphosate and Ignite herbicide can be used

throughout the season. This combination o traits gives

growers protection o their investment in situations with

resistant weeds. Furthermore, it provides armers with

fexibility in their weed management programs and

with the reedom to tank-mix with other crop inputs,

thus reducing uel costs as less tractor operations

are required. The stacked GlyTol and LibertyLink

traits are scheduled to be launched in major cotton

production areas o the world.

In addition to herbicide-resistant technologies, Bayer

CropScience has a number o new traits in its researchpipeline, including: TwinLink, a dual-gene technology

imparting crop resistance to devastating insect pests,

and stress tolerance technologies that will help over-

come abiotic stresses (the harming eect o non-living

actors such as drought, heat, cold and salinity) and bi-

otic stresses (the harm caused by living organisms such

as viruses, ungi, bacteria and harmul insects).

In addition to yield and quality perormance increases,

urther technology developments include research on

cotton hybridization, fber quality improvement and

nitrogen-use efciency.

Pest management, harvest and boll-opening aids

are well recognized by armers as important tools in

sustainable cotton production. From early seed-ap-

plied insecticides/nematicides, such asAeris, to late

harvest aids, such as Finish, Bayer CropScience pro-

vides armers with innovative tools to manage diseases

and an array o pests such as nematodes, sucking in-

sects, bollworms, armyworms and mites, thus overall

improving the yield and quality o their crop.

Since 2007, Mealy Bug (Phenacoccus & Maco-

nellicoccus spp) had been causing commercial

losses up to 25% o cotton yield in West & North

Provinces in India. Farmers awareness about the pest

was low and the scientic community and extension

services had given ew recommendations. Responding

to the new threat, Bayer CropScience took the lead by

producing a technology package or Mealy Bug con-

trol. It consists o an Integrated Pest Management (IPM)approach including sanitation o the eld, weed control,

scouting o the pest and the management o the pest

throughAdmire (Imidacloprid 70WG).

Besides ensuring crop health, achieving a uniorm cot-

ton crop is o economic importance and can be at-

tained by using a growth regulator such as Stance,

which generates crop uniormity by managing vegeta-

tive growth. It is most eciently used on large elds,

such as the ones in the USA.

5Stacking: the benets o co mbined traits include the more ecent use o crop protection products.

Also, they can be an excellent tool or resistance management.

Cotton producing areas in the world

Control o Mealy Bug

In some countries, armers receive severe quality pen-

alties due to cotton contamination with desiccated

lea material. The green lea drop and a high level

o re-growth is managed through boll openers and

deoliants, (Prep/Finish/Ginstar/Dropp) which

contribute to a quick and simultaneous boll opening and

deoliation. This allows or clean boll picking and hence

ensures that both the quality and quantity o the ber is

maximized, while assuring a cleaner turnout and better

price or the armer at the gin.

Stance also provides cotton ber quality enhancement,

as it channels the crops resources by increasing its vigor

towards the ber. Extensive trial work in the USA has

shown that in more than hal o all comparisons under-

taken with competitive treatments, Stance provides an

economic advantage via premiums in staple length.

To acilitate mechanical harvesting, harvest aids, or ex-

ample to remove leaves, are used on cotton in many

countries such as the USA, Mexico, Brazil, Turkey and

Central Asia. Beside this, Bayer CropSciences harvest

aids can be used as harvest management tools to sched-

ule the harvest timing, which allows or optimal and e-

cient use o water, expensive machinery and labor.

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Cotton armers around the world are clearly critical

players in the cotton supply chain. Optimizing

yield per hectare is essential i a armer is to

compete in the global market. In the last 20 years, the

world average cotton yield has steadily risen rom 555

kg/ha to 776 kg/ha6. Productivity increases per hectare

are the only way to increase output, as armland around

the world is limited. In addition, climate change and

its related eects such as water scarcity and the shit

towards a more bio-based economy, puts an additional

burden on agricultural production. Put simply, armers

will have to produce more and on ewer hectares to

meet the increasing world demand or ber.

The widespread adoption o technologies such as

herbicide tolerance and insect resistance refect

the benets gained by armers through higher

eciency: costs are saved, stable production ensured,

labor reduced and environmental health maintained.

Whether the input is a seed, a trait, a crop protection

or a harvest aid product, water, energy or labor, armers

strive or the best return on investment (ROI) that keeps

their operations in business.

