Pollination Australia

Transcription

1 Pollination Australia Research and Development Priorities Michael Clarke April 2008 RIRDC Publication No 08/055 RIRDC Project No PRJ

2 2008 Rural Industries Research and Development Corporation. All rights reserved. ISBN ISSN Pollination Australia: Research and development priorities Publication No 08/055 Project No. PRJ The information contained in this publication is intended for general use to assist public knowledge and discussion and to help improve the development of sustainable regions. You must not rely on any information contained in this publication without taking specialist advice relevant to your particular circumstances. While reasonable care has been taken in preparing this publication to ensure that information is true and correct, the Commonwealth of Australia gives no assurance as to the accuracy of any information in this publication. The Commonwealth of Australia, the Rural Industries Research and Development Corporation (RIRDC), the authors or contributors expressly disclaim, to the maximum extent permitted by law, all responsibility and liability to any person, arising directly or indirectly from any act or omission, or for any consequences of any such act or omission, made in reliance on the contents of this publication, whether or not caused by any negligence on the part of the Commonwealth of Australia, RIRDC, the authors or contributors. The Commonwealth of Australia does not necessarily endorse the views in this publication. This publication is copyright. Apart from any use as permitted under the Copyright Act 1968, all other rights are reserved. However, wide dissemination is encouraged. Requests and inquiries concerning reproduction and rights should be addressed to the RIRDC Publications Manager on phone Researcher Contact Details Michael Clarke AgEconPlus Pty Ltd 44 Barons Crescent Hunters Hill NSW 2110 Phone: Fax: clarke@ageconplus.com.au Web: RIRDC Contact Details Rural Industries Research and Development Corporation Level 2, Pharmacy Guild House 15 National Circuit BARTON ACT 2600 PO Box 4776 KINGSTON ACT 2604 Phone: Fax: rirdc@rirdc.gov.au Web: Published in April 2008 ii

3 Foreword This report is the result of a consultancy which aimed to establish research and development (R&D) priorities for Pollination Australia, an industry alliance between the honeybee industry, as providers of pollination services, and those horticultural and agricultural industries, which are dependent on honeybee pollination. The project objective was to ensure effective investment in R&D projects to secure horticulture and agriculture s ongoing access to reliable, consistent quality and cost effective pollination services without which many Australian rural industries would not be productive. The need for well organised and structured R&D priorities has its genesis at the Honeybee Industry Linkages workshop in Canberra in April The workshop was funded by the Department of Agriculture, Fisheries and Forestry (DAFF) under its Advancing Agricultural Industries Program (Advancing Industries) and by the Rural Industries Research and Development Corporation (RIRDC). The workshop was attended by stakeholders across a range of pollination and pollination dependent industries. At the workshop, the pollination industry agreed to form an entity known as Pollination Australia, prepare a business plan for that entity and complete three linked consultancies to inform the business plan. The additional consultancies to this R&D priorities report included a risk management assessment and an education and training strategy for the pollination industry. Advancing Industries and RIRDC are providing support for the formation of the industry alliance and for the development and endorsement of a business plan. The purpose of this document is to provide stakeholders with background information on what R&D is being done on the pollination industry, possible needs and knowledge gaps and a prioritised list of R&D projects. A brief review of the pros and cons of R&D funding models is also provided. This report has been prepared as part of a project for the Australian Government s Advancing Agricultural Industries Program and the Rural Industries Research and Development Corporation. This report, an addition to RIRDC s diverse range of over 1800 research publications, forms part of our Honeybee R&D program, which aims to improve the productivity and profitability of the Australian beekeeping industry. Most of our publications are available for viewing, downloading or purchasing online through our website: downloads at purchases at Peter O Brien Managing Director Rural Industries Research and Development Corporation iii

4 Abbreviations AFB AHA AHBIC AHGA ARRIP EADRA EFB CCD CIE CPI CSIRO DAFF DPI FSANZ GM GVP IAPV KPI MoU MRL NLIS NZ OTC pa PBR PIBs PHA QA R&D RDC RIRDC SIAA SME US American Foulbrood Animal Health Australia Australian Honeybee Industry Council Australian Hydroponic and Greenhouse Association Australian Rural Research in Progress Emergency Animal Disease Response Agreement European Foulbrood Colony Collapse Disorder Centre for International Economics Consumer Price Index Commonwealth Scientific and Industrial Research Organisation Australian Government Department of Agriculture Forestry and Fisheries Department of Primary Industries Food Standards Australia New Zealand Genetically modified Gross Value of Production Israeli Acute Paralysis Virus Key Performance Indicator Memorandum of Understanding Minimum Residue Level National Livestock Identification System New Zealand oxytetracycline hydrochloride per annum Plant Breeders Rights Peak Industry Bodies Plant Heath Australia Quality Assurance Research and Development Research and Development Corporation Rural Industries Research and Development Corporation Seed Industry Association of Australia Small to Medium Enterprises United States of America iv

