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Monsanto

From Alfawiki
Monsanto Company
Company typePublic
IndustryAgrochemical, Agricultural biotechnology
Founded1901; 125 years ago (1901)
FounderJohn Francis Queeny
DefunctJune 7, 2018 (2018-06-07)
FateAcquired by Bayer
Headquarters
Creve Coeur, Missouri
,
United States
Area served
Worldwide
Key people
Richard Mahoney (CEO, 1983), Robert Shapiro (CEO, 1995)
ProductsRoundup (glyphosate herbicide), genetically modified seeds, recombinant bovine somatotropin (Posilac), DDT (historical), PCBs (historical), Agent Orange (historical)
ParentBayer (from 2018)

The Monsanto Company was a U.S.-based agrochemical and agricultural biotechnology firm established in 1901, with its headquarters located in Creve Coeur, Missouri. Its most prominent product was Roundup, a glyphosate herbicide introduced in the 1970s. Over time, Monsanto emerged as a major producer of genetically modified crops. By 2018, it held the 199th position on the Fortune 500 list by revenue.

Monsanto was a pioneer in inserting genes into plants starting in 1983 and conducting field tests of genetically engineered crops by 1987. Initially ranked among the top ten chemical companies in the United States, it divested most of its chemical operations between 1997 and 2002 to concentrate on biotechnology.

The company was instrumental in adapting the biotechnology sector's business approach to agriculture, utilizing biological patents to recover research and development expenses. This approach established Monsanto as a dominant force in agricultural innovation and intellectual property rights.

Monsanto's history is marked by controversial products including DDT, PCBs, Agent Orange, and recombinant bovine growth hormone, which have attracted considerable public criticism.

In September 2016, the German chemical conglomerate Bayer announced its intention to acquire Monsanto for $66 billion. The acquisition was finalized on June 7, 2018, following regulatory clearance, retiring the Monsanto brand while maintaining its product lines. Since then, Bayer has encountered significant financial challenges from litigation related to former Monsanto products such as Roundup and PCBs, making this merger one of the most complex corporate integrations in recent times.


1901 to WWII

Monsanto was established in 1901 in St. Louis, Missouri by John Francis Queeny, who brought three decades of experience in pharmaceuticals. He financed the company using his own savings along with funds from a soft drink distributor, naming it after his wife Olga Méndez Monsanto’s maiden name. The company initially produced common food additives including saccharin, caffeine, and vanillin.

In 1919, Monsanto expanded into Europe through a collaboration with Graesser's Chemical Works located in Wales, manufacturing items such as vanillin, aspirin, and chemicals used in rubber processing. During the 1920s, the company broadened its portfolio to include industrial chemicals like sulfuric acid and polychlorinated biphenyls (PCBs). Leadership passed to Edgar Monsanto Queeny, John’s son, in 1928.

To benefit from low taxes and limited regulations for its manufacturing facilities, Monsanto incorporated the town of Monsanto, Illinois (now known as Sauget) in 1926. The company entered PCB production by acquiring Swann Chemical Company in 1935.

Enhancing its research capabilities, Monsanto purchased Thomas & Hochwalt Laboratories in Dayton, Ohio in 1936 and established its Central Research Department. Charles Allen Thomas played a key role in research development and later served as president and chairman of the board. During World War II, Monsanto contributed to the Manhattan Project through its Central Research Department and managed operations such as the Dayton Project and Mound Laboratories that supported nuclear weapons development.

Post-WWII

In 1946, Monsanto launched All laundry detergent, which was later acquired by Lever Brothers in 1957. The following year, its styrene manufacturing plant was destroyed during the Texas City Disaster. By 1949, Monsanto had purchased American Viscose Corporation from Courtaulds. In 1954, the company collaborated with German chemical leader Bayer to establish Mobay, which introduced polyurethane products to the U.S. market.

Monsanto began producing DDT in 1944 as a means to combat malaria-carrying mosquitoes; however, production ended after a U.S. ban in 1972 due to environmental issues. The firm ceased manufacturing PCBs in 1977, two years prior to their prohibition by Congress.

1960s and 1970s

During the mid-1960s, William Standish Knowles and his team developed asymmetric hydrogenation techniques for synthesizing pure chiral compounds, enabling large-scale production of L-dopa used in Parkinson's disease treatment. Knowles was honored with the Nobel Prize in Chemistry in 2001 for this achievement. Monsanto also created the Monsanto process for acetic acid production, which remained dominant until 2000, and introduced AstroTurf in 1964.

