Download Forest Biotechnology

Forest
Biotechnology
Global Opportunities for
Somatic Embryogenesis
Introduction and Outline
Introduction
Forest Biotechnology Products
Competitive Analysis
Identification of Markets
Regulatory Review of Major Markets
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Canada
United States
European Union
Australia and New Zealand
Opportunities and Overview for Identified
Markets
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–
United States
European Union
Australia
New Zealand
Key Global Markets
Strategic Recommendation
Introduction
• Plant genomics started in 1866 with Augustine Monk
Gregor Mendel.
• Mendel died in 1884 without acknowledgement or
recognition of his work.
• In 1866 Weissmann coined the term “germplasm”.
• Science has lead us to DNA mapping and genesequencing systems.
• Annual Global Forest Product Trade exceeds $140
billion.
Canadian Forest Product Trade
(selected countries)
Trade Surplus (Deficit) in thousand US dollars
1996
1997
1998
1999
2000
2001
Australia
$
137,536.00
$
120,759.00
$
83,994.00
$
99,972.00
$
122,233.00
$
62,098.00
Finland
-$
24,252.00
-$
32,153.00
-$
61,578.00
-$
49,333.00
-$
40,988.00
-$
61,486.00
Germany
$
571,226.00
$
560,015.00
$
400,271.00
$
331,443.00
$
482,624.00
$
275,709.00
New
Zealand
$
17,267.00
$
17,811.00
$
9,018.00
$
8,064.00
$
11,770.00
$
4,419.00
Sweden
$
4,828.00
$
12,863.00
-$
1,992.00
-$
544.00
-$
7,216.00
$
6,747.00
United
Kingdom
$
553,474.00
$
438,060.00
$
382,919.00
$
349,617.00
$
405,449.00
$
352,247.00
United
States
$15,851,692.00
$15,898,227.00
$16,222,665.00
$18,303,521.00
$18,363,612.00
$17,244,587.00
Forest Biotechnology Products
FAO classifies into 3 types:
Tools to assist in
designing and
monitoring tree
conservation programs
Technologies to enhance
vegetative propagation
and mass produce
uniform materials
Technologies to enhance
characteristics and traits
through genetic
modification
Current Operational Product
• Somatic Embryogenesis
A process used for the
vegetative propagation of
selected tree species through
the maintenance of superior
trait germplasm and perpetual
harvest of somatic embryos.
• Commercial ventures include:
• Weyerhaeuser Corporation
• Westvaco Corporation –
Pennsylvania/New York
• Cellfor Inc. – Victoria, Canada
• Arborgen Inc. – North
Carolina/New Zealand
• Plantselct Inc. – Dartmouth,
Ontario
Current Research Focus
•
•
•
•
•
Identification of genetically
superior trees and genetic
diversity
Tree Propagation through
tissue culture
Tree Improvement through
genetic engineering
Environmental impact
assessment of
biotechnology-derived
products
Forest protection using
biological pest control
methods
• Canadian Forest Service
current research projects:
– Environmental Impacts of
Forest Biotechnology
– Conifer SE
– Genetically Modified Trees
– Genetically Engineered
Baculoviruses for Forest
Insect Management
Applications
Market Identification
• Forest biotechnology
CREATES future value
• Forest biotechnology
requires skill and
experience
• Forest biotechnology
must be responsible
Future value must be included in
management planning
Requires protection of gained
intellectual property and
social infrastructure
Requires established policies
and legislation that
represents social will and
fosters environmental
sustainability
Market Identification
• Therefore:
– Country must have:
• Good social infrastructure to
support maintaining skilled staff
• Intellectual property law and
enactment
• Environmental biotechnology law
and enactment
• Need/Ability for increased
domestic production of forest
products
Major Suitable Markets:
• Canada
• United States
• European Union
– Sweden
– Finland
– Germany
•
•
New Zealand
Australia
Regulatory Review of Identified
Markets
•
Canada
– CEPA, 1999 regulated by
Environment Canada
– Strict environmental policies
– Currently no approved products
•
United States
– Federal Plant Pest Act regulated
by the USDA and EPA
– Four phases of approval: Pending,
Acknowledged, Regulated Status,
and Nonregulated status
– Walnut approved August, 2003
•
European Union
– Full environmental risk
assessment
– Jointly regulated through several
Ministries and Advisory Boards
– Currently no approved products
•
Australia and New Zealand
– Based on ‘Precautionary
Principle’
– Recent legislation and approval
process under Gene Technology
Act, 2000 and Plant Breeder’s
Rights Act, 1996
– Currently no approved products
Opportunities and Overview of
Identified Markets
• United States
– $15 billion forest product trade deficit
– Softwood Lumber
• Lengthy trade dispute based on US embitterment
over ambiguous stumpage fee allocations from
Government to Canadian forest companies
• Permanent U.S. countervailing and anti-dumping
duties totaling 27% were imposed on Canadian
exports effective May 22, 2002
– Still a major global consumer
– Opportunities for joint research
development and funding
Opportunities and Overview of
Identified Markets
• United States Opportunities
– Foreign investors seeking to
divest from traditional forest
products while maintaining a core
competency in the industry;
– Transparent regulatory policies
with enacted legislation; and,
– Primarily English-speaking
economy.