5 Acknowledgments The authors wish to acknowledge the assistance of RIRDC and the Pollination Australia Steering Committee. In particular we wish to thank the following individuals for their assistance with the project: Des Cannon, Chair RIRDC Honeybee R&D Advisory Committee Lindsay Burke, Honeybee Quarantine and Disease Specialist, Tasmania Stephen Fewster, Chairman, AHBIC Stephen Ware, Executive Director, AHBIC Max Whitten, Adjunct Professor, Department of Integrative Biology, University of Qld Dr Paul de Barro, CSIRO Dr Denis Anderson, CSIRO Doug Somerville, NSW DPI Gerald Martin, PIRSA Julie Haslett, Almond Board of Australia Warwick Scherf and Kim James, HAL Tanya Stacpoole and Damien Bond, DAFF Greg Martin, Dr Jenny Gordon, CIE Michael Monck and Dr George Reeves, CIE David Brous and Rob Keogh, Impact Consulting Mark Goodwin, HortResearch New Zealand Margie Thomson and Lea Edwards, RIRDC v

6 Contents Foreword... iii Abbreviations... iv Acknowledgments... v Executive Summary... viii What the report is about... viii Who is the report targeted at?... viii Background... viii Aims/objectives... viii Methods used... ix Results/key findings... ix Implications for relevant stakeholders... x Recommendations... x 1. Study purpose Introduction Objectives Conceptual framework... 2 PART 1:WHAT DO WE KNOW ABOUT THE CURRENT POLLINATION INDUSTRY Profile and importance of honeybee pollination to Australian industries Overview Crops dependent on honeybee pollination Commercial pollination service supply chain Commercial, operational, biological asymmetries in the Australian pollination industry Current effectiveness of paid pollination services General relevant research The economics of pollination Optimal size of the honeybee pollination industry The Technical Attributes of an Effective Paid Pollination Service Research gaps and needs to improve the effectiveness of paid pollination services Resource access and ecology Other honeybee R&D issues Beehive health/strength Honeybee production Stock improvement Biotechnology Gaps and needs for other honeybee R&D issues PART 2:THREATS AND SUSTAINABILITY OF THE POLLINATION INDUSTRY Exotic pests and diseases and the risk of incursion General relevant research Varroa mite (Varroa destructor) Colony Collapse Disorder (CCD) Israeli Acute Paralysis Virus (IAPV) Asian Mite (Tropilaelaps clareae) Tracheal mite/acarine Diseases Africanised Bee Cape Honeybee Other bees Giant and Asian Exotic pest and disease implications Endemic honeybee pests and diseases Braula Fly/Bee Louse vi

7 8.2 Wax Moth Nosema (Nosema apis) Nosema (Nosema ceranae) American Foulbrood (AFB) European Foulbrood (EFB) Chalkbrood Sacbrood Virus Small Hive Beetle Other present/potential endemic pests and diseases Gaps and needs pollinator pest and disease research Future resource issues Threat of restricted resource access and R&D needs Threat of climate change and R&D needs Effect of honey prices Other future resource issues PART 3: IMPROVING THE POLLINATION INDUSTRY, MINIMISING RISKS Alternative pollinators General relevant research Bumblebees Leafcutter bees Other exotics Native bees and other native pollinators Mechanical or hand pollination techniques Plant breeding to reduce dependence on insect pollination Lessons learned alternative pollinators Incursion risk minimisation Education and better information Economics of pollination PART 4: WHAT ARE THE IMPLICATIONS FOR R&D? Consultation findings Consultation approach Workshop outcomes Stakeholder comment on higher priority projects PART 5: R&D PRIORITIES AND THEIR FUNDING Description of proposed R&D projects Cost/benefit method Project 1: Surveillance best practice Project 2: Resource access - landscape management for pollination Project 3: Improving the economics of pollination Project 4: Pest and disease management to ensure the ongoing supply of pollinator services Project 5: Living with Varroa management practices ongoing supply pollination services Project 6: Alternative pollinator/reduced insect dependency research Project 7: Pollination best management practices Crop by crop guide Project budgets and program scheduling R&D funding models Cooperative Research Centre (CRC) application Independent commercially oriented research institute Research and development corporation (RDC) cooperative alliance Establish a new RDC funded with a new levy Public good Conclusion References vii

