Defining the Costs of an Outbreak of Karnal Bunt of Wheat

In determining the economic impact of a possible outbreak of the quarantinable wheat disease Karnal Bunt, an examination was made of the detailed components of the costs involved. The costs were classified as: (a) Direct costs (yield and quality losses); (b) Reaction costs (export bans, quality down-grading, seed industry costs); and (c) Control costs (quarantine zones, fungicides, spore destruction). The relative importance of each of these cost components is measured for a hypothetical outbreak of Karnal Bunt in the European Union, as a means of ensuring that the policy responses to such an outbreak are appropriate considering the costs involved.