Throughout the Vietnam War era, Monsanto manufactured Agent Orange and later resolved related veterans’ lawsuits in 1984. Beginning in 1968, the company became a pioneer in optoelectronics by mass-producing visible light-emitting diodes (LEDs), primarily for use in calculators, digital watches, and clocks—products that set industry benchmarks.

From 1968 to 1974, Monsanto sponsored the PGA Tour’s Pensacola Open. In 1974, it entered into a groundbreaking decade-long biomedical research grant with Harvard University to support Judah Folkman’s cancer studies—the largest private grant Harvard had received at that time—resulting in significant medical patents.

1980 to 1989: Transition to agribiotechnology

Monsanto was at the forefront of genetically modifying plant cells, publishing findings in 1983 and conducting initial field trials of genetically engineered crops by 1988. Under CEO Richard Mahoney starting in 1983 and later Robert Shapiro from 1995, the company intensified its commitment to agricultural biotechnology while divesting non-agricultural operations.

In 1985, Monsanto acquired G.D. Searle & Company, a life sciences firm focused on pharmaceuticals, agriculture, and animal health. Searle developed Celebrex, the first selective COX-2 inhibitor approved by the FDA in 1998. Celebrex became a major pharmaceutical success and played a crucial role in Pfizer’s acquisition of Monsanto’s pharmaceutical division in 2002.

1990 to 1999: Expansion into seeds and industry consolidation

Monsanto launched Posilac, a recombinant bovine somatotropin product, in 1994; this product was later sold to Eli Lilly. The acquisition of Agracetus in 1996 broadened Monsanto’s biotechnology portfolio, including transgenic cotton and soybean varieties.

To address PCB liabilities, Monsanto spun off Solutia in 1997. The company expanded into maize seeds by acquiring Dekalb Genetics Corporation—initially purchasing a 40% stake in 1996 and gaining full control by 1998. That same year, Monsanto also acquired Calgene along with Cargill’s international seed operations, extending its global distribution network to encompass sales in 51 countries.

By 2005, Monsanto completed its $1.4 billion acquisition of Seminis Inc., becoming the world’s largest conventional seed producer. In 1999, it divested NutraSweet Co. and agreed to merge with Pharmacia & Upjohn for $27 billion. This merger formed a pharmaceutical powerhouse with Monsanto’s agricultural segment operating as a wholly owned subsidiary within Pharmacia; its medical research division included products such as Celebrex.

Overview of Monsanto before Pharmacia

2000–2009: Formation of the renewed Monsanto

In the year 2000, Pharmacia separated its agricultural biotechnology division, establishing the "new Monsanto," which concentrated on four principal crops: soybeans, corn, wheat, and cotton. As part of this transaction, Monsanto committed to shielding Pharmacia from any legal claims related to previous Solutia lawsuits. Subsequently, Pharmacia was purchased by Pfizer in 2003.

By 2005, Monsanto had expanded its cotton seed offerings through the acquisition of Emergent Genetics, including its Stoneville and NexGen brands, capturing roughly 12% of the U.S. cotton seed market and enhancing its cotton germplasm and trait capabilities. That same year, Monsanto invested $1.4 billion to acquire Seminis, a global leader in vegetable seed production recognized for sophisticated cross-pollination methods; Seminis maintained its non-genetically modified product lines while progressively investigating genetically modified alternatives.

In June 2007, Monsanto completed the $1.5 billion purchase of Delta and Pine Land Company, a prominent cotton seed developer. To comply with antitrust requirements set by the Department of Justice, Monsanto sold Stoneville to Bayer and NexGen to Americot. Additionally, it exited the swine breeding sector by divesting Monsanto Choice Genetics to Newsham Genetics, transferring all associated intellectual property rights. That year also saw Monsanto enter into a strategic alliance with BASF aimed at co-developing and commercializing novel plant biotechnology innovations.

During 2008, Monsanto broadened its international seed portfolio through the acquisition of Dutch firm De Ruiter Seeds for €546 million. Concurrently, it divested its POSILAC bovine somatotropin product line along with related operations to Elanco Animal Health in a transaction valued at $300 million plus contingent payments.

2010 to 2017: Expansion and Syngenta Attempt

In 2012, Monsanto enhanced its offerings by acquiring Precision Planting Inc. for $210 million, integrating sophisticated hardware and software solutions aimed at improving crop yields and planting accuracy.

The following year, Monsanto entered the realm of data-centric agriculture through the $930 million purchase of Climate Corp, a San Francisco-based firm specializing in localized weather predictions using data analytics, which also provided farmers with financial guarantees if forecasts were incorrect.

This era also saw Monsanto encounter significant public resistance, highlighted by the 2013 March Against Monsanto demonstrations across more than 400 cities globally, with a subsequent wave of protests occurring in 2014.