8 Executive Summary What the report is about This report is an investigation of current research and development into the control of present and potential exotic pest or disease incursions that could affect the pollination industry, beehive health, production, ecology (environment), climate change, stock improvement and biotechnology. It investigates the effectiveness of paid pollination currently being undertaken and the use of alternative pollinators to the European honeybee. It develops a list of priorities for research and development for the Australian pollination industry. Who is the report targeted at? The report is targeted at potential investors in the Pollination Australia industry alliance. Background Pollination of Australian crops by European honeybees is largely taken for granted pollination being provided by European honeybees managed for honey production or by feral European bees. About 20% of hives are currently used for paid pollination services. Many horticultural crops are highly reliant on European honeybees. Some pasture species and broadacre crops are reliant to a varying degree on honeybees for pollination. Several issues threaten to upset traditional relationships between beekeepers and producers. The prospective marked increase in demand for managed pollination services will result in some producers having to pay for pollination services and, relative to the current prices, pollination service charges will increase substantially. Even though these higher prices would encourage expansion of the industry, there are likely to be constraints to the rate of industry expansion, especially recognising the time and resources required to train and equip additional beekeepers. In seeking to establish Pollination Australia, studies were commissioned to identify the scope and funds needed to address potential biosecurity risks, research and development and education and training. This document is the research and development study outcome. A business plan is being developed for Pollination Australia which includes findings from all three research projects. Aims/objectives The objectives of this study were to: investigate current R&D into Varroa mite and its control, and other exotic (and endemic) pests and diseases which could potentially impact on the pollination industry investigate current R&D into beehive health, production, ecology (environment), climate change, stock improvement and biotechnology investigate the effectiveness of paid pollination services investigate use of alternative pollinators to European honeybees develop a list of priorities for R&D within the Australian pollination industry. The goal of R&D investment was: To provide a framework to shape and prioritise future research, development and extension that will secure the pollination of Australia s horticultural and agricultural crops into the future. viii

9 Methods used The study required review of the current scientific literature, preparation of a project discussion paper, consultation with research providers and other stakeholders, a priority identification workshop, project development and costing. Results/key findings The research, development and extension projects that will drive Pollination Australia, their expected cost and priority order are outlined below: 1. Surveillance best practice research to ensure Varroa or a similar catastrophic pest or disease incursion does not destroy our primary pollinator (the European honeybee). This will include research into sentinel hive and baited hive best practice, development of appropriate surveillance monitoring, sampling, reporting and incentive systems for incorporation into B- Qual, and development of materials and systems to engage amateur beekeepers in Varroa identification and reporting. (A total cost of $370,000) 2. Resource access landscape management for pollination. Through a suite of research initiatives ensure that floral resources are available to honeybees to permit the build-up of hive strength prior to providing pollination services. Research initiatives will include the investigation of New Zealand hive build-up practices, improved artificial diets, bee farms, revegetation, alliances with timber companies and the encouragement of native pollinators. This project will also include social/political science research to understand community attitudes to introduced species in protected areas. Further investment in ecological data that may show bees have no impact in native forests is not proposed. ($200,000 pa for five years) 3. Improving the economics of pollination investigate opportunities for improving productivity performance in pollination in view of forecast growth in pollination demand, especially in horticulture. Complete outstanding research on a prioritised crop-by-crop basis that will demonstrate the economic advantage of moving from current pollination to optimal pollination and the losses that will be incurred from a Varroa, or similar, incursion. Review further opportunities for productivity improvement in pollination resulting from Varroa management. Complete research to understand the role of feral bees/incidental pollination on a regional crop/pasture basis especially in relation to broadacre crops. Outputs from this research are to be used in an education and communication campaign to sign up Australian plant industries to the Pollination Australia alliance. (A total cost of $150,000) 4. Pest and disease management to ensure the ongoing supply of pollination services protect the European honeybee through research into diagnostics, biosecurity plans, hive tracking and an associated national database, bee breeding, pest and disease management under pollination conditions, understanding Nosema ceranae and Colony Collapse Disorder and being responsive to other pest and disease threats as they emerge. The major thrust of this project will be research into the production of honeybees that are genetically resistant to Varroa. ($850,000 pa for 5 years) 5. Living with Varroa - management practices for beekeepers and growers: research to understand the changes required in management practices for beekeepers and growers with Varroa established in the Australian landscape. Projects will include investigation of what New Zealand, the US and others have done successfully to manage Varroa. Practical response options will include husbandry practices, chemical management options, avoiding chemical resistance and hive monitoring and checking. ($125,000 pa for 4 years) 6. Alternative pollinator research/reducing insect dependency - to manage the risk of loss of our primary pollinator (European honeybee) through a catastrophic pest or disease outbreak. This project will invest in long-term research into alternative, mainly native, pollinators. It will also include research to reduce crop dependency on insect-mediated pollination self-pollinating plant varieties and mechanical pollination options. ($100,000 pa for 5 years) ix

