After months of negotiations, the multinational pharmaceutical company Bayer today announced the purchase of agrochemical company Monsanto, known for producing genetically modified seeds and pesticides such as glyphosate.
The deal still has to be approved, but to advance the merger of these two companies gives rise to the largest group of group of seeds and pesticides in the world.
This is because of the German multinational Bayer, which already had its own production of seeds, will now have free access to Monsanto’s database, with more than two thousand varieties of genetically modified organisms.
In recent years, Monsanto has been wrapped in various controversial, primarily related to the production of genetically modified seeds. The company has a much higher expression in the US than in Europe, but still, thousands of genetically modified corn seeds enter the European market.
In a statement, Bayer said that this deal will combine products of each company and will mean a saving of around 1 500 million after the third year.
The German giant is best known for his work in the pharmaceutical industry but also has a business sector to work in agriculture, development and production of herbicides, pesticides and fungicides, among others. The merger of the two companies can lead to anything from a quarter to a market share of third.
The environmental group Quercus that in recent years has warned about the production and consumption of genetically modified organisms, expressed concern with the situation since “this union could have serious implications for the environment and public health as well as for small farmers will not be able to compete in this market, increasingly monopolized, and consumers who see decreasing their power over the food they eat and the way they are produced. “
A business to follow in the near future.