In 2015, Monsanto pursued a $46.5 billion takeover of Swiss agro-biotechnology rival Syngenta; however, the bid did not succeed. That same year, Monsanto maintained its position as the leading seed company worldwide, holding a 26% market share ahead of DuPont’s 21%. Additionally, Monsanto remained the exclusive U.S. producer of white phosphorus utilized for military purposes.

Overview of "Post-Pharmacia" Monsanto

Acquisition by Bayer

In September 2016, Monsanto consented to be purchased by Bayer for a sum of US$66 billion. To obtain regulatory clearance, Bayer declared plans to divest substantial segments of its agricultural operations, including seed and herbicide divisions, to BASF.

The transaction gained approval from the European Union in March 2018 and from U.S. regulators in May 2018. The acquisition was finalized on June 7, 2018, after which Bayer retired the Monsanto brand and continued business exclusively under the Bayer name.

As part of the merger agreement, Bayer pledged to retain more than 9,000 Monsanto jobs in the United States while creating an additional 3,000 advanced technology roles. The merged agricultural entity intended to allocate $16 billion toward research and development over a six-year period, with at least $8 billion invested within the U.S. Furthermore, Bayer established its global Seeds & Traits division and North American commercial headquarters in St. Louis, Missouri.

Nevertheless, the Bayer-Monsanto merger is frequently cited as one of the most unsuccessful in corporate history due to persistent legal challenges connected to Monsanto’s Roundup herbicide. By 2023, Bayer’s market capitalization had dropped by over 60% since completing the deal, with the company’s valuation falling to less than half of the original acquisition price.

Glyphosate-Based Herbicides

Introduced in 1970, Monsanto’s final major U.S. patent on glyphosate (marketed as Roundup) expired in 2000. Since that time, glyphosate has been sold worldwide by numerous agrochemical firms under diverse brand names. By 2009, glyphosate products made up approximately 10% of Monsanto’s revenue, with Roundup-related offerings—including genetically engineered seeds—accounting for about half of the company’s gross profit margin.

Agricultural Seeds

By 2015, Monsanto’s seed portfolio encompassed corn, cotton, soybeans, and vegetable seeds, many genetically engineered for resistance to herbicides such as glyphosate and dicamba. The "Roundup Ready" technology allowed for denser planting and increased yields; over 80% of U.S. corn, soybean, cotton, sugar beet, and canola crops were tolerant to glyphosate. Development of genetically modified wheat was halted due to concerns regarding export markets.

Two essential patents protecting Monsanto’s genetically modified soybean products expired in 2011 and 2014, enabling the introduction of generic glyphosate-resistant soybeans in 2015. Monsanto licensed this technology to roughly 150 seed companies, including competitors like Syngenta and DuPont Pioneer.

Monsanto also engineered Bt insecticidal seeds that express proteins derived from Bacillus thuringiensis. These were first authorized for use in potatoes (1995) and subsequently extended to maize, soybeans, and cotton. In 2011, Monsanto introduced stacked-trait seeds combining Bt proteins with glyphosate tolerance under the Genuity brand; SmartStax was a notable joint venture with Dow Chemical.

As of 2012, Monsanto’s seed offerings included Roundup Ready varieties of alfalfa, canola, and sugar beet; Bt/Roundup Ready cotton; sorghum hybrids; soybeans with varying oil compositions; and wheat strains featuring BASF’s non-GMO Clearfield trait.

In 2013, Monsanto launched DroughtGard corn hybrids containing a transgenic drought tolerance gene (MON 87460), which received USDA approval in 2011 and Chinese regulatory clearance in 2013.

The "Xtend Crop System," which combines seeds resistant to both glyphosate and dicamba alongside a complementary herbicide formulation, was authorized in the U.S. in 2014 and China in 2016. However, absence of European Union approval caused some American exporters to reject Xtend soybeans due to concerns about access to EU markets.

Issues specific to India

In 2009, scientists at Monsanto detected insect resistance to Bt cotton in the state of Gujarat and promptly informed both the Indian authorities and their customers. They linked this resistance to factors such as insufficient refuge planting and the premature use of unauthorized Bt cotton seeds exhibiting reduced protein expression. Monsanto recommended that farmers transition to its second-generation Bt cotton variant, Bollgard II, which incorporates two resistance genes designed to enhance pest management—an approach widely acknowledged as industry best practice. Nonetheless, this advice was met with skepticism, with critics suggesting it was a commercial tactic aimed at discontinuing the first-generation Bollgard I and encouraging adoption of the more expensive Bollgard II.

