Bollgard cotton boosts revenue of farmers by Rs 2100 crores

Second IMRB nationwide survey reconfirms benefits of Bollgard cotton for the fourth successive year

Mumbai, March 31, 2006 – Farmers who planted Bollgard cotton earned an additional Rs. 2100 crores (US$ 477.8 Million) in income based on 3.125 Million acreage penetration for the 2005 crop.

IMRB International interviewed 4799 farmers across 31 cotton growing districts in Punjab, Haryana, Rajasthan, Andhra Pradesh, Karnataka, Tamil Nadu, Madhya Pradesh, and Gujarat. This survey reconfirms that for the fourth successive year, the benefits of Bollgard cotton to Indian farmers included better yields, reduced pesticide use and higher profits.

The survey estimates that there has been a 64 percent or 4.16 quintals per acre increase in Bollgard yields, when compared with conventional cotton. The net profit increase for farmers using Bollgard is Rs. 6727 per acre or over 118 percent. Another key finding is the reduction of an average 2.4 pesticide sprays against bollworm that translates to a 25 percent reduction in total pesticides spend.

Benefits of Bollgard over Conventional Cotton

Conventional Bollgard Benefit Net Revenue (Rs/Acre) 5683 12410 6727 % Gross Revenue Benefit 118% Yield (Quintals/Acre) 6.54 10.7 4.16 % Yield Benefit 64% Number of Sprays against Bollworm 5.1 2.7 2.4 Total Reduction in Pesticides Spend 2133 1582 551 (Rs/Acre) % Reduction in Pesticides Spend 25% Source: IMRB International, March, 2006

- 1 - According to Mr. Nikhil Rawal, Senior Vice President & Executive Director, IMRB International, “This second IMRB survey of Bollgard has reconfirmed for us the earlier findings that farmers stand to benefit from the usage of this technology. A total of 31 districts were covered as part of the out of the 80 cotton districts across cotton growing states in . Better yields and less pesticide usage have been the key triggers for farmers choosing Bollgard over conventional cotton.”

After Maharashtra Hybrids Seeds Co Ltd (Mahyco) received regulatory approval in March 2002, Mahyco Monsanto Biotech (India) Ltd (MMB) sold 72,000 acres of the three approved Bollgard hybrids in the first year. In 2003, the second year of launch, the acreage under Bollgard cotton increased three-fold to 230,000 acres. In 2004, Rasi Seeds received approval for one hybrid and Bollgard sales rose to 1.3 million acres, a six-fold increase over the previous year. Bollgard was planted in India by approximately 350,000 farmers in 2004. In 2005, 20 hybrids of Bollgard including three approved hybrids of Ankur Seeds and two hybrids of Nuziveedu Seeds were planted across all nine cotton growing states with a million farmers planting it on 3.1 million acres. This increase in acreage and number of farmers adopting Bollgard is a testament to the continuing success and acceptance of the technology in India.

According to the ISAAA (International Service for the Acquisition of Agri-Biotech Applications) Report ‘Global status of commercialized biotech/GM crops: 2005,’ “India had the highest percentage year-on- year growth among biotech crop countries in 2005 with a 160 percent increase in Bt cotton hectares over the previous year.’ The report further says, “India increased the area planted to Bt cotton from 500,000 hectares in 2004 to 1.3 million hectares in 2005. Increased plantings of Bollgard also led to an increase in the national average of mean lint yield (kg per hectare) from 460 in 2004 to 465 in 2005. Biotech crops were grown by approximately one million resource-poor farmers whose increased incomes from biotech crops contributed to the alleviation of their poverty.”

IMRB International (a part of the WPP’s of Companies) was established in 1971 and has over three decades of experience. Associated with a group of international market research companies such as the British Market Research Bureau (BMRB) and Millward Brown International, IMRB International operates out of 15 cities in India and has associate offices in and Bangladesh.

MMB is a 50:50 marketing JV between Mahyco and Monsanto Holdings Private Limited. MMB has co- licensing agreements with a number of Indian cotton seed companies to bring Bollgard to Indian farmers.

For further information, please contact:

Mr. Nikhil Rawal, Sr. VP & Executive Director, IMRB International [email protected]

Sarita Bahl Senior Manager – Public Affairs, MMB Telephones: (D) 022 – 2824 7217, (M) 0-98206 67334 [email protected]

- 2 -