10 7. Pollination best management practices - the objective of this project is to research and document, on a crop-by-crop basis, pollination best management practice guidelines in a post Varroa setting. The project would include bee behaviour research in individual crops i.e. navigation and foraging behaviour. The outcome of this research will be a series of guidelines capable of shifting Australian horticultural and agricultural industries from current pollination levels to optimal pollination levels, improving enterprise returns and managing with Varroa. This project would make use of economic data generated in the Economic case for pollination and the Living with Varroa projects and would research bee behaviour in individual crops. The choice of crops for this research would be largely driven by funding sources since each crop would largely capture the benefits of crop-specific research. ($100,000 pa for 5 years) R&D portfolio budget The above priority projects combine to form a five-year pollination research program in which investment is scheduled in three parts: protection against Varroa and other pests and diseases anticipation of Varroa post Varroa establishment. A five-year cash flow is provided in the body of the report. Pollination R&D funding models Four possible funding models for pollination R&D are identified and the advantages and disadvantages of each reviewed. Further consideration of funding models will need to be made against the long established user/beneficiary pays principle, the presence of public good and the Productivity Commission s report Public Support for Science and Innovation (Productivity Commission 2007), including consideration of spillovers and additionality. Implications for relevant stakeholders This report will provide direction for the Pollination Australia Alliance for future investment and may reduce duplication and missed opportunities in R&D investment. Recommendations This initial research and development portfolio, developed with the assistance of literature and informed stakeholders, should be refined and expanded as other plant industries reliant on insect pollination are incorporated in the alliance and their priorities are added. Work on portfolio balance will also be required to ensure there is an appropriate mix of long-term high cost fundamental research (e.g. bee genetics) and short-term immediate payback development activities for affected plant industries (e.g. pollination best management practices). Communication and research to support the economic case for pollination is critical to the overall success of the alliance. Project recommendations, suggested budget and funding models should now be considered by potential investors in Pollination Australia through the Pollination Australia Business Plan (CIE 2008). x

11 1. Study purpose 1.1 Introduction This report is the outcome of an investigation into current research, development and extension requirements for those horticultural and agricultural industries that depend or benefit from insect pollination with special emphasis on the European Honeybee, Apis mellifera. With the loss of incidental pollination following the likely incursion of Varroa mite (Varroa destructor), it focuses on managed pollination services and therefore on the viability of commercial beekeeping as the principal provider of these services. Major R&D topics include the threat and control of Varroa mite and other exotic disease or pest incursions, as well as other aspects, which could impact on the future development of a prosperous pollination industry sector. These include beehive health, production, ecology (environment), climate change, stock improvement and biotechnology. The study looks at the effectiveness of paid pollination currently being undertaken and the use of alternative pollinators to European honeybees and includes an assessment of priorities for R&D within the Australian pollination industry. These priorities are based on substantial input from all sectors of the pollination industry. The study was a component of a broader project, funded under the Australian Government Department of Agriculture, Fisheries and Forestry (DAFF) Advancing Industries program, for the formation of the Pollination Australia industry alliance and for the development and endorsement of a business plan. 1.2 Objectives The objectives of the study were to: investigate current R&D into Varroa mite and its control, and other exotic (and endemic) pests and diseases which could potentially impact on the pollination industry investigate current R&D into beehive health, production, ecology (environment), climate change, stock improvement and biotechnology investigate the effectiveness of paid pollination services investigate use of alternative pollinators to European honeybees develop a list of priorities for R&D within the Australian pollination industry. The study identified and prioritised honeybee and pollination dependent industry R&D needs. It determined whether there were specific pollination issues relating to Australian crops and how those issues might be addressed. It also investigated alternative funding models for pollination R&D. A first principles approach was adopted that included an assessment of R&D needs, identification of research gaps, prioritisation of new R&D and determination of potential R&D providers. The project was completed in eight tasks: 1. Finalisation of the study plan with the project steering committee. 2. Literature review Australian and international. 3. Initial briefing paper preparation. 4. Consultation with current researchers. 5. Briefing paper update - risk analysis, education insights and consultation results. 6. Workshop to review current research and set future research priorities. 7. Analysis of workshop outcomes and scoping of project options. 8. Draft and final Pollination Australia R&D consultancy report preparation and presentation. 1