Monsanto’s genetically modified cotton seeds encountered resistance from NGOs due to their elevated price point. Indian cultivators frequently crossbred these GM varieties with indigenous seeds, thereby breaching contractual agreements with Monsanto. In 2009, the high cost of Bt cotton was associated with farmer indebtedness in Jhabua district, particularly when drought conditions caused crop failures, underscoring the financial vulnerabilities tied to this product in certain regions.

Vegetable seeds

By 2012, Monsanto had become the leading global supplier of non-genetically engineered vegetable seeds by revenue, generating $800 million in sales. Roughly 95% of its research and development efforts concentrated on traditional breeding methods, with a strong focus on enhancing flavor profiles. The company’s portfolio included "4,000 unique seed varieties spanning over 20 species." Through its Seminis division, Monsanto launched Beneforté broccoli in 2010, a variety fortified with glucoraphanin.

Polychlorinated biphenyls (PCBs)

Prior to halting production in 1977, Monsanto was responsible for supplying 99% of the PCBs utilized by U.S. industries under brand names such as Aroclor and Santotherm (the latter still applied for non-chlorinated products). Initially prized as long-lasting insulating fluids for transformers and as additives in PVC coatings, PCBs were later recognized as persistent organic pollutants linked to cancer and environmental damage. The manufacture of PCBs was prohibited by the U.S. Congress in 1979 and subsequently banned globally under the Stockholm Convention in 2001.

Agent Orange

Monsanto, along with Dow Chemical and eight other firms, manufactured Agent Orange for the U.S. Department of Defense. Its name derived from the orange-striped barrels used during transport and it was the most extensively deployed herbicide among the so-called "Rainbow Herbicides."

Bovine somatotropin

Monsanto developed and marketed recombinant bovine somatotropin (rBST or rBGH), a synthetic hormone that increases milk yield by approximately 11–16% when administered to dairy cows. In October 2008, Monsanto divested this segment to Eli Lilly in a transaction valued at $300 million plus additional considerations.

The use of rBST remains contentious due to concerns about its impact on cows and milk quality. Some markets provide milk labeled as rBST-free, which has gained traction among consumers. In reaction, American Farmers for the Advancement and Conservation of Technology (AFACT), a pro-rBST organization initially linked to Monsanto, began advocating against such labeling practices, arguing they may mislead consumers and suggest that milk from treated cows is inferior.

Products not commercialized

Monsanto created several significant technologies that ultimately were never brought to market.

"Terminator" seeds

Genetic use restriction technology, commonly known as "terminator technology," generates plants that produce sterile seeds. This prevents seed dispersal and compels farmers to purchase fresh seeds for each planting cycle. Although farmers have long bought hybrid seeds due to reduced yields in subsequent generations, most seed producers require contracts that forbid replanting harvested seeds.

This technology was developed through collaboration among government research institutions, universities, and private companies but has never been commercially implemented. Monsanto encountered protests fueled by rumors of deploying terminator seeds, particularly in India. In 1999, the company committed to not commercializing this technology. The Delta & Pine Land Company had plans to bring it to market but was acquired by Monsanto in 2007.

Monsanto's terminator seed technology was never commercially introduced or planted by farmers anywhere worldwide. The associated patent expired in 2015.

GM wheat

During the 1990s, Monsanto engineered multiple genetically modified wheat varieties, including those resistant to glyphosate. Field trials took place in the United States between 1998 and 2005. Nevertheless, as of 2017, no genetically modified wheat had been officially commercialized.

Legal affairs

Monsanto was involved in numerous prominent legal cases both as plaintiff and defendant, mainly focusing on defending the safety of its products for health and the environment. The company rigorously protected its agricultural biotechnology patents, similar to industry peers such as Dupont Pioneer and Syngenta. Monsanto became one of the most debated corporations worldwide due to controversies linked to its chemical formulations and genetically modified seeds. Prior to Bayer’s acquisition in 2018, Bayer identified restoring Monsanto’s reputation as a major obstacle and announced intentions to retire the Monsanto brand name to regain consumer confidence.

Argentina

Argentina authorized the cultivation of Roundup Ready soybeans in 1996, which led soy acreage to expand from 14 million acres in 1996 to 42 million acres by 2008, driven largely by investor interest in export opportunities. This growth contributed to a reduction in production of staple crops such as milk, rice, maize, potatoes, and lentils. By 2004, approximately 150,000 small-scale farmers had left rural areas, with half of those losses occurring in the Chaco region by 2009.

A Monsanto spokesperson attributed challenges associated with GM soy primarily to monoculture farming practices rather than the genetic modification itself. Between 2005 and 2006, Monsanto enforced its patents on soymeal by prompting Spanish customs authorities to seize shipments originating from Argentina, thereby pressuring the Argentine government to uphold seed patent protections.