2. EconomicViabilityFinancial prosperity in the long term cannot be achieved at the

expense o the planet or society. However, the economic viability

o cotton armers, spinners and merchants, or consumers and

solution-providers like Bayer CropSience is a shared value that can

be achieved, while advancing social and environmental objectives.

2.1 Pillar 1: Economic Viability or Farmers

6Source: http://www.as.usda.gov/cotton_arc.asp

World cotton lint average yield in kg/ha increase during the last 20 years

Average yield 1987 - 1989 Average yield 2006 - 2008

776

+40%

100

800

700

600

500

400

300

200

0

555

Data: USDA reports (1987 - 2008)

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Economic Viability

One example is the introduction o FiberMax in the US,

Texas cotton armers have increased their annual arm

income substantially because o improved ber quality

and yield. For the years 2004 to 2006, FiberMax vari-

eties increased Texas cotton armers income by 4.84%

(3 year average)8.

Much o the cotton in Arica is grown by

smallholder armers, mostly on less than one

hectare. Poor yields and lint quality result

in low and uncompetitive arm revenue. The reasons

include a lack o an organized cotton-seed-handling

inrastructure, accompanied by cross-border/region

seed-cotton trading that leads to loss o varietal purity.

Poor seed storage at the ginnery level leads to low andbad quality germination rates. Furthermore, the lack o

de-linting acilities leads armers to plant uzzy seeds

whose germination state is not easy to determine.

Finally, the soil and seed-borne diseases such as

Rhizoctonia solani (damping o) and pests such as

Arican bollworms, white fies, leahoppers and aphids,

contribute signicantly to reduced cotton yields.

India cotton yield (kg/ha)

8Improved Cotton Quality Boosts Growers Income, Texas Cooperative Extension, Texas A&M University, 2007

kg/hectare

Season ending mid-year

Data: Cotton Corporation o India Ltd. 2009

100

700

600

500

400

300

200

0

98 99 2 000 01 02 03 04 05 06 07 08 09979695949392918171611951

7PSD Online - USDA

In cotton production, as in any undertaking, the least

expensive business decision does not necessarily

yield the best results. Thereore, armers are willing

to invest in technologies, practices, services and knowl-

edge acquisition that will give them the greatest benet.

A case in point is the rapid adoption in India o Bt

cotton. Since its commercial introduction in 2002, In-

dias total cotton production has nearly doubled rom

2.573 million tonnes (three year average prior to Bt

introduction) to 5.072 million tonnes (three year aver-

age or 2006-2008), making India the second largest

cotton-producing country in the world and a net ex-

porter rather then a net importer o cotton. Average

yield has increased rom around 300 kg/ha in the years

prior to Bt, to 536 kg/ha in 20087, with mainly small-

scale armers beneting rom the technology imple-mentation. While various other actors contributed to

productivity increases, including improvements in ge-

netics and plant breeding, biotech varieties are respon-

sible or the most substantial share o this yield increase.

The strong increase o cotton production in India was

supported by the government with the launch o the

Cotton Technology Mission with the aim o making

Indian cotton production competitive in the world mar-

ket by increasing productivity and improving the quality

and uniormity o its cotton throughout the value-chain.

Within this ramework, Bayer CropScience participates

in a multi-stakeholder partnership led by the Cotton

Corporation o India (CCI). The goal is to promote and

implement sustainable cotton cultivation with contract

armers and linking their production with specied mar-

kets or them to gain maximum value or their eorts.

Since the initiation o the program in about 300 villages

in some districts o the States o Haryana and Andhra

Pradesh, average yields and net incomes among con-

tract armers have signicantly exceeded those o non-

contract armers.

While cotton armers see the benets o investing in

agricultural technologies that contribute to a avorable

return, they are also looking or ways to lower costs or

inputs such as water and energy. At a given yield level,

less irrigation or ewer tractor operations and less labormean higher prots.

In addition to yield increase, armers strive to achieve

high ber quality, both to maximize their price at the

gin and to respond to world market needs that are in

line with state-o-the-art spinning mill requirements.

The ability to produce the right ber quality is hence a

prerequisite to satisy downstream customers and or

the cotton armer to stay in business.

