The importation of the genetically-modified Bt cotton technology for local use would help save the dying Philippine cotton industry, UPLB professor Agnes Rola said.
She stressed imported Bt cotton technology is resistant to major pests like cotton bollworm and pink bollworm which is plaguing the domestic cotton industry.
Improving Philippine cotton production, Rola said, could save the country up to $75 million per year.
UPLB recently undertook a study to determine whether the imported technology could benefit the Philippine cotton industry.
Local research and development on Bt cotton is expected to cost P6 million, the study said.
Results showed that planting Bt cotton in the Philippines would significantly increase the yield and profit of farmers.
The effectiveness and efficiency of the imported technology has been proven and used in countries like China, Argentina, India, Mexico, South Africa and the US.
Commercialization of Bt cotton, the study showed, would not be costly if the regulatory compliance is not prohibitive and if the total area to be planted is not less than 5,000 hectares.
Return on investment is expected to be anywhere from 43 percent to 68 percent, a benefit cost ratio of 3.36 to 4.74, a net present value of P512 million to P574 million for a 20-year period. The payback period is five years.
For farmers, the decrease in production cost is expected to be P12,000 per hectare due to reduced use of pesticides and a 20 percent increase in yield.
Decreased pesticide use would also have a positive impact on the environment.
The study pointed out that to attain potential benefits, Bt cotton must be planted above the required 5,000 hectares.