March 31, 2000 / from a press release
TORONTO -- The Ontario Soybean Growers (OSG) is calling for Monsanto Canada to rectify the inequities in seed pricing that are disadvantaging Ontario's soybean growers. The OSG is concerned about the significant differences between Roundup Ready seed prices and business practices between Ontario and Argentina. A recent report from the United States General Accounting Office revealed that farmers in Argentina pay the equivalent of $13.50 for a bag of Roundup Ready soybean seeds. Roundup Ready soybean seed can cost over $30.00 a bag here in Ontario.
One of the reasons for higher Roundup Ready soybean prices in Ontario is that Monsanto charges a technology fee of $8.75 on a 25kg bag on top of the price of the seed. Ontario farmers are also prohibited from saving and replanting Roundup Ready soybean seeds. In Argentina, farmers are not charged a technology fee, and they are able to save and replant seeds.
"Why should soybean growers in Ontario have to pay for a technology fee when growers in Argentina - one of our major competitors - don't have to" said OSG Chairman Ken Bee, a producer from Dresden Ontario. "The OSG is urging Monsanto to quickly rectify the current competitive disadvantages for Ontario producers by discontinuing and refunding technology fees for the 2000 soybean crop and by eliminating the restrictions that prevent farmers from planting their own saved seed."
The OSG understands that companies need to make a return on their research investments to continue the development of new technologies. The OSG objects when our Ontario producers are required to pay for technology that is given free of charge to our competitors.
"The OSG is a strong supporter of new soybean seed technologies - be they the result of biotechnology or conventional breeding programs," said Bee.
"The OSG's objection is that Ontario growers are being forced to pay for Roundup Ready Technology while one of our major competitors is receiving the technology free of charge. That's not fair, and that is what the OSG is asking Monsanto to remedy."
(posted without permission)
