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Please use this identifier to cite or link to this item: http://purl.umn.edu/23581

Title: LOGISTICAL COSTS AND RISKS OF MARKETING GENETICALLY MODIFIED WHEAT
Authors: Schlecht, Shannon M.
Wilson, William W.
Dahl, Bruce L.
Authors (Email): Wilson, William W. (bwilson@ndsuext.nodak.edu)
Dahl, Bruce L. (bdahl@ndsuext.nodak.edu)
Keywords: Genetically Modified (GM) Grains
Logistical Costs
Testing
Risk
Segregation
Issue Date: 2004
Series/Report no.: Agribusiness & Applied Economics Report No. 552
Abstract: Genetically modified (GM) grains have increased in importance. Moving biotech grains from producers to processors is a challenge for the grain handling system that could involve increased segregations. The objective of this research is to determine how testing strategies affect the logistical costs of a grain pipeline when GM wheat is present. A logistical model was developed and simulated to analyze impacts of uncertainty in demand, receipts, test accuracy, rail deliveries, and transit time. Sensitivities were conducted on certain variables to determine their effects on logistical costs. Analysis revealed that logistical costs are impacted by the number of quality categories and uncertainties in the system. Adding GM grains increased costs due to testing requirements and increased segregation demands as the number of wheat categories rises.
URI: http://purl.umn.edu/23581
Institution/Association: North Dakota State University>Department of Agribusiness and Applied Economics>Agribusiness & Applied Economics Report
Total Pages: 38
Language: English
Collections:Agribusiness & Applied Economics Report

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