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6 Supply-side economics

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6

Supply-side Economics

6.1  Introduction and Overview

Supply-side economics covers the issue of how production systems supply goods by reacting to incentives coming from markets or policy. It includes understanding the relationships between the input and output of a production process, how production reacts to market signals (prices), the way this is organized into production units

(companies) and the manner in which companies take decisions about production.

This chapter is primarily based on technology and its representation as developed in C

­ hapter 3, and explains how this translates into the production of goods and services. To a large extent, the supply-side economics of the bioeconomy can be addressed using standard concepts, such as the decision making by firms based on production function. As discussed in Chapter 3, traditional production functions in agriculture, for example, take a form that depends to a significant extent on the behaviour of living organisms.

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12 Final Thoughts and Outlook

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12

Final Thoughts and Outlook

12.1 Introduction

What can we expect for the future of the bioeconomy? The bioeconomy is now growing steadily and in a way that constitutes a silent revolution that is already radically changing our everyday lives. On the other hand, this change is still

­fragile, characterized by uncertainties that are at times emphasized by unjustified fears, and sometimes boosted by unjustified ‘industrial legends’.

Attention to uncertainty and controversies about bioeconomy technologies are motivated by the varied stories of successes and failures, and sometimes mixed results in comparison to the objectives set for their implementation (­Bertrand et al., 2016). For example, Withers et al. (2017) highlight that half of the advanced biofuel projects that started in the US in 2005 had ended by 2015. The internal barriers identified were related to technology itself, while funding and renewable fuel standards were perceived as the main external barriers. The unsatisfactory effects of bioeconomy projects may be partly explained by unfavourable conditions on international markets (Bertrand et al., 2016) but also by the fact that, in many areas of the world, framework conditions such as appropriate legal frameworks and intellectual property rights are still lacking

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9 Coordination of Management

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9

Coordination of Management

Asad Shabbir,1* Sushilkumar,2 Ian A. W. Macdonald3 and Colette Terblanche4

1University

of the Punjab, Lahore, Pakistan; current affiliation Plant

Breeding Institute, the University of Sydney, Narrabri, New South

Wales, Australia; 2ICAR, Directorate of Weed Research Adhartal,

Jabalpur, India; 3International Environmental Consultant, KwaZuluNatal, South Africa; 4Colterra Environmental Consultants, KwaZuluNatal, South Africa

9.1  Introduction

Throughout the world, except in a very few extreme environments, the challenge posed by invasive alien organisms far exceeds the capacity to manage them. Unfortunately, all the indications are that the problem is increasing and is likely to continue to do so for the foreseeable future, given current trends. Under such a scenario it is crucially important that the effectiveness of management is maximized. In this chapter, the important role that coordination can play in managing one of the world’s most invasive and harmful alien plant species, parthenium weed (Parthenium hysterophorus L.), is addressed.

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14 History and Management – Southern Africa and Western Indian Ocean Islands

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14

History and Management –

Southern Africa and Western

Indian Ocean Islands

Lorraine W. Strathie1* and Andrew J.

McConnachie2

1Agricultural

Research Council – Plant Health and Protection,

Hilton, South Africa; 2Department of Primary Industries,

Biosecurity and Food Safety, Orange, New South Wales, Australia

14.1  Introduction

along many of the national road networks that link South Africa, Swaziland and

In Africa, parthenium weed (Parthenium hys- Mozambique, as well as at or near country terophorus L.) is present in Egypt in North border posts, increasing the risk of dispersal

Africa and in the East African countries of to new countries. The probability of invasion

Somalia, Tanzania, Kenya, Uganda, Rwanda, increases with time as infestations continue

Eritrea and Ethiopia (McConnachie and to expand.