Governments are responding well to this down-

turn by orming Cotton Boards to revive the

cotton industry and by collaborating with

stakeholders to ensure the crop is revitalized. As a

partner in this approach Bayer CropScience has con-

tributed signicantly to the industry revival with an acid

seed de-linting system and a seed treatment technol-

ogy via Monceren GT 390 FS (a ungicidal and in-

secticidal combination product). It has enhanced pro-

ductivity potential by up to 40% so that armers oten

reer to the healthy dressed seed as magic seed. It

has also reduced the seed application rate rom about

40-50 kg to about 10 kg per hectare. Finally, Bayer

CropScience training on pest scouting is helping the

armer judge i, and when, product application is need-

ed, thus avoiding unnecessary applications while pro-

ducing high quality cotton. To urther complement thetechnology package or armers, Bayer CropScience is

also considering introducing new adapted cotton seed

varieties. Overall these contributions are improving

armers livelihoods through economic benets rom

increased productivity and ecient use o resources.

Steve Manonge at armers training in Zimbabwe

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When raw cotton prices increase to levels that challenge

cottons cost eectiveness, textile mills will switch to

lower price bers or decrease their production o cotton

yarns and abrics. Thus, or cotton merchants to remain

in business, they must be able to meet the demands o

spinning mills. Initiatives such as Certifed FiberMax,

which simultaneously help armers and merchants

capture the value potential o FiberMax and help to

ensure cotton consistency and quality, also support

meeting spinning mill quality expectations.

For the past years, we at Bayer CropScience have

reached out to mills worldwide and shared with them

the benets and attributes o FiberMax cotton. We

have sponsored Cotton Quality Summits in key mar-

kets around the world, which brought together expertsrom every aspect o the value chain to discuss the

business o supplying and producing premium quality

cotton. Additionally, we have worked closely with these

downstream customers to learn what they are looking

or in cotton ber so we can best meet their needs.

Economic Viability

Cotton spinners and merchants are vital to the

international cotton trade. They purchase cot-

ton bales rom armers and sell them to spinning

mills, thus meeting market demands around the world.

Economic viability or them relies on a stable supply

o high-quality cotton at reasonable prices.

With this in mind, increased productivity and high ber

quality help meet the needs o cotton spinners and mer-

chants. For the past ve years, the planted cotton area

around the world has decreased while the combined

area planted to corn and soybeans has increased9. As

more hectares are planted to ood, eed and energy

crops, cotton land must produce reliable and higher

yields to assure supply. As new cotton traits, varieties,

and crop inputs help armers increase yields, thesesame elements have a trickle-down eect on cotton

merchants by providing the reliable supply they need.

O course, demands by spinning mills are the other

side o the equation: Spinning mills must source raw

cotton ber to meet the needs o consumers. Spinners

demand the highest quality ber that allows or prot-

ability. Availability o reliable, high quality ber aects

the value o yarns and abrics but also processing

eciencies and ber mill waste. A cotton merchant,

thereore, must meet spinners needs by providing the

best possible quality.

2.2 Pillar 1: Economic Viability or Spinners and Merchants

9U.S. Department o Agriculture, Foreign Agricultural Service

nProviding technologies to produce premium fber quality

nIncreasing agricultural efciency and productivity

nOptimizing natural resource use such as water and energy

nCreating win-win solutions by partnering within the value-chain

nReducing pre- and post-harvest losses

Bayer CropSciences contribution to economic viability

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All agricultural activities are conversions o nat-

ural ecosystems meant to address the ood

and non-ood crop demands o a rising world

population. Biological diversity, commonly called bio-

diversity, serves important unctions that enhance the

environmental resource base upon which agriculture

and cotton production depend. It is in the best interest

o armers to conserve and enhance the production

base upon which they rely. The ability to produce more

on less land has been made possible by state-o-the-art

technologies and good agricultural practices adopted

by armers. Looking at production and land-use data

rom the USA in 1926 is inormative because that period

is characteristic o production practices still used in

some parts o the world today. The data comparisonbetween 1926 and 2006, however, indicates the po-

tential or improvement in cotton production eciency10

and with that the amount o land that could be saved

or biodiversity conservation.

3. EnvironmentalProtectionThe lie-cycle approach to cotton production and consumption must

also be environmentally healthy. Cotton production must use water

more efciently and maintain the unctional integrity o soil and eco-

systems. Maintaining environmental health requires armers to use

technologies more efciently, while still producing an economically

viable crop. In addition to providing technology packages and knowl-

edge to armers, Bayer CropScience delivers solutions or environ-

mental sustainability via a lie-cycle approach rom R&D through

production, packaging, distribution and use.

