❓ Debate regarding the potential benefits and disadvantages of growing genetically modified (Roundup Ready) canola in Western Australia, focusing on price premiums and the need for field trials to inform farmer decisions.
AnsweredQoN 13Legislative Council
QuestionView source ↗
GENETICALLY MODIFIED CANOLA
I refer the minister to the world record prices achieved this week for Roundup Ready canola by Canadian farmers and the lack of any transparent premiums to Western Australian farmers. Will the minister concede that Western Australian farmers are disadvantaged by not having an opportunity to grow Roundup Ready canola in some districts, which would create a greater return to them than would any other crop or alternative land use? Hon KIM CHANCE
I refer the minister to the world record prices achieved this week for Roundup Ready canola by Canadian farmers and the lack of any transparent premiums to Western Australian farmers. Will the minister concede that Western Australian farmers are disadvantaged by not having an opportunity to grow Roundup Ready canola in some districts, which would create a greater return to them than would any other crop or alternative land use? Hon KIM CHANCE
AnswerView source ↗
It is certainly true that prices for Roundup Ready and other genetically engineered forms of canola are at record levels. Indeed, canola prices worldwide are reflecting the prices paid for all oil seeds, and the prices are very high. Of course, this applies equally to non-GE canola; it is just that canola prices are very good. Hon Anthony Fels said that there was no demonstrable premium for non-GM canola. I know that that statement has been made. It is not difficult to prove that a premium exists for one type of commodity; it is difficult to establish the reason for the existence of the premium. My information is that landed at port, Australian non-GM canola has commanded a price premium of -4 870 a tonne—that is about $A50 a tonne—consistently over the past 12 months. It is difficult to determine whether that premium has been paid because Australian canola is non-GM or for some other reason. However, there is certainly a premium in the market. The member may also ask whether that is a sufficient premium even if it were all as a result of the crop being non-GM canola, and I am not sure that I could answer that question either. Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE replied: It is certainly true that prices for Roundup Ready and other genetically engineered forms of canola are at record levels. Indeed, canola prices worldwide are reflecting the prices paid for all oil seeds, and the prices are very high. Of course, this applies equally to non-GE canola; it is just that canola prices are very good. Hon Anthony Fels said that there was no demonstrable premium for non-GM canola. I know that that statement has been made. It is not difficult to prove that a premium exists for one type of commodity; it is difficult to establish the reason for the existence of the premium. My information is that landed at port, Australian non-GM canola has commanded a price premium of -4 870 a tonne—that is about $A50 a tonne—consistently over the past 12 months. It is difficult to determine whether that premium has been paid because Australian canola is non-GM or for some other reason. However, there is certainly a premium in the market. The member may also ask whether that is a sufficient premium even if it were all as a result of the crop being non-GM canola, and I am not sure that I could answer that question either. Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
It is certainly true that prices for Roundup Ready and other genetically engineered forms of canola are at record levels. Indeed, canola prices worldwide are reflecting the prices paid for all oil seeds, and the prices are very high. Of course, this applies equally to non-GE canola; it is just that canola prices are very good. Hon Anthony Fels said that there was no demonstrable premium for non-GM canola. I know that that statement has been made. It is not difficult to prove that a premium exists for one type of commodity; it is difficult to establish the reason for the existence of the premium. My information is that landed at port, Australian non-GM canola has commanded a price premium of -4 870 a tonne—that is about $A50 a tonne—consistently over the past 12 months. It is difficult to determine whether that premium has been paid because Australian canola is non-GM or for some other reason. However, there is certainly a premium in the market. The member may also ask whether that is a sufficient premium even if it were all as a result of the crop being non-GM canola, and I am not sure that I could answer that question either. Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE replied: It is certainly true that prices for Roundup Ready and other genetically engineered forms of canola are at record levels. Indeed, canola prices worldwide are reflecting the prices paid for all oil seeds, and the prices are very high. Of course, this applies equally to non-GE canola; it is just that canola prices are very good. Hon Anthony Fels said that there was no demonstrable premium for non-GM canola. I know that that statement has been made. It is not difficult to prove that a premium exists for one type of commodity; it is difficult to establish the reason for the existence of the premium. My information is that landed at port, Australian non-GM canola has commanded a price premium of -4 870 a tonne—that is about $A50 a tonne—consistently over the past 12 months. It is difficult to determine whether that premium has been paid because Australian canola is non-GM or for some other reason. However, there is certainly a premium in the market. The member may also ask whether that is a sufficient premium even if it were all as a result of the crop being non-GM canola, and I am not sure that I could answer that question either. Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
It is certainly true that prices for Roundup Ready and other genetically engineered forms of canola are at record levels. Indeed, canola prices worldwide are reflecting the prices paid for all oil seeds, and the prices are very high. Of course, this applies equally to non-GE canola; it is just that canola prices are very good. Hon Anthony Fels said that there was no demonstrable premium for non-GM canola. I know that that statement has been made. It is not difficult to prove that a premium exists for one type of commodity; it is difficult to establish the reason for the existence of the premium. My information is that landed at port, Australian non-GM canola has commanded a price premium of -4 870 a tonne—that is about $A50 a tonne—consistently over the past 12 months. It is difficult to determine whether that premium has been paid because Australian canola is non-GM or for some other reason. However, there is certainly a premium in the market. The member may also ask whether that is a sufficient premium even if it were all as a result of the crop being non-GM canola, and I am not sure that I could answer that question either. Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is that Western Australian or Australian? Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : It is Australian canola. Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is the price different between east and west? Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : Yes, prices are different east to west. They vary, but the price I quoted was, I believe, the cost, insurance and freight price in Japan. Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon Anthony Fels : Is that ex-Newcastle or Fremantle? Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
Hon KIM CHANCE : That does not matter; it is the CIF price that I am quoting at port Japan. At port destination is the only way we can determine the differences in handling costs and freight costs. It is an interesting question, particularly now that Victoria and New South Wales have made a decision to adopt the technology. Although very little GE canola will be grown in either of those states next year because there is not adequate seed, in the season after next we will be able to determine whether a difference exists. Leaving aside the issue of market premium, which I have acknowledged is difficult to determine, the absence of field-scale trials in Australia has made it extremely difficult for us to come to any reliable estimation of the potential benefit from the adoption of Roundup Ready or any other GE form of canola. We are trying to encourage that in Western Australia, and I hope we will now see it happen on a much broader scale in New South Wales and Victoria. However, access to the facts will be extremely helpful because farmers are asked to make a big financial decision whether to adopt the technology and whether to commit to the technology-use agreement with the company Monsanto in the case of Roundup Ready. It is a very expensive decision to make. Farmers would want to make that decision on the basis of some trial information, which at the moment is absolutely denied to them.
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