Agricultural economists available to discuss pending Bayer-Monsanto merger

WEST LAFAYETTE, Ind. - German pharmaceutical and chemical company Bayer made a successful $56.5 billion bid Wednesday (Sept. 14) to acquire Monsanto, an American agrochemical and agricultural biotechnology corporation.

Including debt, the transaction is valued at $66 billion.

If the deal passes regulatory muster, Bayer would become the world's biggest supplier of seeds and farm chemicals.

The pending merger would be the biggest takeover of 2016 and the latest in a line of acquisitions and mergers that have significantly consolidated global seed and fertilizer markets. This summer, shareholders of agribusiness giants Dow Co. and DuPont Chemical Co. approved the companies' merger, and China National Chemical Corp., also known as ChemChina, bought seed and pesticide company Syngenta.

Purdue University agricultural economists are available to discuss possible implications of the Bayer-Monsanto merger.

Chris Hurt, professor of agricultural economics, can discuss farmers' concerns and perspectives on the merger, concerns about the reduction of competition and the current economic environment in agriculture that is contributing to the spate of agribusiness mergers.

Hurt's research and Extension programs focus on crop production topics, including risk management and taxation. Hurt also works on crop marketing education and research, including the use of risk management tools in marketing, family farm market problems and pricing strategies.

CONTACT: Chris Hurt, 765-494-4273, hurtc@purdue.edu

Michael Gunderson, associate professor of agricultural economics, can discuss how the merger could affect seed markets, farmers, the food supply and the agricultural economy.

Gunderson studies the factors that influence the financial success of agribusiness firms. He has published on topics such as service quality in agribusiness input industries, agricultural land values and agribusiness management. Gunderson is also associate director of research for the Center for Food and Agricultural Business in the Department of Agricultural Economics.

CONTACT: Michael Gunderson, 765-496-2010, mgunders@purdue.edu

Michael Boehlje, distinguished professor of agricultural economics, can discuss the significance of the Bayer-Monsanto merger, possible regulatory issues, its implications for agronomic innovation, and how the merger could affect seed markets, farmers, the food supply and the agricultural economy.

Boehlje conducts research and teaches in the area of farm and agribusiness management and finance. His research interests include alternative systems of coordination of the food and industrial product chain, innovation and risk and uncertainty. Boehlje is also involved in the Center for Commercial Agriculture's applied research and Extension education programs on critical risk, finance and strategy issues for farmers. 

CONTACT: Michael Boehlje, 765-494-4222, boehljem@purdue.edu

 Writer:  Natalie van Hoose, 765-496-2050, nvanhoos@purdue.edu

Agricultural Communications: (765) 494-8415;
Darrin Pack, dpack@purdue.edu 
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