Opportunities and Overview of
Identified Markets
• European Union
– GDP of Forest Products for all
member states
• $520 billion
– 80% increase in exports to the US
due to Canada-Us Softwood
Lumber trade disputes
– European Commission creates
policies nd agenda on biotechnology
for all member states to incorporate
– Focused on Environmental impact
and supporting research
Opportunities and Overview of
Identified Markets
• European Union
– Sweden
• More than 400 years of forest management
history
• Increasing allowable sustainable cuts from
intensive forest management = 4,000 km2 per
year
• IUFRO organizes annual symposium on
Forest Biotechnology
• Extensive application of forest biotechnology
research
– creation of functional SE for Scandinavian tree
species
– Transgenic impact data modeling
Opportunities and Overview of
Identified Markets
• European Union
– Sweden Opportunities
• Intensively managed forests and forest management
experience
• Strong research and development expenditures by
Government
• Experienced and qualified research network
• SE is close to being operational for Norway spruce
• Government support research and development
activities
• Committed university research departments
• Developed social infrastructure and societal networks
• Legislation protects intellectual property
• Progressive social view of biotechnology benefits to
forestry
Opportunities and Overview of
Identified Markets
• European Union
– Finland
• 58% of all forestland is owned by private
individuals
• Extensive family forestry farming culture
• Forest products comprise 29.2% of total
exports
• Fragmented but well managed forest
• Communities all involved in forestry, high
social awareness
Opportunities and Overview of
Identified Markets
• European Union
– Finland Opportunities
• Intensively managed forests and forest management
experience
• Strong research and development expenditures by
Government
• Experienced and qualified research network
• Extensive forestry land base
• SE is close to being operational for Norway spruce
• Government support research and development
activities
• Committed university research departments
• Developed social infrastructure and societal networks
• Legislation protects intellectual property
• Progressive social view of biotechnology benefits to
forestry
Opportunities and Overview of
Identified Markets
• European Union
– Germany
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Large global producer of pulp and paper
Large forest product export surplus
Intensively managed forests
Institutes the Biotechnology 2000 program which funds research
and development of application to local needs
– Genetic engineering
– Molecular biology
Opportunities and Overview of
Identified Markets
• European Union
– Germany Opportunities
• Intensively managed forests and forest management
experience
• Developed social infrastructure and societal networks
• Extensive research and development infrastructure and
support
• Enacted legislation protects intellectual property
• Progressive social view of biotechnology benefits to forestry
Opportunities and Overview of
Identified Markets
Australia
• Forestry comprises 1.1% of total GDP
output and 7.5% of total manufacturing
output
• Imports of $1.3 billion and exports of
$3.23 billion
• Forest Product trade deficit of nearly
$2 billion
• 21% of total land area is forested
• Plantations supply 50% of domestic
need, 70% by 2015
• Eucalyptus and pine reach maturity in
35 and 75 years, respectively
Opportunities and Overview of
Identified Markets
Australia Opportunities
– SE is scientifically proven and functional for eucalyptus and pine,
the primary Australian plantation species;
– Government support programs and incentives for plantation
investment and research and development activities;
– Minimal established competition;
– Large deficit of domestic production to consumption;
– Regulatory infrastructure of legislation, advisory groups and
oversight established;
– Transparent regulatory policies with enacted legislation;
– Primarily English-speaking economy;
– Suitable environmental conditions and extended growing season
to North America;
– Developed social infrastructure and societal networks;
– Commonwealth law protects intellectual property; and,
– Progressive social view of biotechnology benefits to forestry
Opportunities and Overview of
Identified Markets
• New Zealand
– Intensive forest management for 50 years
– Rotations beginning to increase sustainable
allowable volumes
• 1998 to 2010 will have increased 100%
– $1.9 billion forest product exports
– $0.3 billion imports
– Large forest biotech research facility in
Wellington
Opportunities and Overview of
Identified Markets
• New Zealand Opportunities
– SE is scientifically proven and functional for eucalyptus and
pine, the primary New Zealand plantation species
– Government support programs and incentives for plantation
investment and research and development activities
– Primarily English-speaking economy
– Suitable environmental conditions and extended growing
season to North America
– Developed social infrastructure and societal networks
– Legislation protects intellectual property
– Progressive social view of biotechnology benefits to forestry
Opportunities and Overview of
Identified Markets
• Central America
– Large global producer
– Extensive environmental damage
– Need for biotechnology remediation products
• Financially feasible
• China
– Large global consumer
– Extensive forests, but rugged terrain and
fragmented agricultural lands
Canadian Support
• Canadian Forest Service
– Research and development support
• Funding
• Research Professionals
• Department of Foreign Affairs and International Trade
– Trade relationships
– Networking and contacts
– Market analysis
• Canadian Institute of Forestry
– Funding
Strategic Recommendation
1.7% annual increase in global consumption
demand
Scarce land resources
Consumption can be met by enhancing quality and
quantity through biotechnology
Ensure contributions to policy development
Ensure proper knowledge management and
protection
Strategic Recommendation
Focus on Australian Market
Transparent and enacted legislation
Property rights to knowledge recognized and
enforced
Large land base suitable for forest plantations
Current technologies functional in Australian climate
SE of eucalyptus and pine
Extensive government funding and support to
developments and research that focus on solving
the forest product trade deficit
Also maintain presence at research symposiums in
EU, Canada and the US – contribute to policy
development