In 2013, environmental activists opposed a Monsanto corn seed production facility planned for Malvinas Argentinas, Córdoba, citing potential environmental hazards. Although courts initially permitted construction, operations were suspended pending submission of mandatory environmental impact assessments. Public demonstrations and petitions called for a referendum on the project.

By 2016, Monsanto reached an agreement with Argentine authorities regarding royalty payments on soybean seeds. The Argentine Seed Institute (Inase) assumed responsibility for monitoring crops cultivated from Monsanto’s Intacta genetically modified soybean varieties. Previously, farmers had avoided paying royalties by reusing seeds or purchasing from unregistered suppliers. Inase delegated testing duties to grain exchanges, which conduct approximately six million samples annually; samples suspected of containing GM traits undergo further polymerase chain reaction analysis.

Brazil

Brazil ranks as the world's second-largest producer of genetically modified soybeans. The presence of GM soy was first identified in fields within Rio Grande do Sul in 2003, triggering disputes and demonstrations led by the Landless Workers' Movement, which occupied Monsanto's research and seed-processing farms. In 2005, Brazil implemented formal regulations governing genetically modified crops.

China

Monsanto encountered criticism from Chinese economist Larry Lang, who accused the company of monopolizing the soybean market in China and attempting to expand its dominance into the corn and cotton sectors.

India

During the late 1990s and early 2000s, a surge in farmer suicides across India attracted widespread attention, especially amid economic distress caused by high-interest rates and repeated crop failures, notably in Andhra Pradesh. Monsanto's Bt cotton seeds became a focal point of protests concerning seed costs and crop yields. In 2005, India's Genetic Engineering Approval Committee prohibited Monsanto from selling certain Bt cotton varieties in Andhra Pradesh due to unsatisfactory results. Following disagreements over financial aid for indebted farmers and poor harvests, the state government temporarily banned Monsanto's Bt cotton seeds; this prohibition was subsequently revoked.

In 2006, Andhra Pradesh demanded price cuts from Monsanto and later initiated legal proceedings against both Monsanto and its licensee, Maharashtra Hybrid Seeds. Research conducted by the International Food Policy Research Institute found no causal link between Bt cotton adoption and increased suicide rates, noting that farmer suicides predated Bt cotton introduction and were largely driven by socio-economic conditions. By 2009, Bt cotton represented 87% of India's cotton cultivation area.

Critics such as Vandana Shiva contended that Bt cotton exacerbated farmer debt and crop failures, accusing Monsanto of exaggerating the seeds' profitability. By 2009, farmers faced significantly increased costs for Bt cotton seeds. In 2012, studies by the Indian Council of Agricultural Research and Central Cotton Research Institute associated declining Bt cotton performance with rising farmer suicides.

A 2004 report from the Tata Institute examining suicides among Maharashtra farmers emphasized governmental neglect, insufficient social safety nets, and limited access to agricultural knowledge as critical factors. Additional studies pointed to risky credit practices, challenging agricultural conditions, low farm incomes, scarce alternative employment options, urban economic downturns pushing individuals into farming, and inadequate mental health support as major contributors. Increasing pesticide expenses raised overall cultivation costs, while total Bt cotton yields declined between 2007 and 2012.

United Kingdom

Brofiscin Quarry functioned as a disposal site for hazardous waste from 1965 until 1972, receiving materials from corporations such as BP, Veolia, and Monsanto. A 2005 assessment by Environment Agency Wales (EAW) detected up to 75 toxic substances at the site, including heavy metals, Agent Orange, and polychlorinated biphenyls (PCBs).

In 2011, Monsanto agreed to participate in funding cleanup efforts without acknowledging any responsibility. EAW along with Rhondda Cynon Taf council decided on an engineered containment cap over the contaminated waste area, estimating remediation expenses at £1.5 million—substantially lower than prior projections which reached up to £100 million.

PCBs

During the late 1960s, Monsanto's facility in Sauget, Illinois, stood as the nation's largest manufacturer of polychlorinated biphenyls (PCBs), which led to significant contamination of local water sources. The Environmental Protection Agency (EPA) identified Sauget as heavily polluted by numerous chemical substances.

In Anniston, Alabama, Monsanto was subjected to legal action for knowingly releasing mercury and PCBs into nearby waterways over a period exceeding forty years. In 1969 alone, approximately 45 tons of PCBs were discharged into Snow Creek, adversely affecting the area's drinking water supply. In 2003, Monsanto and Solutia resolved claims from more than 20,000 residents with a $700 million settlement.

