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"Biotechnology continues to be the most rapidly adopted technology in agricultural history due to the social and economic benefits the crops offer farmers and society," said Clive James, founder of the industry-supported International Service for the Acquisition of Agri-biotech Applications, which released the report.
Mr James said nine developing nations planted some genetically modified crop last year, three more than in 2001. India, Colombia and Honduras grew biotechnology crops on a large scale for the first time last year, joining Argentina, China, Uruguay, Mexico, South Africa and Indonesia as countries James considers developing nations that have embraced biotechnology.
Mr James and other biotechnology proponents argue that genetically modified plants will help alleviate poverty by improving crop yields and cutting expenses through less use of pesticides.
The most popular biotech crops contain bacterium genes that make the plants resistant to either bugs or weed killers.
But critics of biotech crops say there isn't enough known about their impact on human health or the environment. The crops have met the most resistance in Europe.
European Union authorities imposed a moratorium on the import of genetically modified food products in 1998, responding to mounting fears of European consumers about possible health risks from the products.
American farm groups estimate the EU ban is costing them nearly $US300 million ($A513.26 million) a year in lost corn exports alone.
Recently, US trade representative Robert Zoellick indicated the Bush administration was close to bringing a case against the moratorium before the World Trade Organisation, a move certain to spark strong reaction among European consumer groups.
Mr Zoellick also charged that the EU ban encouraged several famine-threatened African nations to reject US food relief shipments containing genetically modified corn.
The critics also argue that few major food crops have been genetically engineered. Soy, corn, canola and cotton were the only four biotechnology crops grown widely last year.
"The reality is that the biotechnology revolution has not happened," said Jeanne Merrill of Greenpeace. "The majority of these crops are going into animal feed. Farmers are rejecting biotech food crops."
St Louis-based Monsanto Co disputes that assertion. It says 70 per cent of processed food in the United States includes biotech crops.
US farmers have, however, shunned biotech versions of sugarbeets, potatoes and sweet corn because major food companies said they wouldn't buy them.
Monsanto's application to market genetically modified wheat has been widely opposed by US and Canadian growers who fear consumer rejection.
Monsanto, which controls most of the world's biotechnology seeds, is struggling financially. The company's longtime chief executive stepped down in December as its sales plummeted.
For the first nine months of 2002, Monsanto lost $US1.75 billion ($A2.99 billion) compared to a profit of $US399 million ($A682.63 million) a year ago. Sales for the nine months declined 19 per cent to $US3.45 billion ($A5.9 billion) from $4.25 billion.
Still, the company said the report validated biotechnology's increasing popularity.
"It confirms that growers are finding economic benefits," said Monsanto spokeswoman Shannon Troughton. "We believe biotechnology will continue to be adopted."
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