12 2. Conceptual framework This chapter outlines a framework for the conduct of this consultancy. This includes linkages to the other two companion consultancies, one on risk management strategies for biosecurity and the other on education and training needs to ensure that the honeybee industry is equipped to deliver on biosecurity strategies. These three consultancies are designed to inform an overarching business plan which is being developed for Pollination Australia by the Centre for International Economics (CIE). CIE is also undertaking an additional assignment to investigate economic aspects of the current pollination industry and assess likely future developments and potential. Figure 2.1 (over page) provides an overview of the framework for this study. The first key question is 'what do we know about the pollination industry?' This industry at present is not well developed and there are many uncertainties associated with it. Only for a relatively few crops is paid pollination being undertaken. Yet many agricultural crops and most horticultural crops are highly dependent on pollination which is mostly incidental. The CIE is currently undertaking a detailed study of the pollination industry, including its future potential. This will be a valuable input to this part of our study. In addition, our consultations with key stakeholders, the outcomes of workshops held and our review of the literature, including a review on ongoing research, will provide a good basis to assess the current state of knowledge about the pollination industry. This will enable us to assess knowledge gaps and research opportunities. The next key question is 'what are the threats to the industry?' If the existence or viability of the honeybee industry is at risk so to is the viability of many horticultural and agricultural crops in Australia - those dependent on pollination. The most important risk factor is the potential incursion and establishment of Varroa. This and other biosecurity risk factors are being studied in detail in one of the companion consultancies which aim is to develop a risk management strategies for biosecurity. This will provide a valuable input to our consideration of R&D gaps and priorities. Biosecurity issues are not the only source of risk to the pollination industry. Other issues such as access to pollen and nectar resources, especially access to native forests, are also very important. In the longer term, consideration needs to be given to climate change issues as well. Several honeybee industry leaders have expressed concern about future research capacity and availability of experienced researchers. The companion Pollination Australia Education and Training Needs consultancy will provide valuable input. The third key question is 'how can the risks to future sustainability be minimised, and how can the pollination industry be improved - what R&D needs to be done now to put the industry on the best path?' This question was addressed at the Pollination Australia R&D Workshop held at Rydges Capital Hill Canberra Thursday 6 December An important outcome of this workshop was a list of priority R&D projects with specific details on each project. These were further assessed within a benefit cost framework to provide a recommended final list of priority R&D projects together with relevant details on each. Finally, our study examines how the R&D component of Pollination Australia's work plan can best be funded. This issue was considered in depth at the December R&D Workshop. The outcomes of this consultancy will be utilised by the CIE in the development of a business plan for Pollination Australia. 2

13 Figure 2.1 A framework for assessing R&D priorities for Pollination Australia CIE Consultancy on pollination industry Outcomes of April 2007 Workshop Literature review Consultations What do we know about the current pollination industry? Identify knowledge gaps and research opportunities December R&D workshop Risk management strategies consultancy Biosecurity Education and training consultancy Workshops Consultations Literature review ongoing research What are the threats to the current pollination industry? How sustainable is it? Identify key biosecurity threats and associated R&D - R&D gaps Identify other threats - resource access - climate change - research resources - R&D gaps Inputs as above Benefit cost assessment of R&D priorities How can risks be minimised and the pollination industry improved? Identify and develop specific high priority R&D projects Review of R&D funding models Industry consultations How will R&D activities be funded? Recommended R&D funding model Key input to development of Pollination Australia s Business Plan 3

14 PART 1:WHAT DO WE KNOW ABOUT THE CURRENT POLLINATION INDUSTRY 3. Profile and importance of honeybee pollination to Australian industries 3.1 Overview The following summary was prepared for the Honeybee Industry Linkages Workshop 2007 and is drawn from Gibbs and Muirhead (1998), Gordon and Davis (2003) and Cook et al (2007). Honeybee pollination is essential for some crops, while for others it raises yield and quality. Honeybee pollination provides significant value to Australian horticulture and agriculture with services being valued at $1.7 billion per annum in for the 35 most important honeybee dependent crops (Gordon and Davis 2003). When other crops, including pastures such as lucerne and clover, are added this estimate becomes even larger. If honeybee pollination were to stop completely, large losses would be felt in a horticulture sector that provides produce valued at around $3.8 billion per annum. This is because approximately 65% of horticultural and agricultural crops produced in Australia require pollination services from honeybees. Furthermore, it needs to be noted that feral honeybee populations play a key role in the pollination of pasture plants where paid pollination or even unpaid pollination from managed bees is less significant compared to concentrated horticultural crops. Figure 3.1 shows a flow diagram of the role honeybees play in the horticulture and broadacre industries. Pollination can occur through feral honeybees, paid pollination services and/or incidental and unpaid pollination from European honeybees. Paid pollination involves employing an apiarist to place bees on the grower s land in order for the bees to pollinate crops. Honey production is a secondary objective for the apiarist. With incidental pollination, the apiarist s specific purpose is to produce honey, and pollination of crops is a positive externality received by growers. Both paid honeybee pollination services and incidental honeybee pollination increase the value of crops to growers through an increase in yield and an increase in quality. This means that pollination has a direct impact on welfare for those growers who benefit from pollination services. In addition, there are positive benefits to the entire agriculture industry due to flow-on effects from an increase in the value of crops, and positive benefits from pollination to consumers as it increases production (thereby putting downward pressure on prices) while providing better quality products. It has been estimated that if honeybee pollination had stopped completely in , the agriculture industry would have experienced a loss of around $1.7 billion in production and consumption, resulting in the loss of around 9,500 jobs. It was also estimated that there would have been short-term flow-on effects which would add an additional $2 billion loss to agricultural industry output and another 11,000 jobs. Partial loss in pollination services would have still resulted in major economic costs. Even if dependence on pollination were half that assumed in this study the direct loss to Australia would have been $0.6 billion per annum. This shows that honeybee pollination is very important to horticultural industries (Gordon and Davis 2003). Inclusion of pasture species and the full range of agricultural crops only increases this impact. For example, clover pollination is the most important pollination job that honeybees perform in New Zealand. 4

