What’s behind EU’s skepticism of Bayer-Monsanto merger?


[Bayer’s acquisition of Monsanto] may not go through. Multiple media outlets have reported that European Union regulators are skeptical of the merger. Why?

One’s initial impulse might be that the EU simply doesn’t like GMOs (which is true), so it will make an example of Monsanto by blocking its acquisition by Bayer. But that doesn’t appear to be the case. According to the Wall Street Journal, the EU approved mergers between DuPont and Dow Chemical as well as Syngenta and ChemChina, albeit after various concessions were made. (Both DuPont and Syngenta sell GMOs.)

Neither does it appear as if the EU is trying to undermine the success of an American business. DuPont and Dow are both headquartered in the U.S.

On the contrary, EU regulators seem to be legitimately concerned about the impact the merger may have on competition.

If the EU is not distracted by politics and anti-GMO activists — and if it is able to focus solely on the economic pros and cons of a merger — it is engaging in appropriate regulatory oversight. But that’s a big “if.”

The GLP aggregated and excerpted this article to reflect the diversity of news, opinion and analysis. Read full, original post: Why Would The EU Put The Kabash On Bayer’s Acquisition Of Monsanto?