Monsanto sees strong demand despite recession

Despite the current economic gloom, Monsanto is seeing strong demand from farmers.

Concerns of a slowing rural economy and downturn in major markets worldwide is not pulling back Monsanto's growth targets, according to Brett Begemann, executive vice president of Monsanto's global commercial business.

Agriculture is not recession-proof, but people will continue eating, Begemann said.

He said farmers are buying seed products at a good pace ahead of the spring planting season for corn and soy, even after price increases of 20-25 percent.

US farmers were slower to buy seeds this year than in the past, and US corn plantings this spring could decline but that would be offset by an increase in soy plantings, Begemann said, adding that demand for seed products is still strong.

A series of new products is expected to help the company mitigate falling revenue from its herbicide business.

Monsanto will launch a new herbicide-tolerant soy seed that improves yields by 7-11 percent this year, Begemann said.