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Context of 'January 19, 2004: Monsanto Temporarily Halts Sale of GM Soybean Seeds to Argentina'

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Monsanto spends $8 billion acquiring, or establishing relationships with, several US and foreign seed companies. [Canadian Business, 10/8/1999; Center for Food Safety, 2005, pp. 9-10 pdf file] The list of companies includes: Calgene, Inc.; Asgrow Agronomics; Asgrow and Stine Seed; Agracetus; Holden’s Foundation Seeds, Inc.; Monsoy (a Brazilian soybean company); Cargill’s international seed divisions (with operations in Asia, Africa, Europe, and Central and South America); Plant Breeding International; and DeKalb Genetics (the world’s second largest seed company). Pioneer Hi-Bred is the only major US seed company that Monsanto does not buy out. However, Pioneer has purchased rights from Monsanto to use technology relating to Roundup Ready soybeans and Bt corn. A 2005 report by the Center for Food Safety will say that one of the factors contributing to Monsanto’s cornering of the GM market (see 1998 and later) is its control of these seed companies. “[T]hese companies (often owned or indirectly controlled by Monsanto) had to agree that 90 percent of the sales of herbicide-tolerant soybeans would contain Monsanto’s patented technology. This requirement was later dropped to 70 percent after Monsanto came under scrutiny from government regulators. Through this sort of ownership and control of seed companies, Monsanto has been able to ensure that competition [will] remain small and that its patented genetically engineered crop varieties [will] be the ones most readily available to the American farmer.” [Center for Food Safety, 2005, pp. 9-10 pdf file]

Entity Tags: Monsanto, Calgene, Inc, Pioneer Hi-Bred International Inc., Agracetus, Asgrow and Stine Seed, Asgrow Agronomics, Holden’s Foundation Seeds, Inc, Monsoy, Plant Breeding International, DeKalb Genetics, Cargill

Timeline Tags: Seeds

Monsanto has become the world’s largest supplier of genetically modified seeds and the second largest seller of all seed types. Only Pioneer Hi-Bred, soon to be purchased by Dupont (see March 14, 1999), sells more seeds than Monsanto. Within the US, Monsanto directly or indirectly controls nearly half the corn germplasm market and most of the soybean market. Its dominant position in the market has been attributed to several factors: its two-year buying spree of other seed companies (see 1996-1998), its control of a large percentage of the biotech industry’s plant patents (see 1980s-2004), and the Technology Use Agreement (see 1996) it forces farmers to sign. According to a 2005 report by the Center for Food Safety (CFS), the availability of conventional seeds to farmers worldwide has been dramatically reduced as a result of Monsanto’s control of the market. “For many farmers across the country, it has become difficult if not impossible, to find high quality, conventional varieties of corn, soy, and cotton seed. Making matters worse, the direction of land-grant university research has been shifting away from producing new conventional seed varieties and toward biotech applications,” the report says. Indiana soybean farmer Troy Roush tells the Center, “You can’t even purchase them in this market. They’re not available.” Another farmer interviewed by the organization, a Texan, similarly states, “Just about the only cottonseed you can get these days is [genetically engineered]. Same thing with the corn varieties. There’s not too many seeds available that are not genetically altered in some way.” [Center for Food Safety, 2005, pp. 9-10 pdf file]

Entity Tags: Monsanto

Timeline Tags: Seeds

At the ninth meeting of the Scientific Body of the United Nations Convention on Biological Diversity (SBSTTA), held in Montreal, four countries—Canada, New Zealand, Argentina, and Brazil—convince the body to submit a recommendation to the next meeting of the Biodiversity Convention to forego action on an expert panel report. They argued that the report was flawed because it lacked scientific rigor. The report—commissioned by members of the Biodiversity Convention in late 2002—had identified numerous potential negative impacts that terminator technology could have on small farmers, indigenous peoples, and local communities (see February 19, 2003-February 21, 2003). If the member countries of the Biodiversity Convention, scheduled to meet in February 2004, accepts the SBSTTA’s recommendation to forego action, the issue will not be considered again until 2006. “SBSTTA9’s decision is wrong and dangerous,” says Alejandro Argumedo of the Indigenous Peoples Biodiversity Network. “Giving four governments the right to derail a report on the impact of terminator on indigenous peoples and local communities is like saying that the voices of these communities are not important, and that the social and economic impacts of terminator can be dismissed.” The ETC Group, a Canadian-based organization that opposes terminator technology, suggests that the presence of representatives from biotech firms Monsanto and Delta & Pine Land may have had something to do with the four countries’ objection to the expert panel report. The organization notes that industry representatives from these very same companies had been involved in the expert panel discussion and had submitted a report insisting that GURT technologies would benefit small farmers and indigenous peoples by providing them with “more choice.” Both Monsanto and Delta & Pine Land have patents on GURT technology. [Convention on Biodiversity, 11/14/2003; ETC Group, 11/14/2003]

Entity Tags: Canada, Harry B. Collins, Roger Krueger, Subsidiary Body on Scientific, Technical and Technological Advice, New Zealand, Argentina, Brazil

Timeline Tags: Seeds

Monsanto announces that it is temporarily halting sales of genetically modified soybean seeds because farmers are saving and replanting patented seed, making it difficult for the company to collect royalties. “We are suspending our soybean business… because it’s simply not profitable for us,” says Federico Ovejero, a spokesman for Monsanto Argentina. “We remain committed to releasing our technology in places where we can ensure a fair return on our investment.” Monsanto has been pressuring Argentina to clamp down on what it says is “seed piracy.” [Associated Press, 1/19/2004; Latin America News Digest, 1/20/2004; ETC Group, 2/26/2004] Monsanto estimates that more than half of the seeds planted during the October-November planting season appears to have been pirated. [New York Times, 1/20/2004] One Argentinean seed industry executive warns that Monsanto’s action “is the first warning sign that all new technologies will abandon us if intellectual property rights are not respected.” [Associated Press, 1/19/2004; ETC Group, 2/26/2004]

Entity Tags: Subsidiary Body on Scientific, Technical and Technological Advice

Timeline Tags: Seeds

Speaking at the tenth meeting of the Scientific Body of the United Nations Convention on Biological Diversity (SBSTTA), held in Bangkok, Canadian farmer Percy Schmeiser criticizes his government’s backing (see February 7, 2005) of terminator technology. “The Canadian government has acted shamefully. It is supporting a dangerous, anti-farmer technology that aims to eliminate the rights of farmers to save and re-use harvested seed,” he says. “Instead of representing the good will of the Canadian people or attending to the best interests of the Biodiversity Treaty, the Canadian government is fronting for the multinational gene giants who stand to win enormous profits from the release of terminator seeds around the world.” [ETC Group, 2/11/2005]

Entity Tags: Percy Schmeiser, Subsidiary Body on Scientific, Technical and Technological Advice

Timeline Tags: Seeds

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