Dense parthenium weed infestations

Witt, Chapter 15, this volume). In Southern

Africa, parthenium weed has invaded South occur in subsistence (Fig. 14.1A) and comAfrica, Swaziland, Mozambique, Zimbabwe, mercial (Fig. 14.1B) agricultural production

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10 Parthenium Weed: Uses and Abuses

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10

Parthenium Weed: Uses and

Abuses

Nimal Chandrasena1* and Adusumilli Narayana

Rao2

1GHD

Water Sciences, Parramatta, New South Wales, Australia;

Hyderabad, India

2ICRISAT,

10.1  Introduction

Parthenium weed (Parthenium hysterophorus

L.), a plant of the Asteraceae family, has long been recognized as a weed of global significance (Aneja et al., 1991; Towers and Subba

Rao, 1992; Evans, 1997; Pandey et al., 2003).

It is an annual herb, native to the area around the Gulf of Mexico, including the

Caribbean islands and central South America. After introductions and spread in other regions, parthenium weed now has a pantropical distribution. It normally grows fast, producing an adult plant, about 1.5 m in height, which produces flowers early, and sets a large number of seeds in its lifetime

(Adkins and Shabbir, 2014). The weed can also grow under wide ecological conditions

– from sea level up to 3000 m (K. Dhileepan,

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5 Driving Forces and Demand-side Economics

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5

Driving Forces and Demand-side

Economics

5.1  Introduction and Overview

This chapter illustrates the demand-side issues in the bioeconomy. The central focus of this topic is individual consumer behaviour. Consumers have been mentioned at several points in the previous chapters, as their individual choices are key to understanding trends and the development of markets and sectors. Yet, consumers are not acting in isolation. On the contrary, they take decisions in a context in which they are called to interact continuously with other consumers and society as a whole. Individual and collective choices may well be promoted by major needs laying in the background but acting as driving forces and enacted through policies, network’s actions and information by various opinion groups.

This section seeks to address the entirety of the demand-side issues related to the bioeconomy.

It starts with the macro drivers guiding the need for bioeconomy technologies and investigates how they affect the market through individual consumers’ and citizens’ behaviour. It then focuses on individual behaviour, initially based on rather standard consumer theory, focused mostly on utility as linked to a good’s attributes.

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11 At the Boundary of Economics

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11

At the Boundary of Economics

11.1  Introduction and Overview

While this book takes an explicitly economic

­perspective on the bioeconomy, it also highlights relevant topics that could be better examined by resorting to other fields of analysis that touch or overlap with economics. This is evident from the number of potential points of contact between economics and politics, sociology, law, governance and communications (just to mention a few) highlighted in the previous chapters. Several of these fields are complementary in explaining behaviour and supporting economic considerations.

The range of possible relevant fields of science is extremely wide and this chapter only touches upon a selection of the most urgent and evident connections, focusing on the broad area of social science and humanities and providing only a flavour of potential topics. The importance of the technological foundations of the economic analysis of the bioeconomy was treated at the very beginning of the book and informs large part of it, so it will not be addressed here.

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8 Management: Physical, Cultural, Chemical

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8

Management: Physical, Cultural,

Chemical

Shane D. Campbell,1,2* Wayne D. Vogler1 and

Tamado Tana3

1Biosecurity

Queensland, Tropical Weeds Research Centre,

Charters Towers, Queensland, Australia; 2Current affiliation the

University of Queensland, Gatton, Australia; 3College of Agriculture and Environmental Sciences, Haramaya University, Ethiopia

8.1  Introduction

There are many different options available to manage problematic weeds, with research continually advancing new technologies and products to enable development of more cost-­effective and environmentally sustainable strategies. This applies to parthenium weed (Parthenium hysterophorus L.), which has been and continues to be the focus of a significant research effort aimed at improving management options within affected countries.

Although parthenium weed is a relatively easy plant to kill, its biology/ecology, widespread distribution in many areas and ability to grow in a diverse range of habitats/ situations (e.g. wastelands, cleared land, pastures, crops, roadsides, along streams and rivers) (Navie et al., 1996, 1998a; Gnanavel, 2013) makes it a difficult plant to eliminate.

