 PRICING OF BT COTTON SEEDS IN INDIA: THE DEBATE BEHINDAnchal Arora Review of Agricultural and Applied Economics (RAAE), 2014, vol. 17, issue 2, 4 Abstract: In 2006 the state government of Andhra Pradesh reduced the Bt cotton seed prices from Indian Rs1600 to Rs750 in order to make the technology affordable and accessible to small and marginal farmers in the state and also to prevent the monopolistic market structure in the seed market. The drastic reduction in seed prices, on the other hand could affect the profitability of seed providing companies and curb their incentives to innovate in future. Recent literature has also examined the impact of price controls on diffusion of technology, revenue and profitability of seed providers. It suggests that price controls have positively impacted the diffusion of technology in India, and were also successful in increasing the revenue of seed providers in the short run. However, the impact of price controls on profitability would depend on cost conditions. In the light of the above discussion, this article attempts to discuss the debate behind price controls and draws certain policy implications pertaining to pricing of Bt seeds, which has an international policy relevance. Keywords: Agricultural and Food Policy; Crop Production/Industries; Food Security and Poverty; Research and Development/Tech Change/Emerging Technologies (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ags:roaaec:196626 Access Statistics for this article More articles in Review of Agricultural and Applied Economics (RAAE) from Faculty of Economics and Management, Slovak Agricultural University in Nitra Contact information at EDIRC. |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.