By June 2020, Bayer proposed a $650 million agreement to settle PCB-related lawsuits, along with an additional $170 million payment to various state attorneys general. Although Monsanto halted PCB production in 1977, these compounds remain persistent in the environment due to their chemical stability. In November 2020, a U.S. District Court judge declined Bayer’s settlement proposal, permitting ongoing PCB litigation.

In January 2025, a court mandated Monsanto to pay $100 million to plaintiffs alleging PCB-induced health issues at a school in Monroe, Washington.

Polluted sites

As of November 2013, EPA records linked Monsanto to nine "active" and 32 "archived" Superfund locations across the United States. The company has encountered numerous lawsuits and settlements concerning pollution-related health impacts on workers and local communities.

GM wheat

In 2013, glyphosate-resistant genetically engineered wheat developed by Monsanto was discovered growing spontaneously on an Oregon farm, despite the last field trials occurring in 2001. The origin of this wheat remained unidentified, raising alarms about possible breaches of the Plant Protection Act and threatening U.S. wheat exports valued at $8.1 billion in 2012. Monsanto asserted that all related materials had been destroyed following trials completed by 2004 and expressed uncertainty regarding the source of the plants. Subsequent USDA investigations suggested the incident was isolated with no evidence of genetically engineered wheat entering commercial markets. By August 2013, key Asian importers such as Japan, South Korea, and Taiwan resumed purchasing U.S. wheat despite the unresolved GMO wheat discovery.

Cancer risks of Roundup

Monsanto has been embroiled in controversy within the United States over allegations that its glyphosate-based herbicides—including Roundup—pose carcinogenic risks. While some limited studies indicate an elevated cancer risk associated with occupational exposure to glyphosate, regulatory bodies and scientific institutions generally concur that authorized uses do not present proven carcinogenic hazards to humans. Major organizations such as the World Health Organization (WHO), Food and Agriculture Organization (FAO), European Commission, Canadian Pest Management Regulatory Agency, and Germany’s Federal Institute for Risk Assessment have all concluded glyphosate is not carcinogenic. Conversely, in 2015 the International Agency for Research on Cancer (IARC), a WHO-affiliated entity, classified glyphosate as "probably carcinogenic."

By October 2019, Bayer—the parent company of Monsanto—was confronted with over 42,700 lawsuits claiming glyphosate exposure caused cancer following the IARC classification. Monsanto maintains that Roundup does not cause cancer. In March 2017, forty plaintiffs filed suit in California seeking damages linked to glyphosate exposure. The company's first major defeat came in August 2018 when Dewayne Johnson was awarded $289 million (later reduced through appeals to $21.5 million) after jurors determined Monsanto failed to provide adequate warnings.

In March 2019, Monsanto was ordered to pay $80 million in a federal case involving Edwin Hardeman’s diagnosis of non-Hodgkin's lymphoma; Bayer announced plans to appeal this decision. In May 2019, a California jury awarded $2 billion in damages against Bayer for insufficient warnings about Roundup’s cancer risks; this amount was subsequently lowered by a judge to $86.7 million.

By June 2020, Bayer agreed to resolve over 100,000 Roundup-related lawsuits with a settlement ranging from $8.8 billion to $9.6 billion plus an additional $1.5 billion reserved for future claims. This agreement excludes three cases already adjudicated by juries and currently under appeal.

These extensive legal challenges have notably affected Bayer’s financial results and corporate image, underscoring the significant product liability risks inherent in the agrochemical sector.

Dicamba Litigation

In February 2020, a Missouri jury determined that Monsanto and co-defendant BASF were negligent in the formulation of Dicamba, concluding that the herbicide drifted onto neighboring crops and caused damage to a peach orchard. The jury awarded $15 million in compensatory damages and an additional $250 million in punitive damages. Bayer and BASF were also held accountable in similar lawsuits, with Bayer agreeing in June 2020 to a settlement potentially reaching $400 million for dicamba-related claims spanning 2015 to 2020, excluding the $250 million punitive award granted to Bader Farms. Later, in November 2020, U.S. District Judge Stephen Limbaugh Jr. reduced the punitive damages in the Bader Farms case to $60 million.

Misrepresentation of Incentive Rebates

Between 2009 and 2011, Monsanto inaccurately reported incentive rebates, resulting in an overstatement of profits by $31 million. Following a settlement with the U.S. Securities and Exchange Commission (SEC), the company paid $80 million in fines. This financial misreporting occurred as Monsanto was losing Roundup market share to generic alternatives, which led to significant revisions of internal controls. Two senior certified public accountants faced suspension, and Monsanto was mandated to engage an independent ethics and compliance consultant for a two-year period at its own cost.