15 The speed with which Australian horticulture Figure 3.1 Economic benefits attributable to honeybee pollination services and agriculture would recover from a loss in honeybee pollination services of the type that might occur from an incursion of Varroa mite will depend on several factors. One is the extent that other pollinators can replace the honeybee. In the case of large production systems such as almonds and canola no other insect pollinator is possible so a loss in honeybee pollination services would represent a direct loss to these industries. A second factor is the profitability of current crops and their ability to absorb additional production expenses. A third is the impact on markets from a large-scale switch in enterprises, including the diversion of exports back onto the Australian market and the potential for imports to pass quarantine and plug local production gaps. 3.2 Crops dependent on honeybee pollination Gordon and Davis (2003) identify 35 Australian horticultural and agricultural industries dependent on honeybee pollination for a significant part of their production using a methodology developed by Gill (1989). The 35 crops identified were largely honeybee pollination dependent and had readily available data. Their list excluded a wide range of pastures, including lucerne and clover. Cook et al (2007) model 25 crops dependent on honeybee pollination, 13 of which avoid costs of over $1 million pa from the maintenance of pollination services. These 25 crops were selected as important and fitting within the technical limitations of their model (see Chart 3.2 below). 5

16 Figure 3.2 Twenty five crops that will benefit from protection of honeybee pollination services 1 5,000 Estimated Average Pollination Benefit Attributable to Exclusion ($'000/yr) 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1, Almond Source: Cook et al 2007 Blueberry Sunflower Pumpkin Cherry Cucumber Apple Plum Apricot Nectarine Peach Field Pea Macadamia Nut Pear (Not Nashi) Strawberry Mandarin Orange Mangoes Lemon & Lime Canola Lupin Avocado Watermelon Rockmelon Zucchini Plant Industry This R&D project considers all industries identified by Gordon and Davis (2003), those modelled by Cook et al (2007) along with lucerne and clover pastures. 3.3 Commercial pollination service supply chain The commercial pollination service supply chain involves a beekeeper delivering an agreed number of hives to a location specified by the pollination service customer on a specified date and leaving them there for an agreed period, usually a few weeks, to allow the bees to effect the pollination of the customer s crop or pasture. Such a simple description grossly understates a process that may require the beekeeper to commence preparing the hives to perform the service months in advance and may render the hives so depleted by the performance of the service that they require a further period of months to recover before they can be of further commercial value to the beekeeper. The degree of depletion depends on the nature of the crop in which the hives are placed. Such a description may not adequately reflect the requirement for: the preparation of the hives to occur at a location some hundreds of kilometres from the site at which the service is performed hive recovery which, in some cases, may require transport of the hives to a third location a similar distance removed, in a different direction followed by a further move, for a significant distance, to a fourth location where they resume activities that produce a commercial return to the beekeeper from honey production or provision of further pollination services. 1 Canola is included in this list. It is noted that broadacre canola crop production is an activity of mutual benefit for growers and beekeepers but that the canola seed industry is one that is very taxing on pollination service providers. 6

17 Figure 3.3 Beehive management for crop pollination a beekeepers view Source: Parker 1989 The combination of activities that precede and follow the performance of a particular commercial pollination service will be determined by the interaction of a number of factors including: the time of the year at which the service is required the species and variety of the crop to be pollinated the location of the crop weather conditions at the time and at the site of the crop to be pollinated seasonal conditions and floral resources at the various sites where preparation or recovery of the hives may occur access to availability of apiary sites at those locations the nature, location and timing of other demands for pollination services the incidence and severity of pest and disease burdens at each point along this supply chain. Given such complexity and uncertainty, it is inevitable that risks for both parties to a commercial pollination service contract arise at various points along the supply chain. Some of these risks are, to a greater or lesser extent, within the control of one party to the agreement or the other, but many are outside the control of both parties. 3.4 Commercial, operational, biological asymmetries in the Australian pollination industry Any consideration of the Australian pollination industry must recognise and take account of a number of significant asymmetries between those components requiring pollination services and those capable of providing those services. Many of these asymmetries also apply in other countries but some are either unique to the Australian industry or displayed in the extreme when compared to the circumstances prevailing in these other places. They include: Commercial Asymmetries o o revenue earned from paid pollination services is minute compared to the value attributable to those services the revenue the beekeeping industry derives from the provision of paid pollination services is very small compared to that derived from other beekeeping activities, mainly honey production. 7