10http://www.cottoninc.com/Habitat-and-Biodiversity/Cotton-Production-Eciency/

11A. Dollacker, Pfanzenschutz-Nachrichten Bayer 59/2006, 1 p 123 Conserving biodiversity alongside agricultural protability through integrated

R&D approaches and responsible use o crop protection products

3.1 Biodiversity

Biodiversity conservation not only reers to land

conserved or habitat, it can also be managed

within elds by choosing the right practices.

Targeted use o crop protection products such as via

seed treatment restricts product use to individual seeds.

In cotton,Aeris, a seed-applied insecticide/nematicide

is an example o this technology that benets biodiver-

sity in several ways. The obvious benet oAeris is the

replacement o 2 to 3 oliar applications that would have

been needed to control early season pests. Non-target

and benecial organisms living in or around the cotton

eld remain largely unaected by seed application. Only

pests that harm the crop by sucking, biting or invading

are managed11. Also, reductions in tractor uel, water

use and labor are achieved through this technology.

=Seed treatment is equal to 2 - 3 whole area treatments

Area (M Acres)

Source: USDA NASS Database

50

40

30

20

10

0

1926 2006

Production (M Bales)

Seed treatment Whole area treatment

Improvement o cotton production

efciency in the US

16 17


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Today, through improved knowledge o interrela-

tionships in cotton production, more ne-tuned,

integrated crop management approaches that

balance the economic, social and environmental dimen-

sions o sustainability are adopted. Farm practices such

as conservation agriculture (reduced tillage), oten a-

cilitated by herbicide-tolerant seeds, have many positive

eects. Conservation agriculture prevents soil erosion

and water loss, as about 70% o crop residues remain

in the topsoil and 30% on the surace. This increased

organic material provides improved habitat conditions

or birds, small mammals and many soil organisms12 that

benet biodiversity conservation in the eld.

The introduction o biotech crops, in particular insect

resistant cotton varieties, has had a positive impact.

According to a 2005 study major environmental gains

(measured as Environmental Impact Quotient) have

been derived rom the adoption o biotech insect resis-tant cotton because o a signicant reduction o vol-

umes o insecticides applied13.

One o the main sources o biodiversity loss are

Invasive Alien Species (IAS)14. These are spe-

cies whose introduction and/or spread outside

their natural habitats threaten biological diversity in other

ecosystems and which are out-competing native spe-

Environmental Protection

3.2 Water-Use Efciency and Protection

15Food and Agriculture Organization, United Nations

16Hoekstra, A. Y. and A. K. Chapagain. 2007.

Water ootprints o nations: Water use by people as a unction o their consumption pattern. Water Resource Management 21:3548.17

Conservation Technology Inormation Center

Building on cottons inherent ability to withstand drought

conditions, Bayer CropScience in its cotton breed-

ing program is developing improved stress-resistant

and drought-tolerant varieties. These eorts include re-

search in stomatal response, which causes a aster and

tighter closing o the stomata during drought situations,

and stomatal density, which lowers stomatal density

with compensatory higher photosynthetic capacity.

Further technology developments in the pipeline include

disease resistance and better nutrient uptake, which will

improve a plants resilience, including to the water st ress

occurring through climate variability.

In addition to plant breeding, crop protection products

play a major role in water resource management. Not

only do healthy plants use water more eciently, butherbicide-tolerant production systems such as Liberty-

Link and GlyTol technologies allow growers to man-

age weeds using conservation agriculture (reduced- or

no-till production systems), which increases the organic

matter o soils and, with that, water retention capacity.

These weed management tools also prevent weed com-

petition or water17.

I current trends continue, water shortages in agricul-

ture are predicted to be the single most signicant

constraint acing crop production over the next 50

years. Around 70% o global resh water withdrawal is

currently used or agriculture15. Improved water man-

agement or agricultural production must, thereore,

be a top priority.

While the eciency and use o irrigation water merits

the highest attention or action in agriculture, water-

collecting technologies in rain-ed agriculture, creating

rainwater reservoirs and improved land management

systems, such as conservation tillage, can help to maxi-

mize the crop per drop.