Claims of Ghostwriting

A 2016 evaluation of glyphosate's carcinogenic risks conducted by four independent expert panels was reportedly shaped by Monsanto scientists who assisted in organizing, reviewing, and editing drafts submitted by external experts, contrasting with the IARC’s assessment. Monsanto maintained that its involvement was limited to cosmetic copyediting.

In 2017, The New York Times disclosed that a 2015 article credited to researcher Henry I. Miller had been drafted by Monsanto as a response to IARC's findings. Following this revelation, Forbes removed Miller’s blog content and terminated their association with him.

United States

Monsanto maintained active lobbying efforts within the U.S. government, expending $8.8 million in 2008 and $6.3 million in 2011, including approximately $2 million focused on "Foreign Agriculture Biotechnology Laws, Regulations, and Trade." Additionally, some U.S. diplomats stationed in Europe have been employed directly by Monsanto.

During California’s 2012 Proposition 37 concerning GMO food labeling, Monsanto invested $8.1 million opposing the initiative, which ultimately failed at the polls. Consequently, GMO labeling remains voluntary across the United States.

In 2009, Michael R. Taylor—former Monsanto Vice President for Public Policy and an expert on food safety—was appointed as a senior advisor to the FDA Commissioner.

Monsanto is affiliated with the Washington D.C.–based Biotechnology Industry Organization (BIO), the largest biotechnology trade association offering advocacy and business development support. Between 2010 and 2011, BIO spent $16.43 million on lobbying activities.

The Monsanto Company Citizenship Fund, a political action committee, contributed over $10 million to political candidates from 2003 through 2013.

By October 2013, Monsanto along with DuPont Co. had invested roughly $18 million supporting an anti-labeling campaign amid state-level initiatives for GMO labeling proposed by Washington and twenty-six other states.

Revolving door

Within the United States' regulatory landscape, numerous individuals have transitioned between government positions and Monsanto, sparking concerns regarding the company's potential sway over favorable policy decisions. Critics contend that these relationships may have jeopardized consumer protection, whereas proponents emphasize the benefit of seasoned experts adept at managing conflicts of interest. Notable figures with ties to Monsanto and public service include:

  • Linda J. Fisher—served as EPA assistant administrator, Monsanto vice president (1995–2000), then advanced to EPA deputy administrator.
  • Michael A. Friedman, MD—held the role of FDA deputy commissioner.
  • Earle H. Harbison Jr.—former Deputy Director of the Central Intelligence Agency, later assumed the position of Monsanto President and COO.
  • Robert Holifield—previously chief of staff for the Senate Agriculture Committee, subsequently became a partner at Lincoln Policy Group.
  • Mickey Kantor—acted as US trade representative before joining Monsanto’s board.
  • Blanche Lincoln—US Senator and chair of the Agriculture Committee, founder of the lobbying firm Lincoln Policy Group.
  • William D. Ruckelshaus—served as EPA Administrator, acting FBI Director, Deputy Attorney General, and later joined Monsanto’s board.
  • Donald Rumsfeld—Secretary of Defense and former head of Searle, a Monsanto subsidiary.
  • Michael R. Taylor—FDA deputy commissioner for food safety policy (1991–1994), then Monsanto vice president for Public Policy and Senior Advisor to the FDA Commissioner during the Obama administration.
  • Clarence Thomas—Supreme Court Justice who previously worked as an attorney for Monsanto in the 1970s and authored a pivotal decision supporting patent rights on plant varieties.
  • Ann Veneman—former Secretary of Agriculture and board member at Calgene.

This interchange between Monsanto executives and government officials illustrates a deliberate leadership strategy aimed at navigating regulatory environments to bolster the company’s commercial objectives and market presence.

United Kingdom

During the late 1990s, Monsanto effectively lobbied for a substantial increase in allowable glyphosate residues in soybeans, persuading Codex Alimentarius along with UK and US authorities to raise limits by 200 times to 20 mg/kg. These discussions were conducted discreetly, involving multiple meetings between Monsanto representatives and officials from UK Agriculture and Environment departments ahead of the 1997 election. Prominent politicians from both Labour and Conservative parties maintained financial or consultancy relationships with Monsanto or its lobbying agency Bell Pottinger. Parliamentary investigations into alleged inducements from Monsanto to civil servants found only minor instances such as working lunches.

European Union

Documents released by WikiLeaks in 2011 exposed active efforts by US diplomats to champion Monsanto’s interests within Europe, particularly endorsing Spain’s favorable stance on GMOs amid EU scrutiny over MON810 approvals. Spain played a crucial role as an ally in advancing biotechnology across Europe. The leaks also revealed diplomatic initiatives aimed at undermining EU GMO restrictions, including plans for trade retaliation against nations opposing genetically modified crops following a WTO ruling against the EU’s bans.