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1 An Introduction to the ‘Demon Plant’ Parthenium Weed

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1

An Introduction to the ‘Demon

Plant’ Parthenium Weed

Steve W. Adkins,1* Asad Shabbir2 and

Kunjithapatham Dhileepan3

1The

University of Queensland, Gatton, Queensland, Australia; of the Punjab, Lahore, Pakistan; current affiliation

The University of Sydney, Narrabri, New South Wales, Australia;

3Biosecurity Queensland, Department of Agriculture and Fisheries,

Brisbane, Queensland, Australia

2University

1.1  Introduction

In this book we ask the question, in parthenium weed do we have the ‘worst weed the world has ever encountered’? The conclusion we have reached is, if not yet, then we soon will have! As this phenomenal ‘demon plant’ spreads around the world at a remarkable rate, causing such devastating outcomes to all aspects of agriculture, horticulture, forestry and the natural environment, as well as being a significant health concern, it is coming under unparalleled scientific and public scrutiny.

Parthenium Weed: Biology, Ecology and

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6 Impact of Parthenium Weed on Human and Animal Health

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6

Impact of Parthenium Weed on

Human and Animal Health

Sally Allan,1* Boyang Shi2 and Steve W. Adkins1

1University

of Queensland, Gatton, Queensland, Australia;

Queensland, Department of Agriculture and Fisheries,

Brisbane, Queensland, Australia

2Biosecurity

6.1  Introduction

6.1.1  Issues and causes

The annual, herbaceous plant parthenium weed (Parthenium hysterophorus L.) is a weed of global significance (Towers et  al., 1977;

Dhileepan, 2009; Adkins and Shabbir, 2014).

Originating from southern North America,

Central America including the Gulf Coast, the West Indies and Caribbean Islands, and

South America (Rollins, 1950, in Picman and Towers, 1982; Wedner et  al., 1989), parthenium weed has spread from its native range to over 40 tropical and subtropical countries around the world (Shabbir, 2012;

Adkins and Shabbir, 2014; EPPO, 2014). The spread of parthenium weed has produced negative impacts on grazing animal production (Jayachandra, 1971; Chippendale and

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4 Approaches to (the Economics of) the Bioeconomy

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4

Approaches to (the Economics of) the Bioeconomy

4.1  Introduction and Overview

Defining the bioeconomy and its boundaries in economics is a particularly difficult task given the number of interconnections that it embodies, both as a concept and as a sector. The definition of the bioeconomy in itself is largely driven by policy action and the contents of bioeconomy strategies worldwide. The term bioeconomy, on the other hand, is used to identify different ‘types of objects’, notably ranging from a list of sectors to, more ambitiously, a new development model.

In addition, the bioeconomy’s features are largely driven by the connection b

­ etween the bioeconomy and surrounding ­ concepts: sustainability, the circular economy, climate change, ecosystem services, the green economy and agroecology. In this respect, the bioeconomy as a political vision is increasingly referred to as a ‘sustainable and circular bioeconomy’. From a purely conceptual (but also cultural, political and economic) point of view, one stimulating as well as confusing aspect is that the concept itself is developing in a context characterized by the emergence of a number of other ‘bio-concepts’ that, in a way, makes it even more difficult to identify a common understanding of the bioeconomy

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10 Impact Evaluation and Management Tools

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10

Impact Evaluation and Management Tools

10.1  Introduction and Overview

The final part of the 20th century has been characterized by the growing role of evaluation tools in policy making and private decisions, in all fields of activity. To some extent, this has been connected to the growing number of concerns in the area of environment and health. In addition, the push for participation in public decision making by a large number of stakeholders, and also the growing need for companies to speak to myriad interested parties, including consumers and environmental organizations, has made these instruments increasingly popular. Some of them have become the basis for legally established administrative procedures (e.g. environmental impact assessment [EIA]); others have become, among other roles, a support to marketing (like the life cycle assessment [LCA]).

