Ex-ante impact assessment of 3-in-1 rice

PhilRice has embarked on a seven year (2004-2011) biotechnology research to develop a 3-in-1 local rice variety by transferring the beta-carotene biosynthesis genes of golden rice (GR), tungro, and bacterial leaf blight resistance through conventional breeding techniques. The main objective of this study was to evaluate the net socio-economic impact of R and D investment in the 3-in-1 rice and its adoption in the Philippines. The study used both qualitative (e.g. tabular presentation of survey results) and quantitative techniques (e.g. Cobb-Douglas production function, eco-rating, and cost benefit analysis) at the farm and consumer levels in measuring the ex-ante impact of the 3-in-1 rice. The results indicated that the R and D and commercialization investment in 3-in-1 rice was economically viable with P309 million, net present value, and with internal rate of return of 41 percent at the most conservative assumption. In addition, the project could generate positive health impacts similar to the projected impact of GR in the Philippines of around US$16 to 88 million. The study also indicated the awareness, acceptance, and willingness to pay for GM rice among the majority of rice consumers in Metro Manila. The study recommended the following: more in-depth research on the probable impact of 3-in-1 rice in consumers' health using the Disability-Adjusted-Life-Year (DALY) methodology; implement in the interim, as a biotechnology research strategy, the development of 2-in-1 rices (GR x RTD resistant variety, GR x BLB resistant variety prior to 3-in-1 rice; develop a more proactive 3-in-1 rice information campaign, advocacy, and strategy for the commercialization of GM rices; and advocate for the continued funding of agri-biotechnology research and commercialization under PL480, ACEF, and AFMA.