Monsanto participated in EuropaBio, Europe’s foremost biotech industry association, which sought to influence the continent’s GM food discourse by enlisting prominent ambassadors to sway EU decision-makers. In 2017, Monsanto lobbyists were expelled from the European Parliament after refusing to appear at hearings concerning alleged interference in regulatory processes, highlighting persistent friction between the company and European regulatory bodies.

Haiti

Following the 2010 Haiti earthquake, Monsanto contributed $255,000 to aid disaster recovery efforts and provided 60,000 sacks (475 tons) of hybrid (non-GMO) corn and vegetable seeds valued at $4 million. Nevertheless, an evaluation by Catholic Relief Services (CRS) determined that local seed stocks were adequate and advised a cautious approach to introducing imported seeds. Emmanuel Prophete, head of Haiti's Ministry of Agriculture's Service National Semencier (SNS), endorsed hybrid maize seeds due to their higher yields, whereas Louise Sperling from the International Center for Tropical Agriculture (CIAT) highlighted that most hybrids demand improved soil and water conditions, which are scarce in Haiti.

Concerns were voiced by activists regarding certain seeds coated with fungicides such as Maxim or thiram, chemicals prohibited in U.S. home gardening products because of health hazards. There was also criticism over unsafe handling practices of these coated seeds by recipients. Although the donated seeds were sold at discounted rates within local markets, farmers expressed worry about potential risks to indigenous seed varieties.

Public relations

Monsanto has engaged in multiple public relations initiatives aimed at boosting its corporate reputation and fostering positive views of its products. These efforts included partnerships with prominent scientists like Richard Doll concerning Agent Orange. Additionally, the company co-sponsored projects such as the biotech industry platform GMO Answers to address public skepticism and promote transparency about genetically modified organisms.

Sponsorships

  • Disneyland attractions supported by Monsanto included:
    • Hall of Chemistry (1955–1966)
    • Monsanto House of the Future (1957–1967)
    • Fashions and Fabrics through the Years (1965–1966)
    • Adventure Thru Inner Space (1967–1986)
  • In the 1970s, Monsanto donated $10 million to the Missouri Botanical Garden in St. Louis, resulting in the naming of its 1998 plant science building as the 'Monsanto Center' (renamed 'Bayer Center' in 2018).
  • Collaborations with the Field Museum encompassed:
    • The Gregor Mendel exhibit and "Underground Adventures" since 2011, emphasizing ecosystem significance
    • The Monsanto Environmental Education Initiative, directed by Gregory M. Mueller
    • Support for research within the Department of Botany and Mycology
    • Interaction with personnel such as Curator Mark W. Westneat during Monsanto meetings
  • The Monsanto Insectarium at the St. Louis Zoo was renamed Bayer Insectarium in 2018

University relationships

Monsanto played a significant role in funding scientific research at Washington University in St. Louis, providing over $100 million through the Washington University/Monsanto Biomedical Research Agreement. The university established the Monsanto Laboratory of Life Sciences in 1965. In 2015, Monsanto awarded $1.94 million to Washington University's Institute for School Partnership to support enhancements in STEM education.

Awards

In 2009, Forbes magazine recognized Monsanto as company of the year. Conversely, in 2010, Swiss research firm Covalence ranked it as the least ethical among 581 multinational corporations based on its EthicalQuote index. Nonetheless, Science journal included Monsanto among its Top 20 Employers from 2011 through 2014, acknowledging it as an "innovative industry leader" engaged in significant quality research. Monsanto executive Robert Fraley earned the World Food Prize for his groundbreaking contributions to agricultural biotechnology.

Documentaries

See also

Bibliography

  • Ehrlich, Walter. Zion in the Valley, 1807-1907: Volume I, The Jewish Community of St. Louis. University of Missouri Press, 1997.
  • Forrestal, Dan J. Faith, Hope & $5000: The Story of Monsanto. Simon & Schuster, 1977.
  • Pechlaner, Gabriela. Corporate Crops: Biotechnology, Agriculture, and the Struggle for Control. University of Texas Press, 2012.
  • Robin, Marie-Monique. The World According to Monsanto: Pollution, Corruption, and the Control of the World's Food Supply. New Press, 2009.
  • Spears, Ellen Griffith. Baptized in PCBs: Race, Pollution, and Justice in an All-American Town. The University of North Carolina Press, 2014.
  • Shiva, Vandana. Stolen Harvest: The Hijacking of the Global Food Supply. South End Press, 2000.

External links