Physiologically, a cotton plant is a hardy organism pre-

disposed to enduring periods o drought. Though thecotton plant can survive dry conditions, it responds a-

vorably to optimum water inputs. Cottons global water

ootprint is 2.6 percent o the worlds water-use, which

is less than other major commodities, including soy-

beans (4 percent), maize (9 percent), wheat (12 percent)

and rice (21 percent), but sizeable nonetheless16.

Conservation tillage reduces soil erosion and encourages the creation o new soil

12Conservation Technologies and the Plant Science Industry, CropLie International, September 2005 www.croplie.org

13GM Crops: The global economic and environmental impact or the rst nine years 1996-2004, Brookes and Baroot

14World Summit on Sustainable Development, Johannesburg Plan o Action, 2002

http://www.un.org/esa/sustdev/documents/WSSD_POI_PD/English/POIToc.htm

cies or ood and other resources and oten disturbing

ecosystem balance and agricultural production. Their

spread may increase with climate change and impede

agricultural productivity in many areas. As IAS become

new pests in countries where they were previously not

ound, crop protection products and complementary

management approaches provide solutions or manag-

ing these new crop pests and help reduce the damage.

On top o the eect on biodiversity IAS account or sig-

nicant economic losses. According to one estimate

the global economic burden caused by IAS could be

US$1.4 trillion, which represents 5% o the global GDP.

The annual environmental losses caused by introduced

agricultural pests in the United States, United Kingdom,

Australia, South Arica, India and Brazil have been calcu-

lated at over US$ 100 billion.

One such IAS is the cotton boll weevil. Although it hasalmost been completely eradicated in the USA, it was

detected in Brazil in 1983 and since then has spread to

many regions o that country. Both adults and nymphs,

cause signicant crop losses not only by damaging the

ruit and causing wilt but also by irregular maturation o

ruit. Bayer CropScience provides a series o solutions

as well as knowledge and expertise to help manage

various IAS.

Bayer CropSciences technologies are helping to make agricultural production

more resource efcient a value added in terms o biodoversity

Impact o seed treatment on Climate Protection, Water Management and Labor Savings

Seed treatment saves ossil uel use, which reduces greenhouse gas emissions.

It also saves water and reduces working hours.

Savings or 0.5 mio ha/year Savings or 100 ha/year

Fossil uel:

2 million liters(this equals a reduction in GHG-emissions

o ~ 2000 cars/year)1

Water:

200 million liters2

(this equals 100 olympic swimming pools)

Time:

86 working years3at 8 hours/day

Fossil uel:

400 liters

Water:

40,000 liters

(this equals the volume o 266 x 150 liters baths)

Time:

6.25 working days at 8 hours/day

1http://www.llh- hessen.de/landw irtschat/bw_ vtec/vtec/ text63.htm about 2 liters uel used per spray2average spray water use per hectar 200 liters (saving two sprays)

3http://www.ktbl.de/betrieb/archiv/bewirtschatung.pd about 15 minutes per spray (with 12m large sprayer)

18 19


11/17

The Bayer group has developed a Climate Pro-

gram, which takes an ambitious stance towards

minimizing its total corporate carbon ootprint.

The Group is to increase energy eciency in produc-

tion by 10 percent through 2013 compared to 2008, cor-

responding to specic reductions in greenhouse gases

o 350,000 metric tons annually. Bayer CropScience

recognizes the potential impact o climate change on

agriculture and, with that, on cotton production. Its tech-

nologies help and will urther support cotton armers in

the uture to adapt to changing weather conditions.

Agriculture impacts upon climate change just as climate

change impacts upon agriculture, including cotton pro-

duction. Climate change is driven not only by an in-crease in average global temperatures but also by a rise

in soil temperature. Other consequences are increased

incidences o extreme weather conditions such as heat,

drought, foods and salinity, which already heavily im-

pact upon agriculture in many regions18. These abiotic

stresses especially aect plants as they are dependent

so much on dened climate conditions.

Adaptation measures in agriculture are essential to ad-

dress vulnerability and prevent decreases in productivity

in many regions around the world. Overall healthy and

more vigorous crops are more resilient and hence more

adaptable to climate change eects. Current climate

change adaptation technology developments at Bayer

CropScience include stress tolerance in cotton and re-

search to identiy genes more tolerant to drought and

moisture adaptability.

