April 23, 2010

At least seven US state attorney generals are investigating whether Monsanto has abused its market power to exclude competitors and raise prices on seed, according to the Organic Consumers Association.

This adds to the increasing pressures on the agricultural biotech giant.

The seven states are probing whether Monsanto violated laws by offering rebates to seed distributors for excluding rival seeds, imposing limits on combining the product with other genetic modifications, or offering cash incentives to switch farmers to more expensive generation of seed varieties.

In addition, Monsanto's marketing practices are being reviewed by the US Justice Department, and DuPont has accused Monsanto of anti-competitive practices in licensing litigation.