Proposed mergers and acquisitions in the seed industry could reduce six major agribusiness firms to four
Klobuchar called for robust competition and the enforcement of antitrust rules to ensure an even playing field for consumers and farmers
WASHINGTON, DC – During a Senate Judiciary Committee hearing today that she helped chair with Chairman Chuck Grassley (R-IA), U.S. Senator Amy Klobuchar pressed for answers on the impact of recent proposed consolidations on prices and competition in the seed and agriculture industry. Proposed mergers and acquisitions in the seed industry, including ChemChina’s proposed acquisition of Syngenta, and proposed mergers of Dow Chemicals and DuPont, and Bayer’s proposed acquisition of Monsanto, could reduce six major agribusiness firms to four. Klobuchar, the ranking member of the Senate Judiciary Subcommittee on Antitrust, Competition Policy, and Consumer Rights, called for robust competition and the enforcement of antitrust rules to ensure an even playing field for consumers and famers.
“Our farmers and consumers face enough challenges without the additional burdens of an anti-competitive market. The three transactions before us are substantial as they reduce the six major agribusiness firms to four,” Klobuchar said. “People don’t need costs going up more, neither the producers nor the people who eat the food. They have a right to be able to support their family and not be the ones that bear the brunt of major consolidations.”
Klobuchar also noted that at a time of water shortages and climate change, America needs more research and development in the seed area, not less. The consolidations could well decrease innovation and Klobuchar pledged to continue to press the companies on that issue.
For a broadcast-quality video excerpt of Klobuchar’s remarks, click here.
The witness list for today’s hearing is below.
Mr. James C. Collins, Jr.
Executive Vice President, Agriculture Division
E. I. DuPont de Nemours and Company
Wilmington, DE
Mr. Tim Hassinger
President & CEO
Dow AgroSciences, LLC
Indianapolis, IN
Mr. Erik Fyrwald
Chief Executive Officer
Syngenta International AG
Basel, Switzerland
Mr. Jim Blome
President & CEO
Bayer CropScience North America
Research Triangle Park, NC
Dr. Robb Fraley
Executive Vice President & Chief Technology Officer
Monsanto Company
St. Louis, MO
Dr. Diana L. Moss, Ph.D.
President
American Antitrust Institute
Washington, DC
Dr. Bob Young
Chief Economist & Deputy Executive Director, Public Policy
American Farm Bureau Federation
Washington, DC
Mr. Chris Novak
Chief Executive Officer
National Corn Growers Association
Chesterfield, MO
Mr. Roger Johnson
President
National Farmers Union
Washington, DC
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