Economic Impact of ban on GMOs in animal feed in Poland

In Poland, there is a limited range of produced protein feed which could constitute a valuable component for the production of animal feed. Rapeseed meal is of key importance. Its annual production amounts to 1.4-1.5 million tonnes. Also the importance of high-protein plants (legumes) has been increasing while their production, despite the additional financial aid, is still relatively low and does not exceed 350 thousand tonnes. The supply from domestic production covers the increasing demand for high-protein components only partially (24-28%). The occurring deficiencies are covered by supplies obtained from import, which in the 2014/2015 season reached 3.29 million tonnes, including 2.08 million tonnes of soybean meal. In a large majority (95-98%) this is GM soybean meal obtained chiefly from South America and the US. The share of imported raw materials in the structure of their consumption is 72-76%, including soybean meal amounting to approximately 56%. The share of fodder legumes in the structure of high-protein feed consumption does not exceed 8-9%, and in the protein equivalent it is even lower. The possible prohibition of using GMO feed applied by the authorities would be evidently negative since it would generate an increase in the costs of production and a reduction of farming income in important branches of agricultural production. It can also be the cause for a critical situation in the poultry industry, resulting in a decrease of production and export of poultry livestock as well as bankruptcy of some farms. In terms of the production of pork livestock, the prohibition of using GMO feed would deteriorate the already low profitability and effectiveness of production in Poland, which at this point is insufficiently competitive. This prohibition would contribute to worsening competition in the feed industry as well as the important branches of agricultural production.