by Ben Nuelle
Senator Chuck Grassley is sending a bipartisan letter to Treasury Secretary Jack Lew regarding the ChemChina deal to buy Syngenta. Grassley’s letter asks the Committee on Foreign Investment in the U.S. to review ChemChina’s purchase of Syngenta. The letter also asks them to include the Department of Agriculture and the Food and Drug Administration in the review process.
Grassley says he is concerned with how the ChemChina Syngenta merger could impact U.S. food security and distribution.
“Because the food and agriculture sectors are part of the nation’s critical infrastructure. This merger raises questions about the potential national security implications. While foreign direct investment is generally positive, careful consideration should be taken especially if foreign governments are the buyers,” Grassley says.
He has several other concerns with the ChemChina buy.
“If the Syngenta ChemChina deal is approved, it would be both a regulator in regard to biotech product approval and also, at the same time, owner of an entity that needs biotech approvals allowing state ownership of a major player in the seed and chemical business needs to be carefully reviewed,” Grassley says.
Grassley adds he remains troubled about the long term effects of continued consolidation in the seed industry and how farmers will have fewer options of who to buy seed from.