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The wave of
mergers in the seed industry has had a tremendous impact on
the seed supply in Mexico.
A clear example
is the case of Monsanto, which now owns both the leading corn
seed company in Mexico (Asgrow) and the leading sorghum seed
company in Mexico (Dekalb). This makes Monsanto the undisputed
leader of the primary grain production crops in the country.
The inclusion
of Cargill Seeds in this equation means that three of the
leading brands and companies which used to compete head to
head in this market are now no longer "competing". This takes
away the many benefits that competition brings to a market.
These mergers
have severly affected the distribution companies and disrupted
the sources of seed supply that many small distribution
companies depended on for their competitiveness and survival.
The ability of
the big corporations to finance and to offer to the growers
complete packages (that sometimes even include a buyer for the
crop) have been the demise of many small to medium sized
companies. |