Today, March 21st, the European Commission authorized the Bayer-Monsanto merge. The merged group will control more than a quarter of the global GMO seeds and pesticide market. The transaction is part of the trend of consolidation of this sector that has been underway for several years now.
These merges have been challenged by many environmental organizations as well as by some agricultural organizations, who see it as a concentration of power.
The European Commission, however, found that Bayer had responded to its concerns by proposing to sell a series of assets to its compatriot and competitor BASF. Bayer plans to sell BASF some seed and herbicide business for $7.2 billion and license it on its digital agriculture data.
“Our decisions make it possible to ensure that competition and innovation remain effective in the seed, pesticide, and digital agriculture markets, even at the end of this concentration. In particular, we have ensured that the number of global players in active competition in these markets remains the same,” declared Margrethe Vestager, the European Commissioner for Competition.
The US-based environmental organization Avaaz has criticized the green light the European Commission accorded to Bayer in its deal with Monsanto
“This is a wedding celebrated in hell, the European Commission ignored a million people who asked it to block this deal and gave in to pressure to create a mega-company that will dominate our food supply,” said the legal director of Avaaz, Nick Flynn.
“The agricultural sector is already too concentrated, which gives a handful of large companies a grip on food production. The merger of two of the biggest players only aggravates the situation,” declares Bart Staes, the Greens Group’s spokesman.
China has already approved, under some conditions, the Bayer-Monsanto rapprochement, which has also obtained the green light from Brazil.
The United States and Russia have not yet pronounced in this regard.
In conclusion, the European Commission gave the green light for the Bayer-Monsanto deal which allows this merged group to control more than a quarter of the global GMO seeds and pesticide markets.
Erin VanDyke lives on her family farm and has more than 35 years of hands-on experience with the use of livestock guard dogs for predator control. On their farm, Jan and her family use corgis as herding dogs and have raised Shetland sheep, Fainting goats, Morgan and Trakehner horses, and historic breeds of chickens and turkeys. Erin is also an active beekeeper.