Is There Still Value in GM Crops?
The day after the Bayer/Monsanto agreement was announced this week, The Wall Street Journal had an article entitled " Behind the Monsanto Deal, Doubts About the GMO Revolution " (subscription required or article can be purchased). The paragraph that best summarizes the article was, "Today, farmers are finding it harder to justify the high and often rising prices for modified, or GMO, seed, given the measly returns of the current farm economy. Spending on crop seeds has nearly quadrupled since 1996, when Monsanto Co. became the first of the companies to launch biotech varieties. Yet major crop prices have skidded lower for three years, and this year, many farmers stand to lose money." The article contained a graphic that showed that since 1996, the year GM soybeans were introduced on a commercial scale, soybean seed prices have risen 305% to $60.75 per acre, but commodity prices have risen only 31% to $9.79. It is a bit puzzling why the Wall Street Journal did not c...