In this exclusive op-ed article, Fabian Boegerhausen, Manager at Solidiance Malaysia, analyses the impacts of the proposed USD 66 billion takeover by German drug and chemicals maker Bayer of U.S. seeds company Monsanto on Asia’s agriculture market. The aim of the merger would be to expand a broader presence in the high-growth Asia-Pacific region, which in turn would form a global force in agriculture. As regional crop protection demand is expected to grow steadily to reach a market value of more than USD 18 billion in 2018, both companies plan to capitalize on this growth. Moreover, rice is to be the single most important crop the agriculture giant would be exposed to, since 470 million people in Asia partake in the production of rice, with key producers including China, Thailand, and Vietnam.
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