160
Africa are not discussed in detail because such discussion goes beyond the main
purpose of this chapter. However, let it suffice to say that the chemical industry
could be fostered in Asia to provide rather cheap chemical fertilizer. The Green
Revolution can be considered as a process to make sufficient preparation to enhance
market mechanism in agriculture. Details of the process have been discussed from
the perspective of the meaning of the Green Revolution in the context of development strategy in the next section.
8.2.2 The Meaning of the Green Revolution in the Context
of Development Strategy
The Green Revolution introduced the opportunity of applying the accumulated
knowledge of science to agriculture. The Green Revolution preceded the development of HYV by purposefully breeding to enhance its yield with chemical fertilizers. Narrowing the gap between production in the actual field and the experiment
field was made possible by the development of HYV, and by the accumulation of
scientific knowledge such as the utilization of modern irrigation systems and the
appropriate use of chemical fertilizers and pesticides. In another perspective, private
sector actors (such as the chemical industry and the medical industry), who can use
their accumulated knowledge and skill to produce pesticides, were able to take part
in the agricultural industry after the Green Revolution. Market economics intruded
into the agricultural industry after the Green Revolution. International organizations
such as FAO supported this change by expanding international seed operations, i.e.,
International Seed Campaign (1957–1962), World Seed Year (1961), Improved
Seed Development Plan (1973), among others.
Importantly, multinational companies entered the market. Multinational chemical companies and medical companies entered the seed industry. Multinational agribusiness companies together with food distribution and food processing companies
also entered the seed industry. In addition, advances in breeding technology caused
increased R&D investment and an increasing gap between large and small seed
companies. Then, aggravation of M&A in the seed industry was caused by multinational companies who concentrated on a very small number of companies to address
seed development and production in order to lower their risk. The multinational
companies bought up existing seed companies rather than starting their own seed
operations as newcomers, which would have required them to obtain genetic
resources and acquire their own breeding technology to compete with other competitors in the market. In any case, the market economy penetrated and expanded
into agriculture after the Green Revolution as a development strategy to alleviate
poverty.
However, the Green Revolution also caused several problems of market or government failure, as did other aforementioned development strategies. High intensive
input farming, which is one of features of the Green Revolution, typically involves
H. Matsuda et al.
Africa are not discussed in detail because such discussion goes beyond the main
purpose of this chapter. However, let it suffice to say that the chemical industry
could be fostered in Asia to provide rather cheap chemical fertilizer. The Green
Revolution can be considered as a process to make sufficient preparation to enhance
market mechanism in agriculture. Details of the process have been discussed from
the perspective of the meaning of the Green Revolution in the context of development strategy in the next section.
8.2.2 The Meaning of the Green Revolution in the Context
of Development Strategy
The Green Revolution introduced the opportunity of applying the accumulated
knowledge of science to agriculture. The Green Revolution preceded the development of HYV by purposefully breeding to enhance its yield with chemical fertilizers. Narrowing the gap between production in the actual field and the experiment
field was made possible by the development of HYV, and by the accumulation of
scientific knowledge such as the utilization of modern irrigation systems and the
appropriate use of chemical fertilizers and pesticides. In another perspective, private
sector actors (such as the chemical industry and the medical industry), who can use
their accumulated knowledge and skill to produce pesticides, were able to take part
in the agricultural industry after the Green Revolution. Market economics intruded
into the agricultural industry after the Green Revolution. International organizations
such as FAO supported this change by expanding international seed operations, i.e.,
International Seed Campaign (1957–1962), World Seed Year (1961), Improved
Seed Development Plan (1973), among others.
Importantly, multinational companies entered the market. Multinational chemical companies and medical companies entered the seed industry. Multinational agribusiness companies together with food distribution and food processing companies
also entered the seed industry. In addition, advances in breeding technology caused
increased R&D investment and an increasing gap between large and small seed
companies. Then, aggravation of M&A in the seed industry was caused by multinational companies who concentrated on a very small number of companies to address
seed development and production in order to lower their risk. The multinational
companies bought up existing seed companies rather than starting their own seed
operations as newcomers, which would have required them to obtain genetic
resources and acquire their own breeding technology to compete with other competitors in the market. In any case, the market economy penetrated and expanded
into agriculture after the Green Revolution as a development strategy to alleviate
poverty.
However, the Green Revolution also caused several problems of market or government failure, as did other aforementioned development strategies. High intensive
input farming, which is one of features of the Green Revolution, typically involves
H. Matsuda et al.