I haven't verified the facts presented here, & welcome corroboration or exception. Steve MONSANTO NOW EXPANDING MONOPOLIES FROM SEED TO WATER by Dr. Vandana Shiva >> > >> >Over the past few years, Monsanto, a chemical company, has positioned >> >itself as an agricultural company through control over seed the first >link >> >in the food chain. Monsanto now wants to control water, the very basis >of >> >life. >> > >> >In 1996, Monsanto bought the biotechnology assets of Agracetus, a >> >subsidiary of W.R. GRACE, for $150 million and Calagene, a California >> >based plant biotechnology company for $340 million. In 1997, Monsanto >> >acquired Holden seeds, the Brazilian seed company Sementes Agrocerus and >> >Asgrow. In 1998, Monsanto purchased Cargill's seed operations for $1.4 >> >billion. It bought Delta and Pine land for $1.82 billion and Dekalb for >> >$2.3 billion. It bought Unilever's European wheat breeding business for >> >$525 million. In India Monsanto has bought Mahyco, Maharashtra Hybrid >> >Company, E.I.D. Parry and Rallis. Mr.Jack Kennedy of Monsanto has stated >> >"We propose to penetrate the Indian Agricultural sector in a big way. >> >MAHYCO is a good vehicle." According to Robert Farley of Monsanto "what >> >you are seeing is not just a consolidation of seed companies, it is >really >> >a consolidation of the entire food chain. Since water is an central to >> >food production as seed is, and without water life is not possible. >> >Monsanto is now trying to establish its control over water. During 1999 >> >Monsanto plans to launch a new water business, starting with India and >> >Mexico since both these countries are facing water shortages. >> > >> >Monsanto is seeing a new business opportunity in water because of the >> >emerging water crisis and the funding available to make this vital >> >resource available to people. As it states in its strategy paper, "first >> >we believe that discontinuities (either major policy changes or major >> >trendline breaks in resource quality or quantity) are likely, >particularly >> >in the area of water and we will be well positioned via these business >to >> >profit even more significantly when these discontinuities occur. Second, >> >we are exploring the potential of non-conventional financing (NGO's, >World >> >Bank, USDA etc.) that may lower our investment or provide local country >> >business building resources." Thus, the crisis of pollution and >depletion >> >of water resources is viewed by Monsanto as a business opportunity. For >> >Monsanto "Sustainable Development" means the conversion of an ecological >> >crisis into a market of scarce resources. "The business logic of >> >sustainable development is that population growth and economic >development >> >will apply increasing pressure on natural resource markets. These >> >pressures and the world's desire to prevent the consequences of these >> >pressures if unabated, will create vast economic opportunity when we >look >> >at the world through the lens of sustainability we are in a position to >> >see current and foresee impending resource market trends and imbalances >> >that create market needs. We have further focussed this lens on the >> >resource market of water and land. >> > >> >These are the markets that are most relevant to us as a life sciences >> >company committed to delivering "food, health and hope" to the world, >and >> >there are markets in which there are predictable sustainability >challenges >> >and therefore opportunities to create business value." Monsanto plans to >> >earn revenues of $420 million and net income of $63 million by 2008 from >> >its water business in India and Mexico. By the year 2010 about 2.5 >billion >> >people in the world are projected to lack access to safe drinking water. >> >At least 30% of the population in China, India, Mexico and US is >expected >> >to face severe water stress. By the year 2025 the supply of water in >India >> >will be 700 cubic kilometers per year while the demand is expected to >rise >> >to 1050 units. Control over this scarce and vital resource will of >course >> >be a source of guaranteed profits. As John Bastin of the European Bank >of >> >Reconstruction and Development has stated "Water is the last >> >infrastructure frontier for Private investors." Monsanto estimates that >> >providing safe water is a several billion dollar market. It is growing >at >> >25 - 30% in rural communities and is estimated to be $300 million by the >> >year 2000 in India and Mexico. This is the amount currently spent by >NGO's >> >for water development projects and local government water supply schemes >> >and Monsanto hopes to tap these public finances for providing water to >> >rural communities and convert water supply into market. The Indian >> >Government spent over $ 1.2 billion between 1992-97 for various water >> >projects whicle the World Bank spent $900 million. Monsanto would like >to >> >divert this public money from public supply of water to establishing >> >Monsanto's water monopoly. Since in rural areas the poor cannot pay, in >> >Monsanto's view "Capturing a piece of the value created for this segment >> >will require the creation of a non-traditional mechanism targeted at >> >building relationships with local government and NGO's as well as >through >> >innovative financing mechanisms, such as microcredit. Monsanto also >plans >> >to penetrate the Indian market for safe water by establishing a joint >> >venture with Eureka Forbes / TATA, which controls 70% of the UV >> >Technologies. To enter the water business Monsanto has acquired an >equity >> >stake in Water Health International (WHI) with an option to buy the rest >> >of the business. Monsanto will also buy a Japanese company which has >> >developed electrolysis technology. The joint venture with TATA / Eureka >> >Forbes is supposed to provide market access, and fabricate, distribute, >> >service water systems, Monsanto will leverage their brand equity in the >> >Indian Market. The joint venture route has been chosen so that "Monsanto >> >can achieve management control over local operations but not have legal >> >consequences due to local issues." >> > >> >Another new business that Monsanto is starting in 1999 in Asia in >> >aquaculture. The aquaculture business will build on the foundation of >> >Monsanto's agricultural biotechnology and capabilities for fish feed and >> >fish breeding. By 2008 Monsanto expects to earn revenues of $1.6 billion >> >and net income of $266 million from its aquaculture business. While >> >Monsanto's entry into aquaculture is through its Sustainable Development >> >activity, industrial aquaculture has been established to be highly non >> >sustainable. The Supreme Court of India had banned industrial shrimp >> >farming because of it's catastrophic consequences. However, the >> >government, under pressure of the aquaculture industry, is attempting to >> >change the laws, to undo the Supreme Court order. At the same time, >> >attempts are being made by the World Bank to privatise water resources >and >> >establish trade in water rights. These trends will suit Monsanto well in >> >establishing its new Water Business and Aquaculture business. The World >> >Bank has already offered to help. As the Monsanto strategy paper states >> >"We are particularly enthusiastic about the potential of partnering with >> >the International Finance Corporation (IFC) of the World Bank to joint >> >venture projects in developing markets. The IFC is eager to work with >> >Monsanto to commercialise sustainability opportunities and would bring >> >both investment capital and on the ground capabilities to our efforts." >> > >> >Monsanto's Water and Aquaculture Business, like it's seed business, is >> >aimed at controlling vital resources necessary for survival, converting >> >them into a market and using public finances to underwrite the >> >investments. A more efficient conversion of public goods into private >> >profit would be difficult to find. Water is however too basic for life >and >> >survival. The right to water is the right to life. The privatisation and >> >commodification of water is a threat to the right to life. India has had >> >major water movements to conserve and share water. The Pani Panchayat >and >> >the water conservation movement in Maharashtra and Tarun Bharat Sangh in >> >Alwar, have regenerated and equitably shared water as a commons. This is >> >the only way that everyone will have the right to water and nobody will >> >have the right to abuse and overuse water. Water is a commons and must >be >> >managed as a commons. It cannot be controlled and sold by a Life >Sciences >> >Corporation that peddles in Death. >> > ----------------------------------------------------------------- >> > >> >
