NFU Urges FTC to Oppose ChemChina/Syngenta Merger

The National Farmers Union urges the Federal Trade Commission to oppose China National Chemical Company’s acquisition of Syngenta. In comments to FTC Secretary Donald Clark, NFU President Roger Johnson says this deal would further consolidate an already consolidated global agricultural inputs sector. Johnson says the deal would further limit competition among the few companies that dominate the marketplace. The Farmers Union feels a move like this will limit competition and ultimately raise prices for family farmers. “Chem China’s proposed takeover of Syngenta would disrupt trade flows and accelerate the international consolidation of food and agribusiness industries,” Johnson says, “and we urge you to stand up for family farmers and ranchers and oppose the merger.” He says the ChemChina-Syngenta merger occurs against the backdrop of an industry that’s already marked by highly concentrated agricultural biotechnology and seed markets. The global ag input market is currently going through the third wave of consolidation, with mergers also pending between Bayer and Monsanto and between Dow and DuPont. Johnson said because ChemChina is owned by the Chinese government, the ChemChina-Syngenta company would have a significant advantage over other companies in accessing the large Chinese market.