Monsanto's 'Roundup Ready' Alfalfa Controversy

            
 
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Case Details:

Case Code : BECG078
Case Length : 13 Pages
Period : 1999-2007
Pub Date : 2007
Teaching Note :Not Available
Organization : Monsanto Company
Industry : Agricultural Biotechnology
Countries : US

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Introduction Contd...

This view was also supported by several studies in the academic field and examples in real life. For instance, Don Cameron (Cameron), a farmer based in California, grew several organic and biotech crops which included organic alfalfa as well as RRA. According to Cameron, "Proper stewardship makes it possible to grow both organic and biotech crops. We've successfully accomplished this for nearly a decade on our operation and plan to continue."8 Commenting on the value proposition offered by RRA, Chris Peterson, Marketing Manager at Monsanto, said, "With Roundup Ready Alfalfa system, growers will become familiar with a system that will allow them to produce cleaner, more yield, higher-quality alfalfa, and should realize an incremental earning opportunity compared to the way that they grow alfalfa today."9

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The RRA issue took center stage in February 2006 when CFS, along with some other co-plaintiffs, filed a lawsuit against the USDA, claiming that it had not undertaken a thorough investigation on the impact of RRA on public health and its environmental and economic consequences. Commenting on the May 3 final ruling, Jay Feldman, Executive Director, Beyond Pesticides10, said, "This landmark decision curtails a genetically engineered crop that, among other serious environmental problems, increases farmers' dependency on toxic weed killers that hurt farmers, food consumers, and the environment."11

Background Note

In April 2000, Pharmacia & Upjohn Inc. (Pharmacia), a US-Swedish drug company, completed a merger with Monsanto. The merged entity was named Pharmacia Corporation. Pharmacia was attracted by the success achieved by Monsanto's blockbuster drug, Celebrex, used for the treatment of arthritis; it was not interested in Monsanto's agriculture business. By the end of 2000, Pharmacia Corporation hived off the agriculture division of Monsanto into a new company called Monsanto Agriculture Company, which was later renamed Monsanto. Monsanto was headquartered in St. Louis, Missouri...

 Excerpts >>

8] "Monsanto Company Disappointed with Court Decision against the USDA which Suspends the Planting of Roundup Ready Alfalfa,"http://monsanto.mediaroom.com.

9] "Monsanto Launches Roundup Ready Alfalfa Delivering Unsurpassed Weed Control for Improved Yield and Higher Quality Hay,"www.seedquest.com, March 02, 2006.

10] Beyond Pesticides (previously known as National Coalition Against the Misuse of Pesticides) works with allies for preserving public health and the environment (Source: www.beyondpesticides.org).

11] "Federal Judge Orders Injunction, Complete Review of GE Alfalfa,"www.beyondpesticides.org, May 09, 2007.

 

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