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A merger that it is a worry

By Freethinker

Yesterday we hear news of the merger between Monsanto and Bayer.

German drug and crop chemical maker Bayer offered more than $66 billion to buy up US seeds company Monsanto, and the offer was accepted.

This bring a multinational corporation near the monopoly of chemicals and other essential products in agriculture and food production.

We can only can hope that the European Union regulators and the US Department of Justice will study this deal very closely.

If we add the recent merger between ChemChina-Syngenta (ChemChina bought Syngenta for $43 billion) and DuPont-Dow Chemical forming their own multibillion-dollar Voltrons, the world can have a big risk that between these to giants they will dictate the operational costs of the farmers and food.

Taking into consideration that since the middle of the 1990s four of the largest seed companies dominated over 20% of the market and that the majority of those companies were purchased by DuPont, Monsanto, Bayer and Down, these mergers can have a very serious implications with the world seed stock and control, especially when the companies are involved in genetic modification.

Between these to big giants they will control about 60% of the seeds, as well as own over 50% of the world’s pesticides.

What do you think?

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  1. Jennifer Meyer-Smith

    Thanks Freethinker,

    for bringing this monstrous marriage into the forum for discussion. Monsanto and Bayer are two corporate environmental criminals who are not only aiming to dominate food production and practices, but they don’t care how they achieve that. Goodbye our friends, bees and other insects who are nature’s necessary pollinators.

    What I hope is that more and more individuals and groups of individuals form alliances to salvage natural seeds from as many diverse plants as possible so to ‘grow’ an alternative agri-economy based on naturally produced foods that belong to grassroots people.

    As more and more alternative agri-businesses continue to grow, this will provide greater sanctuaries to our friends, the bees and other pollinators.

  2. Rotha

    From one point of view these mergers indicate a shrinking market, not a bad thing.
    However another aspect is that these companies have enormous power within government, I mean the public
    services of all the western democracies and China. Our own Commonwealth Government favours Monsanto
    And embeds their chemical methods in legislation. Western Australia is at the moment increasing the area of
    Farm land under GM crops, which means an increase in the farm use of Monsanto’s Glyphosate.
    Only Russia stands out as an exception.

  3. Kyran

    What could be wrong with this picture?
    Bayer’s initial offer was $122 per share, which valued Monsanto at $83bil. Their most recent offer is $128 per share. Their most recent offer contains two caveats.
    It includes all debts. Mr Taylor’s link depicts the number of lawsuits against Monsanto for GM crops. Is part of this offer that Bayer will underwrite those debts? From what I’ve read, the answer is ‘yes’.
    The other caveat is that Bayer will pay to Monsanto $2bil compensation if this unholy union doesn’t go through.
    All this trouble for two companies whose combined sales in 2015 was $34.6bil.
    Having googled my little fingers off, I cannot find anything that defines the ‘value’ of this new behemoth, in $ terms, or why governments are so keen to ‘wave it through’. Apparently the markets are cautious, due to the possibility the EU or US government will intervene.
    Why would you increase your offer (per share), acknowledge (and accept) debts of what you are acquiring, and offer them $2bil if the deal doesn’t go through?
    The $ figures cited seem to be US $, from what I have read.
    Really good call, Freethinker. The ‘fix’ is ‘in’. Take care

  4. Harquebus

    We now have glyphosate resistant weeds. Hopefully, this will bring and end to to this dangerous carcinogen however, what they will replace it with does concern me.

    Something I came across recently.
    “A yet-to-be published sixth paper found various commonly-used vaccines contaminated with the herbicide glyphosate.”

    More Shocking Vaccine News

    This popped up in this morning’s reading list.
    “Bayer Just Bought Monsanto, Here’s Why You Should Care”

    BTW: Well done Freethinker

  5. Steve Laing -

    What is an absolute tragedy is that crop genetic modification could have been used for so many positive things other than resistance to chemicals. This is yet another story of short-term profit and greed over-ruling the long term greater good. Agribusiness – a truly ugly concept, with Monsanto moving toward total monopoly. And the problem with a single point of failure? You only need to look at the Irish Potato famine to understand that one.

  6. diannaart

    Monsanto was granted some special status by USA government?

    I didn’t think that would be necessary – aren’t international monolithic corporations above national and international law now?

    Of course they should be outlawed. Mergers between monoliths is inevitable, but who is going to stop them?

    I like Jennifer’s proposal – we ignore the bastards.

    At a local level; we are capable of creating our own medicines, energy, agriculture,produce, schools and local infrastructure – there is enough people.

    We have the ability and the means, it is just the will that is, as usual, missing in action.

    Have been boycotting Dupont, Monsanto products as best I can, now will boycott Bayer. Yes, I do realise there are lot more corporations requiring a good ‘boycotting’.

    Shop local. Support local. Sounds like regression to tribalism and maybe it is for some – but we have a level of technical knowledge that was missing 100 years ago, when we thought that the state would protect us from the powerful.

  7. Kyran

    Good point, Mr Laing, about those Irish and ‘their’ famine. Whilst it was, undeniably, a crop failure, the Irish government (subjugate to their English overlord’s) chose to subjugate their constituents.
    That was the mid 1800’s.
    From wiki;

    “Almost 4,000 vessels carried food from Ireland to the ports of Bristol, Glasgow, Liverpool, and London during 1847, when 400,000 Irish men, women, and children died of starvation and related diseases. She also writes that Irish exports of calves, livestock (except pigs), bacon, and ham actually increased during the Famine. This food was shipped under British military guard….”.

    I don’t understand how they excluded pigs from export, yet included bacon and ham. That was centuries ago.
    I don’t understand that these problems were occurring centuries ago, yet we have not advanced. Not one iota.

    Centuries later, that same fix is in. We learn so well from our past. That is why we are so determined to repeat it. Take care

  8. Freethinker

    Steve Laing, IMO the ownership of seeds is a big issue IMO.
    This 2005 old article make by blood boil.
    Monsanto versus Farmers

    Between the political domestic news and what it is going on world wide some time I just wonder if at my 70 years it will be better for me health ways to go bush and isolate myself from society.
    It is only my Latin blood and caring for the future of grandchildren generation that keep me rebelling like mad!

  9. roma guerin

    This merger/takeover is the work of the devil IMO. I have been following the GM topic for several years now. Greenpeace published a comprehensive report (1990s?) on the intentions of all companies involved in the promotion of GM which was truly scary, but unfortunately I did not save it. There were lengthy quotes from Monsanto’s business plan, which clearly stated that their intention was to gain a monopoly over the world food supply. The Domesday Vault under Greenland (Iceland?) was largely funded by companies like Monsanto and Syngenta to accumulate seeds from every plant from every country in the world, ostensibly to provide an instant market in the event of a world catastrophe. I was sad to watch a subsequent segment on a TV science programme lauding the project, told through the eyes of a young Australian scientist who was taking part, and who genuinely thought it was about saving world food security. He seemed to be oblivious of the commercial forces behind it. Poor Indian farmers were drawn into the GM net and suicides proliferated when they could not get out of contracts which were impossible for them to fulfill. This terrible situation seems to have passed by the general public.

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