18 Operational Asymmetries o enterprises most heavily dependent upon pollination services require those services for only about four weeks each year o managing hives to provide these services may involve a 12 to 18 month cycle, and o a major concern for growers of pollination dependent crops is the quality of the management of the hives that perform the lesser part of the pollination service yet in many situations growers attribute the majority of pollination to feral hives the quality of which they cannot ascertain or, by definition, control. Biological Asymmetries o some of the species most heavily dependent upon pollination require pollination at a time when hives, both managed and feral, are naturally not normally in a condition to meet the requirement o most of the crops most heavily dependent on pollination deliver little by way of nectar to sustain the hives pollinating them and therefore, by extension, even less, by way of honey to the apiarists providing the hives, whilst the floral resources that are most rewarding to apiarists in terms of honey flows have little or no requirement for pollination by honeybees o the requirement for commercial pollination services is generally quite time-specific and highly predictable, whilst in Australia, the events that produce the most honey and which are often used to condition hives to provide pollination services are generally imprecise and comparatively unpredictable. Biosecurity Asymmetry o feral hives that currently perform the majority of pollination activity in Australia s pollination dependent industries represent the greatest biosecurity risk to themselves, managed hives and pollination dependent industries. These asymmetries need to be taken into account when assessing the effectiveness of paid pollination services. 8

19 4. Current effectiveness of paid pollination services This chapter investigates the effectiveness of paid pollination services by reviewing the economics of pollination (reasons why the service might not currently be effective), the optimal size of the honeybee pollination industry (CIE 2007a forthcoming) and the delivery of the technical attributes that determine the effectiveness of paid pollination services (for example, timing, rotation, removal, stocking rate, pollen management). Research gaps and needs to improve the effectiveness of paid pollination services are also identified. 4.1 General relevant research A common issue revealed in the literature review, across all plant industries is the undersupply of pollination services. Future directions for the Australian honeybee industry Pollination (CIE 2005) Apiarists who provide pollination services have limited ability to capture the value generated for horticulture due to lack of information on the part of some beekeepers and horticulturalists. There is difficulty in controlling the quality of paid honeybee pollination services within the industry as some apiarists supply below strength hives, are unsure of stocking rates, and available colony management techniques. They also have clients who don t understand the advantages of pollination, which is to the detriment of skilled pollinators. Well-publicised industry standards for the supply of pollination services are needed along with an education program for growers receiving pollination services. There is a high risk 2 faced by honeybee pollinators from chemical spray drift used by neighbouring growers. In addition, labels on chemicals used by growers do not identify whether they are dangerous to bees 34. Currently there are not enough hives available for the expected demand in pollination services. This is in part because the supply of honeybees for pollination has been limited by drought and access to public forests. This problem also has an economic dimension hives will be provided if the financial incentive is sufficient for beekeepers. For example in New Zealand in 1990 it was predicted that there were not going to be enough hives to pollinate the rapidly increasing kiwifruit industry by The demand for hives was increasing much faster than the increase that was occurring in hive numbers in New Zealand. However, the shortfall never occurred. New Zealand kiwifruit growers were forced to pay higher prices for hives, which encouraged beekeepers to increase their hive numbers and for new beekeepers to enter the industry. A shortfall would have occurred if kiwifruit growers could not have afforded to pay higher prices to rent beehives. Actions suggested in a May 2005 pollination workshop in Orange, NSW, included (CIE 2005): Development of industry education programs for apiarists on correctly pricing paid pollination services as well as education on industry standards, and regional coordination to ensure pollination services are effective. Paid pollinators need to market the benefits of honeybee pollination to horticultural and agricultural producers through advertisements and articles in agricultural journals. Information provision to government would also assist with ongoing access to public forests. Increased coordination between apiarists, seed companies and agricultural and horticultural producers. Joint research needs to be undertaken between these industries on improving the effectiveness of honeybee pollination in order to maximise the benefits of paid honeybee pollination services. 2 This is a low risk in New Zealand. 3 Bee safety statements are a requirement of pesticides used in New Zealand. 4 Even those chemicals that do carry warnings regarding their risk to bees need more meaningful statements e.g. how long are the chemicals toxic to bees in days after application. 9