Agriculture is responsible or about 14% o total global

Greenhouse Gas (GHG) emissions rom a variety o

sources, and discussions are underway at the policy

level on how to include agriculture in GHG emission

mitigation andsequestration. Irrespective o these dis-cussions armers can contribute to emission reductions,

or instance by reducing ossil uel use, which makes

Environmental Protection

3.4 Integrated Crop Management / Integrated Pest Management

versity by preserving a variety o benecial insects that

aid in managing economically important insect pests.

Insecticides with a high specicity against pests are

now being incorporated into the cotton IPM approach.

Currently Bayer CropScience is in the process o in-

troducing innovative insecticides/miticides in cotton,

which belong to the new chemical classes Ketoenoles

and Diamides. These products (Movento, Oberon,

Belt) not only provide new modes o actions or insect

control, they also protect many benecial insects occur-

ing in cotton (such as earwigs, predatory bugs, larvae

o ladybird beetles, hoverfies and lacewings). Thereore

these products have an excellent t in IPM programs.

Within Research & Development Bayer CropScienceis testing its new products on benecials in laboratory,

greenhouse and eld studies, like or instance in cotton

at its eld testing station in Paulinias (Brazil).

Integrated Crop Management (ICM) is a concept that

balances the three dimensions o sustainability and

sets a ramework o Good Agricultural Practices

(GAP). These comprise a wide portolio o measures

such as soil and nutrient management, seed choice and

pest control. Within ICM, pest control is reerred to as

Integrated Pest Management (IPM). IPM includes both

indirect measures or weed, insect and disease preven-

tion, such as crop rotation, and direct control measures

through biological, biotechnological, chemical and me-

chanical means.

Bayer CropScience products and services can contrib-

ute substantially to eective ICM and IPM programs.

The combination o breeding and crop protection re-

search provides tools to manage weeds, pests and dis-eases in an integrated way. The IPM approach can be

best demonstrated by the case o seed treatment (as

described above). This approach also promotes biodi-

3.3 Climate Change

18IPCC 4th Assessment Report, Synthesis Report, 2007/7. Sir Nicolas Stern: Review on the Economics o Climate Change.

(2007-01) Annex 7.g http://www.hm-treasury.gov.uk/stern_review_report.htm

http://www.hm-treasury.gov.uk/d/annex7g_agriculture.pd

perect business sense as it saves armers costs. As

mentioned above, crop health management practices

such as seed treatment avoid up to three whole area

treatments in eld crops and hence save tractor uel

use. Conservation agriculture (minimum or reduced

tillage) also reduces the number o tractor operations

and avoids GHG emissions. This agricultural practice,

supported through herbicide tolerant crop varieties, also

increases carbon sequestration in the soil. All technolo-

gies mentioned are, and will be, part o an incremen-

tally-growing portolio o response measures to climate

change adaptation and developments will increase as

the demand grows. The development o nitrogen use-

ecient varieties currently in its inancy would be

another tool to mitigate one o the most potent GHG:nitrous oxide (N2O). Using soil nitrogen more eciently

means less nitrogen oxide would be emitted rom soils

through its natural nitrication process.

The challenges arising rom climate change are complex,

not yet ully understood but becoming more apparent

every day. For Bayer CropScience, the challenge is to

anticipate potential uture needs o armers, or which the

company wishes to provide them with the most suitable

technology packages.

Francisco Lozano and team at feld testing station Paulinias (Brazil)

Bayer CropSciences portolio includes tools to enable adaptation to climate

change and mitigating agricultures contribution to greenhouse gas emissions.

nConserving biodiversity and habitats through increased productivity per unit area o land

nInvestigating adaptation and mitigation in agriculture in response to climate change

nPromoting Good Agricultural Practices and sustainable land management

nProtecting and enhancing agro-ecosystems health through Integrated Crop Management

Bayer CropSciences contribution to environmental protection

20 21


12/17

4. Social EquityThe social pillar o sustainability in the cotton value-chain encom-

passes aspects such as employment and livelihood improvement as

well as health, hygiene, labor conditions, education and the overall

quality o lie. Bayer CropScience, through its technologies and

innovative approaches, provides solutions to contribute to some othese aspects together with involved stakeholders and its partners

throughout the value chain.

