WASHINGTON (PRNewswire-USNewswire) — Farmers and Families First released a white paper outlining the impact the proposed merger between agriculture giants Bayer AG and Monsanto will have on American farmers and families through decreased competition, increased costs and limiting innovation.
The deal would create a $66 billion corporation with unprecedented control over the products farmers and agriculture businesses need to grow, produce and distribute high quality foods American families need. The study highlights key areas where this proposed merger will impact farmers and consumers, including:
- A merged Bayer-Monsanto would control over 35 percent of the global market for corn seeds, roughly 28 percent of the global soybean market, almost 70 percent of the global cottonseed market and up to 69 percent of U.S. approved herbicide-tolerant seeds for alfalfa, canola, corn, wheat, soybean and cotton
- The proposed merger is projected to raise aggregate seed prices by 5.5 percent, but could raise cottonseed prices by more than 20 percent
- On average, farmers currently using Monsanto brand cottonseed will see their seed prices increase by 19.23 percent
- On average, farmers currently using Bayer brand cottonseed will see their seed prices increase by 17.41 percent
Further, consumers could see food prices increase between 2 percent and 18 percent, according to a study by Texas A&M University.
“Seed costs are the highest expense for farmers, and a merger of these agriculture behemoths would only increase prices and hurt American families already struggling to put food on the dinner table,” said Dan Conston chairman for Farmers and Families First. “We believe the Department of Justice should carefully review this merger so that there is no negative impact on the products that farmers need in order to provide affordable and reliable food to families across America.”
To download a full copy of the white paper, click here.
To learn more, visit www.farmersandfamiliesfirst.com
Farmers and Families First, Inc. is a 501(c)(4) that advocates for free market-based policies to help the American farmers who grow our nation’s food and help the American families who consume that food. Our primary goal is to put ideas into action that promote innovation, lower costs through competition, and fairness for farmers and families. For more information, visit www.farmersandfamiliesfirst.com.
— Farmers and Families First via PRNewswire-USNewswire