Following up on the post from Peter Bloch on the further concentration of the US seed industry,”US seed industry concentration continues.”
The US based seed company Pioneer Hi-Bred has acquired a majority share of the South African seed company Pannar. Pioneer announced this in September 2010 but is still awaiting the regulatory approval from South Africa. Pannar is one of the few successful African seed companies operating on a multinational scale.
Pioneer´s aquisition of a majority share of Pannar increases the market share of multinational companies in the South African seed market to about 90%. This illustrates how the increased market power of a few seed and biotech companies also impacts competition in developing countries as they seek opportunities to expand in different markets.
Post written by Sebastian Derwisch, consultant to CAS-IP