20 In addition to these suggestions growers should be educated on the importance in better managing their pollination so they can see the value of paying more for a better pollination. Analysis of the Market for Pollination Services in Australia (Michael Monk CIE in progress) This project identifies those factors that determine the supply and demand for pollination services in Australia and assesses the size and scope of such a market. Furthermore it examines the impact of a Varroa incursion and the difference in returns that would arise from a proactive development of the industry versus a reactive ex post response by industry. This project is an input into the Pollination Australia business plan. Importance of Pollination and Pollination Services New Zealand Situation (Mark Goodwin Honeybee Research Unit, Honeybee Industry Linkages Workshop April 2007) Pollination is one of the most important factors affecting crop yields and hence profitability. Grower responsibilities include ensuring sufficient flowers are available, bees are protected from pesticides, suitable sites are available to put hives and that the bees have easy access to water. Beekeepers responsibilities include ensuring that colonies are prepared so that sufficient bees will visit the crop, that they are introduced at an appropriate time, sufficient hives are placed in an appropriate location and managed effectively. To be able to carry this out the pollination requirements needed for each crop need to be established either from the literature or research. Growers and beekeepers then need to be educated on their responsibilities. In New Zealand, grower and beekeeper industry groups both fund research of interest to both groups, and organise educational opportunities. The education program is so effective that all growers understand the need for pollination and more than NZ$15 million is paid for pollination services each year. It is noted that hives are not left in most crops for long enough for honeybee survival to be a problem 5. Inquiry into the Future Development of the Australian Honeybee Industry (House of Representatives Standing Committee on Agriculture, Fisheries and Forestry 2007) The House of Representatives Discussion Paper (2007) 6 noted that research on crop pollination is important. Each plant species has its own pollination characteristics, and these must be identified and addressed to maximise returns from paid pollination services. Moreover, the impact on hive health for each plant species must also be identified (i.e. nectar and pollen production and how well honeybees survive on it). Importance of Pollination and Pollination Services (James de Barro April 2007) The seeds industry invests more than $250,000 pa in hives for pollination. There is no correlation between cost of hives and quality of service provided. North America has a hive-brokering scheme based on standards set on natural European honeybee dynamics. The basis of the scheme is the provision of hives for pollination rather than honey collection. Since the introduction of Varroa in the US the cost of hives for pollination has increased from $15/hive in 1990 to $110/hive in The exception here might be cherries grown under nets where bee survival after 14 days is an issue. 6 The House of Representatives Inquiry Discussion Paper was issued to stimulate discussion and is not the formal findings of the Inquiry. Discussion papers are to stimulate discussion only and do not have findings. 10

21 New Zealand has a similar hive- Protection against Varroa and other pests and diseases scheme and hives are fed sugar syrup to promote colony development. Honeybee R&D Plan Pollination Research (RIRDC 2007a) Pollination research goal objectives are: to better understand the cost and value of pollination services provided by beekeepers to generate industry value through shared learning with crop producers, especially the Australian almond industry. Strategies include: assessment of the value to crop producers of pollination services on an individual crop basis to assist beekeepers with the pricing of their services (e.g. almonds, pome fruit, canola) undertaking further research and communication activities on the cost of pollination service provisions to beekeepers to assist them with the pricing of pollination services (costs to include beekeeper investment in hive preparation) extension of the Tasmanian Crop Pollination Association Code of Practice to all Australian states investigations on the feasibility of investment in joint R&D projects with the Australian almond industry (especially with HAL). Performance indicators and related measures include: information guides available on costs of pollination services and value generated for each of the most important horticultural/agricultural crops by Information guides to be published at the rate of two per annum six state based codes of practice for pollination to be published by Codes to be published at the rate of one per annum completion of at least one joint R&D project with the Australian almond industry by The Pollination Research Goal is to receive 10% of the Honeybee R&D program funds of approximately $550,000 pa through to i.e. approximately $55,000 pa. By way of comparison NZ spends approximately ten times this amount on pollination efficiency R&D. Implications for the pollination industry The literature review and subsequent consultation reveals: the quality of Australian pollination services is substandard. 4.2 The economics of pollination Review of the literature relating to the economics of pollination reveals that in many instances individual plant industries receive an economic return from incorporation of pollination services while beekeepers do not receive an economic return for the services provided. Implications for the pollination industry A big threat is that beekeepers consider that they are underpaid for providing pollination services which means that they are unlikely to invest in the time and effort required to bring hive strength up to a required standard for effective pollination of key crops. Straight honey production is a more financially rewarding alternative enterprise and at present unpaid incidental pollination is probably more important for most crops. In the event of a serious biosecurity breach and loss of unpaid pollination services (incidental pollination from managed and feral honeybees) these plant industries will face massive pollination cost increases or significant loss of production (see for instance Sumner and Boriss 2006). 11