Most of them are not specific to the bioeconomy. However, the types of technology development and sustainability approaches of the bioeconomy highlight and encourage the use of some of these instruments and stimulate bioeconomy-specific adaptations of them.

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15 History and Management – East and North Africa, and the Middle East

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15

History and Management – East and North Africa, and the Middle

East

Andrew McConnachie1* and Arne Witt2

1Department

of Primary Industries, Biosecurity and Food Safety,

Orange, New South Wales, Australia; 2CABI Africa, Nairobi,

Kenya

15.1  Introduction

Richardson, 2006; Catford et  al., 2009).

According to Catford et al. (2009), invasion

While attention was being drawn to the is essentially a function of propagule presexplosion of parthenium weed (Parthenium sure from the invading species, the abiotic hysterophorus L.) in India and Australia dur- characteristics of the invaded ecosystem and ing the 1970s, East and North Africa and the the characteristics of the recipient commuMiddle East were in the early stages of being nity. Parthenium weed possesses many of exposed to this weed. Affecting areas where the traits associated with successful invadcommunities were largely dependent on ers, but its distribution is limited by the subsistence farming and pastoralism, and characteristics of the invaded ecosystem. containing important conservation areas, Parthenium weed achieves optimal growth, parthenium weed was set to become a major reproduction and spread within a defined set issue throughout the region, affecting liveli- of eco-­climatic requirements (­McConnachie hoods and biodiversity. Forty-­five years later et  al., 2011; Kriticos et  al., 2015; Mainali and parthenium weed is now a well-­ et  al., 2015; Shabbir et  al., Chapter 3, this established invader in many parts of East volume), with soil moisture and type being

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4 Interference and Impact of Parthenium Weed on Agriculture

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4

Interference and Impact of

Parthenium Weed on Agriculture

Ali Ahsan Bajwa,1* Asad Shabbir2 and

Steve W. Adkins1

1The

University of Queensland, Gatton, Queensland, Australia; of the Punjab, Lahore, Pakistan; current affiliation Plant

Breeding Institute, the University of Sydney, Narrabri, New South

Wales, Australia

2University

4.1  Introduction

Parthenium weed (Parthenium hysterophorus

L.) has rapidly become one of the most

­damaging invasive weed species present in natural systems and agroecosystems (Bajwa et al., 2016). It affects environmental stability by disturbing natural floral diversity and species distribution within rangelands, forests and fallow lands. In addition, it also infests a large number of crops across a diverse range of cropping systems around the world. Its environmental and health impacts, including those on the displacement of native species, on the promotion of land degradation, and on human and animal health are well known and are of great concern for communities in many countries

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7 Biological Control

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7

Biological Control

Kunjithapatham Dhileepan,1* Rachel McFadyen,2

Lorraine Strathie3 and Naeem Khan4

1Biosecurity

Queensland, Department of Agriculture and Fisheries,

Brisbane, Queensland, Australia; 2PO Box 88, Mt Ommaney,

Queensland, Australia;3Agricultural Research Council – Plant

Health and Protection, Hilton, South Africa; 4Department of Weed

Sciences, University of Agriculture, Peshawar, Pakistan

7.1  Introduction

7.2  Classical Biological Control

Management options for parthenium weed

(Parthenium hysterophorus L.) include chemical, physical, grazing management and biological methods (Dhileepan, 2009). Chemical control is often the first line of defence, but high costs of herbicides preclude their long-­ term use for parthenium weed management in grazing areas, public and uncultivated areas, forests and woodlands. Physical methods such as grading, slashing and ploughing can provide some relief over the short term, but they may exacerbate the associated health risk due to exposure and are not effective in long-­ term management. Management of parthenium weed can be achieved by maintaining sufficient levels of grass cover to maximize competition against the weed. However, biological control is regarded as the most effective and economic method for parthenium weed in many situations.

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