19World Development Report 2008, The World Bank

20The Socio-Economic Appraisal o BT Cotton Cultivation in India Indicus Analytics, 2007

Economic Benets o BT Cotton Cultivation in India IMRB International, 200721

National Cotton Council22

Cotton Varieties Planted 2008, U.S. Department o Agriculture

Downstream in the cotton supply chain, jobs are be-

ing created in textile mills and cut-and-sew operations

in some o the most un derdeveloped countries in the

world. Countries such as Bangladesh, In dia and Viet-

nam have burgeoning textile industries that provide

workplaces in modern acilities.

Similarly in developed countries, rural areas can

reach their ull potential when armers prosper.

Farmers are the economic backbone o these

agricultural communities, and other industries and

businesses rely on their success. Cotton production

reinvests in the general business community, and the

impact on construction and development, retail busi-

nesses, service industries, nancial institutions andother consumer businesses is oten signicant:

In 2007, Texas cotton growers produced a crop value

o US$ 2.25 billion, supporting more than 45,000 jobs

in production, ginning, merchandising, warehousing,

cottonseed trading / processing and textile milling 21.

On the Texas High Plains, FiberMax cotton varieties

have changed the economic landscape by enabling

cotton production with higher yields and quality on

well over hal o the cotton area in Texas.22

Saving labor time is important or any armer and the

time saved will be used or other activities. In devel-

oping countries this oten supports diversication

o income rom activities other than agriculture. As

highlighted in the graphic on page 19, seed treatment

practices in eld crops, such as those used in cotton,

are an obvious way o saving labor time.

Agriculture is a major economic activity in many

countries. In the poorest countries, agriculture

accounts or 20% o GDP, and in some sub-

Saharan Arican countries where a lot o cotton is

grown agricultural GDP typically accounts or around

40%19. Indeed, three out o our people in develop-

ing countries lived in rural areas in 2002 (the latest

year or which global rural poverty data are available).

2.1 billion live on less than $2 a day and 880 million on

less than $1 a day most depend on agriculture or their

livelihoods, either directly or indirectly. Employment op-

portunities in rural areas are thereore critical or poverty

alleviation, economic growth and development. Ecient

production o high quality cotton provides armers with

livelihood improvements and can support subsistencearmers to become more commercially viable, provid-

ed market opportunities are given. Bayer CropScience

contributes to armers livelihood improvements by

providing products and services that enable them to

produce their cotton crops more e ciently.

For instance, as previously demonstrated, the intro-

duction o Bt technology in India has increased the

countrys cotton production to make it the second-

largest cotton producing country in the world. Indian

armers benet rom increased yields, resulting rom

this technology, and as a consequence the surrounding

communities also benet. With the adoption o Bt cotton

varieties, armers increased their income. According

to two studies on Bt Cotton Farming in India20, one

consequence has been a higher access to social ser-

vices. Some o the major ndings o the studies in-

clude increased maternal health-care services, higher

levels o immunizations and larger school enrollment

or the children o Bt armers as compared to non-

Bt armers. Also, Bt cotton-growing villages benet-

ed greatly rom an increased access to services such

as telephone systems, electricity, drinking water, bet-ter internet connectivity, banking services, and better

access to markets.

4.1 Employment and Job Creation

22 23


13/17

countries. This is being accomplished, or example,

by developing and introducing new active substances,

application technologies and types o packaging.

In cotton, new active substances with markedly better

risk proles, e.g. spirotetramat and fubendiamide and

their ormulations, are now available to customers in

many countries like India, Pakistan, Brazil and West/

Central Arica replace the old products that have been

withdrawn rom the market.

For Bayer CropScience sae use training o armers is

an integral part o sustainable cotton production in par-

ticular in countries with small scale armers. In India or

example Bayer CropScience participates in a multi-

stakeholder partnership supported by the government

and led by the Cotton Corporation o India (CCI) with the

primary target to increase productivity o cotton produc-

tion. Bayer CropScience was selected to provide knowl-

edge on seed choice and on Integrated Pest Manage-ment (IPM). Specially trained technical experts monitor

cotton elds on a daily basis to ensure that inputs are

properly used. Annually about 10,000 armers are di-

rectly trained through this program and each o them is

motivated to reach out to 10 additional armers, raising

the numbers o reached armers to about 100,000.

way o comparison, the typical yield beore the pro-

grams launch was between 260 and 300 packages.

In addition to the economic benets o the initiative,

experts provide saety training to ensure proper

handling o crop protection products.

In many countries Bayer CropScience, in coop-

eration with various stakeholders, runs capacity-

building programs on Good Agricultural Practices

geared to improve productivity and ensure products are

used responsibly according to label instructions. Regis-

tered and approved crop protection products have been

exhaustively tested beore reaching the market: Use-

rates per crop and application and saety instructions

are included on both product labels and other commu-

nication materials. Additional measures such as adapt-

ed application technologies and packaging innovations

support the targeted use o crop protection products.

One key element o sustainable development in cot-

ton production is innovation in pest management and

portolio evolution. Bayer CropScience only distrib-

utes crop protection products that have been granted

regulatory approval by the authorities in the countries

concerned which are sae when used responsibly and

as intended, and which pose no risk to either peopleor the environment.

The Company is aware that crop protection products

may not always be used correctly under certain cir-

cumstances in some Third World countries. This is

why the company has undertaken to gradually re-

place products in WHO Class I preerentially in these

Furthermorein 2006, Bayer CropScience and its

Indian seed company initiated the Target 400

Program, another training initiative or cotton

growers, designed to help hybrid cotton seed produce rs

increase their yields to 400 packages per acre. By

4.2 Health, Hygiene and Education

Social Equity

4.3 Labor conditions

Child labor is unortunately still deeply rooted in

many societies around the world. Bayer, and

thus Bayer CropScience as well, is strongly

committed to observing the rights o children. This

commitment is based on the Global Compact, a

worldwide initiative o the United Nations, which stip-

ulates the abolition o child labor as one o 10 prin-

ciples in the areas o human rights, labor standards,

environment and anti-corruption. Bayer is a ounding

member o the Global Compact, to which many other

companies also belong. As a clear consequence othis commitment, we do not tolerate child labor.

In India, where the child labor rate is traditionally high,

Bayer CropScience goes a step urther. In the context

o its Child Care Program that ist specially tailored to

the situation in India, the company makes sure that its

subcontractors likewise reject the use o child labor,

and also actively supports local educational opportu-

nities or children thus o ering the children an alter-

native to working in the elds. Find more inormation

at www.childprotection.bayercropscience.com

nImproving armers livelihood as a key driver o rural development

nCreating jobs in agriculture

nAddressing health and hygiene

nEstablishing knowledge and technology transer in emerging agricultural markets

Bayer CropSciences contribution to social equity

24 25


14/17


15/17

Forward-Looking Statements

This release may contain orward-looking statements

based on current assumptions and orecasts made

by Bayer Group or subgroup management. Various

known and unknown risks, uncertainties and other

actors could lead to material dierences between the

actual uture results, inancial situation, development

or perormance o the company and the estimates

given here. These actors include those discussedin Bayers public reports which are available on the

Bayer website at www.bayer.com. The company

assumes no liability whatsoever to update these

orward-looking statements or to conorm them to

uture events or developments.

Responsible or Content:

Dr. Rdiger Schaub

Global Crop Manager Cotton

Phone: +49 2173 38 7342

Fax: +49 2173 38 4952

E-mail: ruediger.schaub@

bayercropscience.com

Bayer CropScience AG

Alred-Nobel-Strae 50

40789 Monheim am Rhein

Germany

www.bayercropscience.com


16/17

Bayer CropSciences contribution to

SUSTAINABLE

COTTON

PRODUCTION


17/17

Bayer CropScience AG

Alfred-Nobel-Strae 50

40789 Monheim am RheinGermany

www.bayercropscience.com

Forward-Looking Statements

This release may contain forward-looking statements

based on current assumptions and forecasts made

by Bayer Group or subgroup management. Various

known and unknown risks, uncertainties and other

factors could lead to material differences between the

actual future results, financial situation, development

or performance of the company and the estimates

given here. These factors include those discussed

in Bayers public reports which are available on theBayer website at www.bayer.com. The company

assumes no liability whatsoever to update these

forward-looking statements or to conform them to

future events or developments.

Responsible for Content:

Dr. Rdiger Schaub

Global Crop Manager Cotton

Phone: +49 2173 38 7342

Fax: +49 2173 38 4952

E-mail: ruediger.schaub@

bayercropscience.com

sustainable